Summary Retail investors bought SpaceX shares aggressively despite a post-earnings decline, signalling continued confidence after the company's historic public listing.
NEW YORK (Web Desk) - Retail investors aggressively bought SpaceX shares on Wednesday, taking advantage of a sharp post-earnings decline after the company released its first financial results since its public listing.
According to Vanda Research, individual investors purchased a net $22.7 million worth of SpaceX shares during the first hour of trading, marking the third-highest first-hour retail buying total in the 37 trading sessions since the company's June 12 initial public offering (IPO).
Vanda Research said the strong buying activity showed retail investors remained confident despite the earnings-driven sell-off, adding that they had become even more willing to buy the stock during price declines.
If the buying momentum continues throughout the trading session, Wednesday could become the second-largest day of net retail purchases since the IPO, trailing only June 16, when net buying reached $144.6 million.
SpaceX has not experienced a single day of net retail selling since its debut on the stock market. The company went public at $135 per share in what was the largest IPO in US history.
The stock fell by as much as 12.9pc after investors questioned how long the company's profitable Starlink satellite internet business could continue financing its costly artificial intelligence investments.
Trading activity remained heavy, with more than $10.5 billion worth of SpaceX shares changing hands by late morning. Vanda Research said SpaceX was the most-purchased US stock among retail investors on Wednesday, followed by chipmaker AMD, whose shares also declined after its quarterly earnings report.
