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Intuitive Machines (LUNR)
NASDAQ:LUNR
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Intuitive Machines
(NASDAQ:LUNR)
45Neutral
Positive Factors
Capital Structure
The redemption of outstanding warrants generated $148M in cash, boosting the company's total cash position to $385M and providing ample financial flexibility for managing large NASA programs.
Contract Opportunities
LUNR's >$4B NSN communications relay contract is a long-term asset with an ~80% margin, significantly higher than IM Moon lander missions at ~10% margin.
Financial Performance
LUNR exits FY24 with record backlogs of $328M, a strong cash position of +$385M, and positive FY25 EBITDA guidance, providing a solid operational backstop.
Strategic Growth
LUNR is positioned to capitalize on NASA potentially funding commercialized enterprises to outsource lunar development, maintaining U.S. presence on the Moon.
Negative Factors
Financial Risks
The company’s burn rate is expected to increase as it begins executing on larger potential programs like LTV and deployment of the 'Khonstellation' of deep space relay satellites.
Operational Challenges
The solar panels are receiving lower-than-expected sunlight because of the lander’s orientation, which could impact performance of mission objectives.
Intuitive Machines (LUNR) vs. S&P 500 (SPY)
Market Cap
$1.38B
Dividend YieldN/A
Average Volume (3M)15.00M
Price to Earnings (P/E)―
Beta (1Y)3.19
Revenue Growth186.23%
EPS Growth-234.13%
CountryUS
Employees435
SectorIndustrials
Sector Strength70
IndustryAerospace & Defense
Share Statistics
EPS (TTM)-4.72
Shares Outstanding115,725,044
10 Day Avg. Volume9,648,421
30 Day Avg. Volume14,995,176
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)4.89
Price to Cash Flow (P/CF)-13.90
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$15.71Price Target Upside103.50% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering7
Intuitive Machines Business Overview & Revenue Model
Company DescriptionIntuitive Machines, Inc. manufactures and supplies space products and services. It offers space products and services to support sustained robotic and human exploration to the moon, mars, and beyond. It offers its products and services through business units: Lunar Access Services, Orbital Services, Lunar Data Services, and Space Products and Infrastructure. The company was founded in 2013 and is based in Houston, Texas.
How the Company Makes MoneyIntuitive Machines makes money through a combination of government contracts, commercial partnerships, and service offerings related to lunar exploration and space technology. A significant portion of its revenue comes from contracts with agencies like NASA, where it provides lunar landers and related services to support lunar missions. Additionally, the company collaborates with commercial partners to offer transportation and data services for lunar payloads, enabling scientific and commercial activities on the Moon. These key revenue streams are bolstered by the company's expertise in aerospace engineering and its strategic partnerships with other industry leaders, which help to expand its market presence and drive earnings.
Intuitive Machines Financial Statement Overview
Summary
Intuitive Machines is experiencing rapid revenue growth but struggling with profitability and financial stability. The negative equity and cash flow challenges highlight significant risks, suggesting a need for strategic financial management to achieve sustainable growth.Income Statement
The company shows significant revenue growth from 2023 to 2024, but profitability remains a concern with negative net income and EBIT margins. The steady increase in EBIT and EBITDA losses highlights ongoing operational challenges.45
Neutral
Balance Sheet
The balance sheet reflects high leverage with negative stockholders' equity and a negative equity ratio, indicating financial instability. The debt-to-equity ratio is not meaningful due to negative equity, which is a critical risk factor.30
Negative
Cash Flow
Negative operating and free cash flows are concerning, although financing activities provided cash inflows. The free cash flow to net income ratio is not applicable due to net losses, emphasizing cash flow management issues.40
Negative
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 228.00M | 79.52M | 85.95M | 72.55M | 44.26M | Gross Profit |
| 37.63M | -20.95M | 10.43M | -27.76M | 1.70M | EBIT |
| -57.40M | -56.24M | -5.51M | -37.89M | -4.39M | EBITDA |
| -50.49M | 48.46M | 38.78M | -37.05M | -3.81M | Net Income Common Stockholders |
| -283.41M | 62.80M | -6.41M | -35.65M | -4.33M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 207.61M | 4.50M | 25.76M | 29.29M | 23.93M | Total Assets |
| 355.40M | 85.91M | 67.00M | 43.45M | 38.04M | Total Debt |
| 37.38M | 43.48M | 25.76M | 14.99M | 5.14M | Net Debt |
| -170.23M | 38.98M | 0.00 | -14.30M | -18.79M | Total Liabilities |
| 351.48M | 139.33M | 124.62M | 95.29M | 53.05M | Stockholders Equity |
| -1.01B | -235.08M | -57.62M | -51.84M | -16.36M |
| Cash Flow | Free Cash Flow | |||
| -67.70M | -75.19M | -15.62M | -19.74M | 5.60M | Operating Cash Flow |
| -57.59M | -45.28M | 784.00K | -16.57M | 8.15M | Investing Cash Flow |
| -10.11M | -29.91M | -16.41M | -3.18M | -2.55M | Financing Cash Flow |
| 272.79M | 53.92M | 12.10M | 25.11M | 1.66M |
Intuitive Machines Technical Analysis
Negative
7.72
Price Trends
12.22
Negative
14.42
Negative
10.27
Negative
Market Momentum
-1.05
Negative
41.97
Neutral
66.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LUNR, the sentiment is Negative. The current price of 7.72 is below the 20-day moving average (MA) of 7.78, below the 50-day MA of 12.22, and below the 200-day MA of 10.27, indicating a bearish trend. The MACD of -1.05 indicates Negative momentum. The RSI at 41.97 is Neutral, neither overbought nor oversold. The STOCH value of 66.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LUNR.
Intuitive Machines Risk Analysis
Intuitive Machines disclosed 47 risk factors in its most recent earnings report. Intuitive Machines reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Intuitive Machines Peers Comparison
Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
62 Neutral | $7.70B | 13.14 | 3.53% | 3.32% | 3.90% | -14.25% | |
55 Neutral | $917.74M | ― | -39.63% | ― | 285.43% | 32.34% | |
52 Neutral | $958.14M | ― | -25.68% | ― | 10.72% | 16.19% | |
49 Neutral | $8.90B | ― | -40.59% | ― | 78.34% | -1.13% | |
45 Neutral | $1.38B | ― | 25.79% | ― | 186.23% | -234.13% | |
37 Underperform | $1.07B | ― | -95.63% | ― | ― | -2.94% | |
25 Underperform | $290.02M | ― | 115.25% | ― | ― | 23.26% |
* Industrials Sector Average
Performance Comparison
LUNR
Intuitive Machines
7.73
2.69
53.37%
EH
Ehang Holdings
15.68
-0.68
-4.16%
EVTL
Vertical Aerospace
3.42
-3.84
-52.89%
EVEX
Eve Holding
3.68
-1.44
-28.13%
RKLB
Rocket Lab USA
19.13
15.57
437.36%
PL
Planet Labs PBC
3.14
1.41
81.50%
Intuitive Machines Earnings Call Summary
Earnings Call Date: Mar 24, 2025 | % Change Since: 8.89% | Next Earnings Date: May 8, 2025
Earnings Call Sentiment Positive
The earnings call presented a strong financial performance with record revenues and a robust cash position. The company demonstrated technological advancements and secured significant contracts, indicating growth potential. However, the increase in operating loss and challenges in the IM-2 mission were notable concerns.Highlights
Record Fiscal Year Revenue
Intuitive Machines reported a record fiscal year revenue of $228 million, exceeding the midpoint of its previous guidance range.
Strong Cash Position
The company ended 2024 with a record cash balance of $207.6 million, with an increase to $385 million as of March 10, 2025, following warrant exercises.
Successful IM-2 Mission Operations
The IM-2 mission demonstrated significant advancements in space communications, precision navigation, and autonomy, despite some challenges.
Near Space Network Contract Expansion
Intuitive Machines secured additional awards under the $4.8 billion Near Space Network Services contract, positioning for high-margin recurring revenue streams.
Growth Prospects and Strategic Expansion
The company is expanding its customer base into national security space and other markets, with plans for further satellite deployments.
Positive Revenue Guidance for 2025
The company provided a revenue guidance range of $250 million to $300 million for 2025, driven by existing contracts and new opportunities.
Lowlights
Operational Loss Increase
Operating loss for Q4 was $13.4 million, compared to a loss of $7.5 million in the fourth quarter of 2023, driven primarily by higher SG&A expenses.
Mission Challenges
Athena's landing on the moon did not go as planned, highlighting the risks and challenges associated with space missions.
Impact of Higher SG&A Costs
SG&A expenses increased significantly due to public company costs, employee compensation, and additional office spaces.
Company Guidance
During Intuitive Machines' 2024 earnings call, the company provided guidance for 2025, projecting revenue between $250 million to $300 million, building on their 2024 revenue of $228 million. The company ended 2024 with a robust cash balance of $207.6 million, which increased to $385 million by March 2025 following warrant exercises. Intuitive Machines aims for a positive adjusted EBITDA by 2026, with a focus on data services expansion, leveraging their Near Space Network. They expect to recognize 60-65% of their $328.3 million backlog in 2025. Key catalysts include two NASA CLPS contract bids in 2025 and a focus on diversification into national security space. The company reported a Q4 2024 revenue of $54.7 million, a 79% increase year-over-year, but also a higher operating loss due to increased SG&A expenses.Intuitive Machines Corporate Events
Private Placements and FinancingBusiness Operations and Strategy
Intuitive Machines Launches $75 Million Funding Initiative
Positive
Dec 3, 2024
Intuitive Machines has launched a public offering of $65 million in Class A Common Stock, with an option for underwriters to purchase additional shares, alongside a $10 million private placement with Boryung Corporation. Proceeds will fund general corporate purposes, including operations and potential mergers. The offering, subject to market conditions, reflects Intuitive Machines’ strategic focus on space exploration and infrastructure, promising opportunities for investors keen on innovative sectors.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.