Key TakeawaysGoldman Sachs reduced YSS’s price target by half, dropping it from $28 down to $14, keeping a Neutral stance on the stock.The satellite manufacturer decreased its 2026 revenue forecast midpoint by 32%, lowering expectations from $570 million to $390 million.Management attributed the revenue downgrade to supply chain constraints and postponed contract decisions.Shares fell 4.3% to $9.36 during early Tuesday sessions, marking a 51% decline over the previous month.Wall Street’s consensus price target has tumbled to $19.50 from $33 recorded in early August.Shares of York Space Systems (YSS) tumbled 4.3% to $9.36 during early Tuesday trading hours following a dramatic decision by Goldman Sachs to slash its price target by 50%, reducing it from $28 down to $14.York Space Systems, Inc., YSSWhile Goldman preserved its Neutral stance on the satellite manufacturer, the investment bank pointed to the company’s substantial revenue forecast reduction and intensifying competitive pressures within the aerospace industry as primary factors driving the target adjustment.The dramatic forecast revision occurred on August 13 during York’s second-quarter earnings announcement. Company leadership adjusted its 2026 revenue expectations to a bracket of $375 million to $405 million. This new midpoint of $390 million represents a significant 32% decrease from the previously communicated midpoint of $570 million.York attributed the downward revision to ongoing supply chain difficulties and postponements in receiving anticipated contract awards. Market participants have responded negatively to these developments.Over the last month alone, the stock has plummeted 51%. To provide perspective, YSS debuted on public markets through a January initial public offering at $34 per share.Wall Street Turns CautiousSentiment among financial analysts has grown considerably more reserved. In early August, 70% of analysts tracking YSS maintained Buy ratings. That percentage has now decreased to 50%, based on FactSet data.The consensus price target among analysts has experienced a steep decline as well, falling from $33 at the beginning of August to the current level of $19.50. Goldman’s newly established $14 target represents a substantial discount to that consensus figure.At current levels, the revised average target implies a valuation of approximately 4 times projected 2027 revenue. This valuation multiple has remained relatively stable despite the guidance reduction. What has fundamentally shifted is the underlying sales projection, which has been marked down to roughly $500 million from a recent estimate of $850 million.Space Force Contract Unable to Stem DeclineTuesday’s stock decline persisted despite encouraging operational developments. York announced its selection to take part in the U.S. Space Force’s Space Data Network Backbone initiative.This defense program aims to maintain dependable space-based communication infrastructure for military operations. York’s role will involve producing satellites and related hardware components for the initiative.However, news of the contract award proved insufficient to counterbalance investor anxiety surrounding the revenue guidance cut and Goldman’s price target reduction.York specializes in manufacturing satellites and space infrastructure for both commercial clients and defense organizations. Goldman acknowledged that although York maintains a substantial defense contract pipeline and expanding commercial prospects, increasing competitive pressure presents ongoing challenges.The broader S&P 500 index gained 0.2% during early Tuesday trading, further highlighting YSS’s underperformance relative to the market.The post York Space Systems (YSS) Stock Plummets as Goldman Sachs Slashes Price Target by Half appeared first on Blockonomi.