$Rocket Lab USA, Inc.(RKLB)$ I share the view of several investors here: we may have seen the worst.
Despite all the drama, the outcome isn't nearly as bad as some feared. Sometimes, ripping off the Band-Aid and moving forward is the best approach.
The recent update primarily shifts the timeline. It doesn't fundamentally change the revenue opportunity, only when those revenues are realized, which has a modest impact on intrinsic value.
Until we get positive launch updates, it's reasonable to apply a slightly more conservative NTM P/S multiple. Personally, I prefer valuing RKLB using normalized forward revenues, even those projected for 2030, and discounting them back to today. There's obviously more uncertainty further out, but that's reflected in the valuation.
Bottom line: the investment thesis remains intact, and my estimate of intrinsic value has only declined modestly.
Know what you own, avoid excessive leverage, and keep some dry powder to capitalize on opportunities like these.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
