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Mission Launches Fuel Rocket Lab's Rally: Should You Buy the Stock Now?
RKLBRocket Lab USA(RKLB) ZACKS·2025-06-10 13:40

Core Insights - Rocket Lab USA, Inc. (RKLB) has successfully launched multiple missions, including its 65th Electron rocket for BlackSky, showcasing its operational efficiency and reliability in the small satellite launch market [1][10] - The company's stock has surged 66.2% over the past three months, outperforming the aerospace-defense industry, broader aerospace sector, and the S&P 500 [4][10] - The space economy is projected to grow significantly, from $630 billion in 2023 to $1.8 trillion by 2035, enhancing the long-term growth prospects for Rocket Lab and similar companies [6] Company Performance - Rocket Lab has demonstrated a 100% mission success rate in its recent launches, which has likely boosted investor confidence [3] - The company aims to launch over 20 Electron rockets in 2025, indicating strong operational capabilities and future growth potential [8] - Recent estimates suggest RKLB's sales will improve by 32.8% in 2025 and 47.7% in 2026, reflecting positive investor sentiment [12] Financial Estimates - The Zacks Consensus Estimate for RKLB's sales in 2025 is $579.17 million, with a year-over-year growth estimate of 32.77% [13] - Earnings estimates for 2025 and 2026 indicate a year-over-year improvement, although the second quarter of 2025 shows a potential decline [14] Valuation and Market Position - RKLB's forward price-to-sales (P/S) ratio is 19.18X, significantly higher than the industry average of 4.50X, indicating a premium valuation [18] - Other space stocks like Intuitive Machines (LUNR) and Lockheed Martin (LMT) are trading at lower P/S ratios of 6.51X and 1.49X, respectively [19]