Rocket Lab (RKLB -3.37%), a developer of reusable orbital rockets, went public through a merger with a special-purpose acquisition company (SPAC) on Aug. 25, 2021. It started trading at $11.58 per share, and closed at a record high of $150.23 on May 27, 2026.

But as of this writing, it trades at about $80. Let’s see what caused that near-50% decline, and what history suggests could happen after its stock finally bottoms out.

Image source: Getty Images.

How fast is Rocket Lab growing?

Rocket Lab generates most of its revenue from its Electron orbital rocket, which it has successfully launched 92 times to deploy more than 263 satellites. Its major customers include NASA, the U.S. Space Force, and the Swedish National Space Agency.

The…