Rocket Lab Reports Nov. 9. Here's What I'd Need to See Before Buying the Stock.
Could two numbers in the space company's next report make its 61% drop a buying opportunity?
Rocket Lab (RKLB -7.39%) is set to release its third-quarter results after the market closes on Monday, Nov. 9. Management anticipates another record quarter, with revenue forecasted to range between $250 million and $265 million, marking growth of 61% to 71% compared to the previous year. However, the stock has seen a decline of about 61% from its record close in late May, currently trading near $58.
The company has been working on the Neutron rocket, with its first launch targeted for 2027 after certain tests and modifications. CEO Sir Peter Beck revealed that a new forward dome for the first-stage propellant tank needs to be made and tested, followed by pressure and cryogenic tests for the full first stage. These tasks are expected to be completed in the first quarter of 2027 before a new launch date can be announced.
The stock's current valuation of around 38 times sales, despite the company's losses, indicates investor confidence in Neutron's success. The company's adjusted EBITDA has been improving, from a loss of $26.3 million in Q3 2025 to $8.8 million in Q2 2026. However, the third-quarter guidance predicts an adjusted EBITDA loss of $17 million to $23 million, with non-GAAP gross margins expected to decrease from 41.5% in Q2 to 35% to 37% in Q3.
Investors are watching the third-quarter adjusted EBITDA loss and the fourth-quarter forecast, hoping for a more positive outcome.
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