Wall Street Zen downgraded shares of Rocket Lab (NASDAQ:RKLB – Free Report) from a hold rating to a sell rating in a report published on Saturday morning.
Other research analysts also recently issued reports about the company. Craig Hallum raised their price target on Rocket Lab from $98.00 to $120.00 and gave the company a “buy” rating in a research note on Monday, June 29th. Roth Capital set a $110.00 price objective on Rocket Lab in a report on Tuesday, August 11th. TD Cowen raised their target price on shares of Rocket Lab from $90.00 to $120.00 and gave the company a “buy” rating in a research note on Friday, May 8th. New Street Research started coverage on shares of Rocket Lab in a research note on Wednesday, May 13th. They issued a “buy” rating and a $150.00 target price for the company. Finally, KGI Securities upgraded shares of Rocket Lab from a “neutral” rating to an “outperform” rating and set a $107.00 target price on the stock in a report on Monday, July 27th. Three equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Rocket Lab has an average rating of “Moderate Buy” and a consensus price target of $110.65.
Read Our Latest Report on Rocket Lab
Rocket Lab Trading Up 2.3%
Rocket Lab (NASDAQ:RKLB – Get Free Report) last announced its quarterly earnings data on Monday, August 10th. The rocket manufacturer reported ($0.08) earnings per share for the quarter, missing the consensus estimate of ($0.06) by ($0.02). The company had revenue of $234.07 million during the quarter, compared to the consensus estimate of $231.62 million. Rocket Lab had a negative net margin of 21.51% and a negative return on equity of 6.48%. On average, equities analysts forecast that Rocket Lab will post -0.25 EPS for the current fiscal year.
Insider Buying and Selling
In related news, CEO Peter Beck sold 990,960 shares of the stock in a transaction 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 sale, the chief executive officer owned 1,724,221 shares in the company, valued at approximately $142,868,952.06. This represents a 36.50% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Marvin Bradford Clevenger sold 3,500 shares of the firm’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $146.67, for a total value of $513,345.00. Following the sale, the insider directly owned 473,975 shares of the company’s stock, valued at $69,517,913.25. This represents a 0.73% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 3,749,294 shares of company stock valued at $351,008,208. Insiders own 8.40% of the company’s stock.
Hedge Funds Weigh In On Rocket Lab
Several institutional investors and hedge funds have recently modified their holdings of RKLB. Swedbank AB grew its position in shares of Rocket Lab by 8.2% in the fourth quarter. Swedbank AB now owns 509,250 shares of the rocket manufacturer’s stock valued at $35,525,000 after purchasing an additional 38,770 shares during the last quarter. Vanguard Group Inc. lifted its holdings in Rocket Lab by 13.4% during the 4th quarter. Vanguard Group Inc. now owns 47,420,192 shares of the rocket manufacturer’s stock worth $3,308,033,000 after purchasing an additional 5,610,469 shares during the last quarter. Katamaran Capital LLP boosted its stake in Rocket Lab by 86.2% in the 1st quarter. Katamaran Capital LLP now owns 19,808 shares of the rocket manufacturer’s stock valued at $1,272,000 after purchasing an additional 9,172 shares during the period. Westfield Capital Management Co. LP grew its holdings in Rocket Lab by 6.3% in the 4th quarter. Westfield Capital Management Co. LP now owns 2,592,443 shares of the rocket manufacturer’s stock valued at $180,849,000 after buying an additional 154,623 shares in the last quarter. Finally, Y.D. More Investments Ltd acquired a new position in Rocket Lab in the 1st quarter valued at $642,000. 71.78% of the stock is currently owned by institutional investors and hedge funds.
Trending Headlines about Rocket Lab
Here are the key news stories impacting Rocket Lab this week:
- Positive Sentiment: Viasat satellite-bus contract: Viasat selected Rocket Lab to build the satellite bus for a maneuverable, anti-jam spacecraft supporting the U.S. Space Force’s Protected Tactical SATCOM-Global program. The win strengthens Rocket Lab’s position in national-security satellite infrastructure and was described by Stifel as another successful contract award. Viasat Selects Rocket Lab to Build GEO Satellite for U.S. Space Force’s Protected Tactical SATCOM-Global Program
- Positive Sentiment: Access to $981 million Space Force program: Rocket Lab was onboarded to the NITE-STAR IDIQ contract, allowing it to compete for task orders involving space-based systems, ground infrastructure, digital training environments and mission operations. The contract expands its government pipeline, although the $981 million figure is a ceiling rather than guaranteed revenue. Rocket Lab Onboarded to U.S. Space Force’s NITE-STAR Program
- Positive Sentiment: Successful Globalstar deployment: Rocket Lab launched and established contact with eight satellite platforms built for MDA Space under a $143 million, 17-satellite contract supporting Globalstar’s direct-to-device and IoT network. The mission demonstrates Rocket Lab’s ability to manufacture, launch and operate satellites as an integrated provider. Rocket Lab Satellite Platforms Successfully Reach Orbit
- Neutral Sentiment: Analyst optimism: Coverage points to more than 35% potential upside, with a median analyst price target of $120. However, these projections are estimates and do not remove execution, valuation or launch risks. 2 ETFs to Capture Rocket Lab Stock’s Upside Potential
- Negative Sentiment: Insider selling remains a risk: Reported insider activity showed 106 open-market sales and no purchases during the past six months, including substantial selling by CEO Peter Beck and other executives. This may weigh on sentiment, particularly after RKLB’s strong advance.
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.
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