Rocket Lab's strong Q2 results, rapid launch cadence, and strategic acquisitions reinforce my bullish stance and justify a Buy rating post Q2 2025. The company is capitalizing on macro tailwinds in the booming space economy, with robust government and commercial demand driving a $1B backlog. Despite a high P/S valuation, Rocket Lab's superior revenue growth and upcoming catalysts like the Geost acquisition and Neutron launch support further upside.
Rocket Lab USA, Inc. NASDAQ: RKLB has been one of the standout names in the aerospace industry, riding a wave of strong performance and growing investor enthusiasm. The stock has surged in recent months, cementing its position as a leader in small satellite launches and advanced space systems.
Rocket Lab Corporation delivered record Q2 revenue and strong margin expansion, driven by both launch and space systems segments. The scary part for RKLB investors was a larger-than-expected loss per share, but looking at that in light of the record top-line growth shows they're investing in long-term growth. Space Systems now represents 68% of revenue, with diversified offerings from satellite buses to mission services, providing a robust, recurring revenue base.
Thursday, Rocket Lab reported a second-quarter operating loss of $33.6 million from sales of $144.5 million. Wall Street was looking for a $37.5 million loss from sales of $135.4 million.
Rocket Lab's Q2 earnings showcased record revenue, expanding gross margins, and strong growth in both Launch Services and Space Systems segments. Management projects continued margin expansion and record Q3 revenue, underpinned by robust demand and a healthy project backlog, including the Neutron launch vehicle. Despite delayed free cash flow profitability, ample liquidity and disciplined investment position Rocket Lab well to capitalize on industry tailwinds and increased government spending.
Rocket Lab Corporation (NASDAQ:RKLB ) Q2 2025 Earnings Conference Call August 7, 2025 5:00 PM ET Company Participants Adam C. Spice - CFO & Treasurer Murielle Baker - Senior Communications Manager Peter Beck - Founder, Chairman, President & CEO Conference Call Participants Andres Juan Sheppard-Slinger - Cantor Fitzgerald & Co., Research Division Anthony Valentini - Goldman Sachs Group, Inc., Research Division Erik Rasmussen - Stifel, Nicolaus & Company, Incorporated, Research Division Jeffrey Van Rhee - Craig-Hallum Capital Group LLC, Research Division Kristine T.
Rocket Lab Corporation (RKLB) came out with a quarterly loss of $0.1 per share versus the Zacks Consensus Estimate of a loss of $0.07. This compares to a loss of $0.08 per share a year ago.
Rocket Lab is signaling to investors, yet again, that it's more than “just” a rocket company.
Rocket Lab's strong launch cadence, full-stack satellite business, and expanding defense contracts position it uniquely in the booming space economy. Despite a 70% YTD rally and overheated valuation, I'm holding through Q2 earnings due to potential for an upside surprise. Long-term growth is fueled by Electron's reliability, Neutron's upcoming debut, and opportunities in major defense projects like Golden Dome.
@CharlesSchwab's Kevin Horner's Technical Tuesday charts cover the S&P 500 (SPX), Rocket Lab (RKLB), and IonQ (IONQ). For the SPX, Kevin highlights the $6300 level and the 20-day moving average.
RKLB's Q2 earnings are likely to beat expectations, but high costs and debt raise questions ahead of Aug. 7 results.
Rocket Lab is expected to report ~$135 million in Q2 revenue, marking 27% year-over-year growth despite continued EPS losses. Neutron remains the pivotal driver, anchoring access to a $5.6 billion addressable opportunity via the NSSL Phase 3 Line 1. Space Systems now contributes over 50% of total revenue, with services expected to outpace launch growth by FY26.