Rocket Lab’s Defense Ambitions Face Market Scrutiny Ahead of Earnings

Rocket Lab USA is significantly deepening its involvement in the defense sector, a strategic push that comes as investors grow cautious ahead of a pivotal financial report. The company's announcement of its fourth hypersonic test mission in under six months underscores its drive to become a key contractor for the U.S. military, yet its share price has recently exhibited considerable volatility.

The space launch firm revealed on February 12 that it will conduct a dedicated mission for the Defense Innovation Unit (DIU). Codenamed "Cassowary Vex," the launch is scheduled for late February from the Wallops Island, Virginia, spaceport. For this mission, Rocket Lab will utilize its specialized HASTE rocket (Hypersonic Accelerator Suborbital Test Electron).

The payload will be the scramjet-powered DART AE vehicle, developed by its Australian partner Hypersonix. This event marks the company's fourth dedicated hypersonic test flight in a span of less than six months, highlighting an accelerated operational tempo in this niche.

Positioning Within a National Priority

The HASTE platform allows Rocket Lab to occupy a critical position in the defense testing landscape. The system facilitates tests at velocities reaching up to Mach 20 and provides precise control over flight profiles—a capability the company claims is currently unmatched in the commercial sector. By reducing cost barriers and increasing launch frequency, Rocket Lab is directly supporting the U.S. government's high-priority goal of rebuilding national hypersonic test capacity.

Should investors sell immediately? Or is it worth buying Rocket Lab USA?

Market Jitters Amid a Share Price Pullback

Despite these operational advances, the equity has shown signs of instability on the market. Closing at $67.44 on February 13, the stock has retreated substantially from its 52-week high of $99.58, which was recorded on January 16. However, it continues to trade well above its low point of $14.71.

The trading pattern suggests investors are locking in profits and reassessing their positions. Fluctuating volume indicates a market weighing the successful defense sector expansion against the broader, challenging environment for high-growth technology stocks.

All Eyes on the Upcoming Financial Report

Investor attention is now firmly fixed on February 26, 2026. After the market closes, Rocket Lab is set to release its fourth-quarter and full-year 2025 financial results. Given the recent stream of government contracts and operational milestones, expectations for the company's forward guidance are elevated. The forthcoming earnings report will deliver crucial new data points on the profitability of its defense-focused strategy and is likely to be a major determinant of the stock's near-term trajectory.