SpaceX IPO on June 12 at $135 Per Share; Cramer Predicts $5 Trillion Debut Valuation, 180% Upside From $1.77T Initial Price

According to Jim Cramer, CNBC host and former hedge fund manager, SpaceX IPO on June 12 at $135 per share could reach a $5 trillion valuation on its first trading day, representing 180% upside from the $1.77 trillion initial market cap. The offering, set to raise $750 billion across 556 million shares, will break Saudi Aramco's 2019 record as the largest IPO in history.

Cramer warned the IPO poses a "destructive force" to the broader market, as investors may liquidate other holdings—particularly mega-cap tech stocks like Amazon, Microsoft, and Nvidia—to raise capital. With institutional cash allocation at historic lows (3.9% of portfolios), this forced selling could pressure equities. Additionally, SpaceX's float represents only 4.2% of total shares, creating extreme supply constraints that could trigger sharp reversals as lockup periods expire, according to market analysts.