SpaceX stock recovers after hitting all-time low following Starship test

By Pras Subramanian, Senior Reporter Published: July 28, 2026, at 1:57 PM PDT | 3 min read

SpaceX (SPCX) stock rebounded on Tuesday after hitting an all-time low the previous day, just days following a successful test of its Starship rocket. The unexpected decline underscores persistent investor caution toward the newly public company, despite achieving a significant launch milestone.

Market Performance

• SpaceX stock fell 4% in early trading but recovered by midday, closing up 2.6%.
• On Monday, the stock hit an all-time low of $109.53 before closing down 1.4% at $113.50.
• Shares have dropped nearly 30% from their $150 market debut last month.
• The stock is down 50% from its all-time high of $225.64.

Investor Concerns

Growing unease is emerging ahead of SpaceX's second-quarter earnings report, scheduled for August 4, followed by a major share unlock on August 6. Under SpaceX's lockup period plan, as many as 20% of shares become eligible for sale.

Read more: SpaceX stock is falling. What investors should do next.

Starship Flight 13: Key Details

The rising anxiety among investors follows the launch of Starship on Friday evening from Starbase, Texas — its 13th test flight and the first since SpaceX's June IPO.

What Worked

• Deployed all 20 next-generation Starlink V3 satellites
• Relit an engine in space
• Achieved what SpaceX called its softest ocean splashdown yet

"I'm a little over the moon right now. Lucky number 13." — Dan Huot, SpaceX spokesperson, on the company's livestream

What Didn't Work

• The Super Heavy booster performed its "hot-staging separation" and flip (which the previous launch had botched), but failed to light all 13 engines for its landing burn.
• It hit the Gulf of Mexico harder than planned.
• Neither the Starship nor Super Heavy was intended to be recovered.

Preceding Delays

• July 16: Aborted engine ignition
• July 23: Weather scrub

What's Next: Flight 14 and Tower Catch

SpaceX is already targeting a larger milestone: the first-ever tower catch of a Starship upper stage, using the Mechazilla arms at Starbase — which have already caught the larger Super Heavy booster.

"Unless we discover problems after mission data review, SpaceX will attempt to catch the ship with the tower on next flight." — Elon Musk, CEO, replying to a question on upcoming Flight 14

Analyst Perspectives

"I think you're going to see double digits in stock price, and that's probably not a terrible thing. But long term, SpaceX doesn't really have a natural competitor base. They have a good product with an intergalactic-sized moat, and more customers every day. That said, there's a lot of AI hooks shoved into that same package, and that's where we're seeing the volatility." — Alex Morris, CEO, F/m Investments

Strategic Shift: Starship Over Falcon 9

The stock slide comes as SpaceX increasingly prioritizes Starship at the expense of its proven moneymaker, the Falcon 9. According to Bloomberg:

• SpaceX has begun turning away satellite operators seeking dedicated Falcon 9 rides beyond 2028.
• The company has stopped taking Falcon 9 rideshare reservations.
• Production of some non-reusable Falcon 9 and Falcon Heavy components has been halted.

This makes Starship's reliability central to how investors value the entire company.

Wall Street's Outlook

Analysts urge patience, warning of both progress and setbacks as SpaceX pushes toward:

• Dozens of Starship launches next year
• Hundreds in 2028
• Thousands beyond

Key open questions include:

• The cost of refurbishing the second stage after reentry
• Whether SpaceX can ramp its flight rate fast enough to make Starship the workhorse it is banking on

Pras Subramanian is Lead Transportation Reporter for Yahoo Finance. Follow him on X.