Rocket Lab’s Stock Soars 21.6% in January on Space Contracts and Investor Confidence
Rocket Lab’s share price has surged in early 2026, climbing 21.6% in January alone. The rise follows a string of high-profile contracts, successful missions, and growing investor confidence in the space sector.
The company’s stock began its upward trend in December after SpaceX announced plans for a late-2026 IPO. This news lifted valuations across the space-tech industry, including Rocket Lab. Investors also anticipated potential Federal Reserve interest rate cuts in 2026, adding further momentum.
In December, Rocket Lab secured a record US defence contract worth around $816 million with the U.S. Space Force and Space Development Agency. The deal includes expansion options worth approximately $10.5 million, with possible add-ons pushing the total value close to $1 billion. Shortly after, the company successfully launched the STP-S30 mission for the Space Force, reinforcing its operational reliability.
January brought more positive developments. The Canadian Space Agency awarded Rocket Lab a new funding deal to strengthen Canada’s domestic space capabilities. The company also completed its first mission for the Japan Aerospace Exploration Agency (JAXA), further expanding its international partnerships.
Analysts responded by raising price targets. Stifel increased its one-year target from $75 to $85 per share, maintaining a buy rating. Needham went further, lifting its target from $63 to $90 per share while also keeping a buy recommendation. These upgrades, combined with strong operational performance, sustained investor interest despite occasional profit-taking.
Rocket Lab’s stock growth reflects a mix of new contracts, mission successes, and broader market optimism. With defence deals worth nearly $1 billion and expanding global partnerships, the company’s position in the space sector appears stronger than ever. Analysts’ upgraded targets suggest continued confidence in its future performance.
