Rocket Lab USA, Inc.

Rocket Lab USA, Inc. (NASDAQ: RKLB) offers launch services, spacecraft components, satellites and other spacecraft and on-orbit management solutions. It provides end-to-end mission services that provide frequent and reliable access to space for civil, defense, and commercial markets.

Key Highlights

• RKLB reported a 50% (or USD 5.4 million) decrease in revenues to USD 5.3 million in Q3FY21 (ended September 30, 2021) from USD 10.7 million in Q3FY20.
• Its Q3FY21 net loss was USD 88.0 million, compared to USD 12.6 million reported in the previous quarter, owing to higher R&D and selling, general and administrative (SG&A) expenses.
• For Q3FY21, it had a negative ROE of 0.4%, lower than the industry median of 1.2%.
• The stock is currently trading between its crucial short-term (50-day) and long-term (200-day) SMA support levels, and its RSI Index is at an RSI level of 39.25.
• It is leaning towards the lower end of its 52-week range of USD 9.50 to USD 21.34.
• RKLB's stock price fell 38.27% in the past three months.

Technical Price Chart (as of December 09, 2021). Analysis by Kalkine

Conclusion: Considering the lackluster fundamentals, negative operating margins, and other technical indicators, we recommend an "Avoid" rating on the stock at the current price of USD 12.79, down 1.16%, as of December 09, 2021, 11:38 AM ET.

*The reference data in this report has been partly sourced from REFINITIV.

Digital World Acquisition Corp.

Digital World Acquisition Corp. (NASDAQ: DWAC) is a blank check company. It is established to combine one or more firms through merger, capital stock exchange, asset purchase, reorganization, or similar business combinations.

Key Highlights

• DWAC is not engaged in any business and has not generated any revenue to date.
• Its net loss for Q3FY21 and 9MFY21 (ended September 30, 2021) amounted to USD 159,170 and USD 160,395, respectively.
• On December 04, 2021, DWAC and Trump Media & Technology Group Corp. (TMTG) announced the signing of subscription agreements with a diverse group of institutional investors for USD 1.0 billion in committed capital, expected to be received upon consummation of their business combination result in TMTG becoming a publicly listed company.
• The stock is relatively volatile, with a 52-week range of USD 9.84 to USD 175.00.
• It is currently trading above its crucial short-term (50-day), and its RSI Index is at 03.
• DWAC's stock price surged 28.21% in the past week.

Technical Price Chart (as of December 09, 2021). Analysis by Kalkine

Conclusion: Considering the lack of revenues, blank check status, merger announcement with TMTG, and other technical indicators, we recommend an "Avoid" rating on the stock at the current price of USD 6.40, down 7.67%, as of December 09, 2021, 11:52 AM ET.

*The reference data in this report has been partly sourced from REFINITIV.