Rocket Lab (NASDAQ:RKLB) Shares Up 5.5% – Should You Buy?

Shares of Rocket Lab Corporation (NASDAQ:RKLB) rose 5.5% during trading on Wednesday . The stock traded as high as $135.35 and last traded at $134.28. Approximately 22,258,089 shares traded hands during trading, a decline of 6% from the average daily volume of 23,687,707 shares. The stock had previously closed at $127.31.

Rocket Lab News Summary

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

• Positive Sentiment: Rocket Lab won a $90 million Space Force contract, which expands its satellite business into geostationary orbit and adds a meaningful new source of revenue. Article Title
• Positive Sentiment: The company completed its 9th Electron launch for Synspective, underscoring strong execution and a durable commercial launch partnership. Article Title
• Neutral Sentiment: Broader space-stock momentum and renewed interest ahead of SpaceX’s IPO are also lifting sentiment across the sector, including RKLB. Article Title
• Negative Sentiment: Some investors remain wary after Rocket Lab’s recent announcement of a potential $3 billion share-sale program, which raised dilution concerns earlier in the week. Article Title

Wall Street Analyst Weigh In

Several research firms have weighed in on RKLB. Craig Hallum raised shares of Rocket Lab from a “hold” rating to a “buy” rating and set a $98.00 price target on the stock in a report on Friday, May 8th. Roth Mkm upped their target price on Rocket Lab from $90.00 to $100.00 and gave the company a “buy” rating in a research report on Friday, April 17th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Rocket Lab in a research note on Tuesday, April 21st. Citigroup reissued an “outperform” rating on shares of Rocket Lab in a report on Friday, May 8th. Finally, BTIG Research restated a “hold” rating on shares of Rocket Lab in a research note on Tuesday, May 12th. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $97.19.

Rocket Lab Stock Up 8.2%

The company has a current ratio of 4.47, a quick ratio of 4.02 and a debt-to-equity ratio of 0.02. The firm has a market cap of $78.57 billion, a price-to-earnings ratio of -424.25 and a beta of 2.30. The firm’s 50 day simple moving average is $83.57 and its two-hundred day simple moving average is $72.72.

Rocket Lab (NASDAQ:RKLB) last announced its earnings results on Thursday, May 7th. The rocket manufacturer reported ($0.07) earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of ($0.07). Rocket Lab had a negative net margin of 26.87% and a negative return on equity of 11.72%. The firm had revenue of $200.35 million for the quarter, compared to analyst estimates of $189.65 million. During the same quarter in the prior year, the business posted ($0.12) EPS. The business’s revenue was up 63.4% compared to the same quarter last year. On average, equities analysts forecast that Rocket Lab Corporation will post -0.24 EPS for the current year.

Insider Buying and Selling at Rocket Lab

In other Rocket Lab news, Director Alexander R. Slusky sold 100,000 shares of the firm’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $118.08, for a total transaction of $11,808,000.00. Following the transaction, the director owned 434,675 shares in the company, valued at $51,326,424. This trade represents a 18.70% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Merline Saintil sold 18,126 shares of Rocket Lab stock in a transaction on Friday, March 6th. The shares were sold at an average price of $75.04, for a total value of $1,360,175.04. Following the completion of the transaction, the director directly owned 261,903 shares of the company’s stock, valued at $19,653,201.12. This represents a 6.47% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 333,449 shares of company stock valued at $28,295,233 over the last ninety days. 8.40% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Rocket Lab

Institutional investors and hedge funds have recently bought and sold shares of the company. Hara Capital LLC acquired a new position in shares of Rocket Lab in the 3rd quarter valued at approximately $25,000. Wilmington Savings Fund Society FSB acquired a new stake in shares of Rocket Lab during the 3rd quarter worth approximately $25,000. Aventura Private Wealth LLC bought a new position in Rocket Lab in the fourth quarter valued at approximately $25,000. UMB Bank n.a. increased 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 valued at $26,000 after acquiring an additional 423 shares during the last quarter. Finally, Mcguire Capital Advisors Inc. acquired a new position in Rocket Lab during the fourth quarter valued at approximately $27,000. Institutional investors own 71.78% of the company’s stock.

About Rocket Lab

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.