New York, May 29, 2026, 07:02 EDT
- Space stocks got volatile as AST SpaceMobile, Intuitive Machines, and Redwire all touched fresh 52-week highs Thursday.
- Blue Origin’s New Glenn rocket blew up in a hot-fire test, putting launch risk for the industry back in the spotlight.
- SpaceX is said to be aiming for an IPO valuation of at least $1.8 trillion, lower than the earlier figure of over $2 trillion that was talked about.
AST SpaceMobile and other space stocks dropped early Friday, after Blue Origin’s New Glenn rocket blew up on a Florida launchpad. The move halted a rally that had pushed some smaller names to new 52-week highs just a day before.
Investors are piling into public space stocks before SpaceX’s expected IPO, a debut that could set records. The trade has lifted names like AST SpaceMobile, Rocket Lab, Redwire and Intuitive Machines. Many of these firms still need frequent launches, government deals and big spending to keep moving.
Blue Origin said it had an “anomaly” during a recent hot-fire test, where rocket engines are fired while the booster is held down. Reuters said the uncrewed New Glenn rocket exploded around 2100 ET on Thursday while getting ready for what would have been its fourth launch. That flight was supposed to carry 48 Amazon Leo broadband satellites, according to a Reuters source, but the satellites were not loaded. Reuters
“Very rough day, but we’ll rebuild whatever needs rebuilding and get back to flying. It’s worth it,” Jeff Bezos posted on X, as reported by Reuters, saying the cause is still unknown. NASA Administrator Jared Isaacman said the agency will support the investigation and called heavy-lift rocket work “extraordinarily difficult.” Reuters
AST SpaceMobile is still working through a Blue Origin problem. Back in April, it said the BlueBird 7 satellite ended up in a lower orbit than planned after New Glenn’s upper stage didn’t perform as expected. The satellite will de-orbit, and insurance should cover it, the company said.
AST is telling investors to look ahead to the next phase. On May 11, AST said BlueBird 8, BlueBird 9 and BlueBird 10 should launch around mid-June on a SpaceX Falcon 9. CEO Abel Avellan told investors the goal is to have about 45 satellites in orbit sometime during 2026.
AST pitches its offering as space-based cellular broadband, with a network designed to link regular smartphones to satellites. The company says it now has about 60 mobile operator partners, who together cover over 3 billion users. It reported hitting peak data speeds of 98.9 Mbps with an in-orbit Block 1 satellite. Revenue guidance for 2026 is still $150 million to $200 million.
Stocks shot up Thursday before turning around. According to Stocktwits, AST SpaceMobile touched a 52-week high of $133.80, Intuitive Machines traded as high as $46.70, and Redwire got to $26.60. On the day, Intuitive Machines gained 13%, Redwire added almost 8%, and AST was up nearly 3%.
SpaceX has cut its IPO valuation target to at least $1.8 trillion, The Business Times said Friday, citing Bloomberg. That’s lower than earlier reports pointing to more than $2 trillion. The rocket company is still looking to raise as much as $75 billion.
SpaceX was targeting a $1.75 trillion valuation and looking at a possible June listing, with Morgan Stanley, Bank of America, Citigroup, JPMorgan, and Goldman Sachs leading the book. That’s according to an earlier Reuters report. The filing detailed $18.7 billion in 2025 revenue and a $4.94 billion loss, The Business Times said.
Some investors say AST is a simpler public way to get into direct-to-phone satellite plays, without paying up for SpaceX’s higher valuation. On Thursday, Seeking Alpha writer James Foord called AST’s “space market exposure” better than SpaceX, highlighting its direct-to-smartphone network, partners and $3.5 billion in cash. Foord said he holds a long position in AST. Seeking Alpha
The trade is up against the clock. University of Florida professor Jay Ritter told Reuters that firms with high price-to-sales ratios might have good narratives, “but, you know, stuff could go wrong.” AST’s own filings flag risks around launch timing, regulation, demand and competition. Reuters
AST President Scott Wisniewski sold 25,904 Class A shares at a weighted average of $126.64 on May 27, according to a new regulatory filing. He now holds 745,973 shares. That’s from a Form 4 disclosed with the U.S. Securities and Exchange Commission.
