Why Shares of Rocket Lab Are Crashing This Week
Shares of Rocket Lab (NASDAQ: RKLB) soared to start off the week, but the launch-specialist's stock lost altitude in subsequent days. Failing to raise investors' spirits, Rocket Lab announced disappointing preliminary fourth-quarter 2023 results and a plan to raise capital on Wednesday.
According to data provided by S&P Global Market Intelligence, shares of Rocket Lab have fallen 17.6% from the end of last Friday's trading session through the market's close on Thursday.
Although management expects to report Q4 2023 revenue that represents year-over-year growth of about 16%, it's preparing investors for a less auspicious report in terms of profitability. The company reported an adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) loss of $14.5 million in Q4 2022, but management projects the shortfall will widen from negative $28 million to negative $30 million for the recently completed quarter.
Source Fool.com
