Rocket Lab (NASDAQ:RKLB) Trading Down 1.6% - Should You Sell?

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report)'s share price dropped 1.6% during trading on Tuesday . The company traded as low as $38.00 and last traded at $38.25. Approximately 7,798,720 shares traded hands during mid-day trading, a decline of 57% from the average daily volume of 18,131,263 shares. The stock had previously closed at $38.88.

Analysts Set New Price Targets

RKLB has been the topic of a number of research reports. The Goldman Sachs Group initiated coverage on Rocket Lab in a report on Monday, June 30th. They issued a "neutral" rating and a $27.00 price target on the stock. Wells Fargo & Company cut their price target on Rocket Lab from $21.00 to $18.00 and set an "equal weight" rating on the stock in a report on Tuesday, April 8th. Stifel Nicolaus boosted their price target on Rocket Lab from $29.00 to $34.00 and gave the company a "buy" rating in a report on Wednesday, May 28th. Cantor Fitzgerald upped their target price on Rocket Lab from $29.00 to $35.00 and gave the stock an "overweight" rating in a report on Tuesday, June 10th. Finally, Needham & Company LLC upped their target price on Rocket Lab from $28.00 to $32.00 and gave the stock a "buy" rating in a report on Wednesday, May 28th. Four equities research analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $30.40.

Rocket Lab Stock Performance

The company has a debt-to-equity ratio of 0.97, a current ratio of 2.08 and a quick ratio of 1.72. The stock has a 50-day moving average price of $28.61 and a 200-day moving average price of $25.02. The company has a market capitalization of $17.78 billion, a price-to-earnings ratio of -98.20 and a beta of 2.15.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last issued its earnings results on Thursday, May 8th. The rocket manufacturer reported ($0.12) EPS for the quarter, missing the consensus estimate of ($0.10) by ($0.02). Rocket Lab had a negative return on equity of 48.92% and a negative net margin of 44.32%. The business had revenue of $122.57 million for the quarter, compared to the consensus estimate of $120.74 million. During the same quarter in the prior year, the firm posted ($0.09) earnings per share. The business's revenue was up 32.1% compared to the same quarter last year. As a group, analysts forecast that Rocket Lab Corporation will post -0.38 earnings per share for the current year.

Insiders Place Their Bets

In other news, Director Matthew Ocko sold 820,000 shares of the stock in a transaction that occurred on Friday, June 13th. The stock was sold at an average price of $26.01, for a total transaction of $21,328,200.00. Following the transaction, the director owned 1,083,053 shares in the company, valued at approximately $28,170,208.53. This trade represents a 43.09% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Frank Klein sold 44,885 shares of the stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of $26.66, for a total value of $1,196,634.10. Following the transaction, the insider owned 1,370,190 shares in the company, valued at approximately $36,529,265.40. This trade represents a 3.17% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 1,130,995 shares of company stock valued at $29,686,039. 13.70% of the stock is owned by insiders.

Hedge Funds Weigh In On Rocket Lab

A number of large investors have recently made changes to their positions in the company. Wellington Shields & Co. LLC increased its stake in shares of Rocket Lab by 0.5% during the fourth quarter. Wellington Shields & Co. LLC now owns 74,522 shares of the rocket manufacturer's stock worth $1,898,000 after purchasing an additional 383 shares during the period. Allworth Financial LP grew its position in Rocket Lab by 4.0% during the first quarter. Allworth Financial LP now owns 11,888 shares of the rocket manufacturer's stock worth $213,000 after buying an additional 458 shares in the last quarter. Atria Wealth Solutions Inc. grew its position in Rocket Lab by 1.4% during the first quarter. Atria Wealth Solutions Inc. now owns 35,085 shares of the rocket manufacturer's stock worth $627,000 after buying an additional 500 shares in the last quarter. Signaturefd LLC grew its position in Rocket Lab by 12.2% during the fourth quarter. Signaturefd LLC now owns 6,014 shares of the rocket manufacturer's stock worth $153,000 after buying an additional 653 shares in the last quarter. Finally, Focus Partners Wealth grew its position in Rocket Lab by 1.0% during the first quarter. Focus Partners Wealth now owns 67,584 shares of the rocket manufacturer's stock worth $1,206,000 after buying an additional 681 shares in the last quarter. Institutional investors own 71.78% of the company's stock.

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.