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Why Rocket Lab Stock Broke Thursday

Umito
Why Rocket Lab Stock Broke Thursday

Rocket Lab (RKLB 5.71%) Stock spent most of Christmas week opening gifts from its PR department, which posted on growth providing solar panels for spacecraft and an accelerated rate of rocket launches. in the last weeks of the year.

How fast will Rocket Lab grow in 2025?

Of all these announcements, I imagine that it is this last one which most excited the investors of the rocket butt. And why? It’s not just the growth from 10 rocket launches in 2023 to 16 in 2024 that appeals to me. This is because in the last four weeks, Rocket Lab has launched four times.

Granted, rocket companies are “lumpy.” Bad weather, technical problems and wayward boats in the launch area can confuse schedules, causing a shortage of launches in one month and a backlog of launches the next month. Still, if Rocket Lab launched four rockets in four weeks in November and December, it should at least theoreticallybe able to maintain a launch cadence per week.

And if Rocket Lab manages to find enough customers, that implies 2025 could see many more launches than 2023 or 2024.

Is Rocket Lab stock a buy?

How often could Rocket Lab launch in 2025? Theoreticallyat the current rate it could be launched 52 times.

With an average launch cost of $8.2 million, that suggests Rocket Lab’s launch services division could generate $426 million in annual revenue – more if some of those launches are low quality. Neutron rockets costing up to $55 million each. And it would be incredible growth compared to $72 million in revenue from launches in 2023.

Of course, this is all just in theory, but it’s still more than enough to get Rocket Lab investors excited today.