Rocket Lab Stock Rises After Securing US, UK Hypersonic Test Launch Contracts — Retail Reaction Muted

Rocket Lab USA (RKLB) shares gained 4.5% in premarket trading on Tuesday after the company was selected to participate in contracts by the U.S. and the UK to provide hypersonic test launch capability.

The U.S. Air Force has selected the company to participate within its Enterprise-Wide Agile Acquisition Contract (EWAAC), a $46 billion contract expected to run through to 2031, Rocket Lab said.

The Long Beach, California-based company was selected by the United Kingdom’s Ministry of Defence as a contractor to develop the country’s advanced hypersonic capabilities.

Across both programs, the company plans to bid for contracts and task orders served by its Hypersonic Accelerator Suborbital Test Electron (HASTE) launch vehicle and other engineering, design, and launch services.

Last month, the U.S. Space Force selected the company to compete for the Department of Defense’s National Security Space Launch program.

The firm-fixed-price contract has a five-year ordering period that will run through June 2029 and a maximum value of $5.6 billion, the company had said.

Retail sentiment on Stocktwits was in the ‘neutral’ (50/100) territory, while retail chatter rose to ‘normal.’

One retail trader said that the contracts were another “solid block in the foundation of RKLB,” and their offerings give them the ability to “cast a big net.”

Rocket Lab shares have fallen 24.77% year-to-date (YTD) amid concerns over budget cuts at NASA and broader market weakness.

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