Rocket Lab (NASDAQ:RKLB) Sets New 12-Month High – Should You Buy?

Shares of Rocket Lab Corporation (NASDAQ:RKLB) reached a new 52-week high during trading on Thursday . The stock traded as high as $151.00 and last traded at $150.23, with a volume of 29029586 shares changing hands. The stock had previously closed at $143.20.

Rocket Lab News Roundup

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

• Positive Sentiment: Rocket Lab passed a key System Requirements Review for the Space Development Agency’s Tracking Layer Tranche 3 program, reinforcing its role in missile-defense and national-security space systems. Article: Rocket Lab Achieves Milestone for Missile Defense Constellation, Passes System Requirements Review for SDA Tracking Layer Tranche 3
• Positive Sentiment: The company completed its acquisition of Motiv Space Systems, expanding its in-house robotics and spacecraft components portfolio and supporting its vertical-integration strategy. Article: Rocket Lab Adds Mars-Proven Robotics Capabilities with Completion of Motiv Space Systems Acquisition
• Positive Sentiment: Broader enthusiasm for a possible SpaceX IPO is lifting the entire space sector, and Rocket Lab is benefiting as investors revalue publicly traded space names. Article: US space stocks rise on SpaceX IPO hype
• Positive Sentiment: Coverage highlighting Rocket Lab’s recent momentum points to the $90 million contract, the Motiv acquisition, and SpaceX-related sector optimism as the main reasons the stock has been climbing. Article: Rocket Lab Keeps Making Headlines and Highs—Here’s What’s Driving the Latest Move

Analyst Ratings Changes

Several equities analysts have commented on RKLB shares. Roth Mkm raised their target price on shares of Rocket Lab from $90.00 to $100.00 and gave the company a “buy” rating in a report on Friday, April 17th. Wall Street Zen raised shares of Rocket Lab from a “sell” rating to a “hold” rating in a report on Sunday, February 8th. BTIG Research reaffirmed a “hold” rating on shares of Rocket Lab in a report on Tuesday, May 12th. Deutsche Bank Aktiengesellschaft lifted their price target on shares of Rocket Lab from $73.00 to $120.00 and gave the company a “buy” rating in a report on Tuesday, May 12th. Finally, Needham & Company LLC lifted their price target on shares of Rocket Lab from $95.00 to $120.00 and gave the company a “buy” rating in a report on Monday, May 11th. Three investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, Rocket Lab presently has a consensus rating of “Moderate Buy” and an average target price of $97.19.

Rocket Lab Stock Up 4.9%

The company has a market capitalization of $86.95 billion, a P/E ratio of -469.47 and a beta of 2.30. 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 firm’s fifty day moving average is $89.26 and its 200-day moving average is $75.12.

Rocket Lab (NASDAQ:RKLB) last posted 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 business 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 earned ($0.12) EPS. The firm’s revenue was up 63.4% compared to the same quarter last year. As a group, equities research analysts predict that Rocket Lab Corporation will post -0.29 EPS for the current year.

Insider Buying and Selling at Rocket Lab

In related news, Director Merline Saintil sold 18,126 shares of Rocket Lab stock in a transaction that occurred on Friday, March 6th. The shares were sold at an average price of $75.04, for a total transaction of $1,360,175.04. Following the sale, the director directly owned 261,903 shares in the company, valued at $19,653,201.12. This trade represents a 6.47% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Frank Klein sold 36,768 shares of Rocket Lab stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $71.95, for a total transaction of $2,645,457.60. Following the sale, the insider owned 1,088,237 shares in the company, valued at approximately $78,298,652.15. This represents a 3.27% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 333,449 shares of company stock worth $28,295,233 over the last quarter. Insiders own 8.40% of the company’s stock.

Institutional Investors Weigh In On Rocket Lab

Hedge funds have recently added to or reduced their stakes in the business. Arizona State Retirement System lifted its position in shares of Rocket Lab by 13.6% in the 3rd quarter. Arizona State Retirement System now owns 127,794 shares of the rocket manufacturer’s stock worth $6,123,000 after purchasing an additional 15,307 shares during the period. Swedbank AB lifted its position in shares of Rocket Lab by 8.2% in the 4th quarter. Swedbank AB now owns 509,250 shares of the rocket manufacturer’s stock worth $35,525,000 after purchasing an additional 38,770 shares during the period. Firsthand Capital Management Inc. lifted its position in shares of Rocket Lab by 40.0% in the 3rd quarter. Firsthand Capital Management Inc. now owns 70,000 shares of the rocket manufacturer’s stock worth $3,354,000 after purchasing an additional 20,000 shares during the period. Swiss National Bank lifted its position in shares of Rocket Lab by 67.7% in the 3rd quarter. Swiss National Bank now owns 1,243,630 shares of the rocket manufacturer’s stock worth $59,582,000 after purchasing an additional 501,830 shares during the period. Finally, Vanguard Group Inc. lifted its position in shares of 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 during the period. 71.78% of the stock is currently owned by institutional investors and hedge funds.

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.