Intuitive Machines Stock Skyrockets 50% After a Big NASA Contract

Key Takeaways

• Intuitive Machines announced it has received a contract worth up to $4.82 billion from NASA to provide communication and navigation services in the near space region.
• A key part of the agreement is for the company to deploy a constellation of lunar relay satellites to support NASA Artemis moon exploration program.
• The news sent shares of Intuitive Machines up more than 50%, and they've gained more than 200% so far this year.

Shares of Intuitive Machines (LUNR) blasted off more than 50% Wednesday, a day after the space travel support firm received a contract worth up to $4.82 billion from the National Aeronautics and Space Administration (NASA). 

The company announced the agreement will have Intuitive Machines provide "communication and navigation services for missions in the near space region, which extends from Earth's surface to beyond the Moon."  The deal includes the deployment of lunar relay satellites for NASA's planned Artemis moon exploration program, which the company believes "is a strategic element in its vision to commercialize lunar activities."

Intuitive Machines explained that the agreement is for five years with an option for an additional five years.

Intuitive Machines CEO Calls Deal 'Inflection Point'

Chief Executive Officer (CEO) Steve Altemus called the contract "an inflection point in Intuitive Machines' leadership in space communications and navigation," and that the company is pleased to support "endeavors to expand the lunar economy."

Intuitive Machines shares surged 51% to $8.16 in early afternoon trading Wednesday and have skyrocketed more than 200% this year. They reached a peak of $13.25 on Feb. 21, soon after the company reported its IM-1 mission Nova-C class lunar lander had successfully launched on SpaceX’s Falcon 9 rocket.

UPDATE—This story has been updated with the latest share price information.

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