How Upcoming Mega-IPOs Could Impact Broader Markets

SpaceX’s (SPCX) IPO filing is likely to be about far more than space exploration. The deal highlights growing investor enthusiasm around AI infrastructure, connectivity, and mega-cap market leadership. Kevin Hebner, Global Investment Strategist at TD Epoch, joins MoneyTalk to discuss the market implications and the outer space expectations.

Transcript

Greg Bonnell: Elon Musk’s SpaceX has officially filed what could become the largest IPO in history. Joining us now to break it all down is TD Epoch’s Kevin Hebner.

Kevin, great to have you back with us in the studio.

Kevin Hebner: Oh, thanks, Greg.

Greg Bonnell: It looks like it’s going to be a big one. Let’s start with that potential valuation. What does it say about investor appetite right now for the market and the market sentiment?

Kevin Hebner: I think there’s a lot of appetite for this IPO. I think it’s going to be the biggest IPO ever, $1.75-2 trillion. We don’t know the exact pricing yet. And first day, likely to get a nice pop. It could be 20-40% first-day pop. 30% retail. It’s going to be massively oversubscribed.

And then the institutional sleeve– Elon Musk has made a lot of money for thousands of investors. People are very keen on this. He’s 10 years ahead of any competitors in space, and I think there’s going to be a lot of appetite for this IPO.

Greg Bonnell: Elon Musk, of course, would be deeply tied to the company– significant control. Is that a risk that investors should be thinking about?

Kevin Hebner: Well, it’s been a factor for at least the last 20 years with the Google IPO, the Meta IPO, is that we have two different class shares so that the founder can keep control. And I think a lot of this is people’s memories of Steve Jobs losing Apple. And