Voyager Technologies (NYSE:VOYG)stock rocketed nearly 17% through 2:10 p.m. ET Monday on news that NASA has chosen it (and seven other companies) to perform lunar cargo deliveries worth up to $10 billion.
Image source: Getty Images.
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Details, please
According to the NASA press release, the following eight companies have been chosen to compete task-by-task for awards under the Commercial Lunar Payload Services, or CLPS initiative:
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Blue Origin
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Firefly Aerospace (NASDAQ:FLY)
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Intuitive Machines (NASDAQ:LUNR)
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ispace-U.S.
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Lockheed Martin Space (NYSE:LMT)
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Northrop Grumman Space Systems (NYSE:NOC)
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SpaceX (NASDAQ:SPCX)
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Voyager Technologies
NASA describes the contract as a “10-year, multiple-award, indefinite-delivery/indefinite-quantity master contract with a combined maximum value of $10 billion.”
What it means for Voyager stock
All eight space companies will compete for specific task orders, and no one winner is likely to win the full $10 billion. But even if Voyager wins no more than a 1/8 proportion of all the funds on offer, that would be $1.25 billion — more than five times the revenue Voyager collected from all its various divisions working on all its various projects over the past year.
So this is potentially a very big deal for Voyager Technologies, albeit it’s not guaranteed to be so. It validates the company’s decision to expand beyond orbital space station work and get involved in lunar projects as well. The company’s $300 million investment to purchase lunar lander-maker Astrobotic earlier this year is already paying off.
And it could pay off even more than NASA’s press release lets on! In its own announcement of its inclusion in the award, Voyager notes that if options are exercised on the contract, the $10 billion available could grow to $15 billion, and the contract could be extended from 2036 to 2041.
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