Rocket Lab price target raised to $7.40 from $4.55 at Citi

Citi analyst Jason Gursky raised the firm’s price target on Rocket Lab to $7.40 from $4.55 and keeps a Neutral rating on the shares. The company’s Q2 revenue was inline with expectations while adjusted EBITDA was a bit better on higher gross margins given mix and the release of a reserve, the analyst tells investors in a research note. However, the Q3 revenue guidance is a “bit underwhelming” as the ramp on new projects in the Space Systems business is taking more time than originally expected, says the firm.