Rocket Companies (NYSE:RKT) Trading 10.9% Higher – Here’s Why

Rocket Companies, Inc. (NYSE:RKT)’s share price was up 10.9% during trading on Monday . The stock traded as high as $14.35 and last traded at $14.4980. Approximately 3,928,225 shares traded hands during mid-day trading, a decline of 86% from the average daily volume of 27,529,617 shares. The stock had previously closed at $13.07.

Analyst Ratings Changes

Several equities research analysts have commented on RKT shares. Royal Bank Of Canada reiterated a “sector perform” rating and issued a $20.00 price target on shares of Rocket Companies in a research report on Monday, May 11th. Wells Fargo & Company dropped their price target on shares of Rocket Companies from $19.00 to $17.00 and set an “equal weight” rating on the stock in a research report on Thursday, April 9th. Citizens Jmp began coverage on Rocket Companies in a report on Wednesday, March 25th. They issued a “market perform” rating on the stock. BTIG Research reaffirmed a “neutral” rating on shares of Rocket Companies in a report on Tuesday. Finally, Weiss Ratings raised Rocket Companies from a “sell (d)” rating to a “hold (c)” rating in a report on Wednesday, May 13th. Eight analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $20.93.

Rocket Companies Trading Down 5.4%

The company has a fifty day simple moving average of $14.39 and a 200-day simple moving average of $17.01. The company has a current ratio of 4.37, a quick ratio of 4.37 and a debt-to-equity ratio of 1.13. The stock has a market cap of $37.27 billion, a price-to-earnings ratio of 263.48 and a beta of 2.19.

Rocket Companies (NYSE:RKT) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.12 by $0.03. The firm had revenue of $2.82 billion for the quarter, compared to the consensus estimate of $2.76 billion. Rocket Companies had a return on equity of 4.30% and a net margin of 2.78%.The business’s revenue for the quarter was up 167.1% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.04 EPS. On average, research analysts forecast that Rocket Companies, Inc. will post 0.65 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Rocket Companies

Several hedge funds have recently bought and sold shares of RKT. Vanguard Group Inc. grew its position in shares of Rocket Companies by 29.5% in the third quarter. Vanguard Group Inc. now owns 22,945,500 shares of the company’s stock valued at $444,684,000 after purchasing an additional 5,226,931 shares during the last quarter. Vaughan Nelson Investment Management L.P. acquired a new stake in Rocket Companies in the 4th quarter valued at approximately $40,455,000. Baker Chad R acquired a new stake in Rocket Companies in the 4th quarter valued at approximately $1,926,000. Hudson Bay Capital Management LP bought a new position in Rocket Companies in the 3rd quarter worth approximately $13,728,000. Finally, Prescott Group Capital Management L.L.C. bought a new position in Rocket Companies in the 4th quarter worth approximately $4,259,000. 4.59% of the stock is owned by institutional investors and hedge funds.

About Rocket Companies

Rocket Companies, Inc is a Detroit-based holding company whose businesses are centered on digital mortgage origination and related consumer finance and real estate services. The company grew out of the Quicken Loans franchise and completed an initial public offering in 2020. Founder Dan Gilbert remains a prominent figure associated with the firm, which operates a suite of brands that aim to simplify the home financing and buying experience through technology and scale.

The company’s core activity is mortgage lending through its Rocket Mortgage platform, which offers online application, underwriting and servicing for home purchase and refinance loans.