Three dividend-paying space stocks aim for profitable orbits as the industry seeks to launch past 2022’s weak performance amid Russia’s war in Ukraine.

The three dividend-paying space stocks offer income payouts and potential share price appreciation. Part of the reason many space stocks struggled in 2022 stemmed from weak results of special-purpose acquisition companies (SPACs) that operate as shell organizations to merge with private companies.

SPACs serve as an alternative to traditional initial public offerings (IPOs), and typically have no tangible assets other than the cash they obtained from investors. Transactions involving private companies going public through a combination with a SPAC are called de-SPACs.

Long Beach, California-based Rocket Lab (NASDAQ: RKLB) became the space industry’s top-performing de-SPAC last year among the stocks tracked by BofA Global Research, yet RKLB still underperformed the S&P 500, which dropped 19.44% in 2022. In fact, the S&P 500 endured its worst performance in 14 years. Astra Space (NASDAQ: ASTR), the worst-performing stock in BofA’s coverage universe, traded down 94% last year.

“We believe the strong underperformance of these names can be attributed to a multitude of factors — general de-SPAC discount, limited institutional ownership and pre-earnings nature of most businesses,” BofA wrote in a recent research note.

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Three Dividend-paying…