Why Rocket Lab USA Shot Higher in December
Rocket Lab USA (NASDAQ: RKLB) investors experienced a lot of highs and lows in 2023, but the year went out with a bang. Shares of Rocket Lab gained 26.3% in December, according to data provided by S&P Global Market Intelligence, after the space company announced a $515 million deal to build and operate a fleet of satellites for a government customer.
Rocket Lab is part of a new breed of space companies racing to make space more affordable for corporate and government customers. The company had a mixed record in 2023, setting a new single-year record by completing 10 successful launches, but also experiencing the failure of one of its rockets back in December, which led to a three-month grounding.
The year ended on a high note when Rocket Lab disclosed a deal with an unnamed government agency to build and operate 18 satellites. The deal, which would help fill out Rocket Lab's launch schedule between 2027 and 2030, is worth $489 million, with a potential extension to operate the satellites through 2033 for an additional $26 million.
Source Fool.com
