Seeking Alpha Tech•Jan 14, 2026, 12:34 PM
"Rocket Lab's Stock Rockets to Sell Territory, Because Who Needs Fundamentals in Space?"

"Rocket Lab's Stock Rockets to Sell Territory, Because Who Needs Fundamentals in Space?"

Rocket Lab, the aerospace company that's apparently defying gravity with its stock price, has been rated a sell due to its valuation being completely disconnected from its near-term financial prospects - because who needs profits when you're reaching for the stars? The company's Neutron rocket launch, scheduled for 2026, is expected to bring in positive EBITDA and operating cash flow, but until then, investors are advised to buckle up for a potentially bumpy ride. With a 20-38% downside risk based on sales and EV/EBITDA valuations, it seems the only thing rocketing upwards is the stock price, fueled by current bullish sentiment that's left the fundamentals in the dust. Dhierin Bechai, an aerospace and defense analyst, warns that the stock's 88% gain since his last report is not justified, making it a prime candidate for a correction - or a crash landing, depending on how you look at it. As the company navigates the challenging landscape of space tech, one thing is certain: investors will be watching closely to see if Rocket Lab can live up to its lofty valuation, or if it'll come crashing back down to earth.

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