Rocket Lab (NASDAQ:RKLB) Stock Price Down 7.5% – Here’s Why

Shares of Rocket Lab Corporation (NASDAQ:RKLB) fell 7.5% during trading on Friday . The stock traded as low as $69.40 and last traded at $70.86. 18,133,974 shares traded hands during trading, a decline of 21% from the average session volume of 23,029,789 shares. The stock had previously closed at $76.58.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on RKLB shares. The Goldman Sachs Group increased their price target on Rocket Lab from $47.00 to $69.00 and gave the stock a “neutral” rating in a research note on Tuesday, January 20th. Needham & Company LLC upped their price objective on Rocket Lab from $63.00 to $90.00 and gave the stock a “buy” rating in a research note on Tuesday, December 23rd. TD Cowen reiterated a “buy” rating on shares of Rocket Lab in a research report on Thursday, January 22nd. Wall Street Zen raised Rocket Lab from a “sell” rating to a “hold” rating in a report on Sunday, February 8th. Finally, Zacks Research downgraded Rocket Lab from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, February 10th. One research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Rocket Lab currently has a consensus rating of “Moderate Buy” and a consensus target price of $72.92.

Rocket Lab Stock Down 7.5%

The company has a quick ratio of 2.83, a current ratio of 3.18 and a debt-to-equity ratio of 0.32. The stock has a market capitalization of $37.85 billion, a P/E ratio of -186.47 and a beta of 2.16. The company has a fifty day moving average price of $76.97 and a 200-day moving average price of $60.10.

Insiders Place Their Bets

In other news, CFO Adam C. Spice sold 1,365,665 shares of the company’s stock in a transaction that occurred on Monday, January 5th. The stock was sold at an average price of $75.50, for a total transaction of $103,107,707.50. Following the sale, the chief financial officer directly owned 1,359,568 shares of the company’s stock, valued at $102,647,384. This represents a 50.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Merline Saintil sold 12,500 shares of the firm’s stock in a transaction on Wednesday, January 14th. The shares were sold at an average price of $90.00, for a total transaction of $1,125,000.00. Following the completion of the transaction, the director directly owned 280,029 shares of the company’s stock, valued at approximately $25,202,610. This trade represents a 4.27% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 4,306,150 shares of company stock worth $271,865,732. Insiders own 11.90% of the company’s stock.

Hedge Funds Weigh In On Rocket Lab

A number of institutional investors and hedge funds have recently made changes to their positions in RKLB. Sara Bay Financial raised its position in Rocket Lab by 0.7% during the fourth quarter. Sara Bay Financial now owns 15,905 shares of the rocket manufacturer’s stock valued at $1,121,000 after purchasing an additional 117 shares during the period. ORG Partners LLC boosted its holdings in shares of Rocket Lab by 9.1% in the 4th quarter. ORG Partners LLC now owns 1,458 shares of the rocket manufacturer’s stock worth $102,000 after purchasing an additional 121 shares during the period. Traynor Capital Management Inc. increased its position in shares of Rocket Lab by 1.9% during the 4th quarter. Traynor Capital Management Inc. now owns 7,191 shares of the rocket manufacturer’s stock valued at $502,000 after purchasing an additional 133 shares during the last quarter. Capital Advisors Wealth Management LLC raised its holdings in Rocket Lab by 1.0% during the 4th quarter. Capital Advisors Wealth Management LLC now owns 13,466 shares of the rocket manufacturer’s stock valued at $939,000 after buying an additional 136 shares during the period. Finally, Quadcap Wealth Management LLC lifted its position in Rocket Lab by 2.3% in the fourth quarter. Quadcap Wealth Management LLC now owns 6,246 shares of the rocket manufacturer’s stock worth $436,000 after buying an additional 140 shares during the last quarter. 71.78% of the stock is owned by hedge funds and other institutional investors.

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.