Rocket Lab (NASDAQ:RKLB) Stock Price Down 8.7% – Here’s Why

Posted by Brian Himes on Jul 26th, 2026

Rocket Lab Corporation (NASDAQ:RKLB – Get Free Report)’s stock price was down 8.7% during trading on Friday . The stock traded as low as $63.00 and last traded at $63.91. 18,562,172 shares changed hands during trading, a decline of 24% from the average session volume of 24,477,180 shares. The stock had previously closed at $69.99.

Key Stories Impacting Rocket Lab

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

Positive Sentiment: Rocket Lab continues to win new business, including NASA science launch contracts and a broader defense backlog that supports its long-term growth story. 2 Missions, 3 Launches, and Up to $300 Million for Rocket Lab
Positive Sentiment: Some analysts and commentators argue the recent selloff may be overdone, pointing to Rocket Lab’s growing defense business, launch momentum, and Neutron development as reasons to buy the dip. A $266 Million Reason to Buy Rocket Lab Stock Here
Neutral Sentiment: Rocket Lab announced it will report second-quarter 2026 results on August 10, which could become the next major catalyst for the stock. Rocket Lab Announces Date of Second Quarter 2026 Financial Results
Neutral Sentiment: Rocket Lab’s short-interest update was essentially a data anomaly, showing zero short shares and offering little meaningful new information for investors.
Negative Sentiment: Shares are also being dragged down by a broader space-stock selloff tied to weakness in SpaceX-related trading and investor anxiety ahead of a Starship test flight. SpaceX Drops 5%, Rocket Lab Falls 7%, AST SpaceMobile Slides 4% as Jittery Market Awaits Tonight’s Crucial Test Flight
Negative Sentiment: Investors are still debating whether Rocket Lab is too expensive even after its sharp pullback, suggesting valuation remains a headwind. Rocket Lab Has Corrected Nearly 50%. Is It Still Too Expensive?

Analysts Set New Price Targets

RKLB has been the subject of several research analyst reports. Morgan Stanley restated an “overweight” rating on shares of Rocket Lab in a research note on Wednesday, July 8th. Deutsche Bank Aktiengesellschaft lifted their target price on Rocket Lab from $73.00 to $120.00 and gave the stock a “buy” rating in a research report on Tuesday, May 12th. Bank of America upped their target price on Rocket Lab from $105.00 to $115.00 and gave the company a “buy” rating in a research report on Tuesday, June 30th. New Street Research started coverage on Rocket Lab in a research note on Wednesday, May 13th. They set a “buy” rating and a $150.00 price target on the stock. Finally, Cantor Fitzgerald restated an “overweight” rating and set a $96.00 price target on shares of Rocket Lab in a research note on Tuesday, June 30th. Three analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Rocket Lab has a consensus rating of “Moderate Buy” and an average price target of $110.18.

View Our Latest Report on RKLB

Rocket Lab Stock Down 8.7%

The firm has a market capitalization of $36.99 billion, a PE ratio of -199.72 and a beta of 2.54. The business’s fifty day moving average price is $102.42 and its 200 day moving average price is $87.03. The company has a quick ratio of 4.02, a current ratio of 4.47 and a debt-to-equity ratio of 0.02.

Rocket Lab (NASDAQ:RKLB – Get Free Report) last released its quarterly 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). The firm had revenue of $200.35 million for the quarter, compared to analyst estimates of $189.65 million. Rocket Lab had a negative return on equity of 11.72% and a negative net margin of 26.87%.The business’s revenue was up 63.4% on a year-over-year basis. During the same quarter last year, the company posted ($0.12) earnings per share. On average, equities research analysts forecast that Rocket Lab Corporation will post -0.26 earnings per share for the current fiscal year.

Insider Activity at Rocket Lab

In other Rocket Lab news, CEO Peter Beck sold 990,960 shares of Rocket Lab stock in a transaction that occurred on Wednesday, July 8th. The stock was sold at an average price of $82.86, for a total value of $82,110,945.60. Following the transaction, the chief executive officer directly owned 1,724,221 shares in the company, valued at approximately $142,868,952.06. This trade represents a 36.50% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Alexander R. Slusky sold 40,000 shares of the business’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $123.60, for a total value of $4,944,000.00. Following the completion of the transaction, the director directly owned 334,675 shares in the company, valued at approximately $41,365,830. The trade was a 10.68% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 3,849,294 shares of company stock worth $362,816,208 in the last ninety days. Company insiders own 8.40% of the company’s stock.

Hedge Funds Weigh In On Rocket Lab

Large investors have recently bought and sold shares of the company. Mcguire Capital Advisors Inc. purchased a new stake in shares of Rocket Lab in the fourth quarter valued at about $27,000. Beacon Investment Advisory Services Inc. raised its holdings in Rocket Lab by 364.0% during the second quarter. Beacon Investment Advisory Services Inc. now owns 399 shares of the rocket manufacturer’s stock worth $41,000 after purchasing an additional 313 shares in the last quarter. Zions Bancorporation National Association UT purchased a new position in Rocket Lab during the fourth quarter worth about $28,000. Gordian Capital Singapore Pte Ltd acquired a new stake in Rocket Lab in the fourth quarter valued at about $29,000. Finally, Reflection Asset Management acquired a new stake in Rocket Lab in the fourth quarter valued at about $30,000. Hedge funds and other institutional investors own 71.78% of the company’s stock.

Rocket Lab Company Profile

(Get Free Report)

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.