The Rundown - SpaceX Makes Historic IPO Debut, Musk Becomes First-Ever Trillionaire

Episode Date: June 12, 2026

Market update for Friday, June 12, 2026.Check out the Public app for incredible investing tools and to support the show (LINK)Follow us on Instagram (@TheRundownDaily) for bonus content and instant reactions.In today’s episode, Zaid covers:What you need to know about the SpaceX IPO todayArm rallies on a bold AI call Adobe sinks despite beating earningsFun Fact: SpaceX IPO is minting over 4,400 employee millionaires (and Elon becomes the world's first trillionaire

Public.com presents the rundown. Your daily market update in 10 minutes. My name is Zad Admani, and today is Friday, June 12th. In today's episode, we're breaking down the SpaceX IPO and what you need to know as the stock starts trading today. We'll also recap earnings from Adobe. Then stick around to the end of the show to find out how many SpaceX employees are becoming millionaires as a result of the IPO. We got a great show for you today. Let's go.

Stocks ripped higher on Thursday. The S&P 500 jumped 1.8% while the NASDAQ was up 2.5%. It was the best day for both these indices in two months. The catalyst for the surge yesterday was President Trump calling off the military strikes on Iran, saying that a peace deal was basically done. Now, we've heard this many, many, many times before, but the, The market seems to think that it's for real this time. In fact, according to reporting from Bloomberg, the U.S. and Iran could sign an interim agreement

as soon as this Sunday in Geneva, Switzerland, right before the start of the G7 summit in the French Alps. This deal would extend the ceasefire by about two months. It would reopen the street of Hormuz and it would lift the U.S. blockade of Iranian ports. Oil traders are starting to price in the possibility of peace and a reopened Hormuz. Brent crew dropped over 3% this morning to under 8%. $88 a barrel. Remember, oil prices peaked at $125 a barrel back in late April, so we've come a long way down. Now, we'll have to see if this deal actually gets signed because like I said, we've been here before.

I mean, just back in late May, there were reports that the two sides had mostly agreed to a deal, and then the missile started flying again. But if we actually get the ink on paper or however, these deals actually get signed, and at the Strait of Hormuz actually opens up, it would be a sigh of relief for the market and for everyone that was worried about a potential rate hike by the The Fed. See, inflation has been creeping up for months now and most of it is coming from energy prices. We covered the CPI report and the PPI report on the show earlier this week, and both of them came in hot. But if the war ends and oil prices keep falling, the inflation problem could start fixing itself. And then that could put an end to all the rate height toxin, maybe even open the door for a

potential rate cut at some point later in the year. Now, there is a Fed meeting next week. It's the first meeting under new Fed chair, Kevin Warsh. So it'll be interesting to see what he has to say. We're going to be staying on top of that along with everything else happening in the market. So make sure you guys are subscribed to the podcast and tuning in every day to stay in the loop. Let's run through some headlines. Well, actually, we only have one headline today because today is all about SpaceX.

The SpaceX IPO is happening today. In fact, by the time you're listening to this, the stock might have already started trading on the NASDAQ. So here is everything that you need to know about this IPO. First off, this is the biggest IPO in history, by far. SpaceX sold 555.6 million shares at $135 each, raising $75 billion in the process at a $1.77 trillion valuation. To put that in perspective, the previous record for an IPO was Saudi Aramco back in 2019. They raised about $29 billion. So SpaceX raised more than two and a half times that.

And at a $1.77 trillion valuation, SpaceX instantly becomes one of the seventh largest companies in America. They're even bigger than Tesla at this point. But look, there have been a lot of questions and concerns raised about the valuation of SpaceX. According to their S-1, the company made $18.7 billion last year with a loss of nearly $5 billion. And losses have only picked up in 2026. As far as valuation metrics, SpaceX is trading at roughly 93 times sales. Just for some context here, according to Bloomberg, that's 15 times the multiple of the average NASDAQ 100 company.

So SpaceX would be a massive outlier when it comes to valuation. But, you know, despite all the valuation concerns, that hasn't put a damper on demand at all. In fact, this IPO was more than four times oversubscribed, and retail investors alone submitted over $100 billion in orders. Based on all that, SpaceX could be in for a big first day pop. You know, to me, this seems like the ultimate FOMO. There's just so much hype around this IPO. And of course, there's the Elon factor as well.

I think one reason for the hype is that everyone knows somebody that got rich from investing in Tesla like a decade ago. Like, I had a college buddy of mine back in 2011 talking about Tesla. I really should have listened to him. So people seem to think that SpaceX might be the next one and nobody wants to miss that, even if the valuation seems crazy. And beyond that, I think it helps that SpaceX does sports. base stuff, which is like, you know, objectively cool. So when you add all that up, you get the biggest, most hyped IPO of all time. But I'm going to be honest with you guys, I have zero FOMO sitting out this IPO. Here's an interesting fun fact. 90% of IPOs eventually trade below

their price from the first day of trading. And we've had some recent examples of this, like what happened with Figma. Figma went public last summer at $33 a share. It popped to over $140 a share, and now it's currently trading at $21 a share. share below its IPO price and also down 80% from its peak. Now, I'm not saying that's going to happen to SpaceX, but it's worth keeping in mind for anyone trying to jump in on the IPO. Now, all of that being said, I don't want to come off as a full-on hater of SpaceX either. Like, I'm a big fan of Starlink. It's genuinely an amazing product and also a great business, too. Not to mention, SpaceX pretty much has a monopoly on rocket launches right now. And of course,

all the investment that Elon made with XAI building out their data centers over the last couple years, that's starting to pay off too. SpaceX recently signed deals with Anthropic and Google to provide them with compute, so SpaceX could see a significant jump in revenue this year. But still, it's hard for me to ignore the valuation concerns. Regardless, though, I'm very excited for today's SpaceX IPO. I can't wait to see how it plays out and what the volatility looks like. But yeah, I'll gladly be watching from the sidelines and waiting for things to come back down to Earth. No pun intended. Let me know in the comments if you bought into the SpaceX IPO. And if you did, Are you planning to hold for the long term or flip for a quick profit?

Let's talk about some stocks making moves today. Shares of arm holdings are rallying about 10% this morning, building on the 11% jump from Thursday after a bullish call from Wall Street. Bank of America raised the price target on the company thanks to what they see to be an increased demand for the CPU market. Bank of America now expects the CPU market the top $170 billion by 2030, That's 36% higher than their previous estimates. The bank thinks the rise of agentic AI will expand the role of CPUs, and that's great for companies like ARM, which designs CPUs.

So as a result, Bank of America raised their price target for Arm to $335 a share, up from $245, but they did maintain a neutral rating. What's funny, though, is that Arm stock is already trading at $380, so there's not really a ton of upside there, but yet the stock is up around 10% today in reaction to this upgrade. Now, on the flip side, Adobe stock is sinking this morning, despite the company beating on earnings. Sales grew 13% to a record $6.6 billion, and profits came in at $5.96 a share, which was higher than expected. On top of that, the company even raised their full year outlook.

But the better than expected numbers were overshadowed by the news that the CFO of Adobe is stepping down. This comes just three months after the CEO announced in March that he was departing the company after nearly 20. years. So that leaves Adobe with a big leadership hole in the C-suite right as the company is navigating the AI era. There seems to be a lot of fear in the market that AI tools are going to disrupt Adobe's grip on design software. The better AI tools like ChatGPT and Gemini get better at image generation and editing photos, that's going to lead to less needs for tools like Photoshop. Now, Adobe is trying to win over users themselves with their own premium AI tools, and that seems to be working. Premium users grew to more than 90 million in the last.

quarter up from 50 million the previous year. But the problem is the growth of these freemium users sacrifices short-term revenues, and Wall Street just doesn't have the patience for that right now. As a result, shares of Adobe are down 7% this morning and down nearly 40% for the year, and they're currently trading at their lowest level in seven years. Let's wrap the show with the fun fact. Elon Musk will become the world's first trillionaire following the SpaceX IPO. You know, Elon was already the richest man in the world by far, but this just puts him at a whole another level. Just for some context here, the second richest person is Larry Page, who is the co-founder of Google.

He has a net worth of around $300 billion. So Elon is going to be worth more than triple that. And these days, most of Elon's net worth is now tied up in SpaceX, where he owns more than 40% of the company. So yeah, I mean, it is pretty wild that one person is worth a trillion dollars on paper. his total net worth is now larger than the GDP of Taiwan and double the GDP of his home country of South Africa. But look, a lot of SpaceX employees are getting rich from this IPO. According to the New York Times, more than 4,400 current and former SpaceX employees are becoming millionaires from this IPO.

And about 400 employees will have SpaceX stock worth over $100 million at the time of the IPO. And by the way, we're not just talking about executives here. SpaceX also gave away stock to hourly blue-collar workers at its launch sites. So it's very possible that there's a cafeteria worker or a janitor quietly sitting on seven figures of SpaceX stock. You know, this kind of reminds me from some of the stories from the dot-com era where like a receptionist became a millionaire. Now, keep in mind, there's typically a six-month lockup period when it comes to selling.

So many of these people won't be able to sell their shares on the first day of trading. Either way, though, there's going to be a new wave of multimillionaires working at SpaceX. I imagine the Rolex shops new the SpaceX offices and the housing market for that matter are going to get real hot pretty soon following the IPO. Well, all right, guys, that's the rundown for today. That's the rundown for this week. Hope you guys enjoyed today's episode.

If you did, and you have like five extra seconds, consider giving us a five-star rating on Apple, Spotify, YouTube, wherever you listen to your podcast, all that engagement really does help us out and it helps other people find the show. Thank you, guys. much for listening, watching, and commenting. Shout out to Mike for all the work behind the scenes. And we'll see you guys back here tomorrow.