Rocket Lab USA (NASDAQ:RKLB) Trading 0.9% Higher - Here's Why

On Thursday, Rocket Lab USA, Inc. (NASDAQ:RKLB) saw its shares increase by 0.9%, reaching a price of $25.67 from a previous close of $25.44. The stock peaked at $27.20 during the day, with over 26 million shares exchanged—this marks a significant 129% hike in trading volume compared to the average of about 11.6 million shares.

Analysts Set New Price Targets

Several financial analysts have recently updated their price targets for Rocket Lab USA. The Goldman Sachs Group raised its estimate from $5.00 to $12.00 while maintaining a "neutral" rating as of November 19. Bank of America increased its target from $10.00 to $30.00 and rated the stock as a "buy" on November 14. Meanwhile, Wells Fargo lifted its price target from $5.25 to $13.50, also assigning an "equal weight" rating on November 13. Cantor Fitzgerald has updated its target to $24.00 with an “overweight” rating, and Citigroup revised its target to $22.00 with a "buy" rating on November 18. According to MarketBeat, Rocket Lab USA possesses an average rating of "Moderate Buy" and an average target price of $16.50 based on the consensus from analysts.

Rocket Lab USA Trading Up 0.9%

With a current ratio of 2.58 and a quick ratio of 2.16, Rocket Lab also maintains a debt-to-equity ratio of 0.97. The company’s market cap stands at $12.83 billion, reflecting a P/E ratio of -69.38 and a beta coefficient of 1.29. Its 50-day simple moving average is at $12.89 while the 200-day average sits at $7.93.

Insider Transactions at Rocket Lab USA

In recent insider trading news, Frank Klein, an insider at Rocket Lab USA, sold 35,968 shares on November 25 at an average price of $24.15, totaling approximately $868,627. Following this sale, Klein retains 1,464,032 shares valued at around $35.4 million, representing a 2.40% decrease in his ownership. In another instance, Director Matthew Ocko sold 2 million shares on November 14, which brought a total of $35.5 million. After this transaction, Ocko still holds a stake of 2,351,135 shares worth about $41.7 million, showing a 45.97% haircut in his position. Over the last three months, insiders have sold over 2 million shares valued at roughly $37 million. Currently, insiders control about 13.70% of Rocket Lab's stock.

Institutional Trading of Rocket Lab USA

In the third quarter, several institutional investors showed interest in Rocket Lab USA, leading to increased holdings. Allworth Financial LP significantly raised its stake by 1,827.6%, now owning 9,484 shares worth approximately $92,000 after adding nearly 9,000 shares. International Assets Investment Management LLC also made a new acquisition valued at around $46,000 in the second quarter. Other firms, such as Baxter Bros Inc. and Smith Anglin Financial LLC, have made new investments typically ranging in low thousands. Advisors Asset Management Inc. increased its stake by 59.4% earlier this year. Currently, about 71.78% of Rocket Lab’s stock is held by institutional investors.

About Rocket Lab USA

Rocket Lab USA, Inc. specializes in providing launch services and space systems solutions, catering primarily to the space and defense sectors. Their offerings span across launch services, spacecraft design, component manufacturing, and on-orbit management solutions.

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