US · Nasdaq · RKLB
Rocket Lab (RKLB) stock analysis: valuation and financials
Industrials · Military/Government/Technical
$73.92 +4.9% Price as of Oct 1, 2026
Rocket Lab: 52.5% TTM revenue growth, 37.3% gross margin, $2.3B net cash, but -$371.1M TTM FCF at 60x sales; base case values equity at $5.3B, so priced for flawless Neutron execution.
- Market cap
- $46.4B
- P/E
- —
- EV/Sales
- 57.3x
- FCF yield
- -0.8%
- 52-week range
- $39.48 – $150.23
- Next earnings
- Nov 9, 2026
Research as of Oct 3, 2026
Business quality scorecard
- Growth100
- Profitability10
- Cash flow16
- Balance sheet67
- Capital allocation36
- Innovation100
- Valuation0
0–100, computed from reported financials; higher is better, and a higher valuation score means cheaper.
How it makes money
Government agencies (DoW, NASA, SDA) and commercial spacecraft operators pay fixed-price launch and spacecraft contracts; Space Systems is the profit engine at 66.9% of FY2025 revenue ($402.8M) versus 33.1% from Launch Services, while the group is still operating-margin negative at -38.0%.
Financials by year
| FY2021Jan–Dec 2021 | FY2022Jan–Dec 2022 | FY2023Jan–Dec 2023 | FY2024Jan–Dec 2024 | FY2025Jan–Dec 2025 | |
|---|---|---|---|---|---|
| Revenue | $62.2M | $211.0M | $244.6M | $436.2M | $601.8M |
| Revenue growth | +77.0% | +239.0% | +15.9% | +78.3% | +38.0% |
| Gross margin | -3.0% | 9.0% | 21.0% | 26.6% | 34.4% |
| Operating margin | -164.0% | -64.1% | -72.7% | -43.5% | -38.0% |
| Net income | -$117.3M | -$135.9M | -$182.6M | -$190.2M | -$198.2M |
| Free cash flow | -$97.5M | -$148.9M | -$153.6M | -$116.0M | -$321.8M |
| FCF margin | -156.6% | -70.6% | -62.8% | -26.6% | -53.5% |
Amounts in USD · What is free cash flow?
Margins FY2025 gross margin 34.4% vs 26.6% FY2024 (+7.8pp); operating margin -38.0% vs -43.5%. TTM gross 37.3%, operating -29.1%. Q2 FY2026 gross eased to 36.1% from 38.2%. Reason: launch cost per launch fell to $4.8M from $5.7M on scale efficiencies.
- Cash flow ConcernTTM operating cash flow -$222.5M versus net income -$165.5M, so OCF trails earnings; FY2025 OCF -$165.5M included $91.5M non-cash items ($71.1M SBC, $43.9M D&A) but $58.8M of working-capital outflow.
- Debt LowNet debt -$2.3B (net cash); total debt only $1.7M, debt/equity 0.0005, current ratio 5.48. TTM cash $2.13B plus $172.7M short-term investments comfortably exceed all obligations.
Balance sheet Leverage · Net cash
- Cash & short-term investments
- $2.3B
- Total debt
- $1.7M
- Net cash
- $2.3B
- Current ratio
- 5.5x
As of Jun 30, 2026 · Amounts in USD · How to read a balance sheet
Management and track record
- Management AdequateFounder-led operating execution is strong: FY2025 revenue $601.8M, +38.0% yoy, 3y CAGR 41.8%; gross margin rose to 34.4% from -33.6% in FY2020, a green margin-expansion flag.
- Credibility MediumRevenue has met or beaten guidance every quarter examined: Q2 FY2025 $144.5M vs $130-140M guided; Q1 FY2026 $200.3M vs $185-200M; Q2 FY2026 $234.1M vs $225-240M.
Of 4 guided figures checked: 2 beat, 2 in range, 0 missed.
Valuation range
Implied value per share · Price when researched: $73.92
Each scenario assumes five years of revenue growth, an FCF margin and an exit multiple, discounted to today. The assumptions and sensitivities are in the full report.
The full report also covers
- Revenue, growth and outlook of each segment
- Moat and main competitors
- Key risks
- Capital allocation: where the free cash flow went
- What management promised, and what they delivered
- Scenario assumptions and sensitivities
- A source for every claim
- Ask AI about this company
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