A dramatic shot of a SpaceX rocket launch against a colorful dusk sky, depicting power and technology.

An IPO — short for Initial Public Offering — is the process through which a private company begins selling shares on the stock market for the first time, allowing public investors to buy ownership stakes in the business.

The topic has returned to global attention after growing speculation that a future SpaceX IPO could help Elon Musk become the world’s first trillionaire. In simple terms, an IPO transforms a privately held company into…