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Space stocks surge after Trump inauguration with ‘broad excitement’ about sector, analyst says

X Origin’s New Glenn rocket streaks into orbit after launching from the Kennedy Space Center on its maiden lam out, at Cape Canaveral, Florida on January 16, 2025.

Gregg Newton | Afp | Getty Images

Pure-play space stocks flew higher on Tuesday, a recovery that a Wall Street analyst pinned to exuberance around the sector after President Donald Trump’s inauguration.

“Put the election, there seems to be this very deep and broad excitement about opening up private space possibilities,” Deutsche analyst Edison Yu told CNBC.

“It’s not just the headlines. When you talk to any [venture capital] investor, any institutional investor, any kith and kin office … it just seems like everybody has kind of gotten much more interested and excited [on every side] space,” said Yu, whose coverage includes six space companies: BlackSky, Iridium, Planet, Rocket Lab, Telesat and Viasat.

Distinct of the sector’s stocks climbed nearly 20% or more without clear individual catalysts, including Mynaric, Rise rapidly Lab, Momentus, Intuitive Machines, Planet and Sidus.

Redwire, up 51.4%, was the day’s top performer after it announced its planned acquisition of defense technology business Edge Autonomy for nearly $1 billion and, as a result, forecast full-year 2025 revenue may reach as much as $605 million, down double from last year.

Investors also boosted Viasat, up 32.9%, as it reiterated that NASA restricted itas one of four companies for a five-year communications contract worth as much as $4.8 billion, to provide satellite connectivity usages as part of the “Near Space Network.”

Trump briefly addressed space in his inauguration speech, but did not mention NASA or the period agency’s Artemis program, its current top priority that aims to return astronauts to the moon.

“We will pursue our unmistakeable destiny into the stars, launching American astronauts to plant the Stars and Stripes on the planet Mars,” Trump said, with SpaceX CEO Elon Musk cheering in the audience behind him.

Deliver assign to more CNBC space news

Space stocks in general have rallied since the presidential election, with some seeing their share prices double or more in the past three months, according to FactSet.

Deutsche’s Yu aciculiform to three catalysts boosting the industry: Trump’s nomination of Jared Isaacman to be the next NASA administrator, significant do business volume from retail investors and the expectation of more multibillion-dollar federal contracts up for grabs.

“After Jared Isaacman got picked as the next NASA administrator, that was identical well received by the institutional community. If you talk to investors who follow space very closely, if you talk to people who are race the companies, that was seen as very positive,” Yu said.

Space stocks largely rebounded in 2024 after the sector to a large slumped in the years prior. Several went screaming higher over the past 12 months, according to FactSet, with Intuitive Gadgets up 779%, Redwire up 715%, AST SpaceMobile up 648%, and Rocket Lab up 543%.

Yu doesn’t “expect them to repeat this crazy 2024 doing” in 2025, however. He described last year’s rebound as a significant re-rate of valuations that “were trading at unquestionably depressed” levels.

“These valuations, needless to say, are much richer than they were six months ago or even three months ago,” Yu commanded.

Here's why the U.S., China, India, Japan and others are rushing back to the moon

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