Geode Capital Management LLC Raises Stake in Rocket Lab Corporation $RKLB

Key Points

• Geode Capital Management increased its Rocket Lab stake by 10.1% in the fourth quarter, adding 825,158 shares and ending with 9,004,724 shares valued at about $626.6 million.
• Rocket Lab continues to attract bullish attention from investors and analysts amid optimism around its defense business, including progress on SDA missile-defense work and total defense awards topping $1.3 billion.
• The company also reported strong revenue growth in its latest quarter, with revenue up 63.4% year over year to $200.35 million, even as it remained unprofitable and insiders made sizable stock sales.

Geode Capital Management LLC boosted its holdings in shares of Rocket Lab Corporation (NASDAQ:RKLB - Free Report) by 10.1% in the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 9,004,724 shares of the rocket manufacturer's stock after acquiring an additional 825,158 shares during the period. Geode Capital Management LLC owned 1.69% of Rocket Lab worth $626,605,000 at the end of the most recent reporting period.

A number of other large investors also recently bought and sold shares of RKLB. Fidelis Capital Partners LLC purchased a new position in Rocket Lab in the fourth quarter worth about $364,000. Flputnam Investment Management Co. purchased a new position in Rocket Lab in the fourth quarter worth about $295,000. Integrity Advisory Solutions LLC raised its holdings in Rocket Lab by 20.7% in the fourth quarter. Integrity Advisory Solutions LLC now owns 10,359 shares of the rocket manufacturer's stock worth $723,000 after buying an additional 1,779 shares during the last quarter. Arvest Bank Trust Division purchased a new position in Rocket Lab in the fourth quarter worth about $225,000. Finally, Revere Asset Management Inc purchased a new position in Rocket Lab in the fourth quarter worth about $6,918,000. 71.78% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Rocket Lab

Here are the key news stories impacting Rocket Lab this week:

• Positive Sentiment: Rocket Lab continues to benefit from optimism around its defense business, including progress on its SDA missile-defense constellation work and a reported milestone that helped push total defense awards above $1.3 billion. Rocket Lab Hits Key SDA Milestone, Expands Defense Footprint
• Positive Sentiment: The stock is also being lifted by broader enthusiasm for the space sector, with traders speculating that a potential SpaceX IPO could re-rate public space names and keep capital flowing into Rocket Lab. Is Rocket Lab Corporation (RKLB) Among the Best Space Stocks to Buy According to Reddit and Social Media?
• Positive Sentiment: Recent coverage highlighted Rocket Lab’s improving revenue momentum and expanding role as a space-defense contractor, reinforcing the case for continued growth. Rocket Lab (RKLB) Stock Soars as Defense Contracts Surpass $1.3 Billion Milestone
• Neutral Sentiment: Several bullish articles framed Rocket Lab as a key “SpaceX alternative,” but much of that move appears driven by valuation expansion and theme trading rather than a single new operating catalyst. Rocket Lab (RKLB) Stock Price Forecast — Can the 115% Rally Continue?
• Negative Sentiment: Rocket Lab also faced pressure from a broader selloff in space stocks after Blue Origin’s New Glenn rocket exploded during a hotfire test, raising risk-off sentiment across the group. Blue Origin New Glenn Rocket Erupts in Flames During Hotfire Test at Cape Canaveral
• Negative Sentiment: Sentiment was further weighed by multiple insider sales disclosed this week, including transactions by senior executives, even though the sales were tied to 10b5-1 plans and tax withholding on equity awards. Arjun Kampani Insider Trading Activity

Insider Transactions at Rocket Lab

In other news, SVP Arjun Kampani sold 70,000 shares of Rocket Lab stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $145.13, for a total value of $10,159,100.00. Following the completion of the sale, the senior vice president directly owned 376,509 shares in the company, valued at $54,642,751.17. The trade was a 15.68% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Marvin Bradford Clevenger sold 15,549 shares of Rocket Lab stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $142.57, for a total transaction of $2,216,820.93. Following the completion of the sale, the insider owned 477,475 shares of the company's stock, valued at $68,073,610.75. This represents a 3.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 554,800 shares of company stock valued at $60,032,445. Company insiders own 8.40% of the company's stock.

Wall Street Analysts Forecast Growth

RKLB has been the subject of several recent analyst reports. Wells Fargo & Company initiated coverage on shares of Rocket Lab in a report on Wednesday, April 1st. They issued an "equal weight" rating and a $60.00 target price for the company. Craig Hallum raised shares of Rocket Lab from a "hold" rating to a "buy" rating and set a $98.00 target price for the company in a report on Friday, May 8th. Zacks Research cut shares of Rocket Lab from a "strong-buy" rating to a "hold" rating in a report on Tuesday, February 10th. BTIG Research reaffirmed a "hold" rating on shares of Rocket Lab in a report on Tuesday, May 12th. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating on shares of Rocket Lab in a report on Wednesday. Three research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $97.19.

Rocket Lab Stock Performance

Shares of RKLB stock opened at $143.48 on Friday. The company has a 50 day moving average price of $92.13 and a 200-day moving average price of $76.27. Rocket Lab Corporation has a 52 week low of $25.24 and a 52 week high of $151.00. The firm has a market capitalization of $83.04 billion, a PE ratio of -448.38 and a beta of 2.30. The company has a quick ratio of 4.02, a current ratio of 4.47 and a debt-to-equity ratio of 0.02.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The rocket manufacturer reported ($0.07) EPS for the quarter, hitting analysts' consensus estimates of ($0.07). Rocket Lab had a negative net margin of 26.87% and a negative return on equity of 11.72%. The firm had revenue of $200.35 million during the quarter, compared to analyst estimates of $189.65 million. During the same period in the previous year, the business posted ($0.12) earnings per share. The business's revenue for the quarter was up 63.4% on a year-over-year basis. As a group, equities research analysts expect that Rocket Lab Corporation will post -0.29 earnings per share for the current year.

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.

Want to see what other hedge funds are holding RKLB? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Rocket Lab Corporation (NASDAQ:RKLB - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.