Shares of Tesla (NASDAQ: TSLA) fell 2% at the close as traders reacted to new concern about Elon Musk: A potential SpaceX IPO could take money and attention away from Tesla.
The stock has been the public market’s main way to buy into Elon’s larger business universe, which covers electric vehicles, energy storage, software, artificial intelligence and robotics plans. Now investors may soon have another door to this world, and here the headache begins.
The issue concerns how investors will price Tesla if SpaceX goes public. Some funds and retail buyers held Tesla in part because it was the cleanest listed bet tied to Elon.
If SpaceX lists, the same buyers may split their money. Some may want rockets, satellites and space systems instead of cars, batteries and robotaxis. This could impact Tesla’s trading volume, fund flows, analyst models, and the story Wall Street uses to value TSLA.
Investors are wondering if SpaceX will take money from Tesla
If SpaceX launches an IPO, Tesla’s calculations will change, as the stock will no longer be considered Musk’s only stock on the market. This is important for a stock that tends to trade not only on the performance of its auto business but also on expectations for Tesla as a leader in electric cars, full self-driving, robotaxis, humanoid robots, energy storage, and Elon’s ability to make difficult technologies profitable.
If SpaceX goes public, investors will have another of Musk’s projects to consider, which means there’s a key question to answer: How much Elon Musk-related risk does your portfolio need to take?
For current Tesla shareholders, there is another issue to consider. SpaceX launching at a high valuation may result in some capital flowing into the new listing rather than existing stock. Additionally, funds may reassess the level of exposure to the same person across two industries, and that could impact the way Tesla is analyzed, especially if experts begin to differentiate between Musk’s premium and actual performance.
Another factor is interest. Tesla already has a lot to do with full self-driving, robotaxis, humanoid robots, manufacturing electric cars, battery storage, and selling energy products. In addition, SpaceX also has ambitious plans. Hence, the question is whether Elon will be able to successfully run both companies after SpaceX goes public.
It is also possible that there will be some crossover between the two companies, as they could collaborate in areas such as satellite internet, self-driving technology, energy storage, and software.
BYD is adding pressure as Tesla faces a tougher market for electric vehicles
The second major issue for Tesla to consider is BYD (HKEX: 1211, OTCMKTS: BYDDY). The Chinese manufacturer shipped 135,098 vehicles in April 2026. All units exported by BYD were either battery-powered cars or hybrids.
This is important because analysts estimate Tesla’s monthly delivery rate at around 119,000 cars based on Q1 2026 numbers. Since Tesla does not provide such numbers itself, analysts base the monthly rate on quarterly performance. In practice, Tesla’s monthly delivery rate in April 2026 would probably have been lower, given that the company tends to push deliveries to the end of each quarter.
Despite all the tariffs and political opposition, BYD still has difficulties selling its cars in the American market. However, the company is actively developing other markets, and its export figures for April 2026 show that it is enjoying great success outside China.
BYD’s export numbers were higher than the 135,098 cars mentioned above – BYD delivered a total of 314,100 passenger cars globally in April 2026. Of these units, 179,000 were sold in China, while the rest were exported. Domestic sales are important because China is the world’s largest auto market and one of the most competitive in terms of electric vehicle sales.
For Tesla, this means competition is not limited to US demand and price cuts. The company now faces a competitor that offers not only battery electric cars, but also hybrid cars on an industrial scale.
Don’t just read cryptocurrency news. Understand that. Subscribe to our newsletter. It’s free.
