Alphabet’s $900M SpaceX bet has grown 100-fold to $94B

Alphabet ↘ 3.58% has emerged as the largest single institutional holder of SpaceX following the rocket company's June IPO, with a decade-old investment of roughly $900 million now worth about $94.2 billion, according to quarterly filings analyzed by Reuters.reuters

The Google parent disclosed holding 551.2 million SpaceX shares as of June 30, valued at SpaceX's closing price that day of $170.86 per share. At Wednesday's closing price of $146.15, the stake was still worth approximately $81.8 billion — roughly 90 times the original 2015 investment.ndtvprofit+1

A Landmark Return on a Private-Market Bet

Alphabet's original $900 million investment in SpaceX in 2015 is one of the rare early-stage positions with a publicly confirmed cost basis, making it possible to measure the return with unusual precision. The company's 13F filing, made public this week, reveals the scale of what has become one of the most dramatic venture-style gains ever disclosed by a public corporation.reuters

SpaceX went public on June 12 at $135 a share in an $86 billion IPO. Shares have since pulled back about 14% from their June 30 level but remain 8.3% above the listing price.ndtvprofit+1

Concentrated Institutional Ownership

Beyond Alphabet, the filings show a handful of investors dominating SpaceX's institutional shareholder base. Gigafund Management held 171.8 million shares, followed by Baillie Gifford with 51.4 million, BlackRock ↘ 0.54% with 51 million, and Ontario Teachers' Pension Plan with 50.7 million.reuters

"It's very, very difficult to tease out which of these institutions were holding pre-IPO shares," Steve Sosnick, market strategist at Interactive Brokers ↘ 0.35%, told Reuters, noting the filings do not reveal lockup status or intentions to sell.reuters

Retail Interest Remains High

SpaceX remains among the most actively traded stocks on Interactive Brokers' platform. However, retail investors turned net sellers for the first time since the IPO last Friday, offloading a net $4.5 million, according to Vanda Research. SpaceX shares have nonetheless risen 30% since August 5, buoyed in part by relief that the first lockup expiration did not trigger a wave of selling.reuters