Rocket Lab (NASDAQ:RKLB) Stock Falls 4% – Here’s What Happened

Rocket Lab Corporation (NASDAQ:RKLB)’s share price fell 4% on Friday. The company traded as low as $59.76 and last traded at $61.53. Approximately 13,029,366 shares changed hands during mid-day trading, a decline of 43% from the average daily volume of 22,735,303 shares. The stock had previously closed at $64.07.

Key Rocket Lab News

Investors following RKLB have been watching these news items:

• Positive Sentiment: Rocket Lab says its 100th Electron launch is scheduled for Nov. 14, carrying an Earth-imaging satellite for Japan’s iQPS. Reaching the milestone would underscore Electron’s launch cadence and reliability, though the mission has yet to fly. Article: Rocket Lab To Launch Milestone 100th Electron Rocket This Week
• Positive Sentiment: ARK Invest disclosed buying 18,086 Rocket Lab shares, while Q3 revenue rose 73% year over year to about $268 million and backlog reached a record $3.57 billion—evidence of investor interest and strong demand. Article: Cathie Wood Buys More of Archer Aviation and Rocket Lab Stocks
• Negative Sentiment: Shares in Rocket Lab and other space companies fell amid hot inflation data, suggesting broader risk-off pressure rather than a company-specific development. Separately, Neutron’s first launch has slipped to 2027, extending uncertainty around the next growth platform. Article: Space Stocks Give Back a Stellar Week

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the stock. TD Cowen reaffirmed a “buy” rating and issued a $90.00 target price on shares of Rocket Lab in a report on Thursday, October 15th. Raymond James Financial initiated coverage on shares of Rocket Lab in a research note on Friday, September 11th. They issued an “outperform” rating and a $80.00 price objective for the company. Weiss Ratings reissued a “sell (d-)” rating on shares of Rocket Lab in a report on Thursday, October 15th. Morgan Stanley reduced their price target on shares of Rocket Lab from $105.00 to $103.00 and set an “overweight” rating on the stock in a research report on Wednesday. Finally, Needham & Company LLC lowered their target price on Rocket Lab from $120.00 to $100.00 and set a “buy” rating for the company in a research note on Wednesday. Three equities research analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, five have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $99.10.

Rocket Lab Price Performance

The firm’s fifty day moving average is $62.51 and its 200-day moving average is $78.48. The firm has a market cap of $36.82 billion, a price-to-earnings ratio of -170.92 and a beta of 3.15.

Rocket Lab (NASDAQ:RKLB) last announced its quarterly earnings data on Monday, November 9th. The rocket manufacturer reported ($0.12) EPS for the quarter, missing the consensus estimate of ($0.07) by ($0.05). Rocket Lab had a negative return on equity of 5.79% and a negative net margin of 25.73%. The company had revenue of $267.83 million for the quarter, compared to analyst estimates of $257.21 million. As a group, equities research analysts anticipate that Rocket Lab Corporation will post -0.20 EPS for the current year.

Insider Buying and Selling at Rocket Lab

In other news, CFO Adam C. Spice sold 140,157 shares of the firm’s stock in a transaction that occurred on Thursday, October 1st. The stock was sold at an average price of $70.82, for a total value of $9,925,918.74. Following the transaction, the chief financial officer owned 1,155,967 shares in the company, valued at $81,865,582.94. This trade represents a 10.81% decrease in their ownership of the stock. 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. Also, insider Marvin Clevenger sold 15,051 shares of the company’s stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $69.63, for a total value of $1,048,001.13. Following the completion of the transaction, the insider directly owned 458,924 shares of the company’s stock, valued at approximately $31,954,878.12. This represents a 3.18% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 551,832 shares of company stock worth $34,940,037 in the last quarter. Company insiders own 8.40% of the company’s stock.

Hedge Funds Weigh In On Rocket Lab

Several hedge funds have recently made changes to their positions in the stock. State Board of Administration of Florida Retirement System raised its holdings in shares of Rocket Lab by 7.7% in the 3rd quarter. State Board of Administration of Florida Retirement System now owns 502,771 shares of the rocket manufacturer’s stock valued at $35,033,000 after acquiring an additional 35,938 shares in the last quarter. Insigneo Advisory Services LLC raised its holdings in Rocket Lab by 26.3% during the 3rd quarter. Insigneo Advisory Services LLC now owns 5,514 shares of the rocket manufacturer’s stock valued at $384,000 after buying an additional 1,149 shares during the last quarter. Bleakley Financial Group LLC bought a new stake in shares of Rocket Lab in the third quarter worth about $852,000. Benjamin Edwards Inc. purchased a new position in shares of Rocket Lab during the third quarter valued at approximately $639,000. Finally, Fort Sheridan Advisors LLC raised its holdings in Rocket Lab by 23.9% in the 3rd quarter. Fort Sheridan Advisors LLC now owns 7,912 shares of the rocket manufacturer’s stock worth $551,000 after purchasing an additional 1,525 shares in the last quarter. 71.78% of the stock is currently owned by hedge funds and other institutional investors.

About Rocket Lab

Rocket Lab is a space company that provides launch services and spacecraft and satellite systems for commercial, civil, and national security customers. Founded in 2006 by Peter Beck, the company operates internationally, with headquarters in Long Beach, California, and launch operations in New Zealand and the United States. Its launch business centers on Electron, a small orbital rocket designed to carry satellites to space, and HASTE, a suborbital vehicle used for hypersonic test missions. Rocket Lab is also developing Neutron, a larger launch vehicle.