Firefly Aerospace (NASDAQ: FLY) Soars on $1.3 Billion Rocket Engine Deal with AST SpaceMobile (NASDAQ: ASTS)

• Jefferies reiterated a Buy rating for Firefly Aerospace, with the stock trading at $17.71.
• Firefly Aerospace secured a significant $1.30 billion rocket engine agreement with AST SpaceMobile for Miranda and Vira engines.
• The deal includes engine supply, licensing for manufacturing, and provides crucial funding for Firefly's launch vehicle production and technology advancement.

Firefly Aerospace (NASDAQ: FLY) makes rocket engines and launch vehicles. On November 6, 2026, Jefferies reiterates its Buy rating on Firefly, with the stock trading at $17.71 when the update is posted. A Buy rating means the firm expects the stock to perform well, but it does not guarantee a gain.

The update comes as Firefly announces a rocket engine agreement with AST SpaceMobile (NASDAQ: ASTS) worth more than $1.30 billion, as highlighted by Benzinga. AST SpaceMobile is developing a heavy-lift rocket, and Firefly supplies engines for the first three rockets under the three-year deal.

Firefly agrees to deliver 27 Miranda engines and nine Vira vacuum-variant engines. It also licenses AST SpaceMobile to manufacture the engines and provides engineering support, while keeping ownership of its engine intellectual property. That means Firefly retains the rights to its engine designs even as AST SpaceMobile gains permission to use them.

Payment includes cash and AST SpaceMobile Class A shares. The shares are subject to lock-up periods, which restrict when Firefly can sell them. Firefly says the agreement provides funding to speed up production of its own launch vehicles and advance its technology plans.

Firefly trades at $17.58, up $2.40, or 15.82%, in the reported session. The stock ranges from $16.31 to $17.97 that day. Benzinga also notes that gains in space and defense stocks may partly reflect a broader rebound after concerns about military spending weigh on the sector the previous day.