SpaceX, the aerospace company founded by Tesla CEO Elon Musk, will join the Nasdaq-100 Index less than a month after its blockbuster initial public offering (IPO), becoming one of the fastest newly listed companies to enter the benchmark following a rule change aimed at accommodating mega-cap market debuts.
Nasdaq announced on June 27 that SpaceX will officially become part of the Nasdaq-100 Index on July 7—just 17 trading days after making its market debut on June 12.
The Nasdaq-100 tracks the 100 largest non-financial companies listed on the Nasdaq Stock Market and is widely regarded as one of the premier U.S. growth-stock indices. It underpins hundreds of billions of dollars in passive investment products, including ETFs and index funds, and includes technology giants such as Nvidia, Apple, Microsoft, Amazon and Meta.
SpaceX’s rapid inclusion follows Nasdaq’s overhaul of its index eligibility rules in May. The exchange introduced a fast-track mechanism allowing ultra-large-cap companies that rank among the top 40 Nasdaq-100 constituents by market value to qualify for early inclusion, even if they have not met the traditional trading-history requirement. The change reflects a broader shift by index providers to ensure benchmark indices can more quickly capture newly listed companies that debut at enormous valuations.
According to Companies Market Cap, SpaceX’s market capitalization stood at approximately $2.018 trillion as of June 27, making it the world’s seventh-largest publicly traded company.
While most newly listed companies historically waited months before becoming eligible for major benchmark indices, SpaceX’s size enabled it to qualify almost immediately under the revised methodology.
The company’s addition to the Nasdaq-100 is expected to trigger significant inflows from passive investment funds. ETFs and index funds tracking the benchmark—including large products such as the Invesco QQQ Trust—will be required to purchase SpaceX shares to mirror the index’s revised composition. JPMorgan estimates the inclusion could attract approximately $4.3 billion in passive investment flows.
While SpaceX has secured a swift entry into the Nasdaq-100, its inclusion in the S&P 500 is expected to take considerably longer. S&P Dow Jones Indices has indicated that it has no plans to revise the eligibility criteria for its flagship indices, meaning SpaceX will likely need to complete at least 12 months as a publicly traded company before becoming eligible for review.
Despite strong investor enthusiasm, analysts remain divided over the company’s valuation.
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Reuters reported that SpaceX has alternated between annual profits and losses over the past three years and posted a net loss of $4.9 billion in the most recent fiscal year.
“The rush to include the company in the index reflects exceptionally strong investor demand,” said Michael Field, Chief Market Strategist at Morningstar. “However, the current share price appears to be overvalued.”
On June 26, SpaceX shares closed at $153.23 on the New York Stock Exchange, up 0.15% from the previous session. Since debuting at its IPO price of $135 on June 12, the stock surged to an intraday high of $226 before retreating amid profit-taking. It has since stabilized around the $150 level.
SpaceX’s rapid ascent into the Nasdaq-100 underscores the exceptional investor appetite for the company while highlighting how trillion-dollar listings are reshaping index construction. As companies reach unprecedented valuations soon after listing, index providers are increasingly adapting their methodologies to bring market benchmarks in line with the evolving structure of equity markets.
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Nasdaq said the transaction leveraged a coordinated dual-listing structure, utilizing the combined ecosystem of Nasdaq and Nasdaq Texas.
Nasdaq President Nelson Griggs highlighted the unique local economic connection, noting on CNBC that “Nasdaq Texas is truly unique and special because it shows the impact that the companies there have on the local economy.”
At the closing bell ceremony in Times Square, at which the New Year’s Eve ball rose as Mars to commemorate SpaceX’s multiplanetary ambitions, exchange leadership framed the listing as a transformative macroeconomic event.
“There are rare moments in the history of markets when investors are not simply buying a company, they’re taking a stake in the future of the global economy itself, and today is one of those moments,” Nasdaq Chief Executive Officer Adena Friedman said.
SpaceX Chief Financial Officer Bret Johnsen revealed that the capital injection will directly fund long-term infrastructure deployments, spanning space launch capabilities, global satellite connectivity, and frontier artificial intelligence.
“I just want to remind everyone that this is just one more step in a journey that we’re just getting started on,” Johnsen said. “You know, Adena mentioned some of the infrastructure of the future, and that’s what we’re bringing to the world.”
Muhammad Luqman is Associate Editor at Views News Now. He writes on wide-ranging issues including economy, South Asia, the Middle East, agriculture, economy and innovation. Luqman has worked some of the leading news organizations and won acclaim for his original and research-based works.
