Should Investors Buy Up SpaceX Stock or This TSX Winner?

Space stocks just got louder. SpaceX’s (NASDAQ:SPCX) market debut gave investors a rare spectacle. SpaceX stock raised US$85.7 billion after underwriters exercised their greenshoe option, making the offering the largest initial public offering in history. Shares priced at US$135 quickly surged, pushing SpaceX stock into mega-cap territory of US$2.44 trillion almost overnight.

So, should investors chase SpaceX stock now? Maybe, but Canadian investors don’t need to cross the border for a space winner. MDA Space (TSX:MDA) gives them a TSX-listed way to invest in the same massive theme, without buying into the hottest new Wall Street trade on day one.

SPCX

But first, SpaceX stock deserves attention. The company reshaped rocket launches, built Starlink into a global satellite internet force, and turned space from a government-only industry into a commercial race. Its ambitions stretch from reusable rockets to broadband, defence, lunar missions, and eventually Mars. Few companies can match that story.

But investors need to separate a great company from a great stock. SpaceX stock now carries huge expectations. Its first-day pop is already priced in plenty of future success. Early initial public offering trading can also swing hard, especially when investors pile in because they fear missing out. A company can change the world and still give late buyers a rough ride if the valuation runs too far ahead of the business. So, let’s look within our own borders.

MDA

MDA Space looks interesting right now. The Canadian company doesn’t have the same celebrity factor, but it sits directly inside the growing space economy. MDA builds satellite systems, robotics, geointelligence technology, and mission-critical space infrastructure. Its history includes Canadarm technology, and its future ties to commercial satellites, defence demand, lunar work, and space-based communications.

Space spending no longer feels like science fiction. Governments want better defence systems. Companies want stronger satellite networks. Countries want secure communications and better Earth observation. Artificial intelligence also needs more data, and satellites can help collect it. This creates demand for suppliers that can actually build hardware, deliver systems, and win contracts.

The latest results back up the story. In the first quarter of 2026, MDA reported revenue of $464.1 million, up 32.2% from last year. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 32% to $91 million. The company also ended the quarter with a $3.7 billion backlog, giving it revenue visibility into 2026 and beyond.

Considerations

MDA also gives investors a cleaner entry point into space than many speculative names. It already sells into commercial and government markets. It doesn’t rely on one rocket launch, one prototype, or one dream. Its satellite systems business continues to scale, and its work with major partners gives it credibility.

The risks still exist, however. MDA shares have already climbed hard, so the stock may not look cheap. Large space contracts can face delays. Margins can shift as the company scales production. Competition also keeps growing as governments and private companies pour money into satellites, defence, and communications. Investors should expect volatility, not a smooth ride.

Still, MDA’s advantage comes from focus. SpaceX stock grabs the front-page moment. MDA offers the picks-and-shovels angle. It helps build the systems space companies and governments need. That can make it a more practical stock for investors who want exposure to the space boom without chasing one of the most hyped IPOs ever.

Bottom line

In short, I wouldn’t dismiss SpaceX stock. It may become one of the defining public companies of the next decade, but I’d hesitate before buying after such a massive debut. For Canadian investors, MDA Space looks like the smarter stock to watch closely today. It has momentum, real revenue, a strong backlog, and a clear role in a market still in its early innings. SpaceX stock may own the spectacle, but MDA may offer the better setup.

The post Should Investors Buy Up SpaceX Stock or This TSX Winner? appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends MDA Space. The Motley Fool has a disclosure policy.