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Rocket Lab seen as strong buy with 72% upside on growth and major government contracts

Analyst Insights
06 Aug 2026
Seeking Alpha
View Source
Bullish
Rocket Lab seen as strong buy with 72% upside on growth and major government contracts

Rocket Lab is rated a strong buy with a $128.56 price target and 72% potential upside, driven by both organic growth and acquisitions like Iridium. The company’s vertical integration is nearly complete, enabling it to offer full satellite solutions and boosting competitiveness. Recent government contracts worth over $1 billion validate its strategy pivot towards defense markets. EBITDA margins are expected to reach 33% as development costs ease, with positive free cash flow anticipated by 2029 and long-term growth prospects beyond that.

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