SpaceX Extends Business to the Moon

SpaceX, the renowned space company, is making its way to the moon, causing a significant rise in the stock of another space start-up, Intuitive Machines (ticker: LUNR).

Late on Friday evening, Intuitive Machines unveiled plans for a lunar mission scheduled for January 2024, where SpaceX will assume the role of launch service provider.

Intuitive Machines primarily focuses on lunar exploration, manufacturing lunar landers and propulsion systems. Additionally, the company offers lunar network services to NASA and operates an orbital-services division that specializes in satellite refueling and space debris removal in Earth's orbit.

This upcoming mission will mark Intuitive Machines' inaugural attempt at landing on the moon under NASA's Commercial Lunar Payload Services initiative, which forms part of the broader Artemis lunar-exploration program.

Commenting on the development, CEO Steve Altemus stated in a news release, "We are excited about our forthcoming launch as Intuitive Machines completed its lunar lander in September. We recognize that lunar missions come with inherent challenges, and schedule changes and mission adjustments are an organic part of venturing into uncharted lunar exploration territories. Gaining the required approvals and securing a launch window is a remarkable achievement."

Stay tuned as SpaceX pioneers further advancements and expands its presence in the realm of lunar exploration.

Intuitive Stock Surges in Premarket Trading

Intuitive stock experienced a notable surge in premarket trading on Monday. The stock was up by 6% and valued at $2.83 per share. This positive momentum comes as both the S&P 500 and Nasdaq Composite futures also saw gains, with increases of 0.6% and 0.7% respectively.

A Bumpy Ride for Intuitive Stock Investors

Investors in Intuitive stock have witnessed a rollercoaster ride. The stock initially traded at around $10 when the company merged with a special-purpose acquisition company and went public in early February. Its value soared to an impressive $136 on February 22nd. However, the stock steadily declined over the following months, dropping to approximately $8 by August. This decline was triggered by Intuitive's release of second-quarter numbers, which led to the withdrawal of their full-year guidance due to delays in contracting.

Earnings Expectations and Market Performance

Prior to the release of the second-quarter numbers, Intuitive Machines had anticipated 2023 revenue to range from $174 million to $268 million, with an expected gross margin of approximately 5% to 18%. However, the stock's performance has been less than stellar. Currently, shares are trading at $2.67, resulting in a market capitalization of approximately $300 million. This is a significant decrease from its peak value of nearly $15 billion.

Looking Ahead: Potential Update on Future Projections

During the SPAC merger, Intuitive had projected 2024 sales of around $759 million. Investors are eagerly anticipating an update on the company's outlook for both 2023 and 2024 when the third-quarter numbers are reported on November 13th.

It will be interesting to see how these developments shape the future of Intuitive stock.