Rocket Lab (NASDAQ:RKLB) Trading 1.3% Higher - Here's Why

Key Points

• Rocket Lab's share price rose by 1.3%, closing at $47.79, with a notable trading volume of over 26 million shares.
• Analysts rated Rocket Lab with a consensus rating of "Moderate Buy" and set a target price averaging $42.27, with some projections as high as $55.00.
• Insider transactions show significant sales, with CEO Peter Beck and Director Matthew Ocko selling over 3.3 million shares combined, indicating a reduction in their holdings.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report) shot up 1.3% during trading on Friday . The stock traded as high as $48.93 and last traded at $47.79. 26,764,346 shares changed hands during mid-day trading, an increase of 32% from the average session volume of 20,310,684 shares. The stock had previously closed at $47.18.

Analyst Ratings Changes

Several equities research analysts have issued reports on RKLB shares. Stifel Nicolaus boosted their price objective on shares of Rocket Lab from $34.00 to $55.00 and gave the stock a "buy" rating in a research note on Tuesday, August 5th. Needham & Company LLC reaffirmed a "buy" rating and set a $55.00 price target on shares of Rocket Lab in a research report on Wednesday, September 3rd. Craig Hallum began coverage on Rocket Lab in a research report on Monday, July 28th. They issued a "hold" rating and a $51.00 price objective on the stock. The Goldman Sachs Group assumed coverage on Rocket Lab in a research note on Monday, June 30th. They set a "neutral" rating and a $27.00 price objective on the stock. Finally, KeyCorp raised their target price on Rocket Lab from $40.00 to $50.00 and gave the company an "overweight" rating in a report on Friday, August 8th. One research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $42.27.

Rocket Lab Stock Performance

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's 50 day simple moving average is $46.37 and its 200 day simple moving average is $32.33.

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 the consensus estimate 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%.Rocket Lab's revenue was up 35.9% on a year-over-year basis. During the same period in the prior year, the business earned ($0.08) earnings per share. Rocket Lab has set its Q3 2025 guidance at EPS. On average, research analysts expect that Rocket Lab Corporation will post -0.38 EPS for the current fiscal year.

Insider Buying and Selling at Rocket Lab

In related news, CEO Peter Beck sold 1,436,442 shares of the firm's stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $48.75, for a total value of $70,026,547.50. Following the sale, the chief executive officer owned 2,500,000 shares of the company's stock, valued at approximately $121,875,000. This trade represents a 36.49% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP Arjun Kampani sold 9,416 shares of the business's stock in a transaction that occurred on Wednesday, September 17th. The shares were sold at an average price of $47.70, for a total value of $449,143.20. Following the transaction, the senior vice president owned 489,629 shares of the company's stock, valued at $23,355,303.30. This represents a 1.89% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 4,538,126 shares of company stock worth $225,707,066. 11.90% of the stock is owned by insiders.

Hedge Funds Weigh In On Rocket Lab

Several institutional investors have recently modified their holdings of RKLB. EverSource Wealth Advisors LLC grew its stake in shares of Rocket Lab by 109.5% in the second quarter. EverSource Wealth Advisors LLC now owns 796 shares of the rocket manufacturer's stock worth $28,000 after purchasing an additional 416 shares in the last quarter. Atlantic Union Bankshares Corp bought a new position in shares of Rocket Lab in the second quarter worth $36,000. Kilter Group LLC purchased a new stake in shares of Rocket Lab during the second quarter valued at $37,000. ORG Partners LLC raised its holdings in Rocket Lab by 491.9% during the 2nd quarter. ORG Partners LLC now owns 1,095 shares of the rocket manufacturer's stock worth $38,000 after buying an additional 910 shares during the period. Finally, Golden State Wealth Management LLC raised its holdings in shares of Rocket Lab by 3,250.0% during the second quarter. Golden State Wealth Management LLC now owns 1,340 shares of the rocket manufacturer's stock valued at $48,000 after acquiring an additional 1,300 shares during the period. Institutional investors own 71.78% of the company's stock.

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.