SpaceX Will Be Worth $1.75 Trillion Next Week but the S&P 500 Won’t Be Adding It
Elon Musk rewrote the IPO playbook in virtually each route for SpaceX. The S&P 500 simply reminded him there are guidelines he can not rewrite.
S&P Dow Jones Indices confirmed Thursday it’s retaining its eligibility guidelines completely unchanged, successfully shutting out SpaceX from the world’s most essential inventory index.
To be part of the S&P 500, an organization have to be worthwhile in its most up-to-date quarter and throughout its prior 4 quarters mixed. SpaceX posted a web lack of $4.94 billion in 2025. The S&P was equally clear on exceptions, stating waivers “shouldn’t be granted solely based mostly on market capitalization.”
What This Means for Passive Investors and SpaceX
Passive S&P 500 index funds management trillions in property and would have been forced to buy SpaceX shares mechanically had the guidelines been relaxed. Without index inclusion, that computerized institutional bid merely doesn’t exist, no less than for the subsequent twelve months.
Nasdaq moved in the wrong way, fast-tracking its personal guidelines to permit SpaceX into the Nasdaq 100 shortly after itemizing. Index funds monitoring the Nasdaq 100 will probably be compelled to purchase a sizeable portion of publicly out there shares when inclusion is confirmed. This will present a ground of institutional demand that the S&P 500 is not going to contribute to.
SpaceX does have a path into much less outstanding benchmarks. S&P confirmed that it’s going to modify the entry guidelines for its broader Total Market Index and the Dow Jones US Total Stock Market Index. Moreover, FTSE Russell has already made SpaceX eligible for its world fairness indexes beneath fast-entry guidelines.
The Crypto Impact
For crypto markets, the S&P exclusion provides an attention-grabbing wrinkle. SpaceX’s S-1 disclosed 18,712 Bitcoin at a value foundation of $661 million. This signifies that each purchaser of SpaceX inventory will get passive Bitcoin publicity whether or not they need it or not.
With the Nasdaq 100 compelled purchase coming and the S&P 500 bid absent, the pool of buyers gaining that oblique Bitcoin publicity is smaller than it will have been beneath a fast-track situation.
With SpaceX, OpenAI, and Anthropic collectively anticipated to drag in additional than $240 billion by year-end, analysts warn these megacap listings could drain liquidity from tech, AI, and crypto markets and probably mark a cyclical peak.
Art Hogan, chief market strategist at B. Riley Wealth, backed the S&P choice.
“Making exceptions as a result of firms are so giant and have been personal so lengthy but are nonetheless not worthwhile didn’t make an excessive amount of sense,” he said.
The largest IPO in historical past will start buying and selling subsequent Friday, June 12. However, the index that defines Wall Street is not going to checklist it for no less than a yr.
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