Two Canadian space stocks analysts like

The investment opportunity in space extends beyond rocket launches to the suppliers and infrastructure supporting the industry, according to Goldman Sachs.

In a July 15 outlook, Goldman’s Louis Miller highlighted opportunities across communications infrastructure, electronics, software, advanced materials and manufacturing. Falling launch and satellite costs, expanding global communications services and defence spending are helping broaden the investment case.

Goldman’s basket of U.S. space and satellite stocks had gained approximately 13% in 2026 through July 14, compared with 9.8% for the S&P 500. However, the firm cautioned that the basket was approximately five times as volatile as the broader index, with investor enthusiasm sometimes running ahead of fundamentals.

For investors considering Canadian space stocks, MDA Space and Maritime Launch Services illustrate two parts of that infrastructure opportunity: satellite manufacturing and launch-site access. Their respective investment cases depend on converting demand into contracts, production and revenue.

MDA Space

Desjardins Securities analyst Benoit Poirier raised his target on MDA Space (MDA Space Stock Quote, Chart, News, Analysts, Financials TSX:MDA to $66.00 from $55.00, maintaining his “Buy” rating, according to Cantech Letter’s June 9 coverage.

As reported by The Globe and Mail, a tour of MDA’s Montreal facility and discussions with management increased Poirier’s confidence in its technology and manufacturing capabilities.

He highlighted a five-year bidding pipeline that had doubled to more than $40-billion, supported by rising defence budgets and demand for sovereign satellite infrastructure.

Poirier identified MDA’s Aurora platform as a competitive advantage, pointing to its software-defined architecture, proprietary chips and anti-jamming capabilities.

He argued that MDA’s valuation inadequately reflected those strengths, while its balance sheet and manufacturing capacity positioned it to pursue constellation contracts exceeding $1-billion.

His revised target blended three valuation approaches: 38 times estimated 2027 earnings, 22 times estimated 2027 EBITDA and a discounted cash flow valuation of $68.68.

Maritime Launch Services

Beacon Securities analyst Russell Stanley reiterated his “Buy” rating and $1.50 target on Maritime Launch Services  (Maritime Launch Services Stock Quote, Chart, News, Analysts, Financials CBOE:MAXQ) in an Aug. 17 report, following its first substantial revenue contribution from a $200-million Department of National Defence contract.

Maritime reported second-quarter revenue of $5.6-million and net earnings of $3.2-million. Stanley estimated adjusted EBITDA at $3.8-million, with DND accounting for $5.5-million of revenue.

The quarter excluded revenue from its US$113-million-plus Isar Aerospace agreement. Although Maritime received an initial US$3.75-million payment in August, Stanley assumed revenue recognition would begin in the fourth quarter.

His thesis centres on launch-site access becoming a bottleneck as rocket activity increases, giving Maritime exposure to the ground infrastructure supporting the space industry.

Stanley cautioned that unusually high quarterly margins reflected a cost structure still ramping up. Nevertheless, he projected adjusted EBITDA of $9-million on revenue of $23-million in fiscal 2026, rising to $39-million and $73-million, respectively, in fiscal 2027.

Potential catalysts included additional contracts and continued spaceport development.

Tagged with: mda
Nick Waddell

Cantech Letter founder and editor Nick Waddell has lived in five Canadian provinces and is proud of his country's often overlooked contributions to the world of science and technology. Waddell takes a regular shift on the Canadian media circuit, making appearances on CTV, CBC and BNN, and contributing to publications such as Canadian Business and Business Insider.

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