Rocket Lab (NASDAQ:RKLB) Upgraded to Hold at Piper Sandler

Piper Sandler upgraded shares of Rocket Lab (NASDAQ:RKLB) to a hold rating in a research report report published on Wednesday morning,Zacks.com reports.

Other equities research analysts have also issued research reports about the stock. Citigroup reaffirmed an “outperform” rating on shares of Rocket Lab in a research note on Tuesday, June 30th. Citizens Jmp increased their price target on shares of Rocket Lab from $95.00 to $130.00 and gave the stock a “market outperform” rating in a research note on Tuesday, June 30th. Craig Hallum raised their price objective on shares of Rocket Lab from $98.00 to $120.00 and gave the stock a “buy” rating in a report on Monday, June 29th. Clear Str raised Rocket Lab to a “strong-buy” rating in a research report on Wednesday, March 18th. Finally, Stifel Nicolaus set a $132.00 target price on Rocket Lab in a report on Thursday, June 4th. Three analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, six have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $110.18.

Rocket Lab Stock Performance

Shares of RKLB stock opened at $67.35 on Wednesday. The stock has a fifty day moving average of $108.73 and a 200 day moving average of $87.29. Rocket Lab has a 52 week low of $37.57 and a 52 week high of $151.00. The firm has a market capitalization of $38.98 billion, a price-to-earnings ratio of -210.47 and a beta of 2.54. 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) last issued its quarterly earnings data on Thursday, May 7th. The rocket manufacturer reported ($0.07) earnings per share (EPS) for the quarter, meeting 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 business had revenue of $200.35 million for the quarter, compared to the consensus estimate of $189.65 million. During the same period in the previous year, the firm earned ($0.12) EPS. The company’s quarterly revenue was up 63.4% compared to the same quarter last year. As a group, research analysts expect that Rocket Lab will post -0.26 earnings per share for the current year.

Insider Transactions at Rocket Lab

In other news, SVP Arjun Kampani sold 88,000 shares of the business’s stock in a transaction that occurred on Thursday, June 18th. The stock was sold at an average price of $107.98, for a total value of $9,502,240.00. Following the sale, the senior vice president directly owned 264,705 shares of the company’s stock, valued at $28,582,845.90. The trade was a 24.95% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Alexander R. Slusky sold 40,000 shares of the company’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $123.60, for a total value of $4,944,000.00. Following the completion of the sale, the director owned 334,675 shares in the company, valued at $41,365,830. The trade was a 10.68% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 3,849,294 shares of company stock worth $362,816,208. Company insiders own 8.40% of the company’s stock.

Institutional Investors Weigh In On Rocket Lab

Institutional investors have recently modified their holdings of the stock. Baillie Gifford & Co. increased its holdings in shares of Rocket Lab by 47.2% during the fourth quarter. Baillie Gifford & Co. now owns 17,851,446 shares of the rocket manufacturer’s stock valued at $1,245,317,000 after acquiring an additional 5,725,536 shares in the last quarter. Vanguard Group Inc. boosted its stake in Rocket Lab by 13.4% in 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 in the last quarter. Norges Bank bought a new position in Rocket Lab in the 4th quarter worth about $341,036,000. Alliancebernstein L.P. grew its position in Rocket Lab by 818.8% during the 3rd quarter. Alliancebernstein L.P. now owns 2,190,132 shares of the rocket manufacturer’s stock valued at $104,929,000 after purchasing an additional 1,951,755 shares during the last quarter. Finally, Capital World Investors grew its position in Rocket Lab by 12.0% during the 4th quarter. Capital World Investors now owns 16,200,726 shares of the rocket manufacturer’s stock valued at $1,130,172,000 after purchasing an additional 1,738,623 shares during the last quarter. 71.78% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Rocket Lab

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

• Positive Sentiment: Rocket Lab continues to report strong business momentum, including rapid revenue growth, a large backlog, and progress toward becoming an end-to-end space company. The company is also building out launch infrastructure and expanding its defense-related opportunity set, including potential upside from the Space Force’s NSSL launch program if Neutron succeeds. Article Title
• Positive Sentiment: Analysts have pointed to Rocket Lab’s recent acquisitions and growing position in the space industry as reasons for long-term optimism, with some still maintaining bullish views despite the selloff. Article Title
• Neutral Sentiment: Several articles are comparing Rocket Lab with peers like AST SpaceMobile and SpaceX, reinforcing that RKLB remains a high-profile name in a speculative sector, but not providing a major new company-specific catalyst. Article Title
• Negative Sentiment: Piper Sandler initiated coverage with a Neutral rating and an $83 price target, which disappointed some investors and added to pressure on the shares. Article Title
• Negative Sentiment: Investors are also reacting to concerns about dilution, a recent CEO share sale, and the stock’s stretched valuation after a huge run earlier in the year. Several commentaries now argue that space stocks, including Rocket Lab, may be too speculative at current levels. Article Title

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.