SpaceX IPO is massively oversubscribed — ride the hype into satellite and space
Thesis
A mega-IPO like SpaceX generates immense media attention and draws fresh retail capital into the market. Even though SpaceX is fully allocated, retail investors who want a piece of the space and AI action will immediately buy the closest available alternatives. Space suppliers and infrastructure companies offer backdoor exposure to this secular trend. This spillover demand will likely drive up share prices of established defense and space contractors in the days surrounding the IPO.
Strategy approach
Build an event-driven momentum strategy on LUNR, RKLB, and BA on the Daily timeframe. Enter a long position if the stock closes up more than 3% on volume 150% higher than the 20-day average in the 3 days surrounding a major space IPO event. Exit after a 7-day hold or use a 5% trailing stop.