SpaceX's Cursor Deal Triggers $620B Slump as Dilution Hits Valuation

SpaceX’s stock reversed gains after revealing a $60 billion all-stock acquisition of Cursor, diluting existing shares by about 3.4% and wiping roughly $620 billion off SpaceX’s market value since Tuesday’s peak, lowering its market cap to about $2.37 trillion from roughly $2.99 trillion. Morningstar cut its fair value to $62 and cautioned on dilution, while Oppenheimer remained more bullish with a potential path to $250 per share by year‑end; Elon Musk’s net worth slipped by about $67.8 billion to around $1.2 trillion. The move follows frothy IPO demand and underlines how investors are pricing AI/tech bets into SpaceX’s lofty valuation.