Rocket Lab USA, Inc. (NASDAQ: RKLB) shares are climbing more than 5% on Monday, trading at $67.36 as of press time, following a key contract win with the U.S. military.

The company has secured a $266 million missile defense contract from the U.S. Space Force, marking a significant boost after a rough stretch since late May, during which the stock had fallen over 50%.

Contract details and scope

This agreement, awarded under the Space Force's Rocket Systems Launch Program, involves executing 12 suborbital launch missions. Work is expected to begin no earlier than late 2026 and must be completed by December 31, 2028. Operations will take place at the Pacific Spaceport Complex in Alaska.

Strategic significance

This major deal highlights Rocket Lab USA, Inc.'s leadership in launch services, strengthening its role in national security missions. The contract underscores the company's growing importance in providing critical defense capabilities.