03:20 PM EDT, 05/05/2025 (MT Newswires) -- The White House released its high-level budget request for FY26 last Friday, calling for total NASA funding levels of US$18.8 billion, a (24.3%) from $24.8 billion in FY25's enacted budget. The proposal outlined by the Trump Administration is a request.

The Administration has outlined cutting the Lunar Gateway mission, a key component of NASA's Artemis program, which would provide for a new space station in orbit. MDA Space ( MDALF ) has been contracted by Canadian Space Agency (CSA) to provide robotic functionality to the space station via their Canadarm3 (C3) program. However, with the planned funding change, the program could be at greater risk.

RBC estimates the C3 program represents $300 million in 2025 revenue for MDA, or ~18% of total 2025 revenue. The company has a $1 billion contract with the Canadian Space Agency for the design phase of the contract. Analyst Ken Herbert sees no risk to the ongoing Canadarm2 support funding, which itself represents ~5% of 2025 estimated revenues. If the U.S. does wind down the Lunar Gateway program, the CSA would continue to fund the Canadarm3 program, a view shared by MDA management.

MDA also has involvement with several commercial space station development efforts and its robotic technology will play a role on commercial efforts, to the extent they are successful in offsetting a potential reduction in NASA funding.

MDA is rated Outperform, with a $35 target.

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