Rocket Lab Stock: Two Major Catalysts Could Fuel Further Growth

The New Zealand-based space exploration company Rocket Lab USA has delivered an extraordinary performance over the past twelve months, with its share price surging more than 600%. Now, two significant developments emerging at the start of the week suggest this upward trajectory might be poised to continue. The twin catalysts generating substantial market excitement are a pending inclusion in a major stock index and the inauguration of a pivotal launch facility for the company’s next-generation rocket. But what is the substance behind this optimistic sentiment?

New Launch Complex Unveiled for Next-Generation Rocket

In a strategic move that expands its operational capabilities, Rocket Lab officially revealed its new Launch Complex 3 (LC-3) at Wallops Island, Virginia, in late August. This state-of-the-art facility has been specifically designed to support the revolutionary Neutron rocket, a project expected to propel the company into an entirely new competitive league.

While Rocket Lab’s established Electron rocket primarily handles smaller payloads, the Neutron is targeted at the highly lucrative medium-lift market. Its agenda includes deploying satellite constellations, conducting government security missions, and potentially even supporting crewed space flights. This ambitious direction positions Rocket Lab as a direct challenger to industry giants like SpaceX.

Adding to the project’s credibility, the U.S. government has already selected Rocket Lab for its prestigious NSSL Phase 3 program, run by the Space Force. This endorsement, involving highly valued security contracts, underscores the authorities’ confidence in the company’s technical expertise. The inaugural test flight for the Neutron rocket is scheduled for the second half of 2025, a milestone that will be critical for the stock’s future performance. In the interim, the company continues to rely on its Electron rocket, with another launch planned for September.

Should investors sell immediately? Or is it worth buying Rocket Lab USA?

Index Inclusion Sparks Investor Frenzy

Separately, news broke that Rocket Lab is slated for inclusion in a significant stock index this September. The announcement created an immediate stir among retail investors, triggering a wave of discussions. Mentions of the company on the popular forum WallStreetBets exploded, skyrocketing by an incredible 1,650%.

This euphoric reaction is well-founded within financial markets. Gaining entry into a major index typically triggers automatic purchasing by index-tracking funds and large institutional investors. This process does not only enhance the stock’s trading liquidity but also dramatically increases its visibility to a broader segment of the market.

The company’s upcoming quarterly earnings report, expected around November 11, will be a key indicator for investors. These financial results will help determine if Rocket Lab’s ambitious expansion and development plans are supported by a solid and growing revenue base.