Bullish indicating open at $55-$60, IPO prices at $37
LONG BEACH, Calif. - Rocket Lab Corporation (NASDAQ:RKLB), whose stock has delivered an impressive 735% return over the past year according to InvestingPro data, announced Monday it has completed its acquisition of Geost, LLC, a developer of electro-optical and infrared sensor systems for national security space missions.
The transaction, first announced on May 27, was completed for $275 million before closing adjustments. The deal includes approximately $125 million in cash and 3,057,588 shares of Rocket Lab common stock, with an additional potential earnout of up to $50 million tied to future revenue targets. The company, now valued at $21.58 billion, maintains a strong financial position with more cash than debt on its balance sheet, as revealed by InvestingPro analysis.
Geost’s technologies support missile warning and tracking, tactical intelligence, surveillance, reconnaissance, Earth observation, and space domain awareness. Founded in 2004, the company has supplied payloads for classified and unclassified missions.
"Being able to quickly build and deploy entire satellite systems is the cornerstone of future U.S. defense strategy," said Rocket Lab founder and CEO Peter Beck in the press release. "This acquisition strengthens our role in building the resilient, responsive space architecture envisioned under Golden Dome."
With this acquisition, Rocket Lab expands its capabilities as a provider of complete spacecraft for U.S. national security programs, particularly for initiatives like the Space Development Agency’s Proliferated Warfighter Space Architecture.
Geost will continue to operate from its existing locations in Arizona and Virginia. Rocket Lab will gain the company’s product assets, manufacturing facilities, laboratories, intellectual property, and product inventory.
The acquisition positions Rocket Lab to scale production of electro-optical and infrared technologies by leveraging its manufacturing expertise for high-volume production.
Rocket Lab, founded in 2006, provides launch services, satellite manufacturing, spacecraft components, and on-orbit management solutions. The company has deployed over 200 payloads from its launch sites in the United States and New Zealand. With a robust current ratio of 2.67 and revenue growth of 54% in the last twelve months, Rocket Lab shows strong operational momentum. For deeper insights into Rocket Lab’s financial health and growth prospects, investors can access comprehensive analysis through InvestingPro, which offers 12 additional exclusive ProTips and detailed valuation metrics.
In other recent news, Rocket Lab USA reported a record quarterly revenue of $144.5 million for Q2 2025, exceeding its forecast of $134.28 million. Despite this impressive revenue, the company experienced an earnings per share loss of $0.13, which was higher than the anticipated loss of $0.09. Following these results, several analyst firms adjusted their price targets for Rocket Lab. Needham raised its price target to $55, citing the company’s strong second-quarter results and above-market third-quarter guidance. Similarly, Cantor Fitzgerald increased its price target to $54, highlighting the company’s successful Electron launches and strong quarterly performance. KeyBanc also raised its target to $50, noting stronger margins and confidence in the Neutron rocket development program. These developments reflect positive sentiment from analysts regarding Rocket Lab’s recent performance and future prospects.
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