Assessing MDA Space (TSX:MDA) Valuation After New Wireless Power Partnership With Bumblebee Power
MDA Space (TSX:MDA) recently announced a collaboration with Bumblebee Power to develop high-frequency inductive wireless power transfer systems for space. This partnership focuses on addressing technical hurdles such as lunar dust interference and challenges with physical connectors.
See our latest analysis for MDA Space.
While this partnership highlights MDA Space’s momentum in advanced space technologies, the stock has faced sharp 30-day and 90-day share price returns of -41.99% and -52.47% respectively, suggesting that recent excitement around innovation hasn’t countered the market’s risk perception. Still, its three-year total shareholder return remains very strong, showing the company’s longer-term story is far from over.
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With a dramatic drop in share price, but robust long-term returns and high analyst price targets, investors are left wondering if MDA Space is now trading at a steep discount or if markets have already priced in all the future growth.
Most Popular Narrative: 51% Undervalued
With MDA Space’s narrative fair value at CA$44.08 and the last close at CA$21.43, there is a substantial gap. This suggests the story behind this stock is far from priced in and sets the stage for a closer look at the underlying assumptions fueling such an outlook.
We expect MDA Space’s revenue to reach 2.5 billion by 2028. We expect a profit margin of between 9% and 10% by 2028.
Read the complete narrative.
What if the next phase of growth is already underway? This narrative centers on the potential for outsized expansion and stronger margins than the market expects. Is MDA Space preparing for lift-off with numbers that defy industry trends? Find out what forecasts are driving this ambitious price target.
Result: Fair Value of $44.08 (UNDERVALUED)
Have a read of the narrative in full and understand what’s behind the forecasts.
However, significant risks remain, such as exposure to government contracts and the impact from potential delays to Artemis missions. These factors could influence future growth.
Find out about the key risks to this MDA Space narrative.
Another View: Discounted Cash Flow Lens
Taking a look through the SWS DCF model, the result challenges the earlier optimism. According to this view, MDA Space is currently trading above the DCF fair value estimate. This kind of gap raises important questions about which set of assumptions will ultimately win out.
Look into how the SWS DCF model arrives at its fair value.
MDA Discounted Cash Flow as at Nov 2025
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out MDA Space for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 870 undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match – so you never miss a potential opportunity.
Build Your Own MDA Space Narrative
Alternatively, if these conclusions do not align with your own research, explore the data and craft your own perspective in just a few minutes: Do it your way
A great starting point for your MDA Space research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.
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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.
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