AST SpaceMobile vs. Intuitive Machines: Which Space Infrastructure Stock Is a Better Buy in 2026?

The space economy is rapidly expanding as AST SpaceMobile (NASDAQ:ASTS) and Intuitive Machines (NASDAQ:LUNR) race to build critical communication and logistics infrastructure beyond Earth for a new generation of users.

AST SpaceMobile focuses on satellite-to-phone connectivity through wholesale partnerships with global mobile carriers. Intuitive Machines provides lunar exploration services, including spacecraft delivery and data transmission for government and commercial clients. These two companies represent different but equally ambitious segments of the burgeoning commercial space market.

The case for AST SpaceMobile

AST SpaceMobile operates a unique business model by providing cellular broadband directly to standard smartphones via its BlueBird satellite constellation. The company has secured definitive commercial agreements with major telecom players including AT&T Inc (NYSE:T), Verizon Communications (NYSE:VZ), Vodafone (NASDAQ:VOD), and Saudi Telecom Company. Customer concentration like this adds a layer of risk to the business, though it currently supports a potential reach of nearly three billion subscribers through various network operator agreements.

In FY 2025, revenue reached about $70.9 million, representing a staggering revenue growth rate of approximately 1,500% over the previous year. Despite this top-line surge, the company reported a net loss of nearly $342 million for the period. This resulted in a net margin of negative 482%, highlighting the significant costs involved in launching and maintaining a global satellite network.

According to its December 2025 balance sheet, the debt-to-equity ratio is roughly 1.2x, which measures total debt relative to shareholders' equity. The so-called urrent ratio is nearly 16.4x, indicating the company has ample short-term assets to cover its short-term liabilities. Free cash flow, which is cash from operations minus capital expenditures, was approximately negative $1.1 billion as the company continues to fund its capital-intensive satellite deployment.

The case for Intuitive Machines

Intuitive Machines is a standout among industrial stocks that focus on the specialized niche of extraterrestrial logistics and lunar infrastructure. The company serves civil and national security markets, with NASA acting as a primary customer for lunar cargo delivery and data relay services. This high level of customer concentration with a single government agency adds a layer of risk to the business model if federal funding priorities shift.

In FY 2025, the company reported revenue of roughly $210 million, which was a revenue decrease of nearly 8% compared to the prior year. The company recorded a net loss of approximately $84 million for the fiscal period. This performance resulted in a net margin of negative 40%, which is considerably narrower than its peers in the pre-revenue or early-revenue space technology sector.

As of its December 2025 balance sheet, the debt-to-equity ratio is around negative 0.5x, meaning total liabilities exceed shareholder equity. The current ratio is roughly 5.0x, indicating a healthy ability to meet short-term financial obligations. Free cash flow for the period was close to negative $56 million, reflecting the ongoing investments required for spacecraft development and mission operations.

Risk profile comparison

AST SpaceMobile faces significant risks due to the capital-intensive nature of its SpaceMobile Service, which is subject to delays and cost overruns. The company is currently navigating intensified scrutiny from ongoing securities class action litigation regarding its capital disclosures. Furthermore, it faces increasing competitive threats in the direct-to-cellular market from established players such as SpaceX, as Space Exploration Technologies (NASDAQ:SPCX) is known, which could affect its long-term market share.

Intuitive Machines is highly dependent on U.S. government contracts, which are subject to budgetary constraints and potential termination. The complexity of lunar missions involves high operational risks, including potential launch failures or mission anomalies that could damage its reputation. Additionally, the company faces stiff competition from established aerospace incumbents such as Lockheed Martin Corp (NYSE:LMT) and Northrop Grumman Corp (NYSE:NOC), which may put downward pressure on its pricing and margins.

Valuation comparison

Intuitive Machines appears significantly more affordable on a price-to-sales basis. It carries a high multiple of future earnings estimates while AST Spacemobile does not, since the latter is not expected to turn a profit in its coming fiscal year.

Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

The Forward P/E compares the current stock price to future earnings estimates, while the P/S ratio measures the market value against sales over the past twelve months.

Which stock would I buy in 2026?

Intuitive Machines started fiscal 2026 with its strongest quarter in history, delivering record revenue of $187 million. Management says they have an order backlog of $1.1 billion, including $400 million in early 2026 bookings. NASA is moving toward a steady access to space flights and deliveries, too, which bodes well for the company's longer-term sales. Revenue for fiscal 2026 is expected to more than quadruple to $952 million, with a narrower net loss of $66 million. Analysts expect the business to turn a profit for the first time in 2028.

AST SpaceMobile, meanwhile, expects its space-based network to give it a significant business in a few years. Essentially, AST SpaceMobile is a direct-to-device play to provide full mobile phone compatibility for major carriers without the need for specialized equipment. Many of its potential clients are also equity holders in the company, including AT&T, Verizon, Vodafone, Alphabet Inc (NASDAQ:GOOG), American Tower (NYSE:AMT), Bell Canada, Telus (NYSE:TU), and Rakuten in Japan.

By the end of the year, the company should have 45 satellites, which will allow it to fully service the U.S., and that should start to supercharge revenue growth. For fiscal 2026, Wall Street sees $149 million in sales, jumping to $725 million the following year, when the company is projected to turn its first modest profit. Free cash flow looks to be much more manageable, with analysts expecting positive free cash flow in 2029.

Both AST Spacemobile and Intuitive Machines are exciting young businesses in a thrilling new market sector: space infrastructure. With both a year or two away from profitability, price-to-sales is the best metric to get a promising stock at a good price. That means Intuitive Machines, with its bargain basement forward P/S ratio of 1.3x, gets the nod for 2026.

Brendan Coffey has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AST SpaceMobile, Alphabet, American Tower, Intuitive Machines, and Lockheed Martin. The Motley Fool recommends TELUS, Verizon Communications, and Vodafone Group Public. The Motley Fool has a disclosure policy.