Stifel sees Terran Orbital’s new contract win as ‘important milestone’

Commenting on Terran Orbital’s announcement that it has been awarded a $2.4B contract to act as a prime contractor for the design, build and deployment of 300 communications satellites, inclusive of 12 in-orbit spare satellites, for Rivada Space Networks planned LEO constellation, Stifel says this is an "important milestone and contract win" for Terran as it signifies its transition from a one-off satellite provider to a manufacturer of scale spacecraft. The firm also sees this as lending support and offering visibility into the company’s long-term forecast, as one of several large deals the company is currently tracking, but have yet to announce. Further, Stifel also views the growing backlog as an early indicator of steadily improving business fundamentals. Overall, the firm continues to see Terran separating themselves as a leading player in the defense industry. Stifel has a Buy rating on the shares.