The proportion of SpaceX shares being shorted has risen to approximately 32% of its publicly available stock, ahead of several key upcoming events. Elon Musk has issued a warning, stating investors betting against the company's share price have little chance of success.
According to estimates, around 206 million shares of SpaceX are currently being shorted, representing about 32% of the company's float and equating to a nominal short position of roughly $25 billion. Last week, this figure was only 185 million shares, or 29% of the float. Approximately a month ago, the estimated short position was a mere 40 million shares, or 5% to 7% of the float, indicating a significant and rapid increase in short selling activity.
Research indicates that short sellers have been aggressively increasing their positions ahead of multiple major catalysts, including the company's first earnings report post-listing and the subsequent expiration of a share lock-up period.
Responding to the rising short interest data, Musk posted on social media, predicting that investors shorting the company will ultimately suffer losses.
Musk wrote, "The long-term survival probability of institutions holding large short positions in SpaceX is extremely low. I have said that if we succeed in our goals, the value of SpaceX will exceed that of the entire planet. That statement is not in doubt."