SpaceX's Nasdaq-100 Weighting to More Than Double
On September 18, index-tracking funds will make a major portfolio adjustment as SpaceX (NASDAQ: SPCX) prepares for its quarterly rebalancing in the Nasdaq-100. The company’s weighting is set to more than double due to an expanded float from expired lockups of over 2.3 billion shares. This change requires index funds like Invesco QQQ Trust (NASDAQ: QQQ) to purchase between $15.5 billion and $22 billion in SpaceX stock, primarily during the closing bell on Sept. 18. SpaceX joined the Nasdaq-100 in July after its IPO raised $75 billion at $135 per share. Initially capped due to a small public float, it now meets eligibility for higher weighting as more shares become tradable. Despite strong second-quarter revenue growth of 91.9% year-over-year, SpaceX trades at an elevated price-to-sales multiple of roughly 106x amid Treasury yields near 4.79%. Historical patterns suggest the rebalance may not lead to a sustained stock surge. The broader commercial space sector is gaining momentum as LEO satellite networks become essential infrastructure for both private and public sectors, supported by national security contracts.
Topics: aerospace investing rebalancing space stock_index