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On Monday, shares of Intuitive Machines Inc. (NASDAQ:LUNR) continued to navigate the aftermath of a lunar landing anomaly, trading at $7.09 after losing nearly 61% year-to-date, while Cantor Fitzgerald stood firm on its assessment of the company’s financial prospects. Analysts at Cantor Fitzgerald reiterated their Overweight rating and a $15.00 price target for the space exploration firm, which currently maintains a market capitalization of $1.07 billion. According to InvestingPro analysis, the stock’s RSI indicates oversold conditions, potentially presenting an opportunity for investors.
The reassurance from the research firm comes after Intuitive Machines revealed that its second lunar mission, IM-2, did not go as planned. On March 6, the company’s Athena lander reached the moon but ended up 250 meters away from the intended landing site at the lunar South Pole, coming to rest on its side inside a crater. This event led to a significant drop in Intuitive Machines’ stock price, which plunged approximately 70% from its previous highs, now trading well below its 52-week high of $24.95. Despite these challenges, InvestingPro data shows the company maintains a healthy current ratio of 1.77, indicating sufficient liquidity to meet short-term obligations.
Despite the mishap, Cantor Fitzgerald analysts emphasized that Intuitive Machines’ primary revenue streams are derived from space contracts such as OMES, NSN, and LTV, rather than from the launch missions themselves. They also projected that the company is poised to secure over 90% of the revenue from the IM-2 Mission.
The firm’s analysts believe that the current lower stock price presents an attractive opportunity for investors to buy into Intuitive Machines. Looking ahead, the company is planning its third lunar mission, which is scheduled for 2026. This forward-looking approach suggests confidence in the company’s long-term strategy and ability to overcome setbacks in its space endeavors.
In other recent news, Intuitive Machines reported its fourth-quarter revenue, which exceeded analyst expectations. The company posted $54.7 million in revenue for the quarter, marking a 79% increase from the same period last year. For the full year 2024, Intuitive Machines generated $228 million in revenue, nearly tripling its 2023 figures. However, the company provided 2025 revenue guidance of $250-300 million, which fell short of the analyst consensus of $342.5 million. CEO Steve Altemus highlighted the company’s strategic moves to expand technical capabilities and open new revenue streams. Intuitive Machines ended 2024 with a record backlog of $328.3 million, a 22% increase year-over-year. The company also reported a positive gross margin for the second consecutive quarter. Looking forward, Intuitive Machines anticipates achieving positive run-rate adjusted EBITDA by the end of 2025 and positive adjusted EBITDA in 2026.
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