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How Could Boeing's MUOS Contract Boost Its Space Business?
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Key Takeaways
BA secures nearly $2B MUOS Phase II contract for two new military communications satellites.
BA program includes design, build, launch support and on-orbit testing through 2035.
BA strengthens role in U.S. defense space systems and expands long-term backlog visibility.
The Boeing Company (BA - Free Report) could strengthen its position in the defense space market through its latest Mobile User Objective System (“MUOS”) award. It supports the development of advanced military satellite communications capabilities, an area that remains a strategic priority for the U.S. government. The program is expected to provide Boeing with long-term work in satellite design, integration and mission support while reinforcing its role in national security space programs.
The company recently secured a $2 billion contract for the MUOS service life extension Phase II effort. Awarded by the Space Systems Command at Los Angeles Air Force Base, CA, the contract covers the design, development, construction, launch support and on-orbit testing of two new MUOS satellites that will help extend the military communications network's operational life. The award could also support backlog growth, improve revenue visibility and enhance Boeing's standing as a provider of space-based defense solutions.
The satellites are intended to support long-term military communication requirements and reinforce Boeing's role in space-based defense systems. The work will be performed in El Segundo, CA, with completion expected by Sept. 30, 2035, supporting Boeing's presence in military satellite communications and national security space programs.
Boeing and its subsidiary, Millennium Space Systems, are scaling production capacity and expanding their satellite offerings to address increasing demand across defense and commercial markets. As part of these efforts, the companies recently introduced Resolute, a new mid-sized satellite platform designed to deliver enhanced capabilities while offering faster deployment and greater flexibility than traditional large satellite programs.
Companies Expanding Space Communications Capabilities
As governments continue to invest in secure satellite communications and military space infrastructure, defense contractors are expanding their capabilities to support these evolving requirements. Companies like L3Harris Technologies, Inc. (LHX - Free Report) and Northrop Grumman Corporation (NOC - Free Report) are also strengthening their positions in national security space programs.
L3Harris Technologies provides advanced satellite communications systems, mission networks and space technologies that help support defense and national security objectives.
Northrop Grumman develops satellite platforms, secure communications solutions and ground-based infrastructure that enhance military and space operations.
Earnings Estimates for BA Stock
The Zacks Consensus Estimate for 2026 and 2027 earnings per share suggests year-over-year growth of 98.59% and 2813.17%, respectively.
Image Source: Zacks Investment Research
BA Stock Trading at a Discount
Boeing is trading at a discount relative to the industry, with a forward 12-month price-to-sales of 1.65X compared with the industry average of 2.57X.
Image Source: Zacks Investment Research
BA Stock Price Performance
Over the past year, Boeing shares have risen 9.1% compared with the industry’s 3.4% growth.
View the Zacks #1 Rank List
Image: Bigstock
How Could Boeing's MUOS Contract Boost Its Space Business?
Key Takeaways
The Boeing Company (BA - Free Report) could strengthen its position in the defense space market through its latest Mobile User Objective System (“MUOS”) award. It supports the development of advanced military satellite communications capabilities, an area that remains a strategic priority for the U.S. government. The program is expected to provide Boeing with long-term work in satellite design, integration and mission support while reinforcing its role in national security space programs.
The company recently secured a $2 billion contract for the MUOS service life extension Phase II effort. Awarded by the Space Systems Command at Los Angeles Air Force Base, CA, the contract covers the design, development, construction, launch support and on-orbit testing of two new MUOS satellites that will help extend the military communications network's operational life. The award could also support backlog growth, improve revenue visibility and enhance Boeing's standing as a provider of space-based defense solutions.
The satellites are intended to support long-term military communication requirements and reinforce Boeing's role in space-based defense systems. The work will be performed in El Segundo, CA, with completion expected by Sept. 30, 2035, supporting Boeing's presence in military satellite communications and national security space programs.
Boeing and its subsidiary, Millennium Space Systems, are scaling production capacity and expanding their satellite offerings to address increasing demand across defense and commercial markets. As part of these efforts, the companies recently introduced Resolute, a new mid-sized satellite platform designed to deliver enhanced capabilities while offering faster deployment and greater flexibility than traditional large satellite programs.
Companies Expanding Space Communications Capabilities
As governments continue to invest in secure satellite communications and military space infrastructure, defense contractors are expanding their capabilities to support these evolving requirements. Companies like L3Harris Technologies, Inc. (LHX - Free Report) and Northrop Grumman Corporation (NOC - Free Report) are also strengthening their positions in national security space programs.
L3Harris Technologies provides advanced satellite communications systems, mission networks and space technologies that help support defense and national security objectives.
Northrop Grumman develops satellite platforms, secure communications solutions and ground-based infrastructure that enhance military and space operations.
Earnings Estimates for BA Stock
The Zacks Consensus Estimate for 2026 and 2027 earnings per share suggests year-over-year growth of 98.59% and 2813.17%, respectively.
Image Source: Zacks Investment Research
BA Stock Trading at a Discount
Boeing is trading at a discount relative to the industry, with a forward 12-month price-to-sales of 1.65X compared with the industry average of 2.57X.
Image Source: Zacks Investment Research
BA Stock Price Performance
Over the past year, Boeing shares have risen 9.1% compared with the industry’s 3.4% growth.
Image Source: Zacks Investment Research
BA’s Zacks Rank
Boeing currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.