By Mary-Lynn Cesar for Kapitall.
Forty-five years ago this Sunday, the Apollo 11 lunar
module landed on the moon with two of the most famous
astronauts in US history. The mission was a success
on two fronts: it achieved President John F.
Kennedy's objective of putting a man on the moon, and it
placed the US ahead of the Soviet Union in the space
Today NASA is no longer sending astronauts to the moon,
instead focusing its efforts on deep space exploration.
Earlier this month, the agency signed a
$2.8 billion contract
for the development of the core stage of the Space Launch System
(SLS). The SLS, which will be most powerful rocket ever built, will
transport cargo, including the Orion spacecraft, and crew to
near-Earth asteroids and, eventually, Mars.
The upcoming anniversary of the moon landing inspired us to look
for investment opportunities amongst space stocks. We began by
creating a universe of space stocks, which we pulled from NASA's
list of its
top 100 contractors in 2013
as well as press releases announcing contracts awarded
this year. Then we screened that group for stocks that
rallying above their 20-day, 50-day, and 200-day moving
. This indicates that these stocks have strong upward momentum and
may soon be taking off like a rocket.
Next, we took a look at past performance and screened for
stocks that have
outperformed over the last quarter
with at least a 10% return
. While past performance isn't indicative of future success, a
solid performance in the previous quarter combined with the current
momentum may lead to another strong quarter.
We were left with three space stocks on our list. Do you think
these stocks have significant upside potential? Use this list as a
starting point for your own analysis, and let us know what you
think in the comments.
Click on the interactive chart to view data over
1. Air Products & Chemicals Inc.
): Provides atmospheric gases, process and specialty gases,
performance materials, equipment, and services worldwide. Market
cap at $27.55B, most recent closing price at $129.80.
The stock is rallying 0.86% above its 20-day SMA, 5.51% above
its 50-day SMA, and 13.77% above its 200-day SMA.
Performance over the last quarter at 13.19%.
Air Products and Chemicals won a $10.5 million contract to
provide liquid nitrogen and oxygen to NASA's research centers and
space center in California, Ohio, and Alabama.
2. General Dynamics Corp.
): Provides business aviation, combat vehicles, weapons systems and
munitions, military and commercial shipbuilding, and communications
and information technology products and services worldwide. Market
cap at $40.22B, most recent closing price at $117.51.
The stock is rallying 0.53% above its 20-day SMA, 1.11% above
its 50-day SMA, and 15.62% above its 200-day SMA.
Performance over the last quarter at 12.37%.
General Dynamics was NASA's fourth top contractor in 2013 and
has received $13.11 billion dollars from the agency.
3. URS Corporation
): Provides engineering, construction, and technical services to
public agencies and private sector clients worldwide. Market cap at
$4.04B, most recent closing price at $58.56.
The stock is rallying 20.34% above its 20-day SMA, 25.71% above
its 50-day SMA, and 19.78% above its 200-day SMA.
Performance over the last quarter at 24.78%.
URS Corporation was NASA's seventeenth top contractor in 2013
and has received $3.16 billion dollars from the agency.
(List compiled by Mary-Lynn Cesar. Monthly return data
sourced from Zacks Investment Research. All other data sourced
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