Despite its challenges, Intuitive Machines’ Odysseus moon lander is raising the profile of the space sector among investors, according to Benchmark analyst Josh Sullivan.
Odysseus made history last week when it became the first commercial lander to successfully reach the moon. Since then, the mission has run into its share of hurdles — it emerged that Odysseus had fallen on its side during landing, and the mission is now being cut short.
“Space is captivating, yet [as] the saying goes, space is hard,” Sullivan told MarketWatch via email. “The entire space industry is experiencing a renaissance given strategic national interests as well as commercial enabling technologies.”
Related: Intuitive Machines cuts Odysseus moon mission short and stock continues to slide
In particular, Sullivan pointed to NASA’s Artemis program to return U.S. astronauts to the moon, and to the space agency’s Commercial Lunar Payload Services initiative to deliver science and technology to the moon’s surface. “Over the next several years, between the Artemis program, CLPS, [International Space Station] replacement and geopolitics, space will be of increasing investor focus,” he said.
“In our opinion, [Intuitive Machines’] IM-1 mission absolutely is a catalyst for reigniting investor interest,” Sullivan added. “Look at the level of global media coverage, retail investor interest and industry accolades.”
Benchmark has a buy rating for Intuitive Machines
LUNR,
Intuitive Machines shares have risen 114.2% in the last three months, outpacing the S&P 500 index’s
SPX
gain of 11.5% over the same period. The stock ended Friday’s session up 15.8%, lifted by the moon landing, but was down 34.1%on Monday, putting it on pace for its largest percentage decrease since Feb. 23, 2023, when it fell 75.24%, Dow Jones Market Data show.
Related: Intuitive Machines’ stock sinks 32% after Odysseus moon lander falls on its side
“Given the known challenges, some degradation of the mission profile should be expected,” Sullivan told MarketWatch. “NASA created the CLPS program full well appreciating that there would be triumphs and challenges, and that no one challenge would derail the return to the moon.”
Intuitive Machines’ Nova-C landers, each of which has slight vehicle modifications, are scheduled for three missions to the moon, according to the company. The company’s IM-2 mission is expected to happen later this year, reaching a point closer to the moon’s south pole than the IM-1 mission did.
“Focusing on any of the imperfections of the IM-1 mission is missing the forest for the tress — or the moon for the craters,” Sullivan said. “[Intuitive Machines] will be sending IM-2 later this year back to the moon with larger payloads and lessons learned. And we expect investor [and] public interest in space to increase with each high-profile mission.”