SpaceX received a "junk" ESG rating from MSCI: the company was placed on the same level as Russia
MSCI assigned SpaceX a CCC rating on its ESG scale—the lowest possible score, reflecting how the company manages environmental, social, and governance risks. The decision was published just ahead of the company's historic stock exchange debut, during which it managed to raise $75 billion.
With a CCC rating, SpaceX landed on the same bottom tier where MSCI previously placed Russia after the events of 2022. In governance metrics, Elon Musk's company scored only 3.2 out of a possible 10 points. The agency directly points to high ESG risks and extremely insufficient measures to control them.
What lies behind the minimum ESG rating
MSCI ESG Research evaluates parameters in environmental, social, and corporate governance areas that could affect a company's financial performance. The rating determination considers risks, management system effectiveness, transparency, and, where applicable, the company's ability to offer products and services that positively impact society or the environment.
The rating scale ranges from AAA to CCC. SpaceX is currently at the lowest level. MSCI's definition states: "Companies rated CCC receive the lowest ESG rating. Compared to global competitors, they have extremely weak management measures given the aggregate ESG risks and opportunities. Additionally, an organization with this rating typically has already experienced major scandals or has recently been involved in them."
In terms of ESG scandals, SpaceX scored 1 out of 10 points and received an "orange flag." In MSCI's system, any company starts with a maximum of 10 points, after which points are deducted for each claim.
Historic stock exchange debut with sharp correction
After listing on the U.S. stock exchange, SpaceX shares soared: the IPO was priced at $135, giving the company a valuation of $75 billion. Thus, June 12 marked the largest debut in market history, surpassing Saudi Aramco's record in 2019.
After SPCX shares hit Nasdaq, prices surged sharply but then quickly corrected. On Thursday, shares closed at $184.98—18% below the relative high (above $225) recorded on Tuesday.
Over two days, the company's value fell by approximately $620 billion. Its market capitalization dropped from $3 trillion to $2.37 trillion.
Skepticism grew even more in crypto markets. On the Hyperliquid platform, large investors and "whales" hold a net short position of $45 million against SpaceX's growth.
My professional commentary: Paradoxically, while SpaceX achieves technological breakthroughs, its corporate governance and environmental performance raise serious questions among ESG-focused investors. For the crypto community, this is a signal: even the most innovative companies may not meet modern sustainability standards, creating risks for the long-term growth of their shares.