Rocket Lab won its largest launch agreement yet. The DOD is paying them $190M for 20 suborbital hypersonic test launches over the next four years. Kratos Defense is the prime contractor on the broader $1.45B project. The main takeaway for the stock is the pricing power. They are getting about $9.5M per launch on this deal. For context, they were charging $7.5M in 2023 and $8.4M earlier this year. Their launch division gross margins recently passed 40%, and this higher price tag should expand that further. Analysts are currently projecting unprofitability until next year, but the improved margins could beat expectations.