EddieJayonCrypto
31 Dec 23
Rocket Lab's recent success in landing a $515 million contract with USG has caused a 25% increase in their stock value. The company plans to design, manufacture, and operate 18 spacecraft by 2033, with the first round of satellite launches scheduled for 2027. Despite the stock's volatility, Rocket L...
Rocket Lab's recent success has caused a 25% increase in their stock value after landing a $515 million contract with USG. The company plans to design, manufacture, and operate 18 spacecraft by 2033, with the first round of satellite launches scheduled for 2027. Despite the stock's volatility, Rocket Lab is showing signs of transitioning out of its penny stock phase, with its Launch Services and Space Systems divisions generating significant revenue. Additionally, the company's reliance on the cost-effectiveness of its small Electron rocket and its plans to transition to medium-sized Neutron rockets suggest a promising future.
Since the premarket trade on Friday, Rocket Lab (NASDAQ: RKLB) stock is now up 25%. In a classic buy-the-news move, investors reacted to the young aerospace company landing a $515 million contract with USG. Year-to-date, RKLB shares have delivered 42% performance with the latest boost. This is typical of penny stocks under $5 per share. Rocket Lab is an end-to-end space company with two revenue divisions: Launch Services and Space Systems. As of the latest Q3 financial statement, Rocket Lab’s Launch Services generated $63.4 million in revenue, while Space Systems generated $121.1 million.
Disclaimer:This is not financial advice. Please do your own research before investing in any asset.