Redwire (RDW) Is Up 14.1% After $44 Million DARPA Deal and Space Data Center Buzz - What's Changed

• Earlier this month, Redwire Corporation presented at the 14th Annual ROTH Deer Valley Event, highlighting its $44 million DARPA Otter VLEO mission contract, the integration of Edge Autonomy, and recent facility expansion in Michigan.
• Investor attention is also being drawn to Redwire’s potential role in emerging space-based data center projects alongside existing partners Blue Origin and SpaceX, which could broaden its foothold in next-generation space infrastructure.
• Now we’ll examine how the $44 million DARPA contract reshapes Redwire’s investment narrative and its evolving space infrastructure ambitions.

These 11 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.

Redwire Investment Narrative Recap

To own Redwire, you need to believe that demand for advanced space and defense infrastructure will translate into sustained contract wins and a clearer path to profitability. The new US$44 million DARPA Otter VLEO award reinforces that opportunity in the near term, while the biggest risk remains execution on complex fixed price programs and the timing of government funding, which could still disrupt margins and revenues despite the recent share price rebound.

The DARPA Otter VLEO contract is the most relevant recent announcement here, because it directly strengthens Redwire’s position in very low Earth orbit solutions, a core part of its space infrastructure story. Coupled with the Edge Autonomy integration and the new Michigan facility focused on UAS energy systems, it supports the catalyst of growing exposure to funded defense and space programs, even as cost overruns on complex projects continue to be a key issue to watch.

However, investors should also be aware that ongoing volatility in large government contracts could still...

Read the full narrative on Redwire (it's free!)

Redwire's narrative projects $887.3 million revenue and $73.2 million earnings by 2028.

Uncover how Redwire's forecasts yield a $13.22 fair value, a 81% upside to its current price.

Exploring Other Perspectives

Thirteen fair value estimates from the Simply Wall St Community span roughly US$0.87 to US$38.41 per share, showing how far apart individual views can be. As you compare those to Redwire’s recent DARPA contract momentum and ongoing contract execution risks, it becomes even more important to weigh several different perspectives before deciding how this stock fits into your portfolio.

Explore 13 other fair value estimates on Redwire - why the stock might be worth over 5x more than the current price!

Build Your Own Redwire Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Redwire research is our analysis highlighting 1 key reward and 3 important warning signs that could impact your investment decision.
• Our free Redwire research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Redwire's overall financial health at a glance.

Seeking Other Investments?

Our top stock finds are flying under the radar-for now. Get in early:

• The end of cancer? These 29 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's.
• Find companies with promising cash flow potential yet trading below their fair value.
• AI is about to change healthcare. These 30 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com