Insider Selling: Rocket Lab (NASDAQ:RKLB) CEO Sells 986,197 Shares

Rocket Lab Corporation (NASDAQ:RKLB) CEO Peter Beck sold 986,197 shares of the firm’s stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $95.33, for a total value of $94,014,160.01. Following the sale, the chief executive officer directly owned 4,013,803 shares in the company, valued at approximately $382,635,839.99. This represents a 19.72% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Peter Beck also recently made the following trade(s):

• On Wednesday, July 8th, Peter Beck sold 990,960 shares of Rocket Lab stock. The shares were sold at an average price of $82.86, for a total value of $82,110,945.60.
• On Tuesday, July 7th, Peter Beck sold 1,298,622 shares of Rocket Lab stock. The shares were sold at an average price of $84.92, for a total value of $110,278,980.24.

Rocket Lab Stock Down 0.1%

NASDAQ RKLB traded down $0.06 during trading hours on Wednesday, reaching $83.35. 19,100,978 shares of the company’s stock were exchanged, compared to its average volume of 28,141,436. The company’s 50-day moving average is $109.08 and its two-hundred day moving average is $87.19. Rocket Lab Corporation has a one year low of $37.57 and a one year high of $151.00. The company has a debt-to-equity ratio of 0.02, a quick ratio of 4.02 and a current ratio of 4.47. The company has a market capitalization of $48.24 billion, a price-to-earnings ratio of -260.47 and a beta of 2.54.

Rocket Lab (NASDAQ:RKLB) last announced its earnings results on Thursday, May 7th. The rocket manufacturer reported ($0.07) EPS for the quarter, hitting the consensus estimate 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 the consensus estimate of $189.65 million. During the same period last year, the company posted ($0.12) EPS. The business’s quarterly revenue was up 63.4% on a year-over-year basis. On average, analysts forecast that Rocket Lab Corporation will post -0.29 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. increased 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 valued at $3,308,033,000 after buying an additional 5,610,469 shares during the last quarter. Baillie Gifford & Co. grew its holdings in shares of Rocket Lab by 47.2% in the 4th 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. Capital World Investors increased its position in shares of Rocket Lab by 12.0% in the fourth quarter. Capital World Investors now owns 16,200,726 shares of the rocket manufacturer’s stock valued at $1,130,172,000 after acquiring an additional 1,738,623 shares during the last quarter. State Street Corp raised its holdings in Rocket Lab by 1.0% during the fourth quarter. State Street Corp now owns 12,520,223 shares of the rocket manufacturer’s stock worth $873,411,000 after acquiring an additional 120,652 shares in the last quarter. Finally, Geode Capital Management LLC raised its holdings in Rocket Lab by 10.1% during the fourth quarter. Geode Capital Management LLC now owns 9,004,724 shares of the rocket manufacturer’s stock worth $626,605,000 after acquiring an additional 825,158 shares in the last quarter. Institutional investors own 71.78% of the company’s stock.

Rocket Lab News Summary

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

• Positive Sentiment: Rocket Lab reported mission success for the U.S. Space Force’s VICTUS HAZE program, completing a record-fast responsive launch and complex on-orbit operations ahead of schedule. The result reinforces RKLB’s credibility in national security space and shows it can deliver integrated launch-plus-spacecraft services. Rocket Lab Delivers Mission Success for Space Force: Completes Historic Launch and On-Orbit Satellite Tracking Mission in Record Time
• Positive Sentiment: Several analysts have stayed bullish, with recent price targets around $115 to $135 and one bullish case as high as $293, reflecting confidence in Rocket Lab’s long-term growth story and contract backlog. Rocket Lab Bull-Case Target Set at $293 by Morgan Stanley
• Neutral Sentiment: Commentary around a possible $8 billion Iridium transaction suggests Rocket Lab is trying to become a broader space infrastructure platform, which could improve its strategic position but also raises execution and integration questions. Rocket Lab’s Mega Iridium Deal Kicks off Space Industry Consolidation
• Negative Sentiment: Rocket Lab has been swept up in a broader selloff across space stocks, with traders rotating out of high-beta names and questioning whether the recent rally got ahead of fundamentals. Rocket Lab Stock Falls Tuesday: What’s Driving the Weakness?
• Negative Sentiment: Investor sentiment is also being pressured by reports of heavy insider selling, including CEO Peter Beck’s planned stake reduction, which can signal caution around the stock’s near-term valuation. Rocket Lab (RKLB) Falls Hard — Its CEO May Hold the Answer

Wall Street Analysts Forecast Growth

Several equities research analysts recently commented on RKLB shares. BTIG Research reaffirmed a “hold” rating on shares of Rocket Lab in a research report on Tuesday, May 12th. Citigroup reissued an “outperform” rating on shares of Rocket Lab in a research note on Tuesday, June 30th. TD Cowen upped their price objective on Rocket Lab from $90.00 to $120.00 and gave the stock a “buy” rating in a research report on Friday, May 8th. KGI Securities initiated coverage on Rocket Lab in a research report on Thursday, June 11th. They issued a “neutral” rating and a $105.00 target price on the stock. Finally, Stifel Nicolaus set a $132.00 target price on Rocket Lab in a research report on Thursday, June 4th. Three research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $108.24.

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.