Rocket Lab Stock (RKLB) Surges to All-Time High as Citi Sets Street-High Price Target
Elevate Your Investing Strategy:
Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
Citi Eyes Further Upside in RKLB Stock
Despite the strong rally in RKLB stock, Citi's new price target signals upside of over 15% over current levels. Gursky explained that their new price target is based on expectations for Rocket Lab's business in 2029, rather than 2027 as previously modeled. He believes that this period better reflects a more mature state of the company's business model. By then, Citi expects revenue to reach around $2.6 billion, driven by 20 Neutron launches annually and additional satellite construction contracts, especially from U.S. government programs.
Interestingly, Citi's price target leans heavily on the future success of Neutron rockets, even though they haven't launched yet. It's a sign of the broader market optimism, where investors are increasingly betting on long-term potential rather than current performance.
For context, Rocket Lab's Neutron is a medium-lift rocket designed for larger payloads than its Electron rocket, targeting satellite launches and future space missions.
Is RKLB a Good Stock to Buy?
Looking ahead, analysts remain highly optimistic about Rocket Lab 's long-term growth, though they see limited near-term upside following the stock's recent surge.
According to TipRanks, RKLB stock has received a Strong Buy consensus rating, with nine Buys and three Holds assigned in the last three months. The average Rocket Lab stock price target is $33.80, suggesting a potential downside of over 21% from the current level.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Bloomberg
an hour ago
- Bloomberg
Bloomberg Surveillance: Global Equities
Watch Tom and Paul LIVE every day on YouTube: Bloomberg Surveillance hosted by Tom Keene & Paul Sweeney July 24th, 2025 Featuring: 1) Stuart Kaiser, Head: US Equity Trading Strategy at Citi, joins for an extended discussion about the equity rally and fundamentals driving markets higher. Global equities continued their rally as bulls drew fresh conviction from signs the US may strike more trade deals soon after clinching a pact with Japan. 2) Brian Belski, Chief Investment Strategist at BMO Capital Markets, brings us into the market open and talks about why he's remained bullish amid so much policy uncertainty. A gauge of the world's stocks hit a new record high, and Europe's Stoxx 600 index advanced after a clutch of strong earnings and reports the US is closing in on an agreement with the European Union. 3) Michael Feroli, Chief U.S. Economist at JPMorgan, talks about the labor market, inflation, and Fed independence. President Trump will visit the Federal Reserve to tour a construction site he has criticized for cost overruns. Trump has been attacking Fed Chair Jerome Powell for not cutting rates and has criticized the Fed's $2.5 billion renovation project. 4) Natasha Sarin, President and co-founder at Yale Budget Lab, talks about their most recent findings from the YBL on the state of US tariffs. President Trump suggested that he would not go below 15% as he sets reciprocal tariff rates ahead of an Aug. 1 deadline. The president has left the door open for countries to make agreements that could lower the tariff rates, and some countries are aiming to bring down their tariff rates to the 15% level. 5) Lisa Mateo joins with the latest headlines in newspapers across the US, including a WSJ report on NBCUniversal reportedly discussing launching a sports cable network and USA Today's report on how hotter summers have travelers ditching the beach for "coolcations."
Gizmodo
2 hours ago
- Gizmodo
Rocket Lab Has Some Genuine Competition for SpaceX, but It Can't Reach the Launchpad
California-based startup Rocket Lab is looking to compete with industry leader SpaceX with its upcoming launch vehicle, Neutron. But before it can debut its reusable rocket later this year, the company has to figure out a way to transport Neutron's components to the southern tip of Wallops Island in Virginia. Rocket Lab is awaiting approval to dredge a permanent channel to the Mid-Atlantic Regional Spaceport (MARS) on Wallops Island, a spaceport surrounded by shallow waters and scarce infrastructure, TechCrunch reported. The company is racing to meet its deadline for Neutron's inaugural liftoff in September, but the rocket still needs to go through final preparations on its launchpad before it can launch, and it has to make it onto the island first. Stuck in the mud, Rocket Lab is contemplating an old-timey sailing technique known as kedging. The Virginia Commercial Spaceflight Authority operates MARS, a commercial launch site, in partnership with NASA's Wallops Flight Facility. The site represents an ideal alternative to Cape Canaveral in Florida, which is experiencing increased congestion due to the steadily rising number of rocket launches. Rocket Lab began constructing its second launch site, called Launch Complex-2, for its Electron rocket in 2019, which has so far carried out four missions from its Virginia launchpad. In 2023, Rocket Lab began construction of a new launch site for its Neutron rocket, Launch Complex 3. Rocket Lab has already spent millions on Launch Complex 3, and it plans on spending another $5 million or so to dredge Sloop Gut, a channel in Accomack County, Virginia, that serves as a navigation route on Wallops Island. The company wants to remove sediment from the channel and dredge around 5,300 feet (1,615 meters), deepening it to 7 feet (2 meters) below the water to accommodate large barges carrying its rocket components to the island. Its request was approved by the Virginia Marine Resources Commission in May, but the company is still waiting for the green light from the Army Corps of Engineers, according to TechCrunch. In the meantime, Rocket Lab is asking federal regulators for permission to use a technique called kedging, which involves using a series of anchors to haul a ship across shallow water. The company hopes the method will help transport Neutron's rocket parts in time for a launch this year. In case its request isn't approved in time, Rocket Lab suggests it can use ramps and cranes to transport Neutron's hardware across the waters or use a boat ramp. The clock is ticking for Rocket Lab to launch its Neutron rocket on time, a medium-lift launch vehicle capable of launching 13 metric tons to low Earth orbit. Neutron is Rocket Lab's answer to SpaceX's Falcon 9 (which can launch up to 22 metric tons to low Earth orbit), hoping to provide the industry with an alternative to sending satellites to space.
CNBC
2 hours ago
- CNBC
GE Vernova poised for more upside after shares blow past Wall Street targets, analysts say
Wall Street analysts scrambled to keep up with GE Vernova this week, dramatically hiking their stock price targets after the power company's shares blew past expectations on a strong second quarter. Its shares rallied more than 14% on Wednesday to close at an all-time high, after raising its full-year guidance as robust power demand blunts the impact of President Donald Trump's tariffs. Its stock nearly doubled this year to book the second-best performance in the S & P 500. "Given what we viewed as elevated expectations ahead of GEV's 2Q25 earnings, we are somewhat surprised in the strength of GEV shares' outperformance," Citi analyst Andrew Kaplowitz told clients in a note published Wednesday. But rather than dismissing the rally as exuberance, Citi hiked its stock price target by $126 and now sees GE Vernova shares hitting $670, suggesting a modest upside of more than 6% over Wednesday's close. The company has the potential to sustain a much higher share price than Citi expected because it is a "prime beneficiary of growing global power demand," Kaplowitz said. Its gas turbines are in high demand from AI data center developers with its order backlog continuing to grow. Equipment orders jumped more than 135% "which gives more confidence in the 'stronger for longer' narrative in the global gas market," Wolfe Research analyst Nigel Coe told clients Wednesday. GE Vernova is also a leader in the development of small modular nuclear reactors , an emerging technology that could play a major role in the company's future. It is the first Western company to break ground on a commercial SMR with construction underway in Ontario. Its offshore wind power segment still faces challenges but appears "relatively contained and, for now, mainly overlooked given positive momentum elsewhere in the portfolio," Kaplowitz said. Bank of America was also bullish, bumping its price by $105 to set a target of $725 per share, implying 15% upside from Wednesday's close. Data centers placed $500 million of orders for the company's electric equipment in the first half of 2025, compared to $600 million in all of 2025, the bank noted. "We argue that a premium multiple is warranted given above-peer earnings growth and margin trajectory," BofA analyst Andrew Obin told clients in a Wednesday note. Wells Fargo, meanwhile, raised its price by a whopping $224 to a target of $674 per share, indicating upside 7% upside from Wednesday's close. This reflects favorable long-term tailwinds for GE Vernova and higher prices for its turbines and electric equipment supporting greater revenue, analyst Michael Blum told clients in a Thursday note. Wolfe Research, however, did sound a note of caution amid all the bullish sentiment on Wall Street: "There's a lot to like, but a lot is priced in," Coe said.
