Gublo
Small/Mid-Cap Trader, Multibagger/Penny Stocks, Earnings Analysis & Signals
Investors rotating into cheaper stocks with more upside should ultimately benefit Rocket Lab and AST SpaceMobile. Both have already suffered major drawdowns. x.comÂ
Rocket Lab has legitimate buying behind it, visible in weekly volume, and could take out $100 this time, perhaps after a pullback, helped by the SpaceX IPO pump. Prior highs around $98-100 are the resistance to clear. x.comÂ
Rocket Lab's $3B at-the-market offering shows it needs investor cash because it has no real earnings or path to profitability, and it should have raised $10-15B while the window lasts. Selling stock at such a high valuation is the only way to sustain the next 18-24 months, and the coming SpaceX IPO will most likely be the sell event for the entire space sector. x.com x.comÂ
Good SpaceX earnings could help Rocket Lab lead the new-space sector higher with a rally as violent as its capitulation. Rocket Lab is the sector leader outside SpaceX; its RSI is extremely oversold, the lower Bollinger band is overstretched and MACD's negative divergence is subsiding. Three upside gaps lie at $55.25-59.18, $64.22-65.71 and $73.11-74.76. The highest should fill before year-end, though the exact date is hard to predict. x.com x.comÂ
Rocket Lab looks like a decent bet after its pullback ahead of its expected Nasdaq index inclusion. x.comÂ
Rocket Lab makes little sense to buy over SpaceX, whose IPO is priced at a similar share price with far larger revenue. SpaceX targets $135 a share with $18.7B of revenue, while Rocket Lab trades at $115 with $600M. x.comÂ
Rocket Lab and SpaceX are solid long-term holdings for space exposure. Rocket Lab's nearly $20-per-share gain this week came from the SpaceX IPO and a strong macro day. x.comÂ
A commercial-launch bottleneck is good news for Rocket Lab. Christine Ji reports that a SpaceX launch shortage is fueling a $100 billion wave of investment in space infrastructure and applications. x.comÂ
Space stocks have lost their catalyst now that SpaceX is public. For a year the basket was a bet on when the SpaceX IPO would happen; it listed Friday, up 19% at $2.1 trillion, the biggest IPO in history, and the air came out. Rocket Lab, AST SpaceMobile, Satellogic and BlackSky, green for months, have all flipped to SuperTrend downtrends. That is not the sector breaking but buy-the-rumor, sell-the-news. x.comÂ
A stronger SpaceX could lift the wider space-stock basket, including AST SpaceMobile, Rocket Lab, Redwire, Planet Labs, Intuitive Machines, Firefly Aerospace and Voyager Technologies. Per DeItaone, JPMorgan raised its SpaceX price target from $240 to $500 while maintaining Overweight. The seven space stocks rose alongside SpaceX after hours. Their initial post-IPO selloff was followed by macro-driven weakness, not further weakness caused by SpaceX. x.com x.com x.comÂ