Rocket Lab USA (NASDAQ:RKLB) Stock Price Down 5% – Should You Sell?

Shares of Rocket Lab USA, Inc. (NASDAQ:RKLB) dropped 5% during mid-day trading on Monday . The stock traded as low as $17.35 and last traded at $17.70. Approximately 6,258,611 shares changed hands during mid-day trading, a decline of 57% from the average daily volume of 14,689,633 shares. The stock had previously closed at $18.62.

Wall Street Analyst Weigh In

Several analysts recently commented on the company. TD Cowen raised Rocket Lab USA to a “strong-buy” rating in a research note on Monday, February 24th. Stifel Nicolaus raised their price target on Rocket Lab USA from $26.00 to $31.00 and gave the stock a “buy” rating in a research report on Wednesday, January 8th. Morgan Stanley boosted their price objective on Rocket Lab USA from $18.00 to $20.00 and gave the company an “equal weight” rating in a research report on Monday, March 10th. The Goldman Sachs Group raised their target price on shares of Rocket Lab USA from $12.00 to $13.50 and gave the stock a “neutral” rating in a report on Thursday, January 16th. Finally, KeyCorp lowered their price objective on shares of Rocket Lab USA from $32.00 to $28.00 and set an “overweight” rating for the company in a research report on Friday, February 28th. Five equities research analysts have rated the stock with a hold rating, six have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $23.06.

Rocket Lab USA Price Performance

The stock has a market cap of $8.16 billion, a price-to-earnings ratio of -48.76 and a beta of 2.06. The company has a debt-to-equity ratio of 0.97, a quick ratio of 2.16 and a current ratio of 2.58. The company has a 50-day simple moving average of $23.71 and a two-hundred day simple moving average of $19.74.

Rocket Lab USA (NASDAQ:RKLB) last issued its earnings results on Thursday, February 27th. The rocket manufacturer reported ($0.10) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.01). The firm had revenue of $132.39 million for the quarter, compared to analyst estimates of $130.58 million. Rocket Lab USA had a negative return on equity of 39.47% and a negative net margin of 51.76%. As a group, equities research analysts forecast that Rocket Lab USA, Inc. will post -0.38 EPS for the current year.

Insider Activity at Rocket Lab USA

In related news, insider Frank Klein sold 44,553 shares of the stock in a transaction on Friday, March 14th. The stock was sold at an average price of $18.18, for a total value of $809,973.54. Following the sale, the insider now owns 1,419,479 shares in the company, valued at approximately $25,806,128.22. This represents a 3.04 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 13.70% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Rocket Lab USA

Institutional investors and hedge funds have recently modified their holdings of the stock. Spectrum Wealth Counsel LLC acquired a new stake in shares of Rocket Lab USA during the 4th quarter worth about $25,000. Sandy Spring Bank acquired a new stake in Rocket Lab USA during the fourth quarter worth approximately $26,000. Wingate Wealth Advisors Inc. bought a new stake in shares of Rocket Lab USA during the fourth quarter worth approximately $40,000. Quarry LP acquired a new position in shares of Rocket Lab USA in the fourth quarter valued at approximately $48,000. Finally, NewEdge Advisors LLC increased its stake in shares of Rocket Lab USA by 1,000.0% during the fourth quarter. NewEdge Advisors LLC now owns 1,925 shares of the rocket manufacturer’s stock worth $49,000 after purchasing an additional 1,750 shares during the period. 71.78% of the stock is currently owned by institutional investors and hedge funds.

Rocket Lab USA Company Profile

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.