Rocket Companies (NYSE:RKT) Shares Gap Down After Analyst Downgrade

Shares of Rocket Companies, Inc. (NYSE:RKT) gapped down prior to trading on Wednesday after UBS Group lowered their price target on the stock from $14.00 to $12.50. The stock had previously closed at $15.54, but opened at $13.90. UBS Group currently has a sell rating on the stock. Rocket Companies shares last traded at $13.55, with a volume of 831,558 shares trading hands.

A number of other equities analysts have also issued reports on RKT. Keefe, Bruyette & Woods decreased their price objective on Rocket Companies from $20.00 to $16.00 and set a “market perform” rating for the company in a report on Thursday. Wells Fargo & Company lifted their price objective on shares of Rocket Companies from $13.00 to $15.00 and gave the company an “equal weight” rating in a research note on Friday, August 2nd. Barclays decreased their target price on shares of Rocket Companies from $14.00 to $13.00 and set an “underweight” rating for the company in a research report on Wednesday. Piper Sandler reduced their price target on shares of Rocket Companies from $17.00 to $16.00 and set a “neutral” rating for the company in a research note on Thursday. Finally, Morgan Stanley initiated coverage on shares of Rocket Companies in a research note on Tuesday, November 5th. They set an “equal weight” rating and a $18.00 price objective on the stock. Five analysts have rated the stock with a sell rating and seven have given a hold rating to the company. Based on data from MarketBeat.com, Rocket Companies presently has a consensus rating of “Hold” and an average price target of $15.13.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the company. Swiss National Bank increased its holdings in shares of Rocket Companies by 4.1% in the 1st quarter. Swiss National Bank now owns 237,000 shares of the company’s stock valued at $3,448,000 after purchasing an additional 9,300 shares during the period. Jacobs Levy Equity Management Inc. acquired a new position in Rocket Companies in the 1st quarter valued at approximately $2,698,000. Raymond James & Associates lifted its position in Rocket Companies by 48.7% in the 3rd quarter. Raymond James & Associates now owns 300,612 shares of the company’s stock worth $5,769,000 after buying an additional 98,397 shares in the last quarter. Philip James Wealth Mangement LLC acquired a new stake in Rocket Companies during the third quarter valued at $6,811,000. Finally, Boston Partners lifted its holdings in shares of Rocket Companies by 4.2% during the 1st quarter. Boston Partners now owns 9,382,173 shares of the company’s stock valued at $136,462,000 after buying an additional 381,841 shares during the last quarter. 4.59% of the stock is owned by hedge funds and other institutional investors.

Rocket Companies Price Performance

The company has a market capitalization of $27.17 billion, a P/E ratio of -85.88 and a beta of 2.46. The company’s 50-day simple moving average is $17.78 and its 200 day simple moving average is $16.27. The company has a quick ratio of 13.18, a current ratio of 13.18 and a debt-to-equity ratio of 1.27.

Rocket Companies (NYSE:RKT) last released its earnings results on Tuesday, November 12th. The company reported $0.08 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.08. Rocket Companies had a negative net margin of 0.38% and a positive return on equity of 2.84%. The firm had revenue of $647.00 million during the quarter, compared to analyst estimates of $1.25 billion. During the same quarter in the previous year, the business earned ($0.01) EPS. The business’s revenue was down 46.2% on a year-over-year basis. As a group, sell-side analysts expect that Rocket Companies, Inc. will post 0.22 earnings per share for the current fiscal year.

About Rocket Companies

Rocket Companies, Inc, a fintech holding company, provides mortgage lending, title and settlement services, and other financial technology services in the United States and Canada. It operates through two segments, Direct to Consumer and Partner Network. The company’s solutions include Rocket Mortgage, a mortgage lender; Amrock that provides title insurance, property valuation, and settlement services; Rocket Homes, a home search platform and real estate agent referral network, which offers technology-enabled services to support the home buying and selling experience; and Rocket Loans, an online-based personal loans business.