Astra Space trading 20% lower after Failed Rocket Launch

Astra Space, Inc. (NASDAQ:ASTR) stock opened more than 20% lower today as a result of the failed launch of its LV0006 vehicle. The company attempted to make its first commercial launch on Saturday, however, the rocket was unsuccessful in reaching orbit. It lost one of its five engines immediately after liftoff, hovering sideways as it was not able to amass enough power to go vertical. Eventually, the rocket was able to correct itself for two and a half minutes, but a command of engine shutdown was initiated as the trajectory was too far off course. The rocket reached an altitude of 50km and fell down into the ocean.

The company has opened an investigation and is working closely with the Federal Aviation Administration to understand the reasons for the failure. The company’s founder, chairman, and CEO Chris Kemp mentioned that they have learned a lot from this unsuccessful launch and having enough data now to start a review process and use all these relevant findings for serial 7, which is currently in production and is expected to fly soon.