Is Rocket Lab Stock a Buy After Its Big Contract Win?

Rocket Lab announced participation in the U.S. Space Force's $981 million NITE-STAR program, but the actual value to the company is significantly less impressive. With 15 companies competing for task orders over a 10-year period, Rocket Lab can expect approximately $6.5 million annually—less than 1% of its current $770 million revenue. The analyst concludes this is insufficient to justify the stock's current valuation of 60x sales while unprofitable.