Rocket Lab Stock Is Rallying Wednesday: What's Going On?

Rocket Lab USA Inc RKLB shares are on the move. The company on Wednesday announced the successful return of its Pioneer spacecraft for Varda Space Industries.

What Happened: Rocket Lab said its Pioneer spacecraft made a successful return to Earth on Wednesday, marking the company’s second Earth return mission in two months. Varda’s W-3 mission launched 15 days after the return of W-2.

Rocket Lab said its medium delta-V spacecraft platform supported the return of Varda’s hypersonic re-entry W-3 capsule, the third successful mission in the W-series for Varda, demonstrating rapid re-entry capabilities. The mission functions included power, communications, propulsion and attitude control. 

“Managing three successful missions for Varda in just over a year is a testament to our team’s ability to produce tailored spacecraft for our customer’s specific needs quickly and efficiently,” said Peter Beck, founder and CEO of Rocket Lab.

“Our Pioneer spacecraft consistently proves its rapid re-entry capability, versatility, and reliability, delivering critical mission functions that continually push the boundaries of space technology.”

Rocket Lab noted that the fourth spacecraft in Varda’s W-series is currently undergoing integration and testing at the company’s Spacecraft Production Complex.

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Rocket Lab announced a partnership with the U.S. Air Force when it reported earnings last week. The company will launch its new medium-lift reusable rocket Neutron for a Rocket Cargo mission that supports point-to-point cargo transportation, no earlier than 2026.

Rocket Lab is expected to debut its Neutron rocket later this year. The timeline was confirmed for the second half of 2025 last week.

Multiple analysts have weighed in on Rocket Lab this week following the company’s better-than-expected first-quarter results. Goldman Sachs maintained a Neutral rating and raised its price target to $16. Needham analysts reiterated a Buy rating and price target of $28.

Rocket Lab recently announced plans to establish a holding company structure, which is expected to be in effect by June 1. The new parent company, Rocket Lab Corporation, will replace Rocket Lab USA, Inc. as the publicly listed company on the Nasdaq.

RKLB Price Action: Rocket Lab shares were up 10.3% at $24.07 at the time of publication Wednesday, according to Benzinga Pro.

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Photo: courtesy of Rocket Lab.