Rocket Lab (NASDAQ:RKLB) Downgraded by Wall Street Zen to “Sell”

Wall Street Zen downgraded shares of Rocket Lab (NASDAQ:RKLB) from a hold rating to a sell rating in a research report released on Saturday morning.

Other equities analysts have also recently issued research reports about the stock. Citizens Jmp reiterated a “market outperform” rating and issued a $130.00 price target on shares of Rocket Lab in a research note on Tuesday, August 11th. KGI Securities raised shares of Rocket Lab from a “neutral” rating to an “outperform” rating and set a $107.00 target price for the company in a report on Monday, July 27th. Stifel Nicolaus set a $132.00 target price on shares of Rocket Lab in a research note on Thursday, June 4th. Deutsche Bank Aktiengesellschaft increased 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, Morgan Stanley reissued an “overweight” rating on shares of Rocket Lab in a research report on Wednesday, July 8th. Three research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $110.65.

Rocket Lab Price Performance

Shares of NASDAQ RKLB opened at $80.25 on Friday. The company has a 50 day simple moving average of $85.09 and a two-hundred day simple moving average of $85.49. Rocket Lab has a fifty-two week low of $37.57 and a fifty-two week high of $151.00. The company has a market capitalization of $46.44 billion, a price-to-earnings ratio of -297.21 and a beta of 2.60. The company has a debt-to-equity ratio of 0.01, a quick ratio of 4.02 and a current ratio of 5.48.

Rocket Lab (NASDAQ:RKLB) last issued its quarterly earnings results on Monday, August 10th. The rocket manufacturer reported ($0.08) EPS for the quarter, missing analysts’ consensus estimates of ($0.06) by ($0.02). Rocket Lab had a negative return on equity of 6.48% and a negative net margin of 21.51%.The company had revenue of $234.07 million during the quarter, compared to the consensus estimate of $231.62 million. Analysts expect that Rocket Lab will post -0.25 EPS for the current fiscal year.

Insider Buying and Selling

In other Rocket Lab news, insider Frank Klein sold 36,860 shares of the business’s stock in a transaction on Thursday, May 28th. The shares were sold at an average price of $147.42, for a total transaction of $5,433,901.20. Following the completion of the sale, the insider directly owned 1,006,987 shares in the company, valued at approximately $148,450,023.54. The trade was a 3.53% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Peter Beck sold 990,960 shares of the stock in a transaction on Wednesday, July 8th. The shares were sold at an average price of $82.86, for a total value of $82,110,945.60. Following the transaction, the chief executive officer directly owned 1,724,221 shares in the company, valued at $142,868,952.06. The trade was a 36.50% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 3,749,294 shares of company stock valued at $351,008,208 in the last ninety days. Corporate insiders own 8.40% of the company’s stock.

Institutional Trading of Rocket Lab

Hedge funds have recently bought and sold shares of the company. Mcguire Capital Advisors Inc. purchased a new stake in shares of Rocket Lab during the 4th quarter valued at about $27,000. Zions Bancorporation National Association UT bought a new position in Rocket Lab in the fourth quarter worth approximately $28,000. EverSource Wealth Advisors LLC boosted its stake in shares of Rocket Lab by 109.5% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 796 shares of the rocket manufacturer’s stock worth $28,000 after acquiring an additional 416 shares during the last quarter. Gordian Capital Singapore Pte Ltd purchased a new position in shares of Rocket Lab during the 4th quarter worth $29,000. Finally, Reflection Asset Management bought a new stake in shares of Rocket Lab during the 4th quarter valued at $30,000. Hedge funds and other institutional investors own 71.78% of the company’s stock.

Key Rocket Lab News

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

• Positive Sentiment: Rocket Lab secured a $397 million Space Force contract to deploy Flatellite low-Earth-orbit systems for airborne threat tracking. The award lifts the company’s reported 2026 U.S. defense contract total to approximately $943 million and strengthens its government and national-security business. Rocket Lab Stock: Slightly Drop as Space Force Awards $397M Deal for Flatellites
• Positive Sentiment: The Space Force also awarded Rocket Lab approximately $12 million for an orbital data network, adding to evidence of growing defense demand for its launch and space-systems capabilities. The company’s HASTE and GHOST offerings may provide additional opportunities in hypersonic testing and defense missions. RKLB Stock Gains Overnight: Rocket Lab Advances Neutron and Wins New Space Force Deal
• Positive Sentiment: Rocket Lab reported record second-quarter revenue of $234.1 million, up 62% year over year, while next-quarter revenue guidance of about $257.5 million reportedly exceeded expectations. Its backlog reached roughly $2.4 billion, supporting the long-term growth outlook. RKLB Q2 Deep Dive: Iridium Acquisition, Neutron Progress, and Margin Pressures Shape Outlook
• Positive Sentiment: KeyBanc, Stifel and other analysts remain constructive, with recent price targets ranging from approximately $115 to $135 and a reported consensus implying substantial upside. How Much Upside Is Left in Rocket Lab Corporation?
• Neutral Sentiment: Regulatory progress on the proposed Iridium acquisition continued after the U.S. antitrust waiting period expired and required filings were submitted. However, Rocket Lab is arranging approximately $3.6 billion of financing, making the transaction’s execution and leverage important investor risks. Rocket Lab Clears a Major Hurdle on the Iridium Acquisition
• Negative Sentiment: Despite the revenue beat, Rocket Lab’s quarterly loss was wider than expected. Investors are also concerned that the highly anticipated first Neutron flight could slip into 2027, delaying a key catalyst and leaving the stock’s premium valuation vulnerable. Rocket Lab’s Highly Anticipated Neutron Flight May Be Delayed
• Negative Sentiment: The company authorized a replacement $1.94 billion at-the-market stock offering to help fund the Iridium transaction and reduce debt needs. Although the total authorization was not increased, future share issuance could dilute existing holders. Insiders have also reported extensive selling with no purchases in the past six months. Rocket Lab Announces Replacement At-the-Market Equity Program

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.