Rocket Lab (NASDAQ: RKLB)
“SpaceX 2.0” Could Be on the Launch Pad for Its Next Big Move
Rocket Lab’s story is starting to sound a lot like SpaceX in its early days — but with a publicly traded ticker investors can actually buy. After soaring 172% this year, shares still appear far from reaching escape velocity. Baird just initiated coverage with an Outperform rating and an $83 price target, suggesting roughly 20% near-term upside — and much more over time.
What makes this setup so interesting isn’t just the hype around space. Rocket Lab has built a real business with serious traction. Its $8.5 million Electron rocket already dominates the small-lift market with a 94% mission success rate, and its next-generation Neutron rocket — priced at $50 million — is preparing for first flight in late 2025 or early 2026. That’s a direct challenge to SpaceX’s Falcon 9 in the lucrative medium-lift category.
Add to that a healthy balance sheet, a smart M&A record (five acquisitions since 2020), and a vertically integrated model that gives it flexibility to expand across the space systems supply chain — and you’ve got the makings of a long-term growth story that’s just getting started.
Global space launches are growing around 22% annually, and Rocket Lab’s position as a reliable, low-cost provider puts it in a strong position to capture a growing share of that market. For investors looking for a pure play on the commercial space boom, this one still looks early in its flight path.
In Baird’s words, “SpaceX 2.0 is primed for liftoff” — and the chart suggests the countdown has already begun.
