SpaceX received a "junk" ESG rating: CCC from MSCI — on par with Russia.
Elon Musk's aerospace giant, SpaceX, has received a CCC rating from the MSCI agency on the ESG scale. This is the lowest possible score in this system. Notably, MSCI assigned the same rating to Russia following the events of 2022.
According to the agency, on the ESG (Environmental, Social, and Governance risks) scale, the company scored only 3.2 points out of a possible 10. This indicates extremely weak measures for controlling these risks and insufficient transparency. MSCI emphasizes that companies with a CCC rating "have extremely weak governance measures" and are often either already involved in major scandals or in a high-risk zone.
Historic Stock Market Debut and Sharp Correction
The rating was assigned a day before SpaceX's historic entry into the stock market. The company conducted the largest IPO in market history, raising $75 billion. Shares (ticker SPCX) debuted on Nasdaq at $135 but surged to over $225 at the open. However, by Thursday, the quotes corrected by 18% to $184.98, leading to a drop in market capitalization from $3 trillion to $2.37 trillion. Over two days, the company lost about $620 billion.
Crypto Speculators on the "Bear" Side
Interestingly, amid this decline, cryptocurrency platforms such as Hyperliquid are seeing a significant influx of short positions against SpaceX stock. Major investors and "whales" hold a net short position of $45 million, betting on further decline in the company's value.
My Expert Opinion: The parallel with Russia's rating is a powerful signal for institutional investors. In an era when ESG factors are becoming key for decision-making, such a "junk" rating could seriously limit capital inflow into SpaceX, especially from large pension and sovereign funds that are required to follow sustainable development principles. However, as history shows, Elon Musk has repeatedly ignored traditional market rules. The question is whether the market is ready to forgive the company this level of risk for the sake of ambitious space projects.