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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (67619)	11/4/2025 10:34:51 PM
From: Johnny Canuck	Read Replies (1) \| Respond to of 67886

Rocket Lab Stock Dips 14%—Buying Opportunity Ahead?Written by Ryan Hasson. Published 10/30/2025. Key Points Rocket Lab shares have cooled after a massive rally, dipping roughly 14% from recent highs but remaining up over 150% year-to-date. Q3 earnings on Nov. 10 will be pivotal, with revenue expected to rise 45% year-over-year and improving margins signaling growing efficiency and profitability. Analysts are increasingly bullish, citing Rocket Lab’s $1 billion backlog, expanding space systems business, and upcoming Neutron rocket as catalysts that could fuel the next leg higher. After a decisive breakout above resistance near $55, shares of Rocket Lab USA (NASDAQ: RKLB) have taken a breather. With the company set to report earnings in November, investors are asking the key question: Is this pullback a buying opportunity or a sign to stay cautious? Despite sliding roughly 14% from recent 52-week highs, RKLB’s bigger picture remains impressive. The stock is still up about 150% year-to-date and roughly 470% over the past year. Returns like that rarely come without periods of consolidation and corrections. Musk just revealed Tesla’s real future — and it’s not cars (Ad)During Tesla’s latest earnings call, Elon Musk spent little time discussing cars — and a lot of time on robots. He’s made it clear: Tesla is evolving from an automaker into an AI-robotics powerhouse focused on humanoids, autonomous fleets, and embodied intelligence (“EI”). This shift could redefine entire industries, and a new wave of companies is set to benefit. Click here to see our top 3 stocks positioned to soar with the rise of embodied intelligence A temporary dip can be a healthy reset for long-term investors, especially when fundamentals and momentum remain intact. With tailwinds, analyst upgrades, and strong earnings expectations on the horizon, this pullback may set up the next leg higher. Rocket Lab Cools After a Stellar RunFew retail favorites have matched Rocket Lab’s performance this year. As the company’s backlog has swelled past $1 billion and its Electron rocket has continued to deliver consistent mission success, investor confidence has risen in tandem. The stock’s rise—over 1,400% in the past three years and 150% year-to-date—underscores its emergence as a leader in aerospace and defense innovation. After months of consolidating near $55, a steady stream of Electron contract wins pushed RKLB to fresh highs above $74. Since then it has retreated around 14%, but it remains well above its 50-day moving average and the prior breakout zone near $55. The $55 region is now a key technical level to watch. A successful retest could confirm it as new support, creating an attractive re-entry point for sidelined investors. Alternatively, upcoming catalysts—particularly earnings and Neutron updates—could spark renewed buying or short-term volatility before the next sustained move. Earnings on Deck: Key Metrics to WatchRocket Lab is set to report Q3 2025 earnings on Nov. 10, and expectations are high. Q2 results set the tone, with record revenue of $144.5 million (up 36% year-over-year) and a robust $1 billion backlog. Heading into Q3, management has guided revenue between $145 million and $155 million, roughly 45% year-over-year growth. Margins are also projected to improve, with gross margin expected to climb to 39–41% (up from 36.9% last quarter), driven by greater efficiency in Electron launches and the expansion of higher-margin space systems such as solar arrays. Investors will watch closely for commentary around Neutron, Rocket Lab’s upcoming medium-lift rocket designed to compete with SpaceX’s Falcon 9. The company targets a maiden launch in the second half of 2025 from Launch Complex 3 at Wallops Island, though analysts are monitoring timeline risk. Updates on hardware integration, Archimedes engine testing, or new Neutron contracts could swing sentiment after the report. Analysts Turn Bullish Ahead of Results Wall Street’s optimism toward RKLB has intensified ahead of earnings. On Oct. 15, Baird initiated coverage with an Outperform rating and an $83 price target, noting Rocket Lab’s 94% mission success rate and projecting 34% compound annual revenue growth through 2030. Baird highlighted Neutron as a potential game-changer that could dramatically expand Rocket Lab’s total addressable market by moving it into medium-lift launch territory, a domain currently dominated by SpaceX. Two days earlier, Morgan Stanley raised its price target from $20 to $68, calling Rocket Lab a “public market alternative to SpaceX.” The bank pointed to the company’s expanding space systems division and its longer-term plan to develop a satellite constellation similar to Starlink. While Morgan Stanley expects early Neutron operations to carry negative margins, it projects a 41% CAGR in revenue from 2025 to 2029 and positive free cash flow by 2027. Final Approach: Pullback or Launchpad?In a year defined by volatility across the sector, Rocket Lab has remained a standout. The stock’s recent pullback looks less like a breakdown and more like a pause—a chance for momentum to reset before another push higher. With record revenue, expanding margins, a billion-dollar backlog, and growing Wall Street support, RKLB’s long-term story remains intact. For investors who missed the initial breakout, this consolidation could represent a second chance to gain exposure ahead of another surge. Whether that momentum is sustained will depend largely on upcoming earnings and management’s updates on Neutron’s progress.