Investing

Elon Musk Wants to Colonize Mars - Here Are Cathie Wood's Top 3 Stocks for Space Exploration

Ian Cooper

Published: February 21, 2025 2:52 pm

Elon Musk wants to colonize Mars.

In fact, the billionaire says it could happen within four years. He also says we could be living in a self-sustaining city on the red planet in the next 20 years. 

Key Points About This Article 

• Elon Musk wants to colonize Mars. In fact, the billionaire says it could happen within four years, and that we could be living in a self-sustaining city in the next 20 years.
• While it’s an ambitious goal, we have to remember that before the Apollo 19 mission, no one thought we would make it to the moon.
• If it happens or we get close to it happening, you’ll want space exploration stocks in your portfolio, including the ones picked up by Cathie Woods.
• Check out: out:2 Dividend Legends To Hold Forever and Discover “The Next NVIDIA”

Whether you believe it will or won’t happen, “If I were diagnosing why now to set this very aggressive timeline for Mars, it’s partly to show that SpaceX isn’t slowing down, it’s not resting on its laurels, it’s not turning into kind of a creaky dominant player in space, and it is still the innovative pushing-the-envelope startup that it is,” said Matthew Weinzierl, professor of business administration at Harvard Business School specializing in the economics of space,” as quoted by The Guardian.

While it’s an ambitious goal, we have to remember that before the Apollo 19 mission, no one thought we would make it to the moon. No one ever thought we’d get an image of a black hole. No one ever thought Voyager 1 would make it to interstellar space either. But here we are.  So, don’t count out a mission to Mars just yet.

If it happens or we get close to it happening, you’ll want space exploration stocks in your portfolio. That includes ones picked up by Cathie Woods. We also have to consider that the global space economy could generate $1 trillion revenue by 2030, according to Morgan Stanley.

Rocket Lab USA 

Over the last few months, Rocket Lab USA (NASDAQ:RKLB) rocketed from a low of about $4 to a recent high of $25.36. And it could see even more upside with global sights on the moon and Mars.

The company is also developing Neutron, its medium-lift launch vehicle that’s expected to launch by the middle of the year. Even better, the company already signed a multi-launch agreement with a commercial operator and is expected to compete for the US Space Force’s National Security Space Launch program.

Rocket Lab USA is also providing support for the launch of Firefly Aerospace’s Blue Ghost Mission to the moon with assistance with the cruise and landing phases. Analysts at KeyBanc raised their price target on RKLB to $32 from $27 with an overweight rating.

Intuitive Machines 

We can also look at Intuitive Machines (NASDAQ:LUNR), which ran from about $3.15 to a recent high of $19.72. From here, we’d like to see it retest $25 initially.

Fueling upside in LUNR, the company was just awarded a $2.5 million study contract to help advance lunar logistics handling and offloading, and surface cargo and mobility under NASA. It also delivered its IM-2 mission lunar lander to Cape Canaveral, which is expected to see a launch date of February 26. Even better, it received a $4.82 billion umbrella contract to build a space communication network for NASA.

“A key highlight of this contract is the debut of Intuitive Machines’ lunar satellite constellation, a service the Company believes is a strategic element in its vision to commercialize lunar activities. The constellation will provide enhanced data and transmission services and autonomous operations, creating a robust infrastructure in line with Intuitive Machines’ three pillars to commercialize a celestial body,” said the company in a recent press release.

In addition, Cathie Wood’s ARK Investment bought 428,000 shares of LUNR in January.

Heico 

Oversold shares of Heico (NYSE:HEI) are just as attractive.

After running from about $190 to a high of $283.47, Heico dipped to a low of $216.68 on earnings. However, it is starting to pivot higher. Helping, analysts at KeyBanc Capital Markets just initiated coverage of the HEI stock with a Sector Weight rating.

The firm added, “Heico has significant competitive advantages driven by its long-standing relationships with key aerospace and defense customers,” as quoted by Seeking Alpha. “A large portion of Heico’s revenue is via LTAs [long-term agreement] (typically three to five years in duration), which creates strong visibility and consistent revenue streams.”