Rocket Lab Stock Gained 118% Over the Past Year. Is It Time to Buy?

Rocket Lab (RKLB) has climbed 118% over the past year, fueled by record launch contracts and a landmark acquisition. The company secured 31 launch contracts in Q1 2026, marking its highest quarterly total on record.

The momentum accelerated with Rocket Lab's announcement of an $8 billion acquisition of Iridium Communications, a deal that pushes the company beyond launch services into satellite communications. The move diversifies revenue streams and positions RKLB to compete across multiple segments of the space economy.

Despite the growth trajectory and expanding government contracts, fundamental challenges remain. The company continues to operate without profitability, and shares trade at a price-to-sales ratio of 82—a premium valuation that leaves little room for execution stumbles. The stock's volatility has been pronounced throughout its 118% rally, amplifying risk for new entrants at current levels.