Elon Musk on track to become world’s first trillionaire today as SpaceX lists on US stock market – business live

Good morning. Elon Musk’s SpaceX will touch down on the US stock market today after successfully conducting a record-breaking initial public offering, but will its shares head towards the moon?

Shares in the rockets-to-satellites-to-AI company will begin trading in Wall Street today, after SpaceX raised $75bn through its IPO.

The listing will put SpaceX among the largest public companies, and could see Musk declared the world’s first trillionaire later today.

Last night, SpaceX announced it had has raised $75bn in a record-breaking initial public offering, which values the company at $1.77tn. It successfully sold 555,555,555 shares of its Class A common stock, at $135.00 per share.

Banks underwriting the deal have also been given an “over-allotment option” to buy an extra 83.3m shares, which would pump up the size of the IPO to about $86bn.

SpaceX attracted orders for more than three times the amount on offer, the Financial Times reports – with strong demand from institutions and also retail investors. That could help propel SpaceX’s shares up today, as those who missed out in the IPO (or didn’t get as many shares as they wanted) try to get on board.

This strong demand came despite concerns that the company was overvalued – being sold at 92 times last year’s revenues (a hefty valuation).

Investment research group Morningstar claimed earlier this week that SpaceX was worth only $63 a share – less than half the IPO price of $135 – and warned there is “a major disconnect between market expectations and underlying fundamentals”.

Michael Field, the chief equity strategist at Morningstar, suggests investors should sit out the IPO and wait for “a more attractive entry point down the line”.