Looking for Exposure to SpaceX Stock (SPCX)? Consider These Two ETFs
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Looking for Exposure to SpaceX Stock (SPCX)? Consider These Two ETFs

Markets Insider10d ago

After SpaceX's (SPCX) high-profile IPO last month, investors are looking for ways to get exposure to the company's fast growth in launch services, Starlink, and new AI‑compute deals. Following the company's recent inclusion into the Nasdaq-100 Index (NDX) on July 7, several ETFs added the stock to their portfolios. Currently, investors could consider investing in these two ETFs: Roundhill Space & Technology ETF (MARS) and VanEck Space ETF (WARP).

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Roundhill Space & Technology ETF (MARS)

MARS is an actively managed fund that invests in companies tied to the growing space economy. Its portfolio includes firms involved in launch services, satellite networks, space hardware, communications, and emerging orbital technologies. SPCX stock constitutes 22.86% of the ETF's holdings.

Some other top holdings in the MARS ETF include Rocket Lab USA (RKLB), AST SpaceMobile (ASTS), and ViaSat (VSAT). Overall, the ETF has $66.72 million in assets under management (AUM) and an expense ratio of 0.75%.

On TipRanks, the MARS ETF has a Moderate Buy consensus rating based on 18 Buys and 12 Holds assigned in the last three months. The average MARS ETF price target of $40.18 implies 43.91% upside potential.

VanEck Space ETF (WARP)

WARP is a passively managed ETF, designed to track the performance of the MarketVector Space Index. The ETF targets four core sectors of the space economy, which include satellite communications, rockets and propulsion systems, Earth observation and data analytics, and space exploration. SpaceX stock accounts for 21.58% of WARP's total holdings.

Apart from SPCX, some of the top stocks in the WARP ETF are Iridium (IRDM), Planet Labs (PL), and Rocket Lab. Overall, the ETF has $41.25 million in AUM. Also, it has an expense ratio of 0.5%.

Turning to Wall Street, the ETF has a Moderate Buy consensus rating. Of the 21 stocks held, 15 have Buy ratings and six have Hold ratings. The average WARP ETF price target of $32.96 implies a 48.51% upside potential.

Bottom Line

Investors who want exposure to the space boom around SpaceX can look at MARS and WARP, two ETFs that hold SPCX and offer diversified access to the sector. Both give exposure to companies tied to the same demand drivers, such as satellite growth, launch activity, and new space tech adoption.

Originally published by Markets Insider

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