Rocket Lab (NASDAQ:RKLB) Shares Down 9.3% – Here’s What Happened

Shares of Rocket Lab Corporation (NASDAQ:RKLB) traded down 9.3% during trading on Thursday . The stock traded as low as $65.20 and last traded at $66.32. 21,707,962 shares changed hands during mid-day trading, a decline of 16% from the average session volume of 25,735,338 shares. The stock had previously closed at $73.11.

Rocket Lab News Roundup

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

• Positive Sentiment: Defense and mission wins — social and contract data highlight Rocket Lab’s traction in U.S. hypersonic programs (MACH‑TB/HASTE) and steady government awards, which support recurring national‑security revenue prospects. Rocket Lab Stock (RKLB) Opinions on Hypersonic Mission Progress
• Positive Sentiment: Analyst price‑target lift — at least one published update raised RKLB’s target materially, signaling continued bullish views among some Wall Street desks despite volatility. Rocket Lab (RKLB) price target increased by 20.90% to 85.59
• Neutral Sentiment: Options-market nuance — some analysts see a sentiment mismatch in RKLB options that creates trading opportunities; this can amplify intraday moves but is not a fundamental change. A Potential Sentiment Mismatch Makes Rocket Lab (RKLB) Stock Options an Enticing Proposition
• Neutral Sentiment: Expect continued volatility — market commentary recommends positioning for swings in 2026 as launches, Neutron development news and macro/sector flows drive sentiment. 3 Predictions for Rocket Lab in 2026
• Negative Sentiment: Congress declined funding for the planned 2031 Mars sample‑return tied to Perseverance — that political funding decision removes a potential high‑profile program and has sparked fresh selling pressure. Rocket Lab Stock Is Sliding Thursday: What’s Driving The Action?
• Negative Sentiment: Space‑stock rotation and sentiment spillover — a selloff among SpaceX rivals after a high‑profile SpaceX‑xAI related rally has pressured RKLB along with peers. SpaceX rivals AST SpaceMobile and Rocket Lab join space-stock selloff
• Negative Sentiment: Analyst caution and downgrade tone — some previews argue even an earnings beat may not halt downside, reflecting concerns about margins, capital intensity and execution risk. Rocket Lab Q4 Earnings Preview: Even A Beat Won’t Save The Stock (Downgrade)
• Negative Sentiment: Program risk — reporting highlights Neutron development setbacks even as Electron launch cadence accelerates; mix of progress and delays keeps execution risk high. Rocket Lab Balances Rapid Electron Launches With Neutron Program Setbacks
• Negative Sentiment: Recent steep intraday declines and supply pressure — coverage noted a sharper fall than the market and visible insider selling, which can weigh on sentiment. Rocket Lab Corporation (RKLB) Falls More Steeply Than Broader Market: What Investors Need to Know

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on RKLB shares. The Goldman Sachs Group increased their price objective on shares of Rocket Lab from $47.00 to $69.00 and gave the company a “neutral” rating in a research note on Tuesday, January 20th. Weiss Ratings reissued a “sell (d-)” rating on shares of Rocket Lab in a research report on Thursday, January 22nd. TD Cowen restated a “buy” rating on shares of Rocket Lab in a research note on Thursday, January 22nd. Needham & Company LLC lifted their price objective on Rocket Lab from $63.00 to $90.00 and gave the company a “buy” rating in a report on Tuesday, December 23rd. Finally, Citigroup reissued a “market perform” rating on shares of Rocket Lab in a report on Wednesday, November 12th. Two investment analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $72.92.

Rocket Lab Stock Performance

The company has a quick ratio of 2.83, a current ratio of 3.18 and a debt-to-equity ratio of 0.32. The stock has a market capitalization of $35.43 billion, a price-to-earnings ratio of -174.53 and a beta of 2.16. The stock’s 50-day simple moving average is $71.94 and its 200 day simple moving average is $58.15.

Rocket Lab (NASDAQ:RKLB) last posted its earnings results on Monday, November 10th. The rocket manufacturer reported ($0.03) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.05) by $0.02. The company had revenue of $155.08 million during the quarter, compared to analysts’ expectations of $152.45 million. Rocket Lab had a negative net margin of 35.64% and a negative return on equity of 27.26%. Rocket Lab’s quarterly revenue was up 48.0% compared to the same quarter last year. During the same quarter in the previous year, the company posted ($0.10) earnings per share. Analysts expect that Rocket Lab Corporation will post -0.38 earnings per share for the current fiscal year.

Insider Activity at Rocket Lab

In other news, Director Edward H. Frank sold 2,500 shares of the firm’s stock in a transaction on Tuesday, December 23rd. The stock was sold at an average price of $77.39, for a total value of $193,475.00. Following the completion of the sale, the director directly owned 142,504 shares in the company, valued at approximately $11,028,384.56. This trade represents a 1.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Nina Armagno sold 27,314 shares of Rocket Lab stock in a transaction dated Friday, December 19th. The shares were sold at an average price of $68.21, for a total value of $1,863,087.94. Following the completion of the transaction, the director directly owned 108,940 shares of the company’s stock, valued at $7,430,797.40. This represents a 20.05% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 4,306,150 shares of company stock valued at $271,865,732. 11.90% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. AQR Capital Management LLC boosted its stake in Rocket Lab by 114.0% in the first quarter. AQR Capital Management LLC now owns 174,308 shares of the rocket manufacturer’s stock valued at $3,117,000 after acquiring an additional 92,849 shares during the last quarter. NewEdge Advisors LLC boosted its position in shares of Rocket Lab by 1,812.1% in the 1st quarter. NewEdge Advisors LLC now owns 36,807 shares of the rocket manufacturer’s stock worth $658,000 after purchasing an additional 34,882 shares during the last quarter. Jones Financial Companies Lllp boosted its position in shares of Rocket Lab by 53.8% in the 1st quarter. Jones Financial Companies Lllp now owns 15,745 shares of the rocket manufacturer’s stock worth $282,000 after purchasing an additional 5,507 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Rocket Lab by 13.3% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 773,548 shares of the rocket manufacturer’s stock worth $13,831,000 after purchasing an additional 90,758 shares during the period. Finally, Focus Partners Wealth increased its holdings in Rocket Lab by 1.0% in the first quarter. Focus Partners Wealth now owns 67,584 shares of the rocket manufacturer’s stock valued at $1,206,000 after purchasing an additional 681 shares during the last quarter. Institutional investors and hedge funds own 71.78% of the company’s stock.

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.