Rocket Lab (NASDAQ: RKLB) is a space infrastructure company that serves both government and commercial clients. As a key public competitor to SpaceX, Rocket Lab is developing the reusable Neutron rocket. This new vehicle is designed to carry larger payloads and compete directly with SpaceX's Falcon 9.
On May 8, 2026, analyst firm Cowen & Co. reiterates its "Buy" rating for Rocket Lab. This positive view follows what MarketBeat describes as "exceptional" Q1 2026 results. The company reports record quarterly revenue of $200.30 million, a 63.50% year-over-year increase that surpasses analyst estimates.
Along with the rating, the firm raises its price target to $120.00 from $90.00. This reflects strong financial health, including a record GAAP gross margin of 38.20%. The adjusted EBITDA loss also narrows by 60.80% year-over-year to $11.75 million, showing improved operating performance.
EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization, measures a company's operational profitability. A narrowing loss shows Rocket Lab is moving closer to profitability from its core business. This progress supports the analyst's confidence, which was published by TheFly when the stock was at $101.97.
Future growth confidence is also supported by a massive backlog that now stands at $2.20 billion, a 108.00% year-over-year increase. This backlog represents future contracted work. As highlighted by SeekingAlpha, management confirms the Neutron rocket development is on track and pricing remains firm against competitors.
