Intuitive Machines rises; Deutsche Bank turns bullish, hikes PT by 50%

Intuitive Machines

17/10/2025 16:51

** Shares of space startup Intuitive Machines LUNR.O up 4% at $12.30 after Deutsche Bank upgrades to 'buy' from 'hold'

    ** Brokerage raises PT from $12 to $18, highest on Wall Street, per LSEG data

    ** Deutsche Bank analyst Edison Yu says he sees an attractive risk-reward set-up for next 3-6 months, supported by "clear commercial catalysts"

    ** LUNR seen as a secular winner in space exploration market, helping the U.S. and its allies "prep" the moon for humans to return, which is a very difficult task, Yu says

    ** Yu points out LUNR stock has underperformed and is trading at "a considerable discount" to peers Rocket Lab RKLB.O and FireFly Aerospace FLY.O, adding that the gap can compress should LUNR win some major contracts

    ** Also, Yu says LUNR now has a large cash position of more than $600 mln, which can be deployed for accretive M&A

    ** In Aug, LUNR announced an upsized $300 mln convertible bonds sale

    ** Earlier that month, co said it's now targeting IM-3, its third moon lander mission, for second half of 2026

    ** In Mar, co's second moon lander, Athena, landed on its side after problems with its laser rangefinders, similar to its first attempt last year

    ** Including the move on the session, LUNR shares have shed about a third YTD

    ** 7 of 8 analysts rate LUNR "buy", 1 recommends "sell" and median PT is $16.50, per LSEG

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))