Analyst Kristine Liwag of Morgan Stanley maintained a Hold rating on Rocket Lab USA (RKLB – Research Report), with a price target of $20.00.
Kristine Liwag’s rating is based on several factors influencing Rocket Lab USA’s current market position and future prospects. Despite a significant stock surge in 2024, the company’s shares have lagged behind the market this year, partly due to uncertainties surrounding the readiness of their Neutron rocket program. The delay in Neutron’s first launch to the second half of 2025, while modest, has contributed to this underperformance.
Liwag notes that the projected costs for the Neutron rocket remain within expected ranges, and the company’s plans to operationalize a new barge for sea landings demonstrate a commitment to reusability. Despite these positive developments, the introduction of Neutron amidst existing launch capacity constraints and emerging competition presents risks. The stock is expected to remain volatile until the Neutron launch, and while Rocket Lab is entering a potentially catalyst-rich period, the risk-reward balance at current levels justifies a Hold rating.
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