Rocket Lab Sees Unusually Large Options Volume (NASDAQ:RKLB)

Key Points

• Rocket Lab saw a notable increase in options trading, with investors purchasing 169,448 call options, a 49% rise from the average volume.
• The company reported a quarterly revenue of $144.50 million, exceeding the estimate of $135.42 million, despite a loss of ($0.13) EPS.
• Analysts have varying outlooks on Rocket Lab, with a consensus rating of "Moderate Buy" and an average price target of $42.27, while several firms have set higher price targets up to $55.00.

Rocket Lab Corporation (NASDAQ:RKLB - Get Free Report) was the target of some unusual options trading on Friday. Investors purchased 169,448 call options on the company. This is an increase of approximately 49% compared to the average volume of 113,903 call options.

Rocket Lab Stock Performance

RKLB traded up $5.46 during trading on Friday, hitting $53.89. The stock had a trading volume of 22,013,877 shares, compared to its average volume of 20,093,033. The company has a 50 day moving average price of $44.89 and a 200-day moving average price of $30.72. The firm has a market cap of $25.83 billion, a price-to-earnings ratio of -119.75 and a beta of 2.17. Rocket Lab has a one year low of $6.91 and a one year high of $53.52. The company has a debt-to-equity ratio of 0.60, a current ratio of 2.67 and a quick ratio of 2.33.

Rocket Lab (NASDAQ:RKLB - Get Free Report) last released its quarterly 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). The firm had revenue of $144.50 million during the quarter, compared to the consensus estimate of $135.42 million. Rocket Lab had a negative net margin of 45.87% and a negative return on equity of 48.14%. The business's revenue for the quarter was up 35.9% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.08) earnings per share. Rocket Lab has set its Q3 2025 guidance at EPS. As a group, research analysts predict that Rocket Lab will post -0.38 EPS for the current year.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on RKLB. The Goldman Sachs Group started coverage on Rocket Lab in a research report on Monday, June 30th. They set a "neutral" rating and a $27.00 price target on the stock. Bank of America lifted their target price on Rocket Lab from $30.00 to $50.00 and gave the stock a "buy" rating in a research note on Wednesday, July 16th. KeyCorp lifted their target price on Rocket Lab from $40.00 to $50.00 and gave the stock an "overweight" rating in a research note on Friday, August 8th. Cantor Fitzgerald lifted 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, Needham & Company LLC reiterated a "buy" rating and set a $55.00 target price on shares of Rocket Lab in a research note on Wednesday, September 3rd. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, Rocket Lab has a consensus rating of "Moderate Buy" and an average price target of $42.27.

Insider Transactions at Rocket Lab

In other Rocket Lab news, Director Merline Saintil sold 6,353 shares of the business's stock in a transaction that occurred on Tuesday, June 24th. The stock was 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 $14,005,213.22. The trade was a 1.49% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Corporate insiders own 11.90% of the company's stock.

Hedge Funds Weigh In On Rocket Lab

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. EverSource Wealth Advisors LLC raised its holdings in 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 acquiring an additional 416 shares in the last quarter. Atlantic Union Bankshares Corp acquired a new position in Rocket Lab in the 2nd quarter valued at $36,000. Kilter Group LLC acquired a new position in Rocket Lab in the 2nd quarter valued at $37,000. ORG Partners LLC raised its holdings in Rocket Lab by 491.9% in the 2nd quarter. ORG Partners LLC now owns 1,095 shares of the rocket manufacturer's stock valued at $38,000 after acquiring an additional 910 shares in the last quarter. Finally, Golden State Wealth Management LLC raised its holdings in shares of Rocket Lab by 3,250.0% during the 2nd quarter. Golden State Wealth Management LLC now owns 1,340 shares of the rocket manufacturer's stock worth $48,000 after buying an additional 1,300 shares in the last quarter. 71.78% of the stock is 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.

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.