Resona Asset Management Co. Ltd. Reduces Stake in Rocket Lab Corporation $RKLB

Key Points

• Resona Asset Management cut its Rocket Lab stake by 5.7% in the fourth quarter, selling 7,452 shares and ending with 124,359 shares worth about $8.68 million.
• Rocket Lab reported Q1 revenue of $200.35 million, up 63.4% year over year, while matching EPS expectations at a loss of $0.07 per share. Analysts still expect the company to remain unprofitable this year.
• Despite strong growth, the stock has drawn mixed signals: multiple analysts raised price targets and the consensus remains “Moderate Buy,” but insiders have sold shares and investors are worried about dilution from a planned $3 billion stock sale program.

Resona Asset Management Co. Ltd. lowered its holdings in Rocket Lab Corporation (NASDAQ:RKLB - Free Report) by 5.7% during the fourth quarter, according to the company in its most recent filing with the SEC. The fund owned 124,359 shares of the rocket manufacturer's stock after selling 7,452 shares during the quarter. Resona Asset Management Co. Ltd.'s holdings in Rocket Lab were worth $8,681,000 at the end of the most recent reporting period.

A number of other hedge funds have also made changes to their positions in the business. Baillie Gifford & Co. grew its stake in Rocket Lab by 176.1% during the 3rd quarter. Baillie Gifford & Co. now owns 12,125,910 shares of the rocket manufacturer's stock worth $580,952,000 after buying an additional 7,734,788 shares during the last quarter. Vanguard Group Inc. grew its stake in Rocket Lab by 13.4% during the 4th quarter. Vanguard Group Inc. now owns 47,420,192 shares of the rocket manufacturer's stock worth $3,308,033,000 after buying an additional 5,610,469 shares during the last quarter. Alliancebernstein L.P. grew its stake in Rocket Lab by 818.8% during the 3rd quarter. Alliancebernstein L.P. now owns 2,190,132 shares of the rocket manufacturer's stock worth $104,929,000 after buying an additional 1,951,755 shares during the last quarter. Amundi grew its stake in Rocket Lab by 308.4% during the 3rd quarter. Amundi now owns 2,301,568 shares of the rocket manufacturer's stock worth $110,268,000 after buying an additional 1,738,038 shares during the last quarter. Finally, State Street Corp grew its stake in Rocket Lab by 13.6% during 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 during the last quarter. Hedge funds and other institutional investors own 71.78% of the company's stock.

Rocket Lab Stock Down 6.6%

Rocket Lab stock opened at $125.45 on Friday. Rocket Lab Corporation has a twelve month low of $23.92 and a twelve month high of $138.38. The stock has a 50 day moving average of $83.57 and a two-hundred day moving average of $72.72. The company has a current ratio of 4.47, a quick ratio of 4.02 and a debt-to-equity ratio of 0.02. The stock has a market capitalization of $72.60 billion, a price-to-earnings ratio of -392.03 and a beta of 2.30.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The rocket manufacturer reported ($0.07) earnings per share for the quarter, hitting analysts' consensus estimates of ($0.07). Rocket Lab had a negative return on equity of 11.72% and a negative net margin of 26.87%.The company had revenue of $200.35 million during the quarter, compared to analysts' expectations of $189.65 million. During the same period last year, the firm earned ($0.12) EPS. The firm's revenue for the quarter was up 63.4% on a year-over-year basis. As a group, research analysts expect that Rocket Lab Corporation will post -0.24 earnings per share for the current year.

Rocket Lab News Roundup

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

• Positive Sentiment: Rocket Lab continues to show strong underlying business momentum, with Q1 revenue up about 63% year over year and backlog more than doubling, reinforcing the company’s long-term growth story.
• Positive Sentiment: Shareholders approved governance changes at the 2026 annual meeting, which may support a more streamlined corporate structure and signal continued alignment with management’s strategy. Rocket Lab Shareholders Approve Governance Changes at Annual Meeting
• Neutral Sentiment: SpaceX IPO speculation is keeping the broader space sector in focus, and Rocket Lab is being mentioned as one of the names benefiting from renewed investor attention on space infrastructure stocks.
• Negative Sentiment: The $3 billion stock sale program is the main pressure point, as the market is worried about dilution and the possibility that future share issuance could weigh on per-share value. Rocket Lab Stock Falls After Announcing $3 Billion Distribution Agreement
• Negative Sentiment: Several articles and commentary point to valuation concerns after a sharp run-up in the stock, with some analysts urging caution and suggesting investors may be chasing the move too late.

Analysts Set New Price Targets

A number of research analysts recently issued reports on RKLB shares. Needham & Company LLC raised their price target on Rocket Lab from $95.00 to $120.00 and gave the stock a "buy" rating in a research note on Monday, May 11th. Stifel Nicolaus restated a "buy" rating and set a $105.00 price target (up from $90.00) on shares of Rocket Lab in a research note on Monday, April 20th. Citizens Jmp raised their price target on Rocket Lab from $85.00 to $95.00 and gave the stock a "market outperform" rating in a research note on Friday, May 8th. Cantor Fitzgerald restated an "overweight" rating and set a $85.00 price target on shares of Rocket Lab in a research note on Friday, March 13th. Finally, BTIG Research restated a "hold" rating on shares of Rocket Lab in a research note on Tuesday, May 12th. Three research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $97.19.

Insider Activity at Rocket Lab

In other news, insider Frank Klein sold 36,768 shares of the firm's stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $71.95, for a total value of $2,645,457.60. Following the completion of the sale, the insider directly owned 1,088,237 shares of the company's stock, valued at $78,298,652.15. This trade represents a 3.27% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Alexander R. Slusky sold 100,000 shares of the firm's stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $118.08, for a total value of $11,808,000.00. Following the completion of the sale, the director directly owned 434,675 shares of the company's stock, valued at $51,326,424. This represents a 18.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 333,449 shares of company stock worth $28,295,233 in the last ninety days. Company insiders own 8.40% 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.

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