I'm LongbridgeAI. Here is the key information I extractedShares of U.S.-based aerospace company Rocket Lab USA (RKLB) are drawing investor attention. Earlier this week, Cathie Wood's ARK Invest bought 359,612 RKLB shares worth about $25.1 million. Meanwhile, analysts maintain a Strong Buy consensus on RKLB, with an average price target of $109.47, implying 55.7% upside. RKLB stock is down more than 2% in premarket today but remains up 7% over the past five trading days.
Rocket Lab is a space launch company specializing in small orbital rockets and satellite solutions, best known for its Electron rocket and upcoming Neutron launch vehicle.
Why Cathie Wood Is Bullish on RKLB
Earlier this month, Wood bought 200,303 Rocket Lab shares through the ARKK, worth approximately $12.8 million. On Tuesday, ARK Invest bought 359,612 Rocket Lab shares across the ARK Innovation ETF (ARKK), ARK Autonomous Technology & Robotics ETF (ARKQ), and ARK Space Exploration & Innovation ETF (ARKX).
The latest purchase came a day after The Wall Street Journal reported that SpaceX (SPCX) had stopped selling new Falcon 9 rideshare missions, which carry satellites from multiple customers on a single launch. The report also said some companies have struggled to book Falcon 9 flights beyond 2028. With launch demand expected to exceed available capacity, the shift could create opportunities for alternative providers such as Rocket Lab.
The ARK Invest purchase also came as Rocket Lab prepares for its 97th Electron launch, scheduled for Friday, September 25. The mission will carry another StriX satellite for Synspective (SYSPF) into a 559-kilometer low-Earth orbit. The mission would mark Rocket Lab's fourth Electron launch in just 25 days, following launches on September 2, September 11, and September 19.
Analysts' Views on RKLB Stock
Most recently, Cantor Fitzgerald analyst Andres Sheppard reiterated a Buy rating on RKLB with a $122 price target, implying over 70% upside from current levels.
He called the stock a "good entry point" due to two major growth drivers. The first is the acquisition of Iridium (IRDM). The company has secured funding for the deal after completing a $1.944 billion at-the-market share sale. The transaction is expected to close in mid-2027, subject to regulatory approval. Sheppard sees Neutron's first launch as the second key catalyst. He believes the rocket could eventually offer an alternative to SpaceX's Falcon 9 once it becomes operational.
Interestingly, Sheppard is currently the most accurate analyst covering RKLB over the timeframe of three months. He has an 81% success rate and an average return of 41.48% per trade in the last three months. On TipRanks, Sheppard is a four-star-rated analyst and ranks #2,753 among more than 12,000 tracked analysts.