Here's the thing about space stocks: they're having a moment, but nobody seems quite sure if it'll last. A potential SpaceX IPO in 2026 could change that calculus entirely, adding serious momentum to a sector rally that's already underway. The Procure Space ETF (UFO) stands to benefit, and according to Procure Holdings CEO Andrew Chanin, 2026 might finally be the year this "misunderstood" sector gets its due.
Why Space Could Actually Matter This Year
President Donald Trump recently signed an executive order putting space stocks in the spotlight as the new year kicks off. That's nice and all, but it could just as easily fizzle out as turn into something bigger.
The real catalyst? The reported SpaceX IPO, which could slap a $1.5 trillion valuation on Elon Musk's space venture. That kind of public offering wouldn't just be big—it could fundamentally reshape how investors value the entire space sector, Chanin tells MarketDash.
"Anything is possible," Chanin says.
The key insight here is that space technologies aren't just about rockets and satellites floating around for their own sake. They "make our lives better here on Earth," he explains. Think communications infrastructure and data centers orbiting overhead, quietly improving how we live down here.
"Before we launched UFO, space was misunderstood. And what I'm hoping is that, if we did see a mega headline IPO in something like SpaceX, it would bring the serious analysts out to say, 'Okay, yes, I understand where we are right now.'"
Consider this: artificial intelligence, 5G networks, cloud computing, internet of things, connected devices, blockchain, cryptocurrency—all these buzzwords are pulling in billions of investment dollars.
"And there is a common thread with all of these and it's that space helps enable these technologies."
The Picks and Shovels Argument
Chanin draws a comparison to the gold rush, noting that the real money went to the folks selling picks and shovels, not necessarily the prospectors themselves.
"A lot of these space companies are in a similar position where they're this connective tissue, the toll operator for the digital data superhighway," Chanin explains.
Space functions as the ultimate "toll operator," he argues. Data travels from point A to point B—either bouncing through space back to Earth, or starting on Earth, routing through space, and landing back down. Every time that happens, someone's collecting the toll.
"I think if more people had that understanding or appreciation of space, maybe that would be what could unlock that next level of space interest and potentially investment."
The Procure Space ETF currently holds these companies as its top five positions:
- Rocket Lab Corporation (RKLB): 5.6% of assets
- Planet Labs (PL): 5.4% of assets
- EchoStar Corporation (SATS): 4.8% of assets
- AST SpaceMobile (ASTS): 4.7% of assets
- Trimble Inc (TRMB): 4.5% of assets
Chanin recently outlined five space stocks that investors might want to watch in 2026, particularly given the potential SpaceX IPO catalyst. Whether the sector finally breaks through or remains misunderstood, the infrastructure play is getting harder to ignore.