The space rally that kicked off yesterday is rolling straight into Tuesday’s session. Planet Labs (NYSE:PL) stock is up 8% to $33.65, Rocket Lab (NASDAQ:RKLB | RKLB Price Prediction) stock is up 5% to $102.75, and SpaceX (NASDAQ:SPCX) stock is up 4% to $170.12 in midday trading.
This looks like a broad move across the sector. All three pure-play names are higher together, and the thematic space ETFs are following them up the tape. ARK Space Exploration & Innovation ETF (NYSEARCA:ARKX) shares are up 3%, and SPDR S&P Kensho Final Frontiers ETF (NYSEARCA:ROKT) shares are up 2%.
The catalyst lighting the fuse came yesterday, when Rocket Lab announced its agreement to buy Iridium. Today, the enthusiasm is broadening across the entire space complex.
Iridium Deal Keeps Powering Rocket Lab
Rocket Lab stock is extending Monday’s surge after the company agreed to acquire Iridium Communications (NASDAQ:IRDM) in a cash-and-stock transaction with an enterprise value of approximately $8 billion. The deal is designed to create a vertically integrated space company combining launch, spacecraft, and an operating satellite constellation.
The transaction is expected to close in mid-2027, pending shareholder and regulatory approval. That timeline matters. Deal risk is real, and the gap between announcement and close leaves room for headlines that could push Rocket Lab stock in either direction.
The fundamentals remain a tailwind. Rocket Lab posted Q1 2026 revenue of $200.35 million, growth of 64% year over year, and CEO Peter Beck flagged a $2.2 billion backlog alongside access to more than $2 billion in liquidity.
Planet Labs and SpaceX Ride the Sector Wave
Planet Labs stock is the day’s biggest mover among the trio. There’s no fresh company-specific announcement driving the jump, so the gains read as sector participation and continued momentum after the satellite operator’s strong June 4 print. Planet Labs reported Q1 FY2027 revenue of $94.15 million, up 42% year over year, with backlog topping $906 million.
SpaceX stock is participating too, climbing alongside its smaller peers. The Polymarket prediction market currently assigns a 90% probability that SPCX finishes the week above $150, reflecting the bullish near-term tone around the name.
Year to date, the rally has been pronounced. Planet Labs stock is up 70% for the year, Rocket Lab stock is up 48%, the ARKX ETF is up 16%, and the ROKT ETF is up 38%.
Volatility Is the Price of Admission
The ETFs offer a basket approach to the theme. ARKX holds a range of space, aerospace, and enabling-technology names, while ROKT leans into satellite operators and defense primes. Both give investors diversified exposure without picking a single winner.
However, thematic space ETFs and the underlying stocks remain volatile and speculative. Many of the pure-play space companies are early-stage and unprofitable, the sector can swing hard in both directions, and these funds concentrate exposure to that volatility.
What to Watch
A single session doesn’t confirm a durable trend. Investors can watch for whether today’s bid holds into the close and whether the broader space complex follows through later this week.
The Iridium deal calendar will also matter. Any regulatory commentary or shareholder timeline updates from Rocket Lab could move the entire group, given how closely Planet Labs stock and the ARKX and ROKT ETFs have tracked the headlines. Overall, stock traders should consider keeping their position sizes modest given the sector’s swings.
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