In this article, we will look at the 7 Best Space Technology Stocks to Buy Now.
Space-based AI data centers, once deemed fiction, are gaining real-world credibility following SpaceX’s historic IPO, which pushed Elon Musk’s net worth into trillionaire territory. Recently, on June 21, CNBC released a research report noting that the concept of space AI data centers is based on SpaceX’s reusable Falcon rockets, xAI’s compute needs, and Starlink’s satellite technology. Moreover, the recent IPO gives SpaceX the required capital to build this infrastructure.
Many analysts are calling this essential for the company’s valuation. Duncan Davidson of Bullpen Capital told CNBC that space data centers are a big and long-term play. He also cautioned that the economics of this idea still remain marginally low.
The report noted that the case rests on diverging cost trends as launch costs are expected to fall and terrestrial data centers face rising costs from power constraints and political pushback. The IPO of SpaceX has heated up the competition in the Space technology industry as Amazon’s Jeff Bezos is pursuing similar goals through Blue Origin, though he’s more skeptical of short timelines. Moreover, Google is testing solar-powered satellite data centers via Project Suncatcher. Startups like Starcloud, Rocket Lab, and Cowboy Space are also developing hardware and testing components in orbit.
With that, let’s take a look at the 7 Best Space Technology Stocks to Buy Now.
Our Methodology
To curate the list of the 7 Best Space Technology Stocks to Buy Now, we used various rankings from reputable financial media, ETFs, and screeners to aggregate a list of space technology stocks. Next, after sorting the list by market cap and upside potential, we ranked the list in ascending order of the number of hedge fund holders, sourced from Insider Monkey’s hedge fund database.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
7 Best Space Technology Stocks to Buy Now
7. Intuitive Machines, Inc. (NASDAQ:LUNR)
Upside Potential: 124.99%
Number of Hedge Fund Holders: 30
Intuitive Machines, Inc. (NASDAQ:LUNR) is one of the Best Space Technology Stocks to Buy Now. Intuitive Machines, Inc. (NASDAQ:LUNR) has fallen roughly 40% over the past month, mainly due to profit-taking after the stock reached an all-time high on May 29. Wall Street remains bullish on the stock, with analysts’ 12-month price target reflecting more than 124% upside from the current level.
Recently, on July 1, Craig-Hallum maintained a Buy rating on the stock with a price target of $42. The firm highlighted NASA’s press conference announcing lunar lander contract awards. During the press conference, Intuitive Machines was awarded $148 million, Firefly Aerospace was awarded $144 million, and Astrobotic got $298 million in contract awards. The firm calls Intuitive Machines and Firefly awards roughly in line with expectations, while Astrobotic’s award came in higher than anticipated.
Craig-Hallum also praised new NASA administrator Isaacman’s approach, citing a steady cadence of well-considered awards, more efficient use of resources, and a strategy focused on partnering with commercial space players.
Moreover, earlier on June 24, Analyst Mike Crawford from B. Riley maintained a Buy rating on the stock with a price target of $45. The analyst noted the recent stock weakness as a buying opportunity and noted that the company is making progress building an end-to-end space and lunar infrastructure stack, backed by a $1.1 billion order backlog. The firm also noted multiple near-term catalysts that could meaningfully grow this backlog and argued the sell-off created an attractive entry point.
Intuitive Machines, Inc. (NASDAQ:LUNR) is a space exploration, infrastructure, and services company. It contributes to the establishment of cislunar infrastructure and helps develop cislunar and deep-space commerce.
6. Rocket Lab Corporation (NASDAQ:RKLB)
Upside Potential: 36.72%
Number of Hedge Fund Holders: 43
Rocket Lab Corporation (NASDAQ:RKLB) is one of the Best Space Technology Stocks to Buy Now. Recently, on July 7, Rocket Lab Corporation (NASDAQ:RKLB) announced full mission success on the US Space Force’s VICTUS HAZE mission, which is a Tactically Responsive Space demonstration.
Management noted that they were able to design, build, and launch a Pioneer spacecraft on Electron within 24 hours’ notice. Later, the team commissioned it and conducted rendezvous and proximity operations to track and photograph a target satellite. All of this was done faster than Space Force’s deadlines.
Notably, the launch occurred just 16 hours and 42 minutes after notice, marking a TacRS record. Moreover, commissioning finished in 38 hours, and RPO operations wrapped in under 59 hours compared to the 84-hour deadline.
That said, earlier on June 30, Bank of America Securities raised the price target from $105 to $115, while maintaining a Buy rating on the shares. The rating came after Rocket Lab Corporation (NASDAQ:RKLB) announced its plan to acquire Iridium Communications. The firm sees this move as a favorable entry into key commercial, government, and defense services markets, suggesting it will strengthen the company’s positioning across multiple high-value customer segments.
Rocket Lab Corporation (NASDAQ:RKLB) is a global leader in launch services and space systems with an established record of delivery success. The company designs and manufactures spacecraft and related components, rockets, and on-orbit management solutions required for the space economy.
5. Planet Labs PBC (NYSE:PL)
Upside Potential: 37.72%
Number of Hedge Fund Holders: 43
Planet Labs PBC (NYSE:PL) is one of the Best Space Technology Stocks to Buy Now. Planet Labs PBC (NYSE:PL) has declined around 12% over the past month. However, the Street remains bullish on the stock, with analysts’ 12-month price target suggesting more than 37% upside.
Recently, on July 1, Wedbush initiated coverage of the stock with a Buy rating and a $50 price target. The firm noted that the company is strategically placed at the intersection of two major forces. Firstly, Wedbush noted that nations are increasingly seeking sovereign access to space, and secondly, AI is unlocking value from data.
The firm noted that Planet Labs scans the entire Earth daily and that no competitor can replicate this dataset. Wedbush believes the company to be an indispensable data layer that sits at the intersection of space and AI. Moreover, the firm also believes the stock to be undervalued at current levels, making it an attractive buying opportunity.
Notably, management has also raised its fiscal 2027 revenue guidance to a range of $425 million to $441 million and expects to achieve positive annual free cash flow.
Planet Labs PBC (NYSE:PL) offers Pelican, SuperDove, SkySat, and Tanager satellites for daily Earth imaging, high-resolution monitoring, and hyperspectral imaging. It also provides satellite services arrangements such as manufacturing, launch procurement, ground station infrastructure, and maintenance. It serves energy, forestry, agriculture, mapping, insurance, finance, and government sectors.
4. Leidos Holdings, Inc. (NYSE:LDOS)
Upside Potential: 53.15%
Number of Hedge Fund Holders: 44
Leidos Holdings, Inc. (NYSE:LDOS) is one of the Best Space Technology Stocks to Buy Now. Recently, on July 1, Jefferies lowered the price target on Leidos Holdings, Inc. (NYSE:LDOS) from $140 to $110, while maintaining a Hold rating on the shares. On the same day, Citi also lowered the price target on the stock from $178 to $138 and maintained a Buy rating.
Jefferies noted that the reduced price target is based on the expectation that the fiscal Q2 2026 earnings will mark the low point for the year. The firm expects flat organic revenue growth due to a 3% decline in the Health unit. For the full year, the firm expects 3% organic growth for the company.
On the other hand, Citi’s rating came as part of a broader update to estimates and price targets across the aerospace and defense sector ahead of Q2 earnings. Citi expects aerospace companies to post “big beats” with moderate guidance raises this quarter. The firm noted that defense names are less likely to post big beats. Moreover, Citi sees more room for share price upside in defense names, given the group’s compressed valuation multiples.
Leidos Holdings Inc. (NYSE:LDOS), along with its subsidiaries, offers services and solutions for government and commercial customers in the U.S. The company operates through segments including National Security & Digital, Health & Civil, Commercial & International, and Defense Systems.
3. L3Harris Technologies, Inc. (NYSE:LHX)
Upside Potential: 28.46%
Number of Hedge Fund Holders: 59
L3Harris Technologies, Inc. (NYSE:LHX) is one of the Best Space Technology Stocks to Buy Now. Recently, on July 1, L3Harris Technologies, Inc. (NYSE:LHX) announced receiving an FAA contract to upgrade and operate the nation’s aircraft tracking network through 2045.
Management noted that under this contract, the company will modernize more than 700 ground stations. These stations provide real-time, satellite-based flight positioning data to air traffic controllers nationwide. Moreover, the company will also deploy advanced cybersecurity to protect airspace data and expand surveillance to track new types of aircraft entering the National Airspace System.
Management also highlighted that the company already runs the world’s largest terrestrial air traffic surveillance network. The company also integrates thousands of data sources for hundreds of FAA and government facilities.
That said, the Street remains bullish on the stock, with analysts’ 12-month price target suggesting more than 28.4% upside from the current level.
2. Lockheed Martin Corporation (NYSE:LMT)
Upside Potential: 12.45%
Number of Hedge Fund Holders: 83
Lockheed Martin Corporation (NYSE:LMT) is one of the Best Space Technology Stocks to Buy Now. Recently, on July 7, Lockheed Martin Corporation (NYSE:LMT) announced signing a memorandum of understanding at the NATO Summit Defense Industry Forum. The MoU is to address Europe’s demand for locally produced munitions.
Management noted that the MoU is backed by the US and German governments and is a step towards a joint venture. The goal is to set up Europe’s first center for manufacturing, integrating, and distributing ATACMS missiles across NATO forces.
As per the terms, production is expected to be based at Rheinmetall’s Unterluess site in Germany. Moreover, this would be the first ATACMS production facility outside the US. Rocket motor and guided missile component production is targeted to begin as early as 2027.
Executives from both companies framed the deal as combining Lockheed’s missile expertise with Rheinmetall’s manufacturing strength. Moreover, the company will continue operating its existing ATACMS line in Camden, Arkansas, until the transition is complete, driven by a strong global demand for the missile system.
Lockheed Martin Corporation (NYSE:LMT) is one of the world’s largest defense contractors. It specializes in the research, design, and development of advanced technology systems, products, and services.
1. Space Exploration Technologies Corp. (NASDAQ:SPCX)
Upside Potential: 18.44%
Number of Hedge Fund Holders: NA
Space Exploration Technologies Corp. (NASDAQ:SPCX) is one of the Best Space Technology Stocks to Buy Now. Wall Street has a positive opinion about Space Exploration Technologies Corp. (NASDAQ:SPCX). Recently, on July 7, Deutsche Bank initiated coverage of the stock with a Buy rating and a $225 price target. On the same day, Cantor Fitzgerald also initiated coverage of the stock with a $246 price target.
Deutsche Bank noted that the bullish rating is based on the fact that SpaceX has done what the government couldn’t do for decades, that is, they have made large rockets that are reliable, reusable, and becoming affordable. The firm also highlighted the company’s Starlink as an agile and resilient network that is serving consumers, enterprises, and governments. The firm sees a clear SpaceX advantage in AI. It points to AI infrastructure deployment on the ground and eventually in orbit.
Similarly, Cantor Fitzgerald sees Space Exploration Technologies Corp. (NASDAQ:SPCX) as a uniquely positioned planetary infrastructure company. The firm highlighted the company’s vertically integrated capabilities across launch, satellite connectivity, AI compute, and platform distribution. Moreover, Cantor also noted that this business model differs from traditional tech companies. It may compound value in ways that conventional valuation frameworks don’t fully capture.
Space Exploration Technologies Corp. primarily provides satellite-based broadband services. However, its businesses also span rocket launch services, satellite internet and connectivity, artificial intelligence (AI), and cloud computing.
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