Intuitive Machines Stock

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Intuitive Machines Stock

Intuitive Machines Stock Is Worth Buying

SpaceX's IPO is expected this year, and the company's valuation will likely be more than $1.75 trillion. Such a massive valuation means most of the growth will already be baked into the stock price.

So, it makes sense to go for other stock companies which are still relatively smaller than SpaceX. The benefit of investing in such companies is that there's a higher chance of outsized gains.

Intuitive Machines Has Contracts From NASA

Intuitive Machines is a space stock just like that, and is involved in the development of propulsion systems and lunar landers. These are used as last-mile transportation to deliver payloads to the moon's surface.

When compared with SpaceX, Intuitive Machines operates in a very targeted and small market. However, the Intuitive Machines is still a solid choice because of its close relation with the US government.

The company secured a $180 million contract from NASA in March. The company will have to send payloads to the moon's south pole. Overall, this will be the fifth mission of Intuitive Machines and will be a part of NASA's CLPS.

NASA's new policy is to shift some of the work towards private sector companies. Considering the sheer size of NASA and how much money it spends, it becomes clear that Intuitive Machines stands to gain a lot from this new policy.

As NASA continues to spend more on space exploration, it would mean a solid revenue stream for Intuitive Machines. Also, Intuitive Machines has an established track record of successful missions, and this makes it the preferred choice for NASA.

Even now, Intuitive Machines is a small company, which means the upside potential is huge. However, the Q4 revenue was down by 11.5% y/y. Despite this, the backlog of Intuitive Machines is still $235.9 million, and the losses are manageable.

With all things considered, Intuitive Machines is a very good option for those who want to invest in space stocks.

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