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Rocket Lab vs. BlackSky: Which Space Tech Stock Is the Smarter Player?
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Key Takeaways
RKLB targets over 20 launches in 2025, backed by a 100% Electron mission success rate year to date.
BKSY secured a $24M NGA contract and plans a constellation upgrade to boost real-time monitoring.
RKLB rose 652.9% in a year; BKSY is up 158.9% in 3 months but has a weaker ROE.
As investors increasingly focus on the commercialization of space and national security needs, the demand for space technology stocks like Rocket Lab Corp. (RKLB - Free Report) and BlackSky Technology (BKSY - Free Report) is rising, further fueled by the growing demand for real-time data and satellite infrastructure. RKLB and BKSY represent two distinct, yet complementary, facets of the space economy.
Rocket Lab operates as a launch service provider and space system manufacturer, specializing in small satellite launches through its Electron rocket. In contrast, BlackSky operates in geospatial intelligence, collecting and delivering high-frequency, real-time satellite imagery and analytics to clients, including government agencies and commercial entities.
In recent times, heightened investor interest has been observed for these stocks amid rising global defense spending, increased demand for commercial Earth observation data, and the recent momentum in the private space sector post-SpaceX success. Additionally, intensifying geopolitical tensions and climate-related monitoring needs have strengthened the investment case for real-time satellite analytics and launch resilience.
Against this backdrop, an investor seeking a profitable space tech stock may find it challenging to choose between RKLB and BKSY solely based on their business models. Let’s dig deeper to see which stock emerges as the smarter player in the evolving space tech landscape.
Key Takeaways for RKLB
Recent Achievements: Among RKLB’s more recent achievements, worth mentioning is the successful launch of its 67th Electron rocket for HawkEye 360, a radio frequency geospatial analytics provider, in June 2025. As Electron continues to post record launch volumes, Rocket Lab aims for more than 20 launches this year. This optimistic guidance reflects growing commercial confidence in RKLB’s launch services, which, combined with Electron’s 100% mission success rate year to date, should inspire more clients to choose RKLB as their preferred launch service provider. This, in turn, should boost Rocket Lab’s launch cadence and bolster its future revenue stream.
Financial Stability: Rocket Lab ended the first quarter with a cash and cash equivalent of $428 million. Its current debt was $20 million, while its long-term debt totaled $419 million. So, we may safely conclude that the company holds a moderate solvency position, which should enable it to continue investing in innovative space technologies to support the manufacturing of components, sub-systems, and assemblies across the full range of its launch vehicles and spacecraft family.
Challenges to Note: A key risk to investing in Rocket Lab lies in its high operating expenses, caused by investments in innovations like the Neutron launch vehicle, Electron’s first-stage recovery, advanced spacecraft capabilities and an expanded portfolio of components. These expenses often offset revenue gains, leading to losses, as evident from its recent quarterly reports.
Moreover, the space industry is highly capital-intensive and subject to long development cycles, with uncertain timelines for launch vehicle readiness (such as the upcoming Neutron rocket), which might delay revenue streams and dampen investor sentiment for the stock.
Key Takeaways for BKSY
Recent Achievements: Among BlackSky’s most recent achievements, worth mentioning is the $24 million, four-year contract it secured from the National Geospatial-Intelligence Agency to provide AI-powered global monitoring of military and economic sites, earlier this week. Last month, the company signed Gen-3 early access agreements with multiple international defense sector customers for providing real-time, space-based monitoring capabilities. These contracts should duly boost BKSY’s top-line performance in the next few years.
Moreover, in mid-June, the company revealed its plans to expand its current high-frequency monitoring constellation with multispectral, large-area collection satellites, with their launches expected in 2027. Such innovations, once available in the market, should fetch more revenues for BKSY in the coming years.
Financial Stability: BlackSky ended fiscal 2025 with cash and cash equivalents of $77 million. Its current debt, as of March 31, 2025, was $4 million, while its long-term debt was $112 million. So, we may safely conclude that the company holds a solid solvency position in the near term, which should enable it to continue investing in the development of innovative space-based intelligence products. It is currently focusing on expanding its satellite constellation and enhancing its analytics platform, including work on a high-resolution optical satellite in collaboration with Thales Alenia Space for India’s defense contractor, Nibe Ltd.
Challenges to Note: BlackSky faces intense competition in the crowded satellite imaging sector, where rivals like Planet Labs and Maxar dominate with larger constellations, lower pricing and established government contracts. The rise of AI-driven analytics startups and SpaceX’s Starlink-backed imaging ventures further escalates pressure on BKSY to differentiate its real-time intelligence offerings.
Moreover, despite achieving strong revenue growth, the company is unable to deliver strong bottom-line performance, which might be a cause of concern for its investors. Evidently, though BKSY’s first-quarter 2025 revenues grew 22% year over year, the company registered a loss of $12.8 million. Since investment in space-based technologies is highly capital intensive, BKSY incurs huge operating expenses in the form of high research and development costs as well as professional and engineering services costs, in addition to high interest expenses due to its huge long-term debt load. This trend is unlikely to reverse soon, thereby continuing to put a downward pressure on BKSY’s bottom line in the near future. To this end, analysts polled by S&P Global Market Intelligence don't expect BlackSky to earn its first profit before 2028 (as per an article published by The Motley Fool in June 2025).
How Do Zacks Estimates Compare for RKLB & BKSY?
The Zacks Consensus Estimate for Rocket Lab’s 2025 sales suggests a surge of 32.8% from the year-ago quarter’s reported figure, while that for its loss per share also implies a solid improvement. The company’s near-term bottom-line estimates reflect mixed movement over the past 60 days.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for BlackSky’s 2025 sales implies year-over-year growth of 28.5%, while that for its loss also suggests a solid improvement. The stock’s annual bottom-line estimates have moved north over the past 60 days.
Image Source: Zacks Investment Research
Stock Price Performance: RKLB vs BKSY
RKLB (up 94.1%) has underperformed BKSY (up 158.9%) over the past three months. However, over the past year, RKLB surpassed BKSY. Shares of RKLB and BKSY have surged 652.9% and 139.2%, respectively, in a year.
Image Source: Zacks Investment Research
Valuation of BKSY More Attractive Than That of RKLB
BKSY is trading at a forward sales of 4.32X, below RKLB’s 22.96X.
Image Source: Zacks Investment Research
ROE: RKLB vs BKSY
The image below, reflecting a negative Return on Equity (ROE) for both RKLB and BKSY, suggests that neither space company is generating profits from its equity base very efficiently.
Image Source: Zacks Investment Research
Leverage: RKLB vs BKSY
The image below reflects that BKSY is more leveraged than RKLB, considering its high debt-to-capital ratio.
Image Source: Zacks Investment Research
Final Call
To conclude, both RKLB and BKSY are positioned to benefit from rising demand in the space tech sector.
However, based on recent achievements and key metrics, RKLB stands out as the more financially sound stock compared to BKSY for long-term investors. Despite its premium valuation, RKLB’s consistent launch cadence and low leverage should appeal to most investors. In contrast, BKSY’s higher leverage and a delayed path to profitability diminish its near-term investment appeal.
Therefore, for investors seeking a balanced risk-reward in space tech, RKLB is the preferred choice. However, those who already own BKSY may continue to do so, considering its recent share price outperformance on the bourses and upward movement in its annual earnings estimates, which reflect increased investor and analyst confidence in this stock.
Image: Bigstock
Rocket Lab vs. BlackSky: Which Space Tech Stock Is the Smarter Player?
Key Takeaways
As investors increasingly focus on the commercialization of space and national security needs, the demand for space technology stocks like Rocket Lab Corp. (RKLB - Free Report) and BlackSky Technology (BKSY - Free Report) is rising, further fueled by the growing demand for real-time data and satellite infrastructure. RKLB and BKSY represent two distinct, yet complementary, facets of the space economy.
Rocket Lab operates as a launch service provider and space system manufacturer, specializing in small satellite launches through its Electron rocket. In contrast, BlackSky operates in geospatial intelligence, collecting and delivering high-frequency, real-time satellite imagery and analytics to clients, including government agencies and commercial entities.
In recent times, heightened investor interest has been observed for these stocks amid rising global defense spending, increased demand for commercial Earth observation data, and the recent momentum in the private space sector post-SpaceX success. Additionally, intensifying geopolitical tensions and climate-related monitoring needs have strengthened the investment case for real-time satellite analytics and launch resilience.
Against this backdrop, an investor seeking a profitable space tech stock may find it challenging to choose between RKLB and BKSY solely based on their business models. Let’s dig deeper to see which stock emerges as the smarter player in the evolving space tech landscape.
Key Takeaways for RKLB
Recent Achievements: Among RKLB’s more recent achievements, worth mentioning is the successful launch of its 67th Electron rocket for HawkEye 360, a radio frequency geospatial analytics provider, in June 2025. As Electron continues to post record launch volumes, Rocket Lab aims for more than 20 launches this year. This optimistic guidance reflects growing commercial confidence in RKLB’s launch services, which, combined with Electron’s 100% mission success rate year to date, should inspire more clients to choose RKLB as their preferred launch service provider. This, in turn, should boost Rocket Lab’s launch cadence and bolster its future revenue stream.
Financial Stability: Rocket Lab ended the first quarter with a cash and cash equivalent of $428 million. Its current debt was $20 million, while its long-term debt totaled $419 million. So, we may safely conclude that the company holds a moderate solvency position, which should enable it to continue investing in innovative space technologies to support the manufacturing of components, sub-systems, and assemblies across the full range of its launch vehicles and spacecraft family.
Challenges to Note: A key risk to investing in Rocket Lab lies in its high operating expenses, caused by investments in innovations like the Neutron launch vehicle, Electron’s first-stage recovery, advanced spacecraft capabilities and an expanded portfolio of components. These expenses often offset revenue gains, leading to losses, as evident from its recent quarterly reports.
Moreover, the space industry is highly capital-intensive and subject to long development cycles, with uncertain timelines for launch vehicle readiness (such as the upcoming Neutron rocket), which might delay revenue streams and dampen investor sentiment for the stock.
Key Takeaways for BKSY
Recent Achievements: Among BlackSky’s most recent achievements, worth mentioning is the $24 million, four-year contract it secured from the National Geospatial-Intelligence Agency to provide AI-powered global monitoring of military and economic sites, earlier this week. Last month, the company signed Gen-3 early access agreements with multiple international defense sector customers for providing real-time, space-based monitoring capabilities. These contracts should duly boost BKSY’s top-line performance in the next few years.
Moreover, in mid-June, the company revealed its plans to expand its current high-frequency monitoring constellation with multispectral, large-area collection satellites, with their launches expected in 2027. Such innovations, once available in the market, should fetch more revenues for BKSY in the coming years.
Financial Stability: BlackSky ended fiscal 2025 with cash and cash equivalents of $77 million. Its current debt, as of March 31, 2025, was $4 million, while its long-term debt was $112 million. So, we may safely conclude that the company holds a solid solvency position in the near term, which should enable it to continue investing in the development of innovative space-based intelligence products. It is currently focusing on expanding its satellite constellation and enhancing its analytics platform, including work on a high-resolution optical satellite in collaboration with Thales Alenia Space for India’s defense contractor, Nibe Ltd.
Challenges to Note: BlackSky faces intense competition in the crowded satellite imaging sector, where rivals like Planet Labs and Maxar dominate with larger constellations, lower pricing and established government contracts. The rise of AI-driven analytics startups and SpaceX’s Starlink-backed imaging ventures further escalates pressure on BKSY to differentiate its real-time intelligence offerings.
Moreover, despite achieving strong revenue growth, the company is unable to deliver strong bottom-line performance, which might be a cause of concern for its investors. Evidently, though BKSY’s first-quarter 2025 revenues grew 22% year over year, the company registered a loss of $12.8 million. Since investment in space-based technologies is highly capital intensive, BKSY incurs huge operating expenses in the form of high research and development costs as well as professional and engineering services costs, in addition to high interest expenses due to its huge long-term debt load.
This trend is unlikely to reverse soon, thereby continuing to put a downward pressure on BKSY’s bottom line in the near future. To this end, analysts polled by S&P Global Market Intelligence don't expect BlackSky to earn its first profit before 2028 (as per an article published by The Motley Fool in June 2025).
How Do Zacks Estimates Compare for RKLB & BKSY?
The Zacks Consensus Estimate for Rocket Lab’s 2025 sales suggests a surge of 32.8% from the year-ago quarter’s reported figure, while that for its loss per share also implies a solid improvement. The company’s near-term bottom-line estimates reflect mixed movement over the past 60 days.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for BlackSky’s 2025 sales implies year-over-year growth of 28.5%, while that for its loss also suggests a solid improvement. The stock’s annual bottom-line estimates have moved north over the past 60 days.
Image Source: Zacks Investment Research
Stock Price Performance: RKLB vs BKSY
RKLB (up 94.1%) has underperformed BKSY (up 158.9%) over the past three months. However, over the past year, RKLB surpassed BKSY. Shares of RKLB and BKSY have surged 652.9% and 139.2%, respectively, in a year.
Image Source: Zacks Investment Research
Valuation of BKSY More Attractive Than That of RKLB
BKSY is trading at a forward sales of 4.32X, below RKLB’s 22.96X.
Image Source: Zacks Investment Research
ROE: RKLB vs BKSY
The image below, reflecting a negative Return on Equity (ROE) for both RKLB and BKSY, suggests that neither space company is generating profits from its equity base very efficiently.
Image Source: Zacks Investment Research
Leverage: RKLB vs BKSY
The image below reflects that BKSY is more leveraged than RKLB, considering its high debt-to-capital ratio.
Image Source: Zacks Investment Research
Final Call
To conclude, both RKLB and BKSY are positioned to benefit from rising demand in the space tech sector.
However, based on recent achievements and key metrics, RKLB stands out as the more financially sound stock compared to BKSY for long-term investors.
Despite its premium valuation, RKLB’s consistent launch cadence and low leverage should appeal to most investors. In contrast, BKSY’s higher leverage and a delayed path to profitability diminish its near-term investment appeal.
Therefore, for investors seeking a balanced risk-reward in space tech, RKLB is the preferred choice. However, those who already own BKSY may continue to do so, considering its recent share price outperformance on the bourses and upward movement in its annual earnings estimates, which reflect increased investor and analyst confidence in this stock.
Both RKLB and BKSY carry a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.