After the biggest IPO in history, SpaceX will enter the Nasdaq-100 on July 7

SpaceX shares will be included in the Nasdaq 100 index before the market opens on July 7. Entry should unlock investment flows from passive funds and ETFs that replicate the technology index.

According to the website IBD (Investors Business Daily), Nasdaq recently announced accelerated rules so that large initial public offerings (IPOs) can enter the Nasdaq 100 after 15 trading sessions.

In the case of SpaceX, this deadline would be July 6th. The text also states that SpaceX became part of the Russell 1000 after the market closed last Friday (26).

IBD cites bank estimates for the impact on paper purchases by passive vehicles. According to Jefferies, funds that track Russell indexes would need to buy almost $3 billion in SpaceX shares.

JPMorgan estimated that funds that follow the Nasdaq-100 would have to buy US$4 billion in the company's shares.

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SpaceX shares fell 17.2% last week to $153.23. The stock is 32% below its intraday high of $225.64 on June 16. Still, the shares remain above the company's IPO price of US$135.

What is the Nasdaq-100?
The Nasdaq-100 brings together 100 of the largest non-financial companies listed on the Nasdaq, with a strong presence of companies in technology, innovation and other growth sectors.

The index is considered by the financial market as an important reference for the North American stock market and, over the last few decades, it has accumulated superior performance compared to other large capitalization stock indices, consolidating itself as one of the main indicators for investors interested in companies with an innovative and consolidated profile.

Content prepared with the help of Artificial Intelligence, reviewed and edited by the Broadcast Editorial Team.

Source: CNN