Rocket Lab (NASDAQ:RKLB) Stock Price Up 4.1% - Time to Buy?

Key Points

• Rocket Lab's stock price increased by 4.1% during mid-day trading, reaching a high of $50.92 before closing at $49.17.
• Multiple analysts have updated their ratings, with Citigroup and KeyCorp setting a new target price of $50.00, while Needham & Company raised theirs to $55.00.
• Rocket Lab reported a revenue of $144.50 million for the quarter, exceeding estimates, but missed EPS expectations with a loss of ($0.13) per share.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report)'s stock price rose 4.1% during mid-day trading on Tuesday . The company traded as high as $50.92 and last traded at $49.17. Approximately 13,353,626 shares traded hands during trading, a decline of 33% from the average daily volume of 19,966,650 shares. The stock had previously closed at $47.22.

Wall Street Analyst Weigh In

RKLB has been the subject of a number of research reports. Citigroup reissued a "buy" rating and set a $50.00 target price (up previously from $33.00) on shares of Rocket Lab in a research note on Monday, July 14th. KeyCorp lifted their target price on shares of Rocket Lab from $40.00 to $50.00 and gave the company an "overweight" rating in a research note on Friday, August 8th. Roth Capital lifted their target price on shares of Rocket Lab from $25.00 to $35.00 and gave the company a "buy" rating in a research note on Wednesday, May 28th. Needham & Company LLC reaffirmed a "buy" rating and issued a $55.00 price objective (up previously from $45.00) on shares of Rocket Lab in a research note on Friday, August 8th. Finally, The Goldman Sachs Group assumed coverage on shares of Rocket Lab in a research note on Monday, June 30th. They issued a "neutral" rating and a $27.00 price objective for the company. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, Rocket Lab presently has an average rating of "Moderate Buy" and an average target price of $42.27.

Rocket Lab Trading Up 3.7%

The business's fifty day simple moving average is $41.15 and its two-hundred day simple moving average is $28.94. The company has a current ratio of 2.67, a quick ratio of 2.33 and a debt-to-equity ratio of 0.60. The stock has a market capitalization of $23.47 billion, a P/E ratio of -108.41 and a beta of 2.17.

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

Insider Buying and Selling at Rocket Lab

In related news, insider Frank Klein sold 2,546 shares of the company's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $30.00, for a total value of $76,380.00. Following the sale, the insider owned 1,365,826 shares of the company's stock, valued at $40,974,780. The trade was a 0.19% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, insider Arjun Kampani sold 5,194 shares of the company's stock in a transaction dated Monday, June 9th. The shares were sold at an average price of $30.00, for a total transaction of $155,820.00. Following the completion of the sale, the insider directly owned 530,230 shares in the company, valued at approximately $15,906,900. The trade was a 0.97% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 1,130,995 shares of company stock worth $29,686,039. Insiders own 11.90% of the company's stock.

Institutional Trading of Rocket Lab

A number of large investors have recently added to or reduced their stakes in RKLB. Kingstone Capital Partners Texas LLC acquired a new stake in shares of Rocket Lab during the 2nd quarter worth about $192,918,000. Norges Bank acquired a new stake in shares of Rocket Lab during the 2nd quarter worth about $164,751,000. Vanguard Group Inc. lifted its stake in shares of Rocket Lab by 10.6% during the 1st quarter. Vanguard Group Inc. now owns 40,029,546 shares of the rocket manufacturer's stock worth $715,728,000 after buying an additional 3,833,969 shares during the last quarter. Two Sigma Advisers LP acquired a new stake in shares of Rocket Lab during the 4th quarter worth about $72,623,000. Finally, Invesco Ltd. lifted its stake in shares of Rocket Lab by 67.0% during the 2nd quarter. Invesco Ltd. now owns 6,242,304 shares of the rocket manufacturer's stock worth $223,287,000 after buying an additional 2,504,054 shares during the last quarter. Institutional investors and hedge funds 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.

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