Nicholas Investment Partners LP Makes New Investment in Rocket Lab Corporation $RKLB

Key Points

• Nicholas Investment Partners bought 13,341 Rocket Lab shares worth approximately $1.36 million in the second quarter. Institutional investors and hedge funds collectively own 71.78% of the company.
• Rocket Lab shares opened at $68.28 after falling 5.9%, while the company reported quarterly revenue of $234.07 million but missed EPS expectations, posting a loss of $0.08 per share.
• Analysts maintain a generally positive outlook, with a “Moderate Buy” consensus and an average price target of $110.65, though Rocket Lab remains unprofitable and investors are focused on the planned Neutron debut and its execution risks.

Nicholas Investment Partners LP purchased a new position in Rocket Lab Corporation (NASDAQ:RKLB - Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 13,341 shares of the rocket manufacturer's stock, valued at approximately $1,356,000.

Several other hedge funds have also modified their holdings of the stock. BlackRock Inc. acquired a new position in Rocket Lab during the 2nd quarter worth $4,124,970,000. Bank of New York Mellon Corp acquired a new stake in Rocket Lab in the 2nd quarter valued at about $245,764,000. Vanguard Group Inc. boosted its stake in shares of Rocket Lab by 13.4% in the 4th quarter. Vanguard Group Inc. now owns 47,420,192 shares of the rocket manufacturer's stock valued at $3,308,033,000 after buying an additional 5,610,469 shares during the period. Norges Bank acquired a new position in shares of Rocket Lab during the fourth quarter worth about $341,036,000. Finally, Alliancebernstein L.P. increased its position in shares of Rocket Lab by 818.8% in the 3rd quarter. Alliancebernstein L.P. now owns 2,190,132 shares of the rocket manufacturer's stock valued at $104,929,000 after purchasing an additional 1,951,755 shares during the last quarter. 71.78% of the stock is currently owned by institutional investors and hedge funds.

Rocket Lab Trading Down 5.9%

Shares of RKLB opened at $68.28 on Tuesday. Rocket Lab Corporation has a twelve month low of $37.57 and a twelve month high of $151.00. The company has a current ratio of 5.48, a quick ratio of 4.98 and a debt-to-equity ratio of 0.01. The firm has a market capitalization of $40.86 billion, a P/E ratio of -252.88 and a beta of 2.60. The firm's 50-day moving average is $81.04 and its two-hundred day moving average is $85.20.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last posted its quarterly earnings results on Monday, August 10th. The rocket manufacturer reported ($0.08) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.06) by ($0.02). The company had revenue of $234.07 million for the quarter, compared to analyst estimates of $231.62 million. Rocket Lab had a negative net margin of 21.51% and a negative return on equity of 6.48%. On average, research analysts predict that Rocket Lab Corporation will post -0.2 earnings per share for the current fiscal year.

Rocket Lab News Roundup

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

• Positive Sentiment: Rocket Lab delivered record second-quarter revenue of approximately $234 million and reported a $2.36 billion backlog, providing visibility across its launch and Space Systems businesses. Space Systems is increasingly broadening the company’s growth engine beyond rocket launches. Why I'm Buying Rocket Lab Over SpaceX
• Positive Sentiment: Rocket Lab joined the $981 million NITE-STAR program, potentially expanding its role in space testing, training and mission infrastructure and creating additional government-related opportunities. Can NITE-STAR Expand Rocket Lab's Space Infrastructure Opportunity?
• Positive Sentiment: Management said a successful Neutron test launch could put Rocket Lab on track for positive adjusted EBITDA as soon as the following quarter. Neutron launches are reportedly commanding more than $50 million before the first flight, suggesting strong customer interest and potentially scarce early capacity. Rocket Lab Stock: One Neutron Launch Could Change Its Entire Financial Picture
• Positive Sentiment: The “Hungry Hippo” test article reportedly withstood forces above projected flight levels and has begun flight-like testing ahead of Neutron’s anticipated fourth-quarter debut, supporting investor optimism about development progress. RKLB Stock Rockets Toward Best Month Since May
• Neutral Sentiment: Analysts and market commentators describe the recent sell-off as potentially fading, but investors remain focused on Neutron’s fourth-quarter debut before assigning the company a higher valuation. Rocket Lab's Sell-Off Is Fading—Is It Finally Safe to Buy?
• Negative Sentiment: Rocket Lab remains unprofitable, and its latest quarterly EPS missed expectations. Pre-building multiple Neutron vehicles could accelerate commercialization but risks significant stranded capital if the rocket’s design changes or development is delayed. Rocket Lab: The Hidden Risks No One Talks About

Insider Activity

In other Rocket Lab news, Director Alexander R. Slusky sold 60,000 shares of the business's stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $149.40, for a total transaction of $8,964,000.00. Following the sale, the director directly owned 374,675 shares in the company, valued at approximately $55,976,445. The trade was a 13.80% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Marvin Bradford Clevenger sold 3,500 shares of the company's stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $146.67, for a total value of $513,345.00. Following the completion of the sale, the insider directly owned 473,975 shares in the company, valued at $69,517,913.25. This trade represents a 0.73% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 3,597,943 shares of company stock valued at $329,430,096 in the last 90 days. Insiders own 8.40% of the company's stock.

Analysts Set New Price Targets

RKLB has been the topic of several research analyst reports. Citizens Jmp reissued a "market outperform" rating and set a $130.00 target price on shares of Rocket Lab in a research report on Tuesday, August 11th. Roth Capital set a $110.00 price objective on shares of Rocket Lab in a research report on Tuesday, August 11th. KeyCorp reissued an "overweight" rating on shares of Rocket Lab in a report on Tuesday, August 11th. New Street Research started coverage on shares of Rocket Lab in a report on Wednesday, May 13th. They set a "buy" rating and a $150.00 price target for the company. Finally, Citigroup reiterated a "market outperform" rating on shares of Rocket Lab in a research report on Tuesday, July 28th. Three analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $110.65.

About Rocket Lab

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.

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