Space stocks are having a very bad June

New shiny toy, old portfolio pain

Space stocks spent June doing the market version of a dramatic walk of shame. After a huge run-up, a bunch of the sector’s favorites gave back chunky gains as investors pivoted toward SpaceX’s blockbuster IPO and away from the rest of the orbit.

The SpaceX effect is real

The article says SpaceX priced at $135 a share and popped 19% on day one, which is the kind of debut that makes every other space stock look like it forgot to do its homework. Rocket Lab, AST SpaceMobile, Planet Labs, Intuitive Machines, Redwire, Firefly and Virgin Galactic all got dragged lower as money chased the newly listed heavyweight.

Why the selloff got so mean

This wasn’t just about one flashy IPO. Higher Treasury yields and hawkish Fed chatter are a bad combo for long-duration stories — aka companies whose big profits live somewhere in the far, far future. Add nosebleed valuations and a market that already loves AI infra more than speculative space names, and you get a sector that suddenly feels like the first thing people sell when they need cash.

Big picture

June’s reset doesn’t mean space is dead. It does mean the market is reminding everyone that even if the rocket launch looks cool, the stock can still land face-first in the dirt when the mood changes.