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Rocket LabRKLB +0.46%71 Cash Ratio is 3.44 as of Mar. 2026, which is 66% above its 10-year median of 2.07. GuruFocus rates RKLB with a GF Score™ of 71/100 and a GF Value™ of $27.50 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 356 Aerospace & Defense companies, Rocket Lab ranks better than 89.04% on this metric.
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Rocket Lab Cash Ratio Related Terms
Rocket Lab Cash Ratio Historical Data
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The historical data trend for Rocket Lab's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Aerospace & Defense subindustry, Rocket Lab's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Rocket Lab Cash Ratio vs Aerospace & Defense Industry
For the Aerospace & Defense industry and Industrials sector, Rocket Lab's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Rocket Lab's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Rocket Lab (RKLB) has a Cash Ratio of 3.44 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Rocket Lab and its competitors. This is 66% above median its historical median of 2.07. Over the past decade, Rocket Lab's Cash Ratio has ranged from 0.95 to 10.33. According to the industry distribution chart, Rocket Lab ranks #39 out of 356 companies in the Aerospace & Defense industry, placing it in the top 11%.
Is Rocket Lab's Cash Ratio too high?
Rocket Lab's current Cash Ratio of 3.44 is 66% above median its 10-year median of 2.07. Over the past 10 years, this metric has ranged from a low of 0.95 to a high of 10.33. The Aerospace & Defense industry median Cash Ratio is 0.45. Rocket Lab's value of 3.44 is 664.4% above this industry median. Based on the distribution chart, Rocket Lab ranks #39 out of 356 companies in the Aerospace & Defense industry, which is in the top quartile — a strong position relative to peers. Overall, Rocket Lab has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rocket Lab's Cash Ratio compare to AXON and HEI.A?
According to the Aerospace & Defense industry distribution chart, Rocket Lab ranks #39 out of 356 companies for Cash Ratio. This places Rocket Lab in the top 11% of its industry — outperforming the majority of peers. The industry median Cash Ratio is 0.45. Rocket Lab's value of 3.44 is 664.4% above this benchmark. Historically, Rocket Lab's own Cash Ratio has ranged from 0.95 to 10.33 over the past decade. While the company's 10-year median is 2.07 vs. the industry median of 0.45, Rocket Lab has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for an Aerospace & Defense company?
The median Cash Ratio among Aerospace & Defense companies is 0.45, based on 356 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Rocket Lab's current Cash Ratio of 3.44 is 664.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Rocket Lab and its competitors. For the Aerospace & Defense industry, the median Cash Ratio is 0.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rocket Lab's current Cash Ratio is 3.44, which is 66% above median its own 10-year median of 2.07. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rocket Lab stock overvalued right now?
Based on GuruFocus' analysis, Rocket Lab (RKLB) is currently considered Significantly Overvalued. The stock's GF Value™ is $27.50, compared to a current price of $74.82 — trading 172.1% above its estimated fair value. The current Cash Ratio is 3.44, which is 66% above median its 10-year median of 2.07 and 664.4% above the Aerospace & Defense industry median of 0.45. Rocket Lab's overall GF Score™ is 71/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Rocket Lab (RKLB), the current Cash Ratio is 3.44 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Rocket Lab (RKLB) Overvalued in 2026?
Based on GuruFocus' analysis, Rocket Lab stock appears to be overvalued.
The current stock price of $74.82 is trading 172.1% above its estimated GF Value™ of $27.50.
GuruFocus considers Rocket Lab to be Significantly Overvalued.
Key valuation signals for RKLB:
Cash Ratio: 3.44 (66% above median its 10-year median of 2.07)
GF Value™: $27.50 vs. price of $74.82 (172.1% above fair value)
Industry Position: 664.4% above the Aerospace & Defense median (#39 of 356)
No single metric tells the full story. See the RKLB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rocket Lab Corp is engaged in space, building rockets, and spacecraft. It provides end-to-end mission services that provide frequent and reliable access to space for civil, defense, and commercial markets. It designs and manufactures the Electron and Neutron launch vehicles and Photon satellite platform. Rocket Lab's Electron launch vehicle has delivered multiple satellites to orbit for private and public sector organizations, enabling operations in national security, scientific research, space debris mitigation, Earth observation, climate monitoring, and communications. The business operates in two segments Launch Services and Space Systems. Geographically it serves Japan, and rest of the world and earns key revenue from the United States.
71GF Score
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