By Steven M. Sears
Options on SpaceX stock are scheduled to begin trading when the stock market opens on Tuesday.
The options listing will be a monumental event for a stock that has already become one of the world's most desired equities.
Because options cost far less than stock, a trading frenzy is expected to erupt as investors gamble on SpaceX's stock. The options trading is likely to boost the stock, though it could create some intraday price swings.
Initial listings data indicates that SpaceX's options will have strike prices ranging from $25 to $380. The first tranche of options will expire Thursday. After that, SpaceX's options expirations will adhere to the standard monthly expiration cycle.
Anyone who wants to trade SpaceX's options should expect to encounter a raucous market. Demand for the stock is so high that the options are likely to be among the most actively traded in the entire options market, joining a pedigreed club that includes Apple, Amazon.com, Nvidia, Meta Platforms, and others in an exclusive club.
SpaceX stock is up about 4% in premarket trading, and we expect two primary trading strategies will shape the options market.
Investors will likely rush to buy call options, which increase in value when stock prices rise. This simple strategy should push the implied volatility of the calls to higher levels than SpaceX's put options, which increase in value when stock prices decline.
The excitement for the stock's advance is also likely to compel many investors to sell puts on SpaceX stock. Investors sell puts to position to buy the stock at lower prices, or to profit from advances. The money received for selling puts can be kept if the stock remains above the strike price.
Trading in SpaceX options is expected to be chaotic. Spreads -- the difference between bid and ask prices -- should be wide because there isn't enough information for dealers to refine options pricing.
Investors who trade SpaceX options should use limit orders. By specifying buying and selling prices, limit orders give investors a bit more control over trades.
One of the most important pieces of information that is needed to evaluate SpaceX options has yet to be revealed: implied volatility levels.
When options start trading, implied volatility data will populate on trading screens. It's likely SpaceX options will have high implied volatility that is much higher than the S&P 500 index, due to the bullish demand that will find expression in the options market.
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June 16, 2026 09:15 ET (13:15 GMT)
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