Rocket Lab reports growth in launches and sales but faces challenges ahead
fool.com —
Rocket Lab reported strong growth in its rocket launching business, with 12 launches in 2024 compared to 10 in all of 2023. Sales surged 55% year-over-year in Q3, but the company still posted a loss of $0.10 per share. The company is investing in its next-generation rocket, Neutron, which is now expected to launch in 2025. Rocket Lab has signed a customer for multiple future launches, with plans to gradually increase Neutron's launch frequency to five times in 2027. Analysts predict Rocket Lab will break even by 2026 and earn its first profit in 2027, with expected earnings of $80 million on $1.25 billion in revenue. The stock's current valuation raises concerns, as it relies on optimistic projections for future performance.