Why Is Redwire Stock Rising on Thursday?

Redwire Makes Strategic Investment In Next‑Generation Phased Array Antenna Technology To Deliver Faster, More Resilient And More Scalable Space‑Based Data Networks

This strategic investment positions Redwire at the forefront of a rapidly expanding market where high‑capacity, low‑latency communication is essential for national security, civil, and commercial missions.Redwire’s

Should You Buy Redwire Stock Below $13?

Redwire Corporation surged past $13 after beating Q2 earnings expectations with $117M in sales and improving gross margins to 27.8%. The company has a strong $542M backlog and projects 49% sales growth. However, the stock remains overvalued at 7.9x trailing sales compared to historical 2x-4x multiples for unprofitable space startups. Analysts expect the company won't reach profitability until 2028 or later, requiring $700M+ in revenue. The analyst recommends waiting for the stock to drop to $8 or below before buying.

Shares of space-related companies are trading lower, possibly amid sympathy for peer SpaceX, which is experiencing a sell-off due to the expiration of its second lockup period.

Can Space Stocks Bounce Back? This $1 Billion Air Force Contract Might Help.

Space stocks have recovered somewhat after a historic decline following SpaceX's June IPO. The U.S. Space Force awarded a $981 million NITE-STAR contract to 15 space companies, but the contract's modest per-company value ($6.5 million annually on average) is unlikely to significantly move the needle. Despite government support, space stocks remain richly valued with average price-to-sales ratios around 65.4, suggesting caution for investors.