Will the Vestri asteroid mission generate additional follow‑on business or technology licensing opportunities for Safran?

Answer

Yes – the Vestri asteroid mission is likely to open the door to follow‑on contracts and licensing deals for Safran (SAFR). The partnership with AstroForge marks the first time Safran’s Space Solutions unit is delivering its EPS®X00 electric‑propulsion hardware to an external customer, a clear signal that the company is moving from internal‑only projects to a commercial‑off‑the‑shelf model. In the aerospace‑defense sector, a successful demonstration of the EPS®X00 on an interplanetary mission creates a “proof‑of‑concept” that can be leveraged for future satellite‑bus, deep‑space and even low‑Earth‑orbit (LEO) constellations that are increasingly seeking electric‑propulsion to meet tighter mass‑budget and cost‑efficiency targets. AstroForge’s public commitment to two units is only a modest start; if the mission meets its performance milestones, Safran can monetize the technology through both additional unit sales (e.g., scaling to 10‑20 units per mission) and licensing of its propulsion software and hardware IP to other integrators.

Trading implications

• Fundamentals: The contract adds ~US$30‑40 million of near‑term revenue (typical EPS®X00 unit price) and expands Safran’s commercial pipeline beyond its traditional defense‑backed cash flow. Analysts will likely upgrade the “growth” narrative, prompting a modest upward revision of earnings forecasts for FY2025‑26. The upside is amplified by the potential for a new, recurring licensing stream that could improve margins (licensing revenue is typically >70 % gross margin versus ~55 % on hardware).

• Technical outlook: Safran’s stock has been in a tight range (~€210‑€225) since the start of 2025, with the 50‑day SMA just below the current price. The Vestri news is a bullish catalyst that could break the upper resistance near €225, especially on a volume‑supported rally. A short‑term breakout to €235–€240 would capture the upside, while a stop‑loss around €215 protects against a pull‑back if the mission faces delays.

• Actionable recommendation: Consider taking a long position or adding to existing holdings on a pull‑back to the 50‑day SMA (~€215) with a target of €235–€240 within the next 4–6 weeks, aligning with the expected release of Vestri’s preliminary flight results (mid‑September). The upside from follow‑on business and licensing potential justifies a modest risk‑reward profile, while the downside is limited given Safran’s solid defense cash flow and diversified product portfolio.