Foundations Investment Advisors LLC has significantly increased its investment in Rocket Lab Corporation, boosting its position by 31.1% during the second quarter of 2023. According to a recent filing with the Securities and Exchange Commission, the firm now holds 71,385 shares of Rocket Lab, following the acquisition of an additional 16,948 shares during the quarter. The total value of this stake is approximately $2.55 million.
Other institutional investors have also adjusted their holdings in Rocket Lab, which trades on the NASDAQ under the ticker symbol RKLB. Envestnet Asset Management Inc. expanded its investment by 8.0% in the first quarter, acquiring an additional 1,749 shares to bring its total to 23,496 shares, valued at about $420,000. Meanwhile, the New York State Common Retirement Fund raised its stake by 23.6%, now holding 133,371 shares worth around $2.39 million after purchasing 25,483 shares.
CWM LLC has also increased its position by 50.9%, while Victory Capital Management Inc. made the most substantial move, lifting its stake by an impressive 661.5% during the same quarter. This surge means Victory Capital now owns 345,740 shares, valued at approximately $6.18 million. Currently, institutional investors and hedge funds own 71.78% of Rocket Lab’s stock.
Analyst Ratings and Stock Performance
Analysts are weighing in on Rocket Lab’s stock performance. Wall Street Zen recently upgraded the company’s rating from “strong sell” to “hold.” Roth Capital reiterated a “buy” rating, setting a target price of $75.00 for the shares. Additionally, Robert W. Baird initiated coverage with an “outperform” rating and a target of $83.00.
Needham & Company has also increased its price objective from $55.00 to $63.00, maintaining a “buy” rating. Collectively, two analysts have rated the stock as a “Strong Buy,” while seven have given it a “Buy” rating, five have issued a “Hold,” and one has assigned a “Sell” rating. This results in a consensus rating of “Moderate Buy” with an average price target of $57.33.
Rocket Lab’s stock opened at $45.54 on Monday. Over the past year, it has fluctuated between a low of $14.71 and a high of $73.97. The company currently has a market capitalization of $22.04 billion and reports a debt-to-equity ratio of 0.32.
Financial Results and Insider Transactions
On November 10, 2023, Rocket Lab announced its quarterly earnings, revealing a loss of ($0.03) per share, which exceeded analysts’ expectations of ($0.05). The company reported revenues of $155.08 million for the quarter, surpassing the consensus estimate of $152.45 million. This represents a remarkable 48.0% increase in revenue compared to the same quarter last year.
In terms of insider activity, Director Matthew Ocko sold 1,873,097 shares on September 16, 2023, for approximately $90.28 million. Following this transaction, Ocko retained 541,526 shares, valued at approximately $26.10 million. Additionally, insider Frank Klein sold 45,535 shares on the same day for a total of about $2.23 million. In total, insiders have sold 5,406,361 shares of Rocket Lab stock in the last ninety days, valued at around $267.48 million.
With institutional interest continuing to grow and positive analyst ratings, Rocket Lab remains a focal point in the aerospace and defense sectors, poised for future developments as the market evolves.
