Roth Capital just raised its price target on Intuitive Machines.
Weirdly, it did this a day after it was announced that Intuitive Machines had lost the LTV contract.
Intuitive Machines (NASDAQ: LUNR) stock rode the rollercoaster this week.
First came the Cantor Fitzgerald endorsement on Tuesday, driving the stock higher on one Wall Street analyst's confidence that Intuitive would definitely win a multi-billion-dollar NASA contract to build Lunar Terrain Vehicles (LTVs). Disappointment quickly followed when Intuitive did not, in fact, win said contract.
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(Two smaller, privately owned space companies did instead.)
Nevertheless, Cantor doubled down on its endorsement, ignoring the LTV news, and instead listing a series of other contracts that Intuitive might still win. Intuitive shares that began the week trading near $38 soared past $45, then dropped back to $38, and finally closed yesterday for a second straight win -- over $40.
Today, it's looking like LUNR wants to make it three wins in a row. As of 12:55 p.m. ET, the space stock is up 9.8%.
Image source: Getty Images.
All week long, Cantor Fitzgerald has stuck to its guns, insisting Intuitive Machines stock is worth $43 a share, but today, a second analyst chimed in. According to Roth Capital, Cantor's actually being too conservative, and Intuitive is worth closer to $75 a share!
As reported on TheFly.com, Roth raised its price target to this new mark last night, citing "significant opportunity in upcoming lunar contract awards across landers, rovers, and broader infrastructure/services."
But wait. "Rovers?" Didn't Intuitive Machines just lose the LTV contract?
Well, yes and no. Yes, two other companies won $439 million worth of LTV contracts. But the total LTV program is said to be worth $4.6 billion over time.
That means there's still a lot of money up for grabs -- and Cantor and Roth might both still be proven right about Intuitive Machines being a buy.
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Rich Smith has positions in Intuitive Machines. The Motley Fool has positions in and recommends Intuitive Machines. The Motley Fool has a disclosure policy.