Looking for opportunities outside SpaceX? Here are three other exciting space stocks to consider.

Rocket Lab

One name in this sector that looks really interesting to me is Rocket Lab (NASDAQ: RKLB). It’s a diversified space company that offers everything from launch services to spacecraft components.

What I like about this company is that it’s an established player in the industry with proven technology. To date, it has completed over 90 orbital launches with its Electron rockets.

I also like the fact that it has built out a comprehensive spacecraft components business. This positions it at the heart of the space ecosystem.

One other thing that appeals to me is the fact that revenue is growing at a spectacular rate. This year, analysts forecast $918m versus $602m in 2025.

On the downside, there are no profits and the valuation is lofty (the price-to-sales ratio is near 90). So, we have a high risk stock here – there’s no room for operational setbacks.

Firefly Aerospace

Another space stock that has caught my eye is Firefly Aerospace (NASDAQ: FLY). It’s a smaller company with a market cap of just $5.1bn (versus $61bn for Rocket Lab and $2.7trn for SpaceX).

Like Rocket Lab, this company offers exposure to launch services. Here, the company has developed the Alpha and the Eclipse rockets (these are designed to bridge the gap between heavy-lift and small-lift rockets).

It also offers some other interesting products, however. Examples include in-space orbital vehicles and lunar landers.

Now, one issue to be aware of is that of the seven launches the company has done so far, only three have been successful. So, there’s a lot of operational risk with this stock.

Another risk is in relation to profitability. While Firefly’s revenues are surging (analysts expect 175% growth this year), profits remain elusive.

On the plus side, the company’s price-to-sales ratio – while high at around 30 – is significantly lower than the ratios for SpaceX and Rocket Lab. Compared to those two names, it actually looks quite cheap.

Amazon

Finally, we have Amazon (NASDAQ: AMZN), which is a stock I hold. While it’s not a pureplay space business like the first two stocks I mentioned, it has a rapidly growing space segment – Amazon Leo.

One thing to like about this company is that it’s already hugely profitable. This reduces investment risk significantly.

Another attraction is that the company already has 200 satellites in orbit. It also has meaningful revenue commitments from a range of organisations including Vodafone, Delta Airlines, and NASA.

Of course, competition from SpaceX is a risk. Ultimately, SpaceX (which has around 10,000 satellites in operation) is light years ahead of Amazon today in terms of satellite rollout.

With the other areas of the businesses generating profits, and the valuation looking reasonable (the price-to-sales ratio here is only 3.6), however, I like the risk/reward skew. To my mind, this is one of the safer ways to play the space theme.

Should you invest £5,000 in Amazon right now?

When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.

And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Amazon made the list?

Edward Sheldon owns shares in Amazon

The post 3 exciting space stocks to consider buying that aren’t SpaceX appeared first on The Twelfth Magpie.