Rocket Lab (NASDAQ:RKLB) Hits New 1-Year High – Here’s Why
by Doug Wharley · The Cerbat GemRocket Lab Corporation (NASDAQ:RKLB – Get Free Report) hit a new 52-week high on Tuesday . The stock traded as high as $81.98 and last traded at $81.8460, with a volume of 21073876 shares trading hands. The stock had previously closed at $78.14.
Key Stories Impacting Rocket Lab
Here are the key news stories impacting Rocket Lab this week:
- Positive Sentiment: Big government contract: Rocket Lab won an $816 million prime award to build 18 missile-defense satellites for a Space Force program — a material, credibility-boosting government win that helped spark the recent rally. Read More.
- Positive Sentiment: Record highs and sector tailwinds: RKLB hit consecutive all-time highs as investor interest in space/defense names and retail momentum accelerated, supporting market capitalization expansion and technical breakouts. Read More.
- Positive Sentiment: Revenue and execution narrative: Recent quarters showed strong top-line growth and analysts are focusing on contract pipeline and launch cadence as proof points for the growth story. Read More.
- Neutral Sentiment: Debate on timing: Several pieces weigh whether the current run makes RKLB “too late” for new buyers — useful framing for entry strategy but not a direct catalyst. Read More.
- Neutral Sentiment: Analyst/feature coverage: Coverage from Forbes, Seeking Alpha and Zacks highlights momentum and upcoming catalysts (Neutron, launches, contract flow) — these shape expectations but contain mixed valuation views. Read More.
- Negative Sentiment: Insider selling: Multiple insider sales were disclosed (including Frank Klein selling ~100k shares and other high-profile transactions noted in filings), which has increased selling pressure and raised investor scrutiny. Read More.
- Negative Sentiment: Valuation risk: Commentators warn the post-rally valuation is stretched — if Neutron timelines slip or execution disappoints, the stock could give back gains. Read More.
Wall Street Analyst Weigh In
Several analysts have recently commented on the company. Cantor Fitzgerald reissued an “overweight” rating on shares of Rocket Lab in a research note on Wednesday, December 3rd. Baird R W upgraded Rocket Lab to a “strong-buy” rating in a report on Thursday, October 16th. Robert W. Baird initiated coverage on Rocket Lab in a research report on Wednesday, October 15th. They issued an “outperform” rating and a $83.00 price target for the company. Morgan Stanley dropped their price objective on Rocket Lab from $68.00 to $67.00 and set an “equal weight” rating on the stock in a research note on Wednesday, November 12th. Finally, Citigroup reiterated a “market perform” rating on shares of Rocket Lab in a research note on Wednesday, November 12th. Two research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Rocket Lab currently has a consensus rating of “Moderate Buy” and a consensus price target of $61.25.
Check Out Our Latest Stock Report on Rocket Lab
Rocket Lab Stock Performance
The company has a market cap of $44.38 billion, a P/E ratio of -218.63 and a beta of 2.16. The company has a quick ratio of 2.83, a current ratio of 3.18 and a debt-to-equity ratio of 0.32. The company’s 50-day moving average is $57.54 and its two-hundred day moving average is $51.78.
Rocket Lab (NASDAQ:RKLB – Get Free Report) last released its earnings results on Monday, November 10th. The rocket manufacturer reported ($0.03) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.05) by $0.02. The firm had revenue of $155.08 million during the quarter, compared to the consensus estimate of $152.45 million. Rocket Lab had a negative net margin of 35.64% and a negative return on equity of 27.26%. The company’s revenue was up 48.0% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.10) EPS. Equities analysts predict that Rocket Lab Corporation will post -0.38 EPS for the current year.
Insider Buying and Selling
In other Rocket Lab news, CFO Adam C. Spice sold 1,365,665 shares of the business’s stock in a transaction on Monday, January 5th. The shares were sold at an average price of $75.50, for a total transaction of $103,107,707.50. Following the sale, the chief financial officer owned 1,359,568 shares of the company’s stock, valued at $102,647,384. The trade was a 50.11% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Edward H. Frank sold 2,500 shares of the stock in a transaction on Tuesday, December 23rd. The stock was sold at an average price of $77.39, for a total value of $193,475.00. Following the sale, the director owned 142,504 shares in the company, valued at approximately $11,028,384.56. This represents a 1.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 4,197,650 shares of company stock valued at $262,429,052. Corporate insiders own 11.90% of the company’s stock.
Institutional Investors Weigh In On Rocket Lab
A number of institutional investors and hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. grew its holdings in shares of Rocket Lab by 5.4% during the third quarter. Vanguard Group Inc. now owns 41,809,723 shares of the rocket manufacturer’s stock worth $2,003,104,000 after purchasing an additional 2,127,565 shares in the last quarter. Capital World Investors lifted its position in Rocket Lab by 9.4% during the third quarter. Capital World Investors now owns 14,462,103 shares of the rocket manufacturer’s stock valued at $692,879,000 after purchasing an additional 1,242,547 shares during the last quarter. State Street Corp grew its stake in Rocket Lab by 13.6% in the 3rd quarter. State Street Corp now owns 12,399,571 shares of the rocket manufacturer’s stock worth $594,063,000 after buying an additional 1,487,237 shares in the last quarter. Baillie Gifford & Co. raised its position in shares of Rocket Lab by 176.1% during the 3rd quarter. Baillie Gifford & Co. now owns 12,125,910 shares of the rocket manufacturer’s stock valued at $580,952,000 after buying an additional 7,734,788 shares in the last quarter. Finally, Invesco Ltd. lifted its holdings in shares of Rocket Lab by 67.0% during the 2nd quarter. Invesco Ltd. now owns 6,242,304 shares of the rocket manufacturer’s stock worth $223,287,000 after acquiring an additional 2,504,054 shares during the last quarter. Hedge funds and other institutional investors own 71.78% of the company’s stock.
Rocket Lab Company Profile
Rocket Lab is an aerospace company that provides launch services, spacecraft, and space systems for commercial and government customers. The company’s primary launch vehicle is Electron, a small-lift orbital rocket designed to deploy small satellites and rideshare payloads to low Earth orbit. Rocket Lab also develops and manufactures the Rutherford engine, noted for its electric-pump-fed design and additive-manufactured components, which powers Electron and supports the company’s propulsion capabilities.