Rocket Lab (NASDAQ:RKLB) Trading Down 9.9% – What’s Next?

Shares of Rocket Lab Corporation (NASDAQ:RKLB) traded down 9.9% during mid-day trading on Monday . The company traded as low as $55.08 and last traded at $55.41. 32,534,221 shares traded hands during mid-day trading, an increase of 57% from the average session volume of 20,766,705 shares. The stock had previously closed at $61.49.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the company. Citigroup reissued a “market perform” rating on shares of Rocket Lab in a research note on Wednesday, November 12th. KeyCorp increased their target price on Rocket Lab from $50.00 to $75.00 and gave the company an “overweight” rating in a research note on Friday, October 17th. Morgan Stanley decreased their target price on Rocket Lab from $68.00 to $67.00 and set an “equal weight” rating for the company in a research report on Wednesday, November 12th. Needham & Company LLC reiterated a “buy” rating and issued a $63.00 price target on shares of Rocket Lab in a research report on Tuesday, November 25th. Finally, Wall Street Zen cut shares of Rocket Lab from a “hold” rating to a “sell” rating in a report on Saturday. Two research analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $58.17.

Rocket Lab Stock Performance

The firm has a market cap of $29.60 billion, a price-to-earnings ratio of -145.82 and a beta of 2.20. The stock has a 50-day moving average of $54.92 and a 200-day moving average of $46.20. The company has a debt-to-equity ratio of 0.32, a quick ratio of 2.83 and a current ratio of 3.18.

Rocket Lab (NASDAQ:RKLB) last issued its quarterly earnings results on Monday, November 10th. The rocket manufacturer reported ($0.03) earnings per share for the quarter, topping the consensus estimate of ($0.05) by $0.02. The company had revenue of $155.08 million during the quarter, compared to analysts’ expectations of $152.45 million. Rocket Lab had a negative net margin of 35.64% and a negative return on equity of 27.26%. The business’s quarterly revenue was up 48.0% on a year-over-year basis. During the same period last year, the business earned ($0.10) EPS. As a group, analysts anticipate that Rocket Lab Corporation will post -0.38 EPS for the current fiscal year.

Insider Activity

In related news, insider Frank Klein sold 4,736 shares of the company’s stock in a transaction dated Wednesday, November 26th. The stock was sold at an average price of $42.08, for a total transaction of $199,290.88. Following the sale, the insider owned 1,269,487 shares in the company, valued at approximately $53,420,012.96. This represents a 0.37% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, SVP Arjun Kampani sold 10,554 shares of the business’s stock in a transaction that occurred on Wednesday, November 26th. The stock was sold at an average price of $42.08, for a total value of $444,112.32. Following the transaction, the senior vice president directly owned 450,460 shares in the company, valued at $18,955,356.80. This trade represents a 2.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 4,519,974 shares of company stock worth $217,349,226. 11.90% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. IFP Advisors Inc lifted its stake in Rocket Lab by 30.8% in the 3rd quarter. IFP Advisors Inc now owns 2,995 shares of the rocket manufacturer’s stock valued at $143,000 after purchasing an additional 705 shares during the last quarter. Swiss Life Asset Management Ltd raised its stake in Rocket Lab by 480.9% in the third quarter. Swiss Life Asset Management Ltd now owns 58,426 shares of the rocket manufacturer’s stock valued at $2,799,000 after buying an additional 48,369 shares during the period. CIBC Private Wealth Group LLC lifted its position in shares of Rocket Lab by 28.2% in the third quarter. CIBC Private Wealth Group LLC now owns 7,948 shares of the rocket manufacturer’s stock valued at $381,000 after buying an additional 1,747 shares during the last quarter. CIBC Bancorp USA Inc. acquired a new stake in shares of Rocket Lab in the third quarter valued at approximately $741,000. Finally, Centaurus Financial Inc. bought a new position in shares of Rocket Lab during the 3rd quarter worth approximately $286,000. 71.78% of the stock is currently owned by institutional investors and hedge funds.

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.