MW This satellite maker's stock is soaring. Here's why it can still rally a lot more.

By William Gavin

Satellogic stands out in the space sector, says Cantor Fitzgerald, because the costs to launch its spacecraft are a fraction of those of some rivals

Satellogic stock is soaring on Friday after analysts showed faith in the company's potential for growth.

Satellite-maker Satellogic could be a major beneficiary of the U.S. government's focus on space superiority, says an analyst that believes the stock could nearly double from current levels.

Cantor Fitzgerald analysts led by Andres Sheppard on Friday initiated coverage on Davidson, N.C.-based Satellogic (SATL) with an overweight rating and a $7 per share price target. Only two other analysts cover the company, both of whom have buy ratings, according to FactSet.

Shares jumped 14.3% in recent morning trading. From current levels, the stock could soar another 88.5% before it reaches Sheppard's price target. It has already run up 99.2% so far this year.

Sheppard sees a few reasons to bet on Satellogic, which is developing a constellation of Earth observation satellites capable of providing detailed imagery and analytics to a wide array of industries. Among them is the company's ability to keep costs down through vertical integration.

By doing everything from designing to operating its satellites in-house, Satellogic can deploy one of its spacecraft for about $1.3 million per launch, according to Cantor Fitzgerald.

Meanwhile, Alphabet $(GOOGL)$-partner Planet Labs $(PL)$ spends about $7 million to launch its Pelican satellites, while BlackSky Technology's $(BKSY)$Gen-3 satellite costs some $16 million, the analyst said.

"Over time, as demand approaches the limits of the current fleet,the company will be able to add satellites at lower costs relative to peers, and on short timelines, expanding capacity," Sheppard wrote in a note to investors. "Overall, we see this cost advantage as the main differentiator."

The analyst notes that Satellogic's key focus for 2026 will be increasing the utilization of its roughly 20 satellites, which will help drive revenue and create a path to profitability, and launch additional spacecraft. While the company does sell some satellites, it also leases them under subscription models to primarily government clients.

Satellogic has contracts to provide services to the governments of Malaysia and Albania, as well as several commercial firms around the world. Last month, it sold an in-orbit satellite to Australian in-space imaging firm HEO.

The company reported a net loss of $4 million on $3.6 million in sales for the third quarter of 2025, the most recent period it has filed for. That was an improvement over a year earlier, when Satellogic recorded a $12.1 million loss and revenue of $2.8 million.

Read: Amazon wants to be a satellite powerhouse. For now, the effort is a financial black hole.

Sheppard thinks Satellogic could get a boost from deepening its work with the U.S. as President Donald Trump's administration focuses on dominating space. As soon as next month, NASA could kick off the Artemis II mission, the first crewed lunar flyby in more than 50 years.

Satellogic could also participate in opportunities tied to a $175 billion missile-defense system called the Golden Dome, as well as the Space Development Agency, Sheppard said. It already provides asset monitoring services for NASA and the U.S. Space Force. The company has also partnered with Palantir Technologies (PLTR) to help with its work for the U.S. government.

"Governments continue to require classified Earth intelligence but are increasingly turning to commercial providers to meetthose needs," Sheppard wrote.

Satellogic went public in 2022 through a deal with a special-purpose acquisition company, receiving backing from former Treasury Secretary Steven Mnuchin and Commerce Secretary Howard Lutnick, then in his capacity as CEO of Cantor Fitzgerald. Lutnick resigned from Satellogic's board when he was nominated for his government job, while Mnuchin is the board's chair.

See: You can invest in SpaceX before its IPO - but should you?

-William Gavin

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February 20, 2026 11:48 ET (16:48 GMT)

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