Rocket Lab USA (NASDAQ:RKLB) Shares Gap Down on Analyst Downgrade

Rocket Lab USA, Inc. (NASDAQ:RKLB)’s stock price gapped down before the market opened on Tuesday after Citigroup lowered their price target on the stock from $6.00 to $5.45. The stock had previously closed at $4.06, but opened at $3.90. Citigroup currently has a buy rating on the stock. Rocket Lab USA shares last traded at $3.75, with a volume of 2,266,293 shares.

A number of other analysts have also commented on the stock. Wells Fargo & Company lowered their target price on shares of Rocket Lab USA from $5.00 to $4.25 and set an “equal weight” rating for the company in a report on Thursday, April 4th. KeyCorp initiated coverage on Rocket Lab USA in a research report on Wednesday, January 17th. They issued an “overweight” rating and a $8.00 price target on the stock. One analyst has rated the stock with a hold rating and six have issued a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $7.39.

Insiders Place Their Bets

In related news, CFO Adam C. Spice sold 67,160 shares of the firm’s stock in a transaction on Tuesday, March 5th. The stock was sold at an average price of $4.25, for a total transaction of $285,430.00. Following the sale, the chief financial officer now owns 1,442,206 shares of the company’s stock, valued at approximately $6,129,375.50. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In related news, CFO Adam C. Spice sold 67,160 shares of the business’s stock in a transaction that occurred on Tuesday, March 5th. The stock was sold at an average price of $4.25, for a total value of $285,430.00. Following the completion of the transaction, the chief financial officer now directly owns 1,442,206 shares in the company, valued at approximately $6,129,375.50. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, General Counsel Arjun Kampani sold 31,394 shares of the stock in a transaction that occurred on Tuesday, March 5th. The stock was sold at an average price of $4.25, for a total value of $133,424.50. Following the sale, the general counsel now directly owns 695,147 shares of the company’s stock, valued at $2,954,374.75. The disclosure for this sale can be found here. Company insiders own 13.70% of the company’s stock.

Institutional Investors Weigh In On Rocket Lab USA

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. increased its holdings in Rocket Lab USA by 4.7% during the 3rd quarter. Vanguard Group Inc. now owns 26,100,419 shares of the rocket manufacturer’s stock worth $114,320,000 after purchasing an additional 1,167,403 shares in the last quarter. Qube Research & Technologies Ltd acquired a new stake in Rocket Lab USA in the 3rd quarter valued at approximately $2,271,000. American Century Companies Inc. raised its position in Rocket Lab USA by 12.0% in the 3rd quarter. American Century Companies Inc. now owns 3,701,611 shares of the rocket manufacturer’s stock valued at $16,213,000 after buying an additional 396,501 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its stake in Rocket Lab USA by 15.1% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 2,057,607 shares of the rocket manufacturer’s stock valued at $9,012,000 after acquiring an additional 269,388 shares in the last quarter. Finally, Bank of New York Mellon Corp boosted its position in Rocket Lab USA by 20.9% during the 3rd quarter. Bank of New York Mellon Corp now owns 1,415,596 shares of the rocket manufacturer’s stock worth $6,200,000 after acquiring an additional 244,461 shares during the last quarter. 71.78% of the stock is currently owned by institutional investors and hedge funds.

Rocket Lab USA Stock Up 3.3 %

The company has a current ratio of 2.13, a quick ratio of 1.65 and a debt-to-equity ratio of 0.19. The company has a market capitalization of $2.01 billion, a P/E ratio of -10.79 and a beta of 1.18. The firm’s 50 day moving average price is $3.98 and its two-hundred day moving average price is $4.44.

Rocket Lab USA (NASDAQ:RKLB) last released its earnings results on Monday, May 6th. The rocket manufacturer reported ($0.09) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.11) by $0.02. Rocket Lab USA had a negative net margin of 74.64% and a negative return on equity of 30.54%. The business had revenue of $92.80 million during the quarter, compared to the consensus estimate of $94.98 million. During the same quarter last year, the firm earned ($0.10) earnings per share. The firm’s revenue for the quarter was up 69.0% compared to the same quarter last year. Equities research analysts forecast that Rocket Lab USA, Inc. will post -0.42 EPS for the current year.

About Rocket Lab USA

Rocket Lab USA, Inc, a space company, provides launch services and space systems solutions for the space and defense industries. The company provides launch services, spacecraft design services, spacecraft components, spacecraft manufacturing, and other spacecraft and on-orbit management solutions; and constellation management services, as well as designs and manufactures small and medium-class rockets.