SpaceX investors have gone from celebrating a record-breaking stock market debut to growing concerned about the company’s performance just one month after its historic IPO.

When shares in the Elon Musk-led company became available to the public on 12 June, investors rushed to buy them.

SpaceX had priced its shares at $135 each, but the stock quickly rose to $150 on its first day of trading before reaching $176. Shares eventually closed at $160.95.

The IPO made SpaceX the largest initial public offering in history.

The momentum continued into the following week, when the stock reached an intraday high of $225. At that level, SpaceX briefly surpassed major companies including Amazon and Microsoft in total market value.

However, the stock has since experienced a sharp reversal, raising questions about whether the excitement surrounding the IPO has begun to fade.

Analysts say the company’s strong debut was driven partly by the popularity of Elon Musk and the growing investor interest in artificial intelligence.

Keith Snyder, an analyst at investment research firm CFRA, said Musk’s involvement naturally attracts significant attention. He also noted that the IPO gave everyday investors an opportunity to invest in a company being marketed as an AI opportunity.

The sharp rise and subsequent decline highlight the volatility that can follow a high-profile IPO, particularly when investor expectations are extremely high.