SpaceX Can't Join the S&P 500 Before June 2027 -- and Its Losses Could Keep It Out Longer

When SpaceX (NASDAQ:SPCX) entered the Nasdaq-100 on July 7, index funds tracking that benchmark had no choice but to buy the stock -- under a month after the company's initial public offering. Some investors might be hoping the S&P 500 (SNPINDEX:^GSPC) prompts another round of that sort of buying.

S&P Dow Jones Indices, which manages the index, has already ruled out an early entry. On June 4, it opted not to fast-track huge IPOs into its flagship index, and its logic was straightforward: size by itself doesn't win an exception to the rules.

That left SpaceX, with a market value close to $2 trillion, up against the same three tests as every other candidate.

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