3 Space Stocks That Could Outshine SpaceX After Its IPO

Summary

It’s been about one month since SpaceX's NASDAQ: SPCX initial public offering (IPO), and the stock is down approximately 11% from its first trade on June 12. But cynics shouldn’t take a victory lap quite yet. Some of the pullback is due to a simple, mechanical reason. There are a massive number of shares outstanding that haven’t been soaked up by institutional investors. Plus, IPOs have a track record of “underperforming” after their debut.Get Rocket Lab alerts:Sign Up Taking a step back, this isn’t a repudiation of the overall space thesis. As of July 14, SpaceX's market cap is $1.85 trillion. That’s down from the $2.1 trillion market cap at its debut, but it’s a strong signal that investors expect future growth in this sector. A better explanation for the SPCX pullback may be that some of the capital and attention that had moved away from smaller space companies is returning. Many of these companies are working with SpaceX and rely on multi-year government and telecommunications contracts. For investors looking for opportunities outside SPCX, here are three names to consider, along with the key objective each company aims to achieve. Rocket Lab: More Than Just Rocket LaunchesRocket Lab NASDAQ: RKLB investors are quick to note that the company’s business model relies on more than rocket launches. That shows up in the company’s topline, where Space Services is now the company’s largest revenue contributor. This high-margin business will be good for the company’s bottom line and got a boost from its $8 billion acquisition of Iridium Communications. Rocket Lab Today$79.29 +2.56 (+3.34%) As of 01:19 PM Eastern This is a fair market value price provided by Massive. Learn more.52-Week Range$37.57▼$151.00Price Target$111.88 However, as of the company’s Q1 2026 earnings report, Rocket Lab is not profitable on a GAAP or non-GAAP basis. That’s a key reason RKLB is down approximately 21% over the 30 days ending July 13, despite being added to the NASDAQ-100 index. The company...