Cathie Wood invests 52.1 million in SpaceX amid stock decline

Ark Invest has purchased approximately 52.1 million dollars of SpaceX stock, raising its total investment since the June IPO to over 475 million dollars as shares trade below the 135 dollar offer price. The shares were acquired through Ark's ARKK, ARKQ, ARKW, and ARKX exchange-traded funds during the week ending July 10, following around 444 million dollars in purchases around SpaceX's June 12 market debut. SpaceX's stock has dropped about 42% from its peak of 225.64 dollars shortly after opening at 150 dollars, closing at 131.11 dollars on Thursday. This marks the first time the stock has closed below the IPO price. Ark's renewed buying suggests Wood views the decline as an opportunity to increase her position, although no short-term price forecast has been provided. SpaceX trades at approximately 49 times revenue, compared to about 15 times for Tesla, with a market value around 1.8 trillion dollars. Selling pressure may rise when employee and early-investor restrictions begin to expire in August, potentially releasing 911.5 million shares. Short sellers have gained about 8.7 billion dollars since the IPO, with nearly 49% of available shares on loan. The stock remains in a descending channel, with immediate support around 128 to 130 dollars. A confirmed break below this area could expose 125 dollars, while resistance lies between 133 and 135 dollars. A stronger recovery would require reclaiming the channel ceiling before challenging 140 dollars.