Rocket Lab shares steadied at the start of the new trading week, climbing 3.0% to EUR 46.60 β with a second reading putting the advance at 3.2% to EUR 46.70 β after a bruising stretch that had knocked 21% off the stock over seven days. No fresh company announcement drove the move. Instead, a pair of heavyweight signals did the work: a bold dip-buy from ARK Invest and a reaffirmed bullish call from Cantor Fitzgerald.
ARK picked up 168,633 Rocket Lab shares last Thursday, a position worth roughly $9.3 million. The purchase landed squarely in the middle of the sell-off, a vote of confidence from a manager willing to buy while others were heading for the exits.
Cantor Sticks to Its Number
Cantor Fitzgerald added its own endorsement on Monday, restating an “Overweight” rating and keeping its $122 price target untouched. The gap between that target and the current quote lays out the recovery the analysts still see ahead β and, just as plainly, the skepticism that has taken hold since the company’s latest setback.
The source of that setback is well documented. In a filing with the US Securities and Exchange Commission, Rocket Lab pushed the maiden flight of its Neutron rocket into 2027, citing manufacturing problems in vehicle development. Reports point to difficulties processing carbon-fiber composite materials, specifically around the forward dome of the first-stage tank. Chief executive Peter Beck said testing of the affected components should wrap up before the end of the first quarter of 2027. The delay stung investors because Neutron is meant to become the company’s backbone for heavy payloads.
The Street Trims β But Doesn’t Retreat
Wall Street’s response has been a recalibration rather than a flight. On Friday, Citizens analyst Trevor Walsh cut his price target to $90 from $130 while holding a “Market Outperform” rating. A day earlier, KeyBanc’s Michael Leshock lowered his target to $100 from $135, keeping an “Overweight” stance. Both pointed to the revised Neutron timeline as the central factor behind their adjustments.
Should investors sell immediately? Or is it worth buying Rocket Lab?
Delays of this kind are closer to the norm than the exception in rocket development. Management’s decision to confront the defects early and reset the schedule reads as operational discipline rather than haste β a failed launch would cost far more than thorough ground testing.
Electron Keeps the Lights On
Meanwhile, the smaller Electron rocket continues to generate revenue. The next mission on the manifest is set for October 21, a flight for customer HawkEye 360 dubbed “We’re Not Hawking Around.” With Neutron pushed back, investors are watching the dependable execution of the existing backlog as the clearest gauge of operational stability.
Weighing it all up, the upside still outweighs the admittedly higher operational risk. Electron is an established launch system with a reliable revenue stream, and the Neutron slip does nothing to diminish the strategic case for a medium-class rocket to challenge the sector’s entrenched monopolies. The sharp sell-off has cleaned out the valuation and deflated hopes for a trouble-free fast start. Should Beck’s team complete the carbon-composite work by the end of the first quarter of 2027 as promised, today’s bounce could lay the groundwork for a lasting recovery β and for long-view investors, the current phase looks like a reassessment in which substance takes center stage.
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