TLDR
- Rocket Lab (RKLB) stock fell nearly 8% in the regular session Wednesday, then dropped another 7% to 8% after hours.
- The first Neutron launch moved from Q4 2026 to 2027 because of a carbon-composite tank part problem.
- Q2 revenue hit a record $234 million, up 62%, and backlog reached $2.36 billion.
- The company holds Space Force deals worth up to $397 million and $266 million, plus a planned Iridium purchase.
- 15 of 18 analysts rate RKLB a buy, with an average target of $104.44.
Rocket Lab (RKLB) stock fell nearly 8% in Wednesday’s regular session. It then dropped another 7% to 8% in after-hours trading.
The company pushed the first launch of its Neutron rocket into 2027. It had been set for the fourth quarter of 2026.
Executives had warned that a delay was possible. That softened the surprise, but the market still sold.
$RKLB DELAYS NEUTRON ROCKET’S FIRST LAUNCH TO 2027
Rocket Lab has pushed back the inaugural flight of its reusable medium-lift rocket, a key part of the company’s expansion into larger satellite launches beyond its existing Electron program.
The company did not provide a reason… https://t.co/K1heBwSDjw pic.twitter.com/f8EFPT0H8x
— Wall St Engine (@wallstengine) October 14, 2026
The cause is a manufacturing problem with a carbon-composite part of the first-stage propellant tank. The company shared the news along with a new schedule.
Rocket Lab flies one active orbital rocket family today, Electron. Neutron is built for heavier payloads and aims at commercial satellite and national security missions.
A Bumpy Road for Neutron
This is not the first hiccup. In January, a first-stage tank ruptured during testing.
The company then moved off its mid-2026 target. By August, executives said the window for a year-end debut was getting tight.
Wednesday’s update closed that window for good. Investors who wanted to see Neutron fly this year now face a longer wait.
The delay also puts a spotlight on launch commitments. In May, Rocket Lab announced its largest launch deal, covering five Neutron missions and three Electron launches for an undisclosed customer.
Those flights are set between 2026 and 2029. A working Neutron matters a lot for that contract.
The Business Beyond the Rocket
The rest of the company has kept growing. Rocket Lab posted record second-quarter revenue of $234 million, up 62% from a year earlier.
Backlog reached $2.36 billion, more than double the year-earlier level. That is a solid cushion while Neutron catches up.
Government work has helped too. Rocket Lab won a U.S. Space Force contract worth up to $397 million for satellites that track airborne threats.
A second deal, worth up to $266 million, covers suborbital launches for missile-defense programs. The company also plans to buy satellite communications provider Iridium, a deal that needs regulatory approval and is expected to close in 2027.
Wall Street has not backed away. Of the 18 analysts covering RKLB over the past three months, 15 say buy and 3 say hold, which makes for a Strong Buy consensus.
The average 12-month price target is $104.44. That points to a 76% gain from Wednesday’s close.
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