Rocket Lab (NASDAQ:RKLB – Get Free Report) is one of 229 publicly-traded companies in the “Aerospace & Defense” industry, but how does it compare to its competitors? We will compare Rocket Lab to similar companies based on the strength of its dividends, analyst recommendations, valuation, institutional ownership, earnings, risk and profitability.
Profitability
This table compares Rocket Lab and its competitors’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Rocket Lab | -25.73% | -7.71% | -6.18% |
| Rocket Lab Competitors | -348.96% | -46.51% | -4.31% |
Analyst Ratings
This is a summary of current ratings for Rocket Lab and its competitors, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Rocket Lab | 1 | 5 | 15 | 3 | 2.83 |
| Rocket Lab Competitors | 2156 | 8270 | 12781 | 580 | 2.50 |
Rocket Lab presently has a consensus price target of $100.10, suggesting a potential upside of 59.62%. As a group, “Aerospace & Defense” companies have a potential upside of 26.00%. Given Rocket Lab’s stronger consensus rating and higher possible upside, equities analysts plainly believe Rocket Lab is more favorable than its competitors.
Institutional and Insider Ownership
71.8% of Rocket Lab shares are owned by institutional investors. Comparatively, 49.5% of shares of all “Aerospace & Defense” companies are owned by institutional investors. 8.4% of Rocket Lab shares are owned by company insiders. Comparatively, 11.8% of shares of all “Aerospace & Defense” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Volatility and Risk
Rocket Lab has a beta of 3.15, suggesting that its stock price is 215% more volatile than the S&P 500. Comparatively, Rocket Lab’s competitors have a beta of 1.31, suggesting that their average stock price is 31% more volatile than the S&P 500.
Valuation & Earnings
This table compares Rocket Lab and its competitors gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Net Income | Price/Earnings Ratio | |
| Rocket Lab | $601.80 million | -$198.21 million | -232.26 |
| Rocket Lab Competitors | $8.43 billion | $569.54 million | 25.87 |
Rocket Lab’s competitors have higher revenue and earnings than Rocket Lab. Rocket Lab is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.
Summary
Rocket Lab beats its competitors on 8 of the 13 factors compared.
About Rocket Lab
Rocket Lab is a space company that provides launch services and spacecraft and satellite systems for commercial, civil, and national security customers. Founded in 2006 by Peter Beck, the company operates internationally, with headquarters in Long Beach, California, and launch operations in New Zealand and the United States. Its launch business centers on Electron, a small orbital rocket designed to carry satellites to space, and HASTE, a suborbital vehicle used for hypersonic test missions. Rocket Lab is also developing Neutron, a larger launch vehicle.
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