SpaceX stock takes a tumble, shedding most of its IPO gains in two weeks

Monday was the company's third consecutive trading day in the red

(KRON) - Less than two weeks after its blockbuster initial public offering, SpaceX has shaved off almost all its added value.

Shares rose 1% Tuesday to $156.11 after a brutal day of trading Monday that saw the stock plummet 16.4%, to $154.60 a piece. The price plunge trailed two consecutive days of losses on Thursday (3.6%) and Wednesday (5%).

American markets closed last Friday in observance of Juneteenth.

The stock opened with an IPO of $135, jumping up to $150 Friday, June 12, before peaking the following Tuesday at $201.80.

Shares are still up 14% from that initial price of $135.

Monday's drop was just one piece of a wider sell-off, which saw shares of Alphabet, Meta, Microsoft, and Amazon notch some of their worst trading sessions across the last year.

SpaceX is also staring down the end of its lockup period. That's the legal amount of time insiders, like employees and institutional investors, need to wait to sell their shares, allowing the market proper price discovery.

SpaceX has a staggered rollout, with the earliest insider shares potentially hitting the market as early as late July. The end of the standard 180-day lockup period is on Dec. 8.

Some of those insiders are expected to sell most of their assets, putting new downward pressure on the stock price as more shares hit the open market.

The company, on Monday, also issued its first bond filing. In a press release online, SpaceX wrote it "intends to use the net proceeds from the Notes offering to repay the outstanding borrowings under its bridge loan facility in full."

According to Reuters, SpaceX took out the bridge loan in April "to refinance much of its existing debt" ahead of the IPO.

Reuters also reported Monday, "Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs and Morgan Stanley provided the bridge financing and are expected to run the deal."

The size of the bond offering is unclear, but the aforementioned bridge loan was for roughly $20 billion.

Companies issue bonds to raise capital without giving up control as they do during a stock offering. In the case of SpaceX, CEO Elon Musk's special "class B" shares give him more ⁠than 82% of voting rights despite owning less than half the company (roughly 46%).

Bond sales could reportedly begin as early as Tuesday, June 23.