Why LUNR Stock Is a Moonshot Bet on the Future of Space Exploration

Stocks to buy

Ready to shoot for the stars and try out an exciting space-race stock? Check out Intuitive Machines (NASDAQ:LUNR), a relatively small company that could become a household name someday. LUNR stock is high-risk but could take flight this year, so now is the time to consider a moderately sized share position.

Intuitive Machines is based in Texas and specializes in space-exploration infrastructure. Furthermore, the company supports human and robotic exploration in space, potentially including landing on the Moon and Mars.

Space exploration companies involve risks due to the possibility of equipment and mission failure. Therefore, don’t go overboard buying shares of Intuitive Machines. Instead, feel free to explore Intuitive Machines and, if you’re ready, consider a moderately sized stock allocation today.

What’s Happening With LUNR Stock?

After enacting a business combination with special purpose acquisition company (SPAC) Inflection Point Acquisition Corp, Intuitive Machines became available for trading at around $10 per share. Then, LUNR stock catapulted above $100 before retracing back to $12 and change.

Clearly, there’s risk involved if you’re planning to invest in Intuitive Machines. However, there may be a share-price recovery in store, based on the demand for space exploration infrastructure.

Some of that demand could actually come from the U.S. government. As Canaccord Genuity analyst Austin Moeller explains, Intuitive Machines “seeks to capitalize on NASA’s rapid commercialization of its own space exploration operations.”

Furthermore, Moeller observed that NASA has already spent over $35.2 billion on the Artemis program. In addition to that, NASA anticipates spending around $50.5 billion through the space exploration agency’s fiscal year 2025.

Intuitive Machines Successfully Tests Its Lunar-Landing Equipment

Along with a “buy” rating, Moeller assigned an ambitious $35 price target to LUNR stock. Could this be too optimistic? Perhaps not, as Intuitive Machines is already demonstrating progress in advancing its space infrastructure technology.

In a recent press release, Intuitive Machines announced that its lunar lander, known as Nova-C, “has completed all structural testing, paving the way for the Company’s first mission to the Moon later this year.”

This is, of course, a milestone moment for Intuitive Machines. Now that the structural testing for Nova-C has been achieved, Intuitive Machines CEO Steve Altemus anticipates that a launch will take place “later this year.” The successful testing of Nova-C was a necessary step toward this objective, as it “ensures the payloads and spacecraft subsystems can withstand the vibrations of launch.”

LUNR Stock Is a Worthy Moonshot Bet

Intuitive Machines has already demonstrated some progress, but the rest of the story has yet to unfold. Will the company succeed in its upcoming first moon mission?

You’ll just have to stay tuned and, if you’re invested, hope for the best. Intuitive Machines is a relatively obscure company that might become famous, and LUNR stock could rally again this year. Just don’t take a gigantic share position, though, as there’s always the possibility of a failure to launch.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) InvestorPlace.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.