Following a CPI report that showed inflation is cooling, many growth stocks are seeing nice upside momentum today. That said, some stocks are outperforming others. One such company in focus today is Momentus (NASDAQ:MNTS), with MNTS stock surging more than 35%, at the time of writing.
This move comes as the company announced it has signed a contract with Spain-based FOSSA Systems to put its satellites into low-earth orbit. Two Vigoride Orbital Service Vehicle missions are scheduled to take place this year, providing investors with a nice near-term catalyst.
Like other key players in the commercial space arena, Momentus focuses on hosted payloads and in-orbit services in addition to in-space transportation. Thus, this is a company that investors appear to be focusing on more for the company’s commercial applications. This announcement is a clear win for Momentus, which launched its inaugural mission in May 2022.
Let’s dive into what to make of this news today.
Is MNTS Stock a Buy Following this News?
This is certainly a newsworthy catalyst that should result in some significant price appreciation for MNTS stock. Still a relatively speculative early-stage company, Momentus now has some momentum (pardon the pun) as it looks to showcase its next-generation satellites.
The company’s latest generation of satellites, FOSSASat FEROX, are expected to launch by June of this year. Investors appear to be eager to see this demonstration considering a second batch is expected to be launched in a later mission during the second half of the year.
This will be Momentus’ first large-scale constellation deployment. As such, should everything go as planned, this is a company long-term growth investors have reason to watch. Today, MNTS stock made my watch list for this reason.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.