SpaceX’s revenue jumped 92% from a year ago, blowing past Wall Street expectations in the rocket maker’s first post-IPO earnings report, after weeks of bumpy trading.
Starlink’s growth was driven by consumer, government, and enterprise businesses, SpaceX’s president told analysts, highlighting recent tie-ups with major airlines.
Still, shares wobbled after an initial jump on Tuesday. One possible reason: Investors are preparing for the company’s IPO lock-up to lift Thursday, which will allow early investors and employees to sell as much as 912 million shares.
“Beware the SpaceX short squeeze,” Semafor’s Liz Hoffman wrote Tuesday, warning bears against overestimating how many of the locked-up shares will actually hit the market, forcing a scramble to cover their positions.