Rocket Lab Corporation (NASDAQ:RKLB) is trading higher after Keybanc analyst Michael Leshock upgraded its rating from Sector Weight to Overweight and set a $135 price forecast.

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The analyst highlighted a constructive setup for the space sector following SPCX IPO-related volatility, noting that NASA activity is accelerating at levels last seen during the Apollo era.

KeyBanc continues to prefer well-capitalized space companies with differentiated growth drivers linked to NASA programs, national security, and broader space ecosystem expansion.

For Rocket Lab, the analyst sees it as a leading challenger in the sector with strong long-term growth potential.

The company has completed ~90 successful Electron launches, while its Neutron rocket remains on track for its debut after resolving prior testing issues and advancing key development milestones.

Rocket Lab's backlog exceeds $2.2 billion, providing strong near-term visibility, with potential upside from additional wins such as the Mars Telecommunications Orbiter contract, adds the analyst.

The analyst says that the company also continues to deepen vertical integration, controlling more than 95% of its satellite bus and over 90% of its Electron launch system.

With a strong balance sheet, limited near-term financing needs, and upcoming inclusion in the Nasdaq-100 on June 22, 2026, Rocket Lab is positioned for sustained execution and long-term growth optionality, adds the analyst.

The SpaceX Effect

The rally in Rocket Lab came as the company's move is directly tied to SpaceX's historic Nasdaq debut on Friday.

Apart from this, the company disclosed that it is joining the Nasdaq-100 Index on Friday.

This milestone, effective prior to market open on June 22, 2026, marks a significant achievement for Rocket Lab.

It will be positioned among the 100 largest non-financial companies listed on the Nasdaq Stock Market.

Notably, the company has completed over 80 successful launches and is recognized for its innovative launch services and spacecraft systems.

RKLB Price Action: Rocket Lab shares were up 6.91% at $109.47 at the time of publication on Monday, according to Benzinga Pro data.

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