Rocket Lab Earnings: What To Look For From RKLB

Aerospace and defense company Rocket Lab (NASDAQ:RKLB) will be reporting earnings tomorrow after the bell. Here’s what you need to know.

Rocket Lab beat analysts’ revenue expectations last quarter, reporting revenues of $155.1 million, up 48% year on year. It was a strong quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ adjusted operating income estimates.

Is Rocket Lab a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Rocket Lab’s revenue to grow 33.8% year on year, slowing from the 121% increase it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Rocket Lab has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Rocket Lab’s peers in the aerospace segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Woodward delivered year-on-year revenue growth of 29%, beating analysts’ expectations by 11.9%, and Boeing reported revenues up 57.1%, topping estimates by 6.9%. Woodward traded up 13.4% following the results while Boeing was down 2.8%.

Read our full analysis of Woodward’s results here and Boeing’s results here.

There has been positive sentiment among investors in the aerospace segment, with share prices up 5.3% on average over the last month. Rocket Lab is down 20.3% during the same time and is heading into earnings with an average analyst price target of $83.96 (compared to the current share price of $69.69).

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