On its first day of trading, SpaceX's stock options revealed a complex market sentiment, with Susquehanna strategist Chris Murphy noting a 15% probability for the stock to rise by 50% and an equal chance of it losing half its value within three months. The stock has already surged about 50% from its IPO price, surpassing Amazon's market cap and nearing Microsoft's valuation.
The high call volume suggests strong demand for further price increases, while the downside puts indicate investor concerns about potential supply risks and valuation issues.
Peter Boockvar, chief investment officer at One Point BFG Wealth Partners, emphasized that while excitement around SpaceX and its founder Elon Musk drives trading, the company must demonstrate solid fundamentals to justify its high valuation, which he believes will take a couple of years to achieve