Rocket Lab Shares Drop 70% Amid Neutron Rocket Delays
Rocket Lab shares have fallen 70% from their May peak following delays to its Neutron rocket and forecasts of increased quarterly losses.
Shares of Rocket Lab have declined approximately 70% from a record high of $150.23 set on May 27, 2026, falling to roughly $52. The stock dropped as much as 16% on November 5, bringing the company's valuation to about $31 billion. This decline follows a mid-October announcement that the first flight of the Neutron reusable medium-lift rocket was delayed to 2027 after engineers discovered air pockets in the carbon-fiber layers of a propellant tank dome.
Financial pressure has mounted as the company forecasts an increased adjusted EBITDA loss of $17 million to $23 million for the third quarter, surpassing the $20.6 million loss recorded for the entire first half of the year. Rocket Lab is scheduled to report its official third-quarter results on November 9.
Despite the stock volatility, the company has reported record revenue every quarter in 2026. Second-quarter revenue rose 62% year-over-year to $234 million, and the company maintains a record backlog of $2.36 billion. Operational milestones include 20 launches as of November 2, an $816 million contract with the Space Development Agency, and an agreement to acquire Iridium in an $8 billion deal expected to close in mid-2027.
