15 Small-Cap Manufacturing Stocks Hedge Funds Are Buying

9. Rocket Lab USA Inc. (NASDAQ:RKLB)

Market Capitalization as of April 25: $10.15 billion

Number of Hedge Fund Holders: 37

Rocket Lab USA Inc. (NASDAQ:RKLB) offers space systems solutions internationally. It provides launch services, spacecraft design services, spacecraft components, spacecraft manufacturing, and other spacecraft and on-orbit management solutions. It also designs and manufactures small and medium-class rockets.

In March, Rocket Lab was included in the Phase 3, Lane 1 of the National Security Space Launch program by the US Space Force. Rocket Lab could win $5.6 billion worth of contracts from Space Force. This inclusion shows the company’s ability to launch the kind of spacecraft that the government plans to launch over the next 5 years. Under such reasons, Wells Fargo reiterated an Equal Weight on the stock on April 8, while lowering the $21 price target to $18.

In Q4 2024, the company’s Space Systems segment delivered $90 million in revenue, which was up ~7% sequentially. For full 2024, the Space Systems segment made $310.8 million in revenue, which was up 80% year-over-year. Rocket Lab USA, Inc. (NASDAQ:RKLB) has many spacecraft in different stages of production, with expectations to have over quadruple the number of its spacecraft in orbit or having completed missions by the end of summer 2025.