Royal Bank of Canada Purchases 409,653 Shares of Rocket Companies, Inc. $RKT

Royal Bank of Canada increased its position in shares of Rocket Companies, Inc. (NYSE:RKT) by 34.2% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 1,606,227 shares of the company’s stock after acquiring an additional 409,653 shares during the period. Royal Bank of Canada owned about 0.06% of Rocket Companies worth $22,889,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also bought and sold shares of RKT. Vanguard Group Inc. raised its position in shares of Rocket Companies by 280.3% during the fourth quarter. Vanguard Group Inc. now owns 87,256,540 shares of the company’s stock worth $1,689,287,000 after acquiring an additional 64,311,040 shares during the last quarter. ValueAct Holdings L.P. lifted its stake in shares of Rocket Companies by 55.1% in the fourth quarter. ValueAct Holdings L.P. now owns 39,380,652 shares of the company’s stock worth $762,409,000 after acquiring an additional 13,985,025 shares during the period. Nuveen LLC boosted its holdings in Rocket Companies by 5.5% in the fourth quarter. Nuveen LLC now owns 32,538,137 shares of the company’s stock valued at $629,938,000 after acquiring an additional 1,706,659 shares during the last quarter. Morgan Stanley boosted its holdings in Rocket Companies by 461.2% in the fourth quarter. Morgan Stanley now owns 27,009,279 shares of the company’s stock valued at $522,900,000 after acquiring an additional 22,196,782 shares during the last quarter. Finally, Price T Rowe Associates Inc. MD increased its position in Rocket Companies by 11,636.8% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 26,189,869 shares of the company’s stock valued at $507,037,000 after purchasing an additional 25,966,725 shares during the period. Institutional investors and hedge funds own 4.59% of the company’s stock.

Rocket Companies Stock Performance

RKT opened at $13.87 on Thursday. Rocket Companies, Inc. has a 1-year low of $12.17 and a 1-year high of $24.36. The company has a market cap of $39.23 billion, a price-to-earnings ratio of 277.30 and a beta of 2.19. The company’s fifty day moving average price is $14.04 and its two-hundred day moving average price is $15.55. The company has a current ratio of 4.37, a quick ratio of 4.37 and a debt-to-equity ratio of 1.13.

Rocket Companies (NYSE:RKT) last released its quarterly earnings results on Thursday, May 7th. The company reported $0.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.12 by $0.03. Rocket Companies had a return on equity of 4.30% and a net margin of 2.78%.The business had revenue of $2.82 billion during the quarter, compared to the consensus estimate of $2.76 billion. During the same quarter in the previous year, the business earned $0.04 EPS. The company’s quarterly revenue was up 167.1% on a year-over-year basis. On average, analysts expect that Rocket Companies, Inc. will post 0.54 EPS for the current fiscal year.

Analysts Set New Price Targets

RKT has been the subject of a number of analyst reports. Royal Bank Of Canada reissued a “sector perform” rating and set a $20.00 target price on shares of Rocket Companies in a research note on Monday, May 11th. Weiss Ratings raised Rocket Companies from a “sell (d)” rating to a “hold (c)” rating in a research report on Wednesday, May 13th. BTIG Research reissued a “neutral” rating on shares of Rocket Companies in a research note on Tuesday, June 16th. Stephens began coverage on Rocket Companies in a research note on Thursday, April 23rd. They issued an “overweight” rating and a $22.50 price objective on the stock. Finally, Zacks Research upgraded Rocket Companies from a “strong sell” rating to a “hold” rating in a research report on Tuesday, May 12th. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat, Rocket Companies currently has an average rating of “Moderate Buy” and a consensus price target of $20.73.

Rocket Companies News Roundup

Here are the key news stories impacting Rocket Companies this week:

• Positive Sentiment: Rocket Companies saw unusually strong call-option activity, with investors purchasing 72,848 calls—49% above average volume. This may indicate speculative bullish positioning ahead of earnings, although options activity is not a guarantee of future performance.
• Positive Sentiment: Affordability for U.S. starter homes improved for the eighth consecutive month, while the income needed to purchase a typical starter home declined 1.5% year over year. Improving entry-level affordability could support housing demand and mortgage origination activity for Rocket. Redfin Reports Affordability For U.S. Starter Homes Improves Slightly Faster Than Overall Market
• Neutral Sentiment: Rocket is scheduled to report second-quarter results tomorrow. Investors are likely focused on revenue, mortgage production, gain-on-sale margins, and management’s outlook, making the report a near-term catalyst for the stock. Earnings to watch: Rocket Companies reports Q2 results tomorrow
• Neutral Sentiment: Wall Street’s preview of Rocket’s second-quarter results is highlighting operating metrics beyond headline revenue and earnings estimates. The analysis reinforces that the market will scrutinize the quality and sustainability of the quarter’s performance. Wall Street’s Insights Into Key Metrics Ahead of Rocket Companies Q2 Earnings
• Neutral Sentiment: RBC Capital maintained a Hold rating on Rocket Companies, signaling neither a strong bullish nor bearish view and potentially limiting positive analyst-driven momentum. RBC Capital Sticks to Their Hold Rating for Rocket Companies
• Negative Sentiment: Affordability for a typical U.S. home remains strained: required income is near a record $110,000 and approximately $22,000 above median household income. Persistent affordability challenges could weigh on overall home transactions and mortgage demand, despite improvement among starter-home buyers. The Income Needed to Afford Typical American Home Holds Steady Near Record High

Rocket Companies 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.