In a post on X on Wednesday, Black outlined that several retail investors participating in the SpaceX IPO “will lighten up on their TSLA positions to fund their SPCX shares.”
However, the investor said that the stock was still “richly priced” and that he would avoid participating in the IPO until the stock comes “back to earth post-IPO.”
Investor Ross Gerber, co-founder of Gerber Kawasaki, also weighed in on Friday’s IPO. “People hitting me up for spaceX stock like it's some sort of free money,” the investor said in a post on X on Wednesday, illustrating the considerable buzz SpaceX has generated.
The IPO has sparked bullish sentiments as well as skepticism. Sen. Elizabeth Warren (D-Mass) called for delaying the IPO, warning of “misleading” or “inaccurate” accounting of valuation and that the IPO could expose investors to improper governance structures.
Top Pension officials from New York and California have also criticized SpaceX's IPO, accusing Musk of creating a management-favorable structure, as the dual-class share structure would make Musk’s Class B shares worth 10 regular shares.
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