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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
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Sign InAmid heightened anticipation regarding Elon Musk's next strategic moves, Tesla stock continued its downward trend as market participants analyzed the financial impossibility of a rumored takeover by SpaceX. According to reports, Tesla shares declined by 0.9% to reach $391.06, while SpaceX shares slid 3.1% to $131.11. This decline reflects deep skepticism regarding SpaceX's ability to finance such a massive acquisition under current market pressures.
This pressure on Musk-linked equities comes at a sensitive time, as SpaceX is currently trading below its IPO price of $135, per market data. In a broader context, the electric vehicle sector faces valuation challenges; for instance, peer Rivian (RIVN) has seen significant volatility in recent earnings, while analysts at Morgan Stanley have suggested that SpaceX's capital structure may not support the additional debt required to take a company of Tesla's scale private.
From a technical perspective, TSLA settled at $391.06 (close July 16, 2026), trading within a daily range of $385.32 to $395.31. Meanwhile, SPCX closed at $131.11 (close July 16, 2026), near its session lows. Traders are now closely monitoring for any official corporate statements to confirm or deny these rumors, which have become the primary catalyst for recent price action.