Business
Rocket Lab: Innovative Company, But Very Expensive Stock (NASDAQ:RKLB)
My name is David B McMillan and I am an investor interested in fundamental valuation. My philosophy is fundamental investing – I seek to identify underpriced securities relative to their potential future cash flows. I also use tactical allocation, investing more aggressively when equity prices are lower, and more conservatively when they are higher. I have a BS in Physics and BA in Philosophy from UCSB, and am currently a CFA Level 2 candidate. I am mostly interested in covering stocks in the aerospace and defense sector, but I am also interested in retail and tech companies. I have a 12 year investing track record, with documented investments in AI, tech, and crypto themes before they were widely understood – NVDA in 2017, 8000 percent gain; PLTR at IPO, 1870 percent gain; AMD in 2017, 3700 percent gain; TSLA in 2016, 3400 percent gain. Had all of Mag 7 in my portfolio by 2018, before those stocks were called the Mag 7. My current demo portfolio, started in April 2025 with about $8k of my my own capital, is so far achieving a Sharpe ratio of 3.49 compared to IVV of 2.42 in the same time period. My average time-weighted return is 0.30 percent per day vs IVV at 0.14 percent per day.
Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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