Why is Rocket Lab stock rallying today? By Investing.com

Rocket Lab Corp shares were up 6.8% in morning trading, building on momentum after the company announced its biggest-ever commercial Electron launch contract: a 20-mission agreement with Tokyo-based Earth observation firm Synspective. That deal lifts Rocket Lab’s total launch backlog above 100 missions for the first time and is expected to provide multi-year revenue visibility through 2031. Citi also started coverage with a Buy rating and a $105 price target. The rally is supported by regulatory approval for Rocket Lab’s acquisition of Mynaric AG, which strengthens its space systems portfolio. Investors also reacted to CEO Sir Peter Beck’s voluntary reduction of his compensation by nearly $800,000 after a record year. ARK Invest added more than 233,000 RKLB shares, while latest results showed revenue of $234 million (+62% year over year) and a record backlog of $2.36 billion.