$135, the SpaceX IPO price, broke to the downside for the first time on Wednesday. The stock fell for a fourth straight session, a losing streak that carried it through the floor set at the initial offering. The decline came days after SpaceX entered the Nasdaq-100.
The $135 floor
The offering price marks where public-market buyers first entered. Trading below it puts those holders underwater on a mark-to-market basis. SpaceX had held above $135 from its IPO date until Wednesday's session. Four consecutive down days were enough to take it through.
Index entry, then four sessions of selling
Joining the Nasdaq-100 brings mechanical buying: funds and ETFs tracking the index must purchase shares of each new constituent. SpaceX received that demand after its inclusion. It was not enough. Four sessions of selling followed the Nasdaq-100 debut, and by Wednesday the stock printed below its IPO price for the first time on record.