Blue Origin Becomes the First Company to Take a Paying Passenger to Space. What It Means for Investors.

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The bigger space race is in what investors can think of the industrial space economy. Small-capitalization commercial space stocks such as Astra that aren’t focused on consumer-driven tourism have a combined market capitalization of about $14 billion.

Jeff Bezos rocketed into history on Tuesday when his company successfully carried the first paying customer to space and back. The 10-minute flight from a tiny town in Texas to the edge of space is the second successful launch in a matter of weeks for the fledgling commercial space tourism industry.

“You have a very happy crew up here,” Blue Origin’s Bezos told mission control during the crew’s descent. This was the first space tourism flight with paying passengers. In June, someone bid $28 million for a seat on the trip in an auction that saw almost 7,600 bidders from around the world. Blue Origin said last week that the original bidder had a scheduling conflict and that Daemen’s father stepped in to buy the ticket. Daemen is the youngest person to travel to space.

The Blue Origin success might be impacting Virgin Galactic stock, which was down about 8% in midday trading. The S&P 500, for comparison, was up about 1.3%.

 

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