Rocket Lab (NASDAQ:RKLB) Hits New 1-Year High - Here's Why

Key Points

• Rocket Lab's stock reached a new 52-week high of $55.24 during trading, a significant increase from its previous close of $52.47.
• Several analysts have raised their price targets for Rocket Lab, with Stifel Nicolaus setting a new target at $55.00, and the average target now at $42.27, reflecting a consensus rating of "Moderate Buy."
• Insiders have been active in selling their shares, with significant transactions resulting in a 77.57% decrease in ownership for Director Matthew Ocko and a 29.82% decrease for CFO Adam C. Spice.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report)'s stock price hit a new 52-week high during trading on Friday . The stock traded as high as $55.24 and last traded at $55.23, with a volume of 18228844 shares. The stock had previously closed at $52.47.

Analysts Set New Price Targets

RKLB has been the topic of several research reports. Stifel Nicolaus upped their price target on Rocket Lab from $34.00 to $55.00 and gave the company a "buy" rating in a report on Tuesday, August 5th. Citigroup restated a "buy" rating and set a $50.00 price target (up from $33.00) on shares of Rocket Lab in a report on Monday, July 14th. Cantor Fitzgerald boosted their price target on shares of Rocket Lab from $35.00 to $54.00 and gave the company an "overweight" rating in a report on Friday, August 8th. Needham & Company LLC reiterated a "buy" rating and issued a $55.00 price objective on shares of Rocket Lab in a report on Wednesday, September 3rd. Finally, KeyCorp boosted their target price on shares of Rocket Lab from $40.00 to $50.00 and gave the stock an "overweight" rating in a research report on Friday, August 8th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, four have issued 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 an average price target of $42.27.

Rocket Lab Trading Up 7.0%

The company has a quick ratio of 2.33, a current ratio of 2.67 and a debt-to-equity ratio of 0.60. The company's fifty day simple moving average is $46.61 and its two-hundred day simple moving average is $34.09. The company has a market capitalization of $27.18 billion, a price-to-earnings ratio of -124.80 and a beta of 2.14.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The rocket manufacturer reported ($0.13) EPS for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.06). The company had revenue of $144.50 million for the quarter, compared to analyst estimates of $135.42 million. Rocket Lab had a negative return on equity of 48.14% and a negative net margin of 45.87%.The company's revenue was up 35.9% on a year-over-year basis. During the same quarter in the previous year, the business earned ($0.08) earnings per share. Rocket Lab has set its Q3 2025 guidance at EPS. Research analysts forecast that Rocket Lab Corporation will post -0.38 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Matthew Ocko sold 1,873,097 shares of the firm's stock in a transaction dated Tuesday, September 16th. The shares were sold at an average price of $48.20, for a total transaction of $90,283,275.40. Following the transaction, the director directly owned 541,526 shares of the company's stock, valued at $26,101,553.20. This trade represents a 77.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Adam C. Spice sold 874,588 shares of the firm's stock in a transaction dated Friday, September 19th. The stock was sold at an average price of $48.01, for a total transaction of $41,988,969.88. Following the sale, the chief financial officer owned 2,057,889 shares of the company's stock, valued at $98,799,250.89. This trade represents a 29.82% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 5,406,361 shares of company stock worth $267,483,973. Company insiders own 11.90% of the company's stock.

Institutional Trading of Rocket Lab

Hedge funds and other institutional investors have recently modified their holdings of the business. Vanguard Group Inc. lifted its stake in Rocket Lab by 10.6% during the 1st quarter. Vanguard Group Inc. now owns 40,029,546 shares of the rocket manufacturer's stock valued at $715,728,000 after acquiring an additional 3,833,969 shares during the period. Invesco Ltd. increased its holdings in Rocket Lab by 67.0% in 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 in the last quarter. Kingstone Capital Partners Texas LLC purchased a new stake in Rocket Lab in the 2nd quarter worth approximately $192,918,000. Norges Bank purchased a new stake in Rocket Lab in the 2nd quarter worth approximately $164,751,000. Finally, Westfield Capital Management Co. LP increased its holdings in Rocket Lab by 2.6% in the 1st quarter. Westfield Capital Management Co. LP now owns 2,586,532 shares of the rocket manufacturer's stock worth $46,247,000 after acquiring an additional 65,255 shares in the last quarter. 71.78% of the stock is owned by hedge funds and other institutional investors.

Rocket Lab Company Profile

Rocket Lab USA, Inc, a space company, provides launch services and space systems solutions for the space and defense industries. The company provides launch services, spacecraft design services, spacecraft components, spacecraft manufacturing, and other spacecraft and on-orbit management solutions; and constellation management services, as well as designs and manufactures small and medium-class rockets.

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