Why Is Rocket Lab Stock Rising Today?

Rocket Lab USA, Inc. RKLB shares are trading higher Tuesday after the company announced its spacecraft for Varda Space Industries ("Varda") is successfully operating in orbit.

What To Know: The spacecraft launched Tuesday from Vandenberg Space Force Base on SpaceX's Transporter-8 mission at 14:35 PDT (21:35 UTC).

Utilizing components and software designed and manufactured by Rocket Lab, the spacecraft will provide power, communications, propulsion, and attitude control to Varda's 120kg capsule that will produce pharmaceutical products in microgravity and return them to Earth.

"Congratulations to our Space Systems team and to Varda on the start of an incredibly exciting and important mission," said Brad Clevenger, Vice President of Rocket Lab Space Systems. "From technology demonstration missions in low Earth orbit to complex missions to the Moon, and now in-space manufacturing, Rocket Lab spacecraft are enabling innovation on orbit. By leveraging our deep vertical integration across Space Systems we've been able to deliver a high-quality spacecraft to Varda on a rapid timeline to accelerate their mission and we look forward to delivering many more."

The Varda spacecraft is one of many complete satellites in development by Rocket Lab. The company incorporates components and subsystems, successfully flown on more than 1,000 spacecraft globally, produced in-house to offer cost efficiencies and accelerated production timelines through its vertically integrated space systems capabilities.

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RKLB Price Action: Shares of RKLB were up 13.1% at $6.01 at the time of publication, according to Benzinga Pro.

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