Here Are 7 Space Stocks Poised to Rally as Jeff Bezos & Elon Musks' AI Orbital Rivalry Continues

The escalating rivalry between Elon Musk and Jeff Bezos to deploy AI data centers in orbit is redirecting massive capital expenditure and creating a new investing roadmap for Earthly stocks. The central driver is solving the power constraint facing AI expansion; orbital solar power is seen as a way to scale computation far beyond the limits of Earth's electrical grid.TipRanks Cyber Monday Sale Claim 60% off TipRanks Premium for data-backed insights and research tools you need to invest with confidence. Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off This "compute in orbit" narrative is creating investment opportunities across two key categories: the specialized Space Infrastructure needed for the satellites, and the Terrestrial Grid Technology that will still dominate near-term AI spending. Sector 1: Space Infrastructure Plays Are Poised to Launch The initial building phases of orbital AI will immediately boost companies that supply the components and launch services, validating a stock rally in these names. Rocket Lab (RKLB) is a primary winner. As a leading launch provider, the stock is currently rated a "Moderate Buy" with an average 12-month target of $65.17, benefiting from the potential boom in missions required to deploy these new AI-capable satellites. Redwire (RDW), the "nuts and bolts" supplier of space-qualified components, also carries a "Moderate Buy" consensus rating with analysts targeting $11.88, though its high volatility (Beta of 2.49) reflects the inherent risks of the aerospace sector. Finally, Microchip Technology (MCHP), rated a "Moderate Buy" with an average price target of $72.73, is a direct way to play the demand for space-grade, radiation-tolerant silicon, which is essential for the extreme environment of orbital AI computing. Sector 2: Terrestrial Grid & Power Plays Offer Immediate Upside Even with the space focus, analysts agree that the "dominant spend path" for billions in capital remains the massive power infrastructure buildout on Earth. This guarantees a strong rally in "Grid Tech" stocks. Eaton (ETN) sits at the heart of the AI power story, managing the distribution systems for high-density data centers. The stock has a "Strong Buy" consensus with an average target of $425.25, representing a potential 21.4% upside from its current price. Vertiv (VRT), a leader in critical power and cooling infrastructure, is also rated a "Strong Buy" with an average target of $203.25, fueled by the immense heat generated by AI servers. Its earnings are forecast to grow robustly at over 24% per year. Supporting these leaders are companies like Hubbell (HUBB) and Quanta Services (PWR), which provide the essential electrical components and physical construction services, respectively, to modernize the grid and handle the huge new data center load. Quanta Services is rated a " Moderate Buy" with an average price target of $466.91, offering visibility into strong future growth from large projects. Investors can compare all these stocks side-by-side based on various financial metrics and analyst ratings on the TipRanks Stocks Comparison Tool. Click on the image below to explore the tool.