Space Exploration Technologies Corp. Class A Common StockSpaceX stock fell after MSCI gave it the lowest ESG rating, a financial/valuation event affecting investor sentiment.
SpaceX stock fell as much as 5.73% in premarket trading Monday after MSCI assigned the company its lowest possible ESG rating, a CCC. The rating, issued on June 11, included a controversies score of 1 out of 10 and a governance score of 3.2 out of 10, placing SpaceX in the same ESG tier as Russia since its 2022 invasion of Ukraine. CEO Elon Musk responded on X with a one-line rebuttal, saying "Unfortunately, electric rockets are impossible," dismissing the rating's focus on emissions-heavy sectors. The decline extended a losing streak from last week, when shares dropped 5% on Wednesday and 3.6% on Thursday, though the stock remained about 37% above its $135 IPO price as of Thursday's close. The rating and stock move come as SpaceX is reportedly weighing a $20 billion bond sale to fund its AI and space operations.
Space Exploration Technologies Corp. Class A Common StockSpaceX stock fell after MSCI gave it the lowest ESG rating, a financial/valuation event affecting investor sentiment.
MSCI IncMSCI assigned SpaceX its lowest ESG rating, which is a regulatory/ESG assessment that negatively impacts MSCI's reputation and perceived objectivity.