(This story is for CNBC PRO subscribers only.) Morgan Stanley began coverage of Maxar Technologies with an overweight rating, seeing a 50% climb for the space stock in the year ahead. Shares of the satellite imagery and space infrastructure company rose 1.9% in trading to close at $33.76 on Friday. The stock is down 12% this year, but has doubled over the past 12 months with the company in the midst of a multiyear turnaround . "We see revenue growth accelerating as the company launches its Legion constellation of satellites. Margin expansion opportunity is evident as its Space Infrastructure business stabilizes and diversifies into the [U.S. government] market," Morgan Stanley analyst Matthew Sharpe wrote in a note to investors on Thursday. Morgan Stanley has a $50 price target on Maxar shares, just below the $52 price target Goldman Sachs gave the stock last month . The Pentagon and U.S. intelligence agencies are a key revenue stream for Maxar's earth imagery business. Morgan Stanley's Sharpe highlighted that the shares dropped after Maxar delayed the launch of its new WorldView Legion satellites, from the third quarter to the fourth quarter of this year, but the analyst believes the recent selloff "is overdone." "Revenue growth should improve as the company's planned WorldView Legion constellation begins to come online later this year," Sharpe said. "These satellites will fill unmet demand and we expect them to contribute ~10% revenue growth by 2023." Additionally, Sharpe wrote that Maxar's space infrastructure business "has been under-earning, with losses in both of the last two years." Morgan Stanley expects the business should return to profitability in the near future, after Maxar made changes to the unit's structure and "a more disciplined approach to bidding" for contracts to build spacecraft and satellites. "The path to margin expansion is an easy one," Sharpe added. – CNBC's Michael Bloom contributed to this report.