---
title: "Why Is Rocket Lab Stock Falling On Tuesday?"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/286112715.md"
description: "Rocket Lab (NASDAQ: RKLB) stock fell 2.7% on Tuesday after a significant 40% rally last week, as investors took profits. Despite this pullback, analysts at Needham remain optimistic, raising the price target from $95 to $120 following a strong Q1 earnings report. The company reported $200 million in revenue, exceeding estimates, and has a record backlog of $2.2 billion. The Neutron rocket's first test launch is on schedule for Q4 2026. RKLB shares were down to $114.12 in premarket trading."
datetime: "2026-05-12T13:30:00.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/286112715.md)
  - [en](https://longbridge.com/en/news/286112715.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/286112715.md)
---

# Why Is Rocket Lab Stock Falling On Tuesday?

**Rocket Lab USA Inc.** shares traded lower on Tuesday morning. The stock fell approximately 2.7% as investors locked in profits. This move follows a massive 40% rally over the past week.

Nasdaq futures are down 0.64% while S&P 500 futures have shed 0.25%.

RKLB reached an all-time high of $123.94 on Monday. The surge followed a blockbuster first-quarter 2026 results.

## Needham Boosts Price Target

Analyst **Ryan Koontz** of **Needham** reaffirmed a Buy rating on Monday. Koontz raised the price forecast from $95 to $120. The firm cited revenue of $200 million, which landed 5% above consensus estimates.

Needham highlighted a record $2.2 billion backlog. This includes 31 newly booked launches and a HASTE contract with **Anduril**. Koontz noted that Rocket Lab ( RKLB ) is showing strong progress across all business fronts.

## Neutron Launch On Schedule

Investors remain focused on the **Neutron** rocket. Needham emphasized that the first test launch remains on track for fourth quarter of 2026.

## Rocket Lab Technical Analysis: Key Levels To Watch

RKLB remains in a powerful long-term uptrend, with price still trading 35.9% above its 20-day SMA of $84.42 and 81.1% above its 200-day SMA of $63.35.

Momentum is the bigger story right now: RSI is at 73.68.

Trend structure still leans bullish, with the 20-day SMA above the 50-day SMA and the 50-day SMA above the 200-day SMA.

-   **Key Resistance**: $123.94
-   **Key Support**: $84.42

**RKLB Stock Price Activity:** Rocket Lab ( RKLB ) shares were down 2.75% at $114.12 during premarket trading on Tuesday, according to Benzinga Pro data.

**Read Also: Inflation Jumps To 3.8% In April, Kills Fed Rate-Cut Hopes**

_Photo: T.Schneider / Shutterstock_

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