Rocket Lab (NASDAQ:RKLB) Trading 10% Higher – Should You Buy?

Rocket Lab Corporation (NASDAQ:RKLB) traded up 10% during mid-day trading on Monday . The stock traded as high as $78.45 and last traded at $77.55. 46,500,166 shares changed hands during trading, an increase of 121% from the average session volume of 21,053,217 shares. The stock had previously closed at $70.52.

More Rocket Lab News

Here are the key news stories impacting Rocket Lab this week:

• Positive Sentiment: Large U.S. government/defense contract — Rocket Lab won a roughly $816 million Space Development Agency / defense program contract (reported across outlets), significantly expanding its defense backlog and underwriting future revenue and production cadence. Read More.
• Positive Sentiment: Operational execution — Rocket Lab completed its 21st Electron launch of 2025 with 100% mission success, setting an annual record and reinforcing Electron’s position as a high-frequency, reliable small‑sat launcher (supports recurring launch revenue and customer pipeline). Read More.
• Positive Sentiment: Analyst upgrades / price‑target raises — Brokerages (including Stifel) have recently raised targets and reiterated Buy/Overweight views as contracts and execution reduce program risk; these upgrades support higher investor expectations. Read More.
• Neutral Sentiment: Broader sector tailwinds — Positive policy and industry momentum (Space Force/White House actions, increased defense spending and investor interest in space names) are lifting many space stocks, which can magnify RKLB’s moves but also increases correlation with sector sentiment. Read More.
• Neutral Sentiment: Valuation notes — After a large YTD rally, some outlets and analysts flag elevated multiples and a range of price targets (median/consensus targets are still below current trading in some surveys), so further gains may depend on continued contract wins and Neutron progress. Read More.
• Negative Sentiment: Insider selling — Significant December insider sales (including CEO sales executed under 10b5‑1 plans) are being reported; while many were preplanned (muting the signal), large sales attract attention and could weigh on sentiment if perceived as profit‑taking. Read More.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on the stock. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Rocket Lab in a research report on Wednesday, December 3rd. Wall Street Zen lowered Rocket Lab from a “hold” rating to a “sell” rating in a research note on Saturday, December 13th. Morgan Stanley reduced their target price on Rocket Lab from $68.00 to $67.00 and set an “equal weight” rating on the stock in a report on Wednesday, November 12th. Bank of America increased their price target on shares of Rocket Lab from $50.00 to $60.00 and gave the company a “buy” rating in a research note on Wednesday, November 19th. Finally, Stifel Nicolaus raised their price objective on shares of Rocket Lab from $75.00 to $85.00 and gave the company a “buy” rating in a research note on Monday. Two equities research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $59.00.

Rocket Lab Stock Performance

The stock’s 50-day simple moving average is $54.50 and its 200-day simple moving average is $47.33. The company has a current ratio of 3.18, a quick ratio of 2.83 and a debt-to-equity ratio of 0.32. The stock has a market cap of $41.42 billion, a price-to-earnings ratio of -204.08 and a beta of 2.20.

Rocket Lab (NASDAQ:RKLB) last released its quarterly earnings data on Monday, November 10th. The rocket manufacturer reported ($0.03) earnings per share for the quarter, beating the consensus estimate of ($0.05) by $0.02. Rocket Lab had a negative return on equity of 27.26% and a negative net margin of 35.64%.The business had revenue of $155.08 million for the quarter, compared to analyst estimates of $152.45 million. During the same period last year, the firm posted ($0.10) earnings per share. Rocket Lab’s revenue was up 48.0% compared to the same quarter last year. Analysts forecast that Rocket Lab Corporation will post -0.38 earnings per share for the current fiscal year.

Insider Transactions at Rocket Lab

In other news, insider Frank Klein sold 41,782 shares of the firm’s stock in a transaction that occurred on Monday, November 24th. The stock was sold at an average price of $40.65, for a total value of $1,698,438.30. Following the transaction, the insider owned 1,274,223 shares in the company, valued at $51,797,164.95. This trade represents a 3.17% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP Arjun Kampani sold 28,615 shares of Rocket Lab stock in a transaction on Monday, November 24th. The stock was sold at an average price of $40.65, for a total value of $1,163,199.75. Following the sale, the senior vice president owned 461,014 shares in the company, valued at $18,740,219.10. The trade was a 5.84% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 2,697,171 shares of company stock worth $149,644,782. Corporate insiders own 11.90% of the company’s stock.

Institutional Trading of Rocket Lab

Hedge funds and other institutional investors have recently modified their holdings of the business. Wilmington Savings Fund Society FSB purchased a new position in Rocket Lab in the third quarter worth $25,000. Hara Capital LLC purchased a new position in Rocket Lab during the 3rd quarter valued at $25,000. UMB Bank n.a. grew its stake in Rocket Lab by 352.5% in the third quarter. UMB Bank n.a. now owns 543 shares of the rocket manufacturer’s stock worth $26,000 after purchasing an additional 423 shares during the period. Sound Income Strategies LLC purchased a new position in Rocket Lab during the 3rd quarter valued at about $27,000. Finally, EverSource Wealth Advisors LLC increased its position in Rocket Lab by 109.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 796 shares of the rocket manufacturer’s stock valued at $28,000 after buying an additional 416 shares in the last quarter. Institutional investors own 71.78% of the company’s stock.

Rocket Lab Company Profile

Rocket Lab is an aerospace company that provides launch services, spacecraft, and space systems for commercial and government customers. The company’s primary launch vehicle is Electron, a small-lift orbital rocket designed to deploy small satellites and rideshare payloads to low Earth orbit. Rocket Lab also develops and manufactures the Rutherford engine, noted for its electric-pump-fed design and additive-manufactured components, which powers Electron and supports the company’s propulsion capabilities.