<div id="readability-page-1"><div> <h2>Key Points</h2><ul><li>Cantor Fitzgerald reiterated a buy rating on Rocket Lab yesterday.</li><li>Cantor sees multiple moats protecting Rocket Lab, but still thinks the stock is worth only $96.</li><li>10 stocks we like better than Rocket Lab ›</li></ul>Rocket Lab (NASDAQ: RKLB) closed Monday higher, but it didn't last. Shares of the small rocket maker tumbled 11% through 10:45 a.m. ET this morning despite encouraging words from Cantor Fitzgerald, which reiterated its &#34;overweight&#34; rating on the rocket stock in a mid-morning note yesterday.<img src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-dXJsPWh0dHBzOi8vZy5mb29sY2RuLmNvbS9lZGl0b3JpYWwvaW1hZ2VzLzg3MDkwMy9ib3ktaW4tYS1sYWItY29hdC1pcy1jcnlpbmctbmV4dC10by1hLWNyYXNoZWQtcm9ja2V0LmpwZyZ3PTcwMA?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="700" height="391" original-src="https://imageproxy.pbkrs.com/https://g.foolcdn.com/image//query-dXJsPWh0dHBzOi8vZy5mb29sY2RuLmNvbS9lZGl0b3JpYWwvaW1hZ2VzLzg3MDkwMy9ib3ktaW4tYS1sYWItY29hdC1pcy1jcnlpbmctbmV4dC10by1hLWNyYXNoZWQtcm9ja2V0LmpwZyZ3PTcwMA"/>Image source: Getty Images.Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an &#34;Indispensable Monopoly&#34; providing the critical technology Nvidia and Intel both need. Continue » <h2>Why Cantor loves Rocket Lab</h2>Cantor's note was curious. On the one hand, the Wall Street analyst spent most of its time singing Rocket Lab's praises: Rocket Lab just reported its highest-ever revenue quarter. The rocket company has launched 87 rockets successfully, more than any other American company not named SpaceX (or OK, ULA). Rocket Lab plans to launch 27 more rockets this year alone, including commercial Electrons, military &#34;HASTE&#34; rockets, and even a Neutron or two.Speaking of which, this may be the biggest &#34;material catalyst&#34; for the stock, says Cantor. Rocket Lab's first reusable Neutron rocket is on track to launch later this year, and with each Neutron launch bringing in anywhere from $44 million to $50 million in revenue, this could soon be an even bigger franchise for Rocket Lab than Electron already is.So why aren't investors more excited?<h2>What's the matter with Rocket Lab stock?</h2>Actually, the problem may be that investors are already too excited about Rocket Lab, whose stock has gained 61% over the past two weeks. And yet, after praising Rocket Lab to the moon and back yesterday, how much did the analyst say it thinks Rocket Lab stock is worth?$96 a share, according to a note from StreetInsider.com -- versus a stock price of $118 today. All of a sudden, it becomes clear now why investors are upset with Rocket Lab stock: Even according to one of its biggest fans, Cantor Fitzgerald, Rocket Lab stock costs too much.<h2>Should you buy stock in Rocket Lab right now?</h2> Before you buy stock in Rocket Lab, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Rocket Lab wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $483,476!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,362,941!* Now, it’s worth noting Stock Advisor’s total average return is 998% — a market-crushing outperformance compared to 207% for the S&amp;P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of May 19, 2026. Rich Smith has positions in Rocket Lab. The Motley Fool has positions in and recommends Rocket Lab. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. </div></div>

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Rocket Lab's stock dropped 11% despite Cantor Fitzgerald reiterating a buy rating and praising the company's recent revenue growth and successful launches. Cantor believes the stock is overvalued at $96, while it currently trades at $118. Investors may be concerned about the stock's recent 61% gain, leading to disappointment despite positive analyst sentiment.

Why Rocket Lab Stock Dropped Today