SpaceX is lowering its IPO valuation from $2 trillion to $1.8 trillion before its road show, a bad sign for investors hoping for an Elon Musk premium.

• SpaceX lost $5 billion on $4.7 billion of revenue in the first quarter, making the $2 trillion price tag hard to justify.
• The company carries $17 billion in current debt plus a $20 billion bridge loan due September 2027, so it needs the IPO to pay it back.
• Starlink internet brings in most of the revenue, while rocket launches are a small piece, and one-fifth of total revenue comes from federal agencies.
• Red flags include dual-class shares with no sunset, Musk's heavy voting control, no independent pay committee, and forced arbitration.
• Blue Origin just won the NASA moon lander contract instead of SpaceX, and Dell is up 37% after earnings by selling low-margin AI server racks that actually make money.

Outlook: The road show runs June 4 to June 11 with the IPO planned for June 12, and the price could move up or down depending on investor demand.