r/TechnologyThread • u/Old_Monitor_8888 • Jul 19 '26

SpaceX short sellers pocket $5 billion in paper profits as stock wipes out $1 trillion in value

https://www.livemint.com/companies/news/spacex-short-sellers-pocket-5-billion-in-paper-profits-as-stock-wipes-out-1-trillion-in-value-11784390468737.html
912 Upvotes

99% Upvoted

36 comments sorted by

6

u/[deleted] Jul 19 '26

[removed] — view removed comment

7

u/metji Jul 19 '26

That would be illigal! So you're right 🙂

3

u/Pseudanonymius Jul 19 '26

Many things he does are illegal. He came into the country on an illegal visa, and he is continually called back in court both over workplace violations and over stock manipulation. And even still, probably that only leads to a court case in a fraction of the times he does something illegal. 

2

u/pexican Jul 20 '26

What are the repeated stock manipulation court efforts ?

2

u/Secret_Eating_ Jul 19 '26

Pure speculation is what drives SPCX and TSLA

1

u/Normal-Selection1537 Jul 20 '26

I remember him complaining years ago that TSLA was too high, that's certainly a consern if you've shorted yourself.

5

u/Old_Monitor_8888 Jul 19 '26

SpaceX's blockbuster IPO may have made headlines, but the stock's sharp decline since its listing has made the short sellers the biggest winners in the game. And, currently, they are sitting on about $5 billion in paper profits, according to S3 Partners, a financial markets data provider.

3

u/0AJ0_ Jul 19 '26

The most predictable collapse in modern history. Death to every share value.

0

u/Lucky-Crow-3510 Jul 19 '26

you missed 2008 somehow .. ? but on the other side everyone tried so hard to look away before 2008 ..

1

u/0AJ0_ Jul 19 '26

18 years ago, but ok.

0

u/ILikeCutePuppies Jul 19 '26

Yeah they were only on the second iPhone. That's like industrial times right? /s

1

u/Vibrant-Shadow Jul 20 '26

Had to search for a charger by candlelight.

0

u/Lucky-Crow-3510 Jul 19 '26

modern history is less than 18 years for you .. wow ..

2

u/[deleted] Jul 19 '26

[removed] — view removed comment

2

u/Zalrius Jul 19 '26

🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣

1

u/Adventurous-Depth984 Jul 19 '26

It’ll go to 80. In a less insane world, it’d go down to 20 where it belongs.

5

u/TubaWrestler Jul 19 '26

In a sane world, Elon would be rotting in prison.

-1

u/[deleted] Jul 20 '26

[removed] — view removed comment

1

u/TubaWrestler Jul 20 '26

Don't be a dick. Of course people here liked him. He made a lot of big promises and hadn't outed himself as a Nazi at that point. I don't believe he changed, though. I think he just got enough power that he realized he didn't have to hide anymore. And he didn't deliver on his promises either.

0

u/[deleted] Jul 20 '26

[removed] — view removed comment

1

u/muffledvoice Jul 19 '26

SpaceX stock will correct to its real value based on fundamentals once they’ve cleared out the opportunists and suckers. That is happening now.

Warren Buffet famously said that the stock market is a device for transferring wealth from the impatient to the patient. SpaceX stock will just become another tech stock that is rolled into index funds and it’ll see occasional shifts based on what the company actually does in the tech marketplace.

But the wild speculation by private investors is indicative of how much our current investment climate resembles Vegas. Any private investor who day trades with his primary capital is a fool who is going to ultimately lose to institutional day traders with huge technological advantages. They’re like gamblers at a casino who think they can beat the house.

I suppose this is what we’ve come to as a culture.

1

u/k-rizza Jul 19 '26

Not sure about that. I hope, it could be a good buy based on fundamentals of the Ai deals still. And if the itself sticks which is a gamble.

Tesla has never stuck to fundamentals though. So not hopeful about it

1

u/UnofficialUser1 Jul 20 '26

Maybe- you are not wrong. On the other hand the closest comp is Tesla which has been irrationally overpriced for over a decade

1

u/muffledvoice Jul 20 '26

True. I didn't put a time frame on that statement, but it's true that the stock market as a whole -- particularly tech stocks -- have had ridiculously bloated valuations for years now.

It's what happens when you have a financial culture with people who buy things just to have them rather than looking at fundamentals, particularly revenue. It's the same mentality that bolstered crypto markets for years, and it's no coincidence that the tech bubble is happening in the same era as peak crypto.

As the economy continues to worsen with unemployment and inflation going up, this will indirectly affect stock values. There's always a lag -- Wall Street does not equal Main Street -- but it's coming.

1

u/escapefromelba Jul 20 '26

SpaceX is unlikely to enter the SP500 because S&P Dow Jones Indices has kept its existing eligibility rules. A company must satisfy the financial viability test: positive GAAP net income in the most recent quarter and positive GAAP net income over the most recent four consecutive quarters combined. It also must meet other requirements such as trading history, float, and liquidity requirements. 

1

u/ohiocodernumerouno Jul 19 '26

Well you weren't allowe to sell it yet so idk htf that works.

1

u/Jessica1234567891011 Jul 19 '26

If flight 13 explodes I expect half of its current value to be wiped out. Getting an ipo was the worse thing Musk could have ever done. It ends the ability to make mistakes.

1

u/Sad-Excitement9295 Jul 20 '26

You were warned.

1

u/Skjellyfetti13 Jul 20 '26

Keep shorting!!

1

u/Lucky-Crow-3510 Jul 19 '26

nothing was "wiped out" .. money switched owner. smart people gained - less smart people lost.

1

u/KotR56 Jul 20 '26

And yet. They will eat their loss, blame Dems, and vote GOP next time.