Rocket Lab (NASDAQ:RKLB) Sets New 12-Month High - Should You Buy?

Key Points

• Rocket Lab's stock reached a new 52-week high of $54.03, indicating significant market interest with a trading volume of over 27.8 million shares.
• Analysts have recently increased their price targets for Rocket Lab, with Bank of America setting a new target of $50.00 and Needham & Company LLC aiming for $55.00, reflecting strong confidence in the company's prospects.
• Despite posting a quarterly loss of ($0.13) per share, Rocket Lab's revenue increased by 35.9% year-over-year, highlighting its growth potential in the aerospace sector.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report)'s stock price reached a new 52-week high on Saturday . The stock traded as high as $54.03 and last traded at $53.34, with a volume of 27818612 shares trading hands. The stock had previously closed at $48.43.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on RKLB. Citigroup reissued 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. Craig Hallum initiated coverage on shares of Rocket Lab in a research note on Monday, July 28th. They set a "hold" rating and a $51.00 target price on the stock. Needham & Company LLC restated a "buy" rating and set a $55.00 target price on shares of Rocket Lab in a research report on Wednesday, September 3rd. KeyCorp lifted their price target on Rocket Lab from $40.00 to $50.00 and gave the company an "overweight" rating in a research note on Friday, August 8th. Finally, Roth Capital reiterated a "buy" rating on shares of Rocket Lab in a research report on Friday, August 29th. One investment analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have given a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $42.27.

Rocket Lab Stock Performance

The stock has a market cap of $25.57 billion, a price-to-earnings ratio of -118.53 and a beta of 2.17. The firm's 50-day moving average is $45.25 and its two-hundred day moving average is $31.09. The company has a current ratio of 2.67, a quick ratio of 2.33 and a debt-to-equity ratio of 0.60.

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

Insiders Place Their Bets

In other news, Director Merline Saintil sold 6,353 shares of the business's stock in a transaction dated Tuesday, June 24th. The shares were sold at an average price of $33.38, for a total transaction of $212,063.14. Following the transaction, the director owned 419,569 shares of the company's stock, valued at approximately $14,005,213.22. The trade was a 1.49% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 11.90% of the company's stock.

Institutional Investors Weigh In On Rocket Lab

Institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc lifted its stake in Rocket Lab by 118.1% during the first quarter. Versant Capital Management Inc now owns 1,588 shares of the rocket manufacturer's stock worth $28,000 after purchasing an additional 860 shares in the last quarter. EverSource Wealth Advisors LLC raised its holdings in shares of Rocket Lab by 109.5% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 796 shares of the rocket manufacturer's stock valued at $28,000 after buying an additional 416 shares during the period. MassMutual Private Wealth & Trust FSB acquired a new position in Rocket Lab during the 1st quarter worth about $29,000. Farther Finance Advisors LLC lifted its stake in Rocket Lab by 181.1% during the 1st quarter. Farther Finance Advisors LLC now owns 1,903 shares of the rocket manufacturer's stock worth $35,000 after acquiring an additional 1,226 shares in the last quarter. Finally, Spectrum Wealth Counsel LLC boosted its holdings in Rocket Lab by 100.0% during the 1st quarter. Spectrum Wealth Counsel LLC now owns 2,000 shares of the rocket manufacturer's stock valued at $36,000 after acquiring an additional 1,000 shares during the period. 71.78% of the stock is currently owned by institutional investors and hedge funds.

About Rocket Lab

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.