Rocket Lab Wins Largest Commercial Launch Deal, Citi Initiates Buy With 50% Upside

Rocket Lab (RKLB) shares rose more than 3% intraday on Oct. 1 after the company secured its largest commercial launch contract to date and received a first-time "Buy" rating from Citi with a $105 price target, implying roughly 50% upside from its Sept. 30 close. The company signed a multi-year agreement with Tokyo-based satellite operator Synspective for 20 additional Electron launches. Combined with existing contracts, Synspective has ordered 47 missions, making it Rocket Lab's largest customer by mission count. Financial terms were not disclosed. The 20 StriX synthetic aperture radar satellites will launch from Launch Complex 1 into sun-synchronous orbit, with missions expected annually between 2028 and 2031. Second-quarter revenue rose 62% year over year to $234 million, while backlog climbed 137% to a record $2.36 billion. Rocket Lab targets a first Neutron launch by late 2026 or early 2027. The stock is up about 11% over the past month but down more than 8% year to date.