Rocket Companies (NYSE:RKT) Shares Gap Up on Analyst Upgrade

Rocket Companies, Inc. (NYSE:RKT) gapped up before the market opened on Monday after Keefe, Bruyette & Woods upgraded the stock from a market perform rating to an outperform rating. The stock had previously closed at $14.14, but opened at $14.99. Keefe, Bruyette & Woods now has a $22.00 price target on the stock, up from their previous price target of $20.00. Rocket Companies shares last traded at $15.07, with a volume of 4,110,885 shares.

A number of other analysts also recently weighed in on the company. Compass Point assumed coverage on Rocket Companies in a report on Tuesday, March 10th. They set a “buy” rating and a $21.00 price target for the company. Barclays set a $22.00 price objective on Rocket Companies and gave the company an “equal weight” rating in a research note on Tuesday, January 6th. Wells Fargo & Company raised their target price on Rocket Companies from $17.00 to $19.00 and gave the stock an “equal weight” rating in a research note on Friday, February 27th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Rocket Companies in a report on Monday, December 29th. Finally, JPMorgan Chase & Co. initiated coverage on Rocket Companies in a research note on Monday, January 12th. They issued a “neutral” rating and a $24.00 price target on the stock. Seven analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Rocket Companies presently has a consensus rating of “Hold” and a consensus price target of $20.80.

Insiders Place Their Bets

In other news, Director Matthew Rizik sold 2,500 shares of the company’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $22.99, for a total transaction of $57,475.00. Following the transaction, the director owned 1,038,536 shares in the company, valued at approximately $23,875,942.64. This represents a 0.24% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders have sold 22,500 shares of company stock valued at $453,775 over the last ninety days. Insiders own 92.64% of the company’s stock.

Institutional Trading of Rocket Companies

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. World Investment Advisors acquired a new stake in Rocket Companies in the fourth quarter valued at approximately $526,000. Corient Private Wealth LLC increased its holdings in shares of Rocket Companies by 66.7% during the fourth quarter. Corient Private Wealth LLC now owns 107,493 shares of the company’s stock valued at $2,042,000 after acquiring an additional 43,022 shares in the last quarter. EMC Capital Management acquired a new position in shares of Rocket Companies during the fourth quarter worth approximately $774,000. Hsbc Holdings PLC raised its position in shares of Rocket Companies by 2,876.6% during the fourth quarter. Hsbc Holdings PLC now owns 1,254,973 shares of the company’s stock worth $24,357,000 after purchasing an additional 1,212,812 shares during the period. Finally, Bank of Hawaii lifted its holdings in shares of Rocket Companies by 101.2% in the 4th quarter. Bank of Hawaii now owns 92,777 shares of the company’s stock worth $1,796,000 after purchasing an additional 46,672 shares in the last quarter. 4.59% of the stock is owned by institutional investors.

Rocket Companies Trading Up 4.3%

The firm’s 50-day moving average is $19.10 and its 200-day moving average is $18.70. The company has a current ratio of 70.90, a quick ratio of 70.90 and a debt-to-equity ratio of 1.07. The firm has a market cap of $31.03 billion, a price-to-earnings ratio of -113.42 and a beta of 2.30.

Rocket Companies (NYSE:RKT) last released its quarterly earnings data on Thursday, February 26th. The company reported $0.11 earnings per share for the quarter, topping the consensus estimate of $0.09 by $0.02. Rocket Companies had a negative net margin of 1.02% and a positive return on equity of 3.04%. The firm had revenue of $2.44 billion for the quarter, compared to the consensus estimate of $2.24 billion. During the same quarter in the prior year, the company posted $0.04 earnings per share. The business’s revenue was up 52.2% on a year-over-year basis. As a group, sell-side analysts anticipate that Rocket Companies, Inc. will post 0.15 EPS for the current fiscal year.

Rocket Companies Company Profile

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.