Space Race 2.0: ASTS vs. RKLB – A History (With Jokes)

Alright, settle in, folks. We’re diving into the wild, wacky world of space stocks. It’s like the Gold Rush, only with rockets and slightly more existential dread. Today’s contenders: AST SpaceMobile (ASTS 10.46%) and Rocket Lab (RKLB 3.41%). Both emerged from the SPAC craze of 2021 – a phenomenon historians will be dissecting for decades, probably while wearing tinfoil hats. They’ve both survived – which, let’s be honest, is a major accomplishment in that particular arena. But which one is the better bet? Grab your popcorn, because this is going to be a bumpy ride. And by bumpy, I mean potentially financially ruinous. No pressure!

What Do These Companies Actually Do?

Let’s start with AST. They’re building satellites that beam cellular signals directly to your phone. Imagine, folks, a world where you can get a signal anywhere. Even in your mother-in-law’s basement! They’re partnering with the big telecom giants – AT&T (T 0.33%) and Verizon (VZ 0.09%) – because apparently, even they haven’t figured out how to get a signal to the middle of nowhere. And get this: they just landed a contract with the U.S. Missile Defense Agency. Yes, you heard that right. They’re building satellites to… well, let’s just say they’re helping us keep an eye on things up there. It’s like a cosmic neighborhood watch program. And they launched their Block 1 BlueBird satellites, which sounds suspiciously like a 1950s jazz band. Then came the Block 2, 3.5 times larger and ten times the data. They’re planning 45-60 in orbit this year, aiming for over 240 eventually. It’s a satellite swarm, folks! A beautiful, data-collecting swarm.

Now, Rocket Lab. These guys are the rocket builders. They’ve launched their Electron rocket 81 times – carrying small satellites, mind you, not the Millennium Falcon. Still impressive! They’re increasing the frequency of launches – 6 in 2021, 9 in 2022, 10 in 2023, 16 this year, and 21 projected for next. They’re like the UPS of space. “What can we launch for you today, sir?” They’re also developing a bigger rocket, the Neutron, to carry heavier payloads. Think of it as the upgrade from a Vespa to a monster truck. They want to be an “end-to-end” space company, which is a fancy way of saying they want to do everything. From building the satellites to launching them to… well, probably selling space-themed merchandise eventually. It’s a business model as old as time.

Which Stock Will Send Your Portfolio to the Moon?

Okay, let’s talk numbers. Analysts predict AST SpaceMobile’s revenue will grow at a whopping 200% CAGR from 2025 to 2028, hitting $1.9 billion. They’re expecting profitability in 2027 and a 30x jump in net income by 2028. Those are some serious projections. It’s the kind of growth that makes Wall Street salivate. Rocket Lab isn’t slouching either. They’re projecting a 38% CAGR to $1.6 billion in revenue over the same period, with profitability in 2027 and a sixfold increase in net income by 2028. Solid, respectable growth. Like a well-behaved accountant.

Both companies have potential. But here’s where things get interesting. AST trades at only 16 times its projected 2028 sales, while Rocket Lab is at 26 times. That lower valuation, combined with the stronger growth rate, makes AST the more attractive option right now. It’s like finding a perfectly good space suit at a garage sale. A steal, I tell you, a steal! But remember, folks, investing in space is a risky business. There are no guarantees. You could end up with a portfolio full of space dust. But hey, at least you’ll have a good story to tell.

2026-03-05 23:42

What Do These Companies Actually Do?

Which Stock Will Send Your Portfolio to the Moon?

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