Rocket Lab (NASDAQ:RKLB) Stock Price Down 6.6% – Should You Sell?

Rocket Lab Corporation (NASDAQ:RKLB) was down 6.6% during trading on Thursday . The company traded as low as $123.80 and last traded at $125.45. Approximately 30,550,689 shares changed hands during mid-day trading, an increase of 29% from the average daily volume of 23,752,014 shares. The stock had previously closed at $134.28.

Trending Headlines about Rocket Lab

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

• Positive Sentiment: Rocket Lab won a $90 million Space Force contract, which expands its satellite business into geostationary orbit and adds a meaningful new source of revenue. Article Title
• Positive Sentiment: The company completed its 9th Electron launch for Synspective, underscoring strong execution and a durable commercial launch partnership. Article Title
• Neutral Sentiment: Broader space-stock momentum and renewed interest ahead of SpaceX’s IPO are also lifting sentiment across the sector, including RKLB. Article Title
• Negative Sentiment: Some investors remain wary after Rocket Lab’s recent announcement of a potential $3 billion share-sale program, which raised dilution concerns earlier in the week. Article Title

Analysts Set New Price Targets

RKLB has been the topic of several recent analyst reports. Roth Mkm boosted 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. Zacks Research downgraded Rocket Lab from a “strong-buy” rating to a “hold” rating in a report on Tuesday, February 10th. TD Cowen boosted their price objective on Rocket Lab from $90.00 to $120.00 and gave the company a “buy” rating in a research note on Friday, May 8th. Clear Str raised Rocket Lab to a “strong-buy” rating in a research note on Wednesday, March 18th. Finally, Wells Fargo & Company initiated coverage on Rocket Lab in a research note on Wednesday, April 1st. They set an “equal weight” rating and a $60.00 target price for the company. Three equities research 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 stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $97.19.

Rocket Lab Stock Up 8.2%

The stock has a market cap of $78.57 billion, a price-to-earnings ratio of -424.25 and a beta of 2.30. The firm’s fifty day moving average price is $84.84 and its two-hundred day moving average price is $73.16. The company has a debt-to-equity ratio of 0.02, a current ratio of 4.47 and a quick ratio of 4.02.

Rocket Lab (NASDAQ:RKLB) last issued its earnings results on Thursday, May 7th. The rocket manufacturer reported ($0.07) EPS for the quarter, meeting the consensus estimate of ($0.07). Rocket Lab had a negative return on equity of 11.72% and a negative net margin of 26.87%.The company had revenue of $200.35 million during the quarter, compared to the consensus estimate of $189.65 million. During the same period last year, the business posted ($0.12) EPS. The firm’s revenue for the quarter was up 63.4% compared to the same quarter last year. Sell-side analysts forecast that Rocket Lab Corporation will post -0.29 earnings per share for the current fiscal year.

Insider Transactions at Rocket Lab

In other news, Director Merline Saintil sold 18,126 shares of the business’s stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $75.04, for a total transaction of $1,360,175.04. Following the completion of the sale, the director owned 261,903 shares in the company, valued at $19,653,201.12. The trade was a 6.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Alexander R. Slusky sold 100,000 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $118.08, for a total value of $11,808,000.00. Following the transaction, the director directly owned 434,675 shares in the company, valued at $51,326,424. The trade was a 18.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 333,449 shares of company stock valued at $28,295,233. Company insiders own 8.40% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of RKLB. Western Wealth Management LLC grew its holdings in shares of Rocket Lab by 4.6% during the first quarter. Western Wealth Management LLC now owns 4,088 shares of the rocket manufacturer’s stock valued at $263,000 after buying an additional 180 shares during the last quarter. Janus Henderson Group PLC raised its holdings in shares of Rocket Lab by 8.5% in the 1st quarter. Janus Henderson Group PLC now owns 198,013 shares of the rocket manufacturer’s stock worth $12,715,000 after acquiring an additional 15,558 shares during the last quarter. Centaurus Financial Inc. raised its holdings in shares of Rocket Lab by 23.9% in the 1st quarter. Centaurus Financial Inc. now owns 5,891 shares of the rocket manufacturer’s stock worth $378,000 after acquiring an additional 1,137 shares during the last quarter. Oddo BHF Asset Management Sas bought a new position in Rocket Lab in the 1st quarter valued at about $3,691,000. Finally, Amundi boosted its stake in Rocket Lab by 57.5% during the 1st quarter. Amundi now owns 1,784,109 shares of the rocket manufacturer’s stock valued at $114,575,000 after purchasing an additional 651,551 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.