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Rocket Lab director Jon Olson sells $1.03 million in stock

Published 11/22/2024, 06:02 AM
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Jon A. Olson, a director at Rocket Lab USA, Inc. (NASDAQ:RKLB), has sold 50,000 shares of the company's common stock, according to a recent SEC filing. The shares were sold at an average price of $20.6863, amounting to a total transaction value of approximately $1.03 million. Following this sale, Olson retains ownership of 432,275 shares in the company. The shares were sold in multiple transactions, with prices ranging from $20.6700 to $20.7050.

In other recent news, Rocket Lab USA reported a substantial 55% year-on-year revenue growth in Q3 2024, totaling $105 million. The company also anticipates Q4 revenue to be between $125 million and $135 million, with GAAP gross margins projected at 26% to 28%. However, an adjusted EBITDA loss for Q4 is expected to range from $27 million to $29 million.

Rocket Lab's Neutron rocket has reached a new milestone, entering the qualification stage, a critical step before testing and the first flight. The company has secured its first commercial Neutron launch order and is on track for its mid-2025 first launch target. This comes after Rocket Lab's announcement of a multi-launch agreement with a commercial satellite constellation operator for its upcoming Neutron rocket.

Several analyst firms have adjusted their outlook on Rocket Lab. BTIG maintains a Neutral rating on the company's stock, while BofA Securities, Cantor Fitzgerald, and TD Cowen have increased their price targets, reflecting confidence in Rocket Lab's potential. These recent developments reflect Rocket Lab's progression in the aerospace sector and its strategic position in the commercial and defense sectors.

InvestingPro Insights

Rocket Lab USA's recent stock performance aligns with the insider sale reported. According to InvestingPro data, the company has seen a remarkable 379.33% price total return over the past year, with an even more impressive 352.47% return in the last six months. This surge in stock price is reflected in the company's current trading status, which InvestingPro Tips indicate is near its 52-week high.

The company's strong market position is further evidenced by its substantial market capitalization of $11.19 billion. However, investors should note that Rocket Lab USA is currently trading at a high revenue valuation multiple, as pointed out by InvestingPro Tips. This suggests that the market has high expectations for the company's future growth.

Despite the positive stock performance, it's worth noting that Rocket Lab USA is not yet profitable. An InvestingPro Tip highlights that analysts do not anticipate the company will be profitable this year. This is corroborated by the company's financial data, which shows a negative operating income of $186.13 million for the last twelve months as of Q3 2023.

For investors seeking a more comprehensive analysis, InvestingPro offers 15 additional tips for Rocket Lab USA, providing a deeper understanding of the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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