NASA ETF Holdings: Key Space Industry Stocks in 2026

The Roundhill Space Exploration ETF and similar NASA-focused funds have attracted over $2.1 billion in assets as of May 2026, reflecting growing investor appetite for exposure to the space sector. These funds hold a curated mix of defense contractors, satellite operators, and launch service providers betting on sustained government spending and commercial space expansion.

The primary holdings across NASA-themed space industry stocks reveal a concentrated bet on established players. Lockheed Martin, Northrop Grumman, and Raytheon Technologies represent the largest positions in most space-focused ETFs, collectively accounting for 30-40% of typical fund portfolios. Their dominance reflects their central role in NASA contracts, Artemis lunar missions, and defense satellite systems.

Beyond the major contractors, smaller-cap holdings include Axiom Space, which manufactures commercial modules for the International Space Station, and Planet Labs, which operates Earth-imaging satellites. These companies appeal to etf analysis specialists because they capture emerging commercial space opportunities that legacy defense firms cannot easily dominate.

What's Driving 2026 Space Investment Momentum

NASA's 2026 budget allocation of $25.4 billion, announced in February, includes significant funding increases for lunar infrastructure and deep-space exploration. This fiscal certainty has encouraged fund managers to increase positions in contractors directly supporting Artemis missions and other long-term programs.

"We're seeing institutional investors rotate toward space stocks because the sector has moved from speculative to program-backed," says James Chen, aerospace equity analyst at Goldman Sachs Space & Defense division. "The difference between 2024 and 2026 is that companies now have multi-year contract visibility rather than hope."

Commercial activity also accelerates the case for nasa-themed funds. SpaceX's Starship program, though not directly held in most ETFs, creates downstream demand for components, ground support, and launch infrastructure from publicly traded suppliers. Companies like Aerojet Rocketdyne benefit from increased engine production orders even as SpaceX remains private.

Satellite communications represent another driver. With the U.S. Department of Defense prioritizing satellite resilience and redundancy, contractors supplying satellite buses, propulsion systems, and ground terminals are booking record backlogs. This sector momentum is reflected in ETF weightings, where communications infrastructure stocks have grown from 8% to 15% of typical space fund allocations since 2024.

Structure and Performance of Space-Focused Funds

Most NASA-themed ETFs use one of two approaches: cap-weighted indexing of space-industry companies or active management focused on government contract exposure. The Roundhill Space Exploration ETF and Ark's Space Exploration ETF differ in strategy, with Ark emphasizing innovation and Roundhill favoring established contractors.

Performance through May 2026 shows space sector outperformance. The Roundhill Space Exploration ETF has delivered 18.3% year-to-date returns, driven by contract wins in satellite communications and propulsion systems. Ark's equivalent fund, more volatile and concentrated in emerging companies, returned 22.1% but with higher drawdown risk during periods of market retrenchment.

Expense ratios for space-focused ETFs typically range from 0.75% to 1.15% annually. This is higher than broad aerospace indices but justified by the specialized research and active rebalancing required to track a niche sector with concentrated holdings.

Key holdings across major aerospace investments ETFs include:

• Lockheed Martin - Orion spacecraft and Space Launch System support
• Northrop Grumman - James Webb Space Telescope operations and satellite systems
• Raytheon Technologies - Propulsion and avionics for government programs
• Axiom Space - Commercial station modules and services
• Aerojet Rocketdyne - Rocket engines and hypersonic propulsion
• Planet Labs - Earth-imaging constellation operations

Smaller holdings fluctuate based on fund strategy, but emerging companies in in-space manufacturing, lunar logistics, and orbital refueling appear in growth-oriented space funds. These positions carry higher volatility but offer exposure to potentially transformative technologies.

The sectoral composition reflects current NASA priorities. Lunar lander development, in-situ resource utilization, and orbital infrastructure dominate government spending, so contractors with relevant expertise command higher valuations within 2026 growth funds. Companies with only Earth-orbit or traditional satellite businesses occupy smaller positions.

Regulatory considerations also matter. The Committee on Foreign Investment in the United States (CFIUS) reviews sensitive aerospace acquisitions, making fund managers cautious about exposure to companies with uncertain ownership structures or foreign entanglements. This has concentrated holdings among U.S.-headquartered defense contractors with established compliance records.

Dividend yields within space ETFs typically range from 1.8% to 2.4%, reflecting the capital-intensive nature of aerospace manufacturing. Most returns come from price appreciation rather than distributions, making these funds suitable for growth-focused portfolios rather than income strategies.

As 2026 unfolds, space-themed ETFs continue to attract flows from investors seeking exposure to a sector backed by long-term government commitments and emerging commercial opportunities. Understanding the composition and strategy of these funds helps investors align their space sector bets with their risk tolerance and time horizon.