Rocket Lab just put up its best quarter ever and the stock is down ~25% from its June high. What am I missing?
u/CoolioBeansTTV ·
Reddit — r/stocks
· June 15, 2026 at 20:13
· ⬆ 73 pts
· 💬 102 comments
| View on Reddit ↗
AI Summary
Summary
The author analyzes Rocket Lab (RKLB), noting strong revenue growth (36% YoY), a $2.2B backlog, and a 25% drop from June highs due to sector-wide fears (Blue Origin explosion, SpaceX IPO).
Thesis: The selloff may be a discount if fundamentals are sound, but insider selling near the top raises caution.
Quality assessment: Well-researched DD with specific financial data and insider activity; balanced but leans bullish.
Score73
Comments102
Upvote %70%
▶ Full Post Text
Trying to make sense of RKLB here, because the business and the stock are pointing in opposite directions.
Last four quarters of revenue: $122.6M, $144.5M, $155.1M, $179.7M. That's up roughly 36% year over year and still accelerating. The writeup I read pegs the latest quarter near $200M with a backlog that doubled to $2.2B, 31 new launch contracts and a $190M DoD block order on top. Hiring backs the story up, open roles have climbed to around 270 a week, near the highest I've tracked for them.
So why is it down about 25% from its June high near $144 to roughly $105? A Blue Origin rocket blew up and spooked the entire space sector, and the SpaceX IPO sucked all the oxygen out of the room the same week. Neither of those is a Rocket Lab problem.
The one thing that does nag at me is insider selling. A director sold 40,000 shares at $123.60 on June 2, and a couple of execs trimmed at $143 to $150 in late May. They were lightening up right into the top.
So the fundamentals say execution, the chart says run, and the insiders quietly took some off the table near the highs. Is this a sector selloff handing you a discount, or do the insiders see something the backlog doesn't?
Revenue is accelerating ($179.7M last quarter), backlog doubled to $2.2B, and hiring remains strong. The 25% drop is driven by non-company-specific events (Blue Origin explosion, SpaceX IPO), creating a potential entry if the valuation re-rates lower. Wait for clearer signs of bottoming (e.g., stabilization above $100) before entering; insider selling and high multiple (100x revenue) warrant caution. Insider selling may indicate hidden issues; space sector remains speculative; SpaceX IPO could continue to drain liquidity.
This Reddit post, published June 15, 2026,
features u/CoolioBeansTTV
discussing RKLB.
1 trade idea extracted by AI with direction and confidence scoring.