Rocket Lab (NASDAQ:RKLB) Trading Up 5.1% - Here's Why

Key Points

• Rocket Lab's stock price rose 5.1% during mid-day trading, reaching a high of $62.56 and trading volume increased significantly to approximately 36 million shares.
• Analysts have mixed ratings on Rocket Lab, with one Strong Buy, seven Buy, four Hold, and one Sell rating, indicating a consensus target price of $42.27.
• CEO Peter Beck and Director Matthew Ocko recently sold significant amounts of stock, with Beck's transaction reducing his ownership by 36.49% and Ocko's by 77.57%.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report)'s stock price was up 5.1% during mid-day trading on Tuesday . The stock traded as high as $62.56 and last traded at $61.51. Approximately 36,156,920 shares were traded during mid-day trading, an increase of 74% from the average daily volume of 20,744,146 shares. The stock had previously closed at $58.50.

Wall Street Analyst Weigh In

Several analysts have issued reports on RKLB shares. Craig Hallum started coverage on Rocket Lab in a research report on Monday, July 28th. They set a "hold" rating and a $51.00 target price on the stock. The Goldman Sachs Group started coverage on Rocket Lab in a research report on Monday, June 30th. They issued a "neutral" rating and a $27.00 price objective for the company. Needham & Company LLC restated a "buy" rating and issued a $55.00 target price on shares of Rocket Lab in a research note on Wednesday, September 3rd. Cantor Fitzgerald raised their target price on Rocket Lab from $35.00 to $54.00 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Rocket Lab in a research note on Saturday, September 27th. One 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's stock. 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 Trading Up 5.1%

The company has a 50 day simple moving average of $46.88 and a 200 day simple moving average of $34.58. The company has a debt-to-equity ratio of 0.60, a quick ratio of 2.33 and a current ratio of 2.67. The company has a market capitalization of $29.77 billion, a PE ratio of -136.69 and a beta of 2.14.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last announced its earnings results 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 business had revenue of $144.50 million for the quarter, compared to analyst estimates of $135.42 million. During the same period last year, the firm earned ($0.08) EPS. The company'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. Analysts anticipate that Rocket Lab Corporation will post -0.38 earnings per share for the current year.

Insider Buying and Selling

In other news, CEO Peter Beck sold 1,436,442 shares of the firm's stock in a transaction that occurred on Tuesday, September 16th. The shares were sold at an average price of $48.75, for a total value of $70,026,547.50. Following the completion of the transaction, 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 ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Matthew Ocko sold 1,873,097 shares of the company's stock in a transaction that occurred on Tuesday, September 16th. The stock was sold at an average price of $48.20, for a total transaction of $90,283,275.40. Following the sale, the director directly owned 541,526 shares in the company, valued at approximately $26,101,553.20. The trade was a 77.57% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 5,406,361 shares of company stock valued at $267,483,973 in the last ninety days. Company insiders own 11.90% of the company's stock.

Institutional Investors Weigh In On Rocket Lab

A number of hedge funds have recently bought and sold shares of the stock. GAMMA Investing LLC boosted its stake in shares of Rocket Lab by 3,319.2% in the 1st quarter. GAMMA Investing LLC now owns 19,900 shares of the rocket manufacturer's stock valued at $356,000 after buying an additional 19,318 shares during the period. Rhumbline Advisers boosted its stake in shares of Rocket Lab by 9.6% in the 1st quarter. Rhumbline Advisers now owns 525,018 shares of the rocket manufacturer's stock valued at $9,387,000 after buying an additional 45,889 shares during the period. Farther Finance Advisors LLC boosted its stake in shares of Rocket Lab by 181.1% in the 1st quarter. Farther Finance Advisors LLC now owns 1,903 shares of the rocket manufacturer's stock valued at $35,000 after buying an additional 1,226 shares during the period. Harbor Capital Advisors Inc. boosted its stake in shares of Rocket Lab by 25.8% in the 1st quarter. Harbor Capital Advisors Inc. now owns 118,237 shares of the rocket manufacturer's stock valued at $2,114,000 after buying an additional 24,213 shares during the period. Finally, SG Americas Securities LLC boosted its stake in shares of Rocket Lab by 2,186.7% in the 1st quarter. SG Americas Securities LLC now owns 353,522 shares of the rocket manufacturer's stock valued at $6,321,000 after buying an additional 338,062 shares during the period. Institutional investors and hedge funds 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.