Rocket Lab Corp (NASDAQ:RKLB) shares are diving on Thursday. Traders seem to be taking a more cautious stance heading into the company's first‑quarter earnings report after the bell. Here’s what you should know.
- Rocket Lab stock is showing notable weakness. What’s behind RKLB decline?
Expectations Tempered After Big Q4?
Analysts expect Rocket Lab to post a loss of 8 cents per share on $189.68 million in revenue, a figure that sits almost exactly at the midpoint of the company's $185 million to $200 million outlook. That signals expectations for a steady quarter rather than a breakout one. With the stock having run up on broader enthusiasm for the space sector, some investors appear to be stepping back and locking in gains before the numbers hit.
The hesitation also reflects the high bar Rocket Lab set last quarter, when it delivered record fourth-quarter revenue of $180 million and ended the year with a record $1.85 billion backlog. After such a strong finish to 2025, the market wants to see whether that momentum can continue.
CEO Peter Beck described 2025 as a "record‑breaking year," and the numbers backed him up. Rocket Lab generated $602 million in full‑year revenue, up 38% from the prior year and flew 21 missions across Electron and HASTE with a perfect success rate. The company also expanded its hypersonic launch capabilities, a key area of interest for the Department of War.
The company also projected non‑GAAP margins of 39% to 41% and an adjusted EBITDA loss of $21 million to $27 million as it continues investing heavily in Neutron and scaling its manufacturing footprint. Investors will be watching for any updates on Neutron’s first planned launch.
One of the biggest highlights last quarter was Rocket Lab securing its largest contract ever: an $816 million award from the Space Development Agency to build 18 satellites for the Tracking Layer Tranche 3 program. That deal helped push the company's backlog, leading to a 73% year‑over‑year increase that gives Rocket Lab strong long‑term revenue visibility, even if the timing of that revenue varies quarter to quarter.
RKLB Shares Are Sliding
RKLB Price Action: Rocket Lab shares were down 6.24% at $79.38 at the time of publication on Thursday, according to Benzinga Pro.
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