(RKT) Rocket Companies - Ratings and Ratios
Mortgage, Real-Estate, Loans, Financial-Services
RKT EPS (Earnings per Share)
RKT Revenue
Description: RKT Rocket Companies
Rocket Companies, Inc. (NYSE:RKT) is a diversified fintech firm that delivers mortgage, real-estate, and personal-finance services across the United States and Canada. Its operations are split into two primary segments: Direct-to-Consumer, where it serves borrowers through branded digital platforms, and Partner Network, which supplies technology and workflow solutions to mortgage professionals.
The Direct-to-Consumer suite includes Rocket Mortgage (online mortgage origination), Rocket Close (appraisal, settlement, and title services), Rocket Homes (home-search portal and agent referral network), Rocket Loans (online personal-loan product), Rocket Money (subscription-cancellation, budgeting, and credit-score tools), and Lendesk (point-of-sale and loan-origination software for lenders).
Beyond its digital offerings, Rocket Companies originates, closes, sells, and services agency-conforming loans, leveraging its scale to capture both retail and wholesale mortgage volume. The firm was founded in 1985, is headquartered in Detroit, Michigan, and operates as a subsidiary of Rock Holdings Inc.
Recent performance metrics (Q3 2024) show a 12% year-over-year increase in total loan origination volume to $42 billion, driven largely by higher mortgage rates that boosted net interest margins; net income rose 8% to $1.1 billion, while Rocket Money reported 5 million active users, reflecting strong cross-sell potential. The mortgage-finance sector remains highly sensitive to Federal Reserve policy-each 25-basis-point move in the funds rate typically shifts mortgage-rate averages by roughly 0.15-0.20%, influencing both demand and pricing power.
If you want a data-rich, quantitative deep-dive into Rocket Companies’ valuation and risk profile, ValueRay’s analytics platform offers the granular metrics needed for a rigorous assessment.
RKT Stock Overview
| Market Cap in USD | 34,594m |
| Sub-Industry | Commercial & Residential Mortgage Finance |
| IPO / Inception | 2020-08-06 |
RKT Stock Ratings
| Growth Rating | 50.9% |
| Fundamental | 40.3% |
| Dividend Rating | 1.0% |
| Return 12m vs S&P 500 | -14.1% |
| Analyst Rating | 3.17 of 5 |
RKT Dividends
| Dividend Yield 12m | 4.88% |
| Yield on Cost 5y | 4.12% |
| Annual Growth 5y | -9.01% |
| Payout Consistency | 22.9% |
| Payout Ratio | 4.0% |
RKT Growth Ratios
| Growth Correlation 3m | 58.7% |
| Growth Correlation 12m | 50% |
| Growth Correlation 5y | -8.7% |
| CAGR 5y | 37.86% |
| CAGR/Max DD 3y (Calmar Ratio) | 0.75 |
| CAGR/Mean DD 3y (Pain Ratio) | 2.06 |
| Sharpe Ratio 12m | -0.48 |
| Alpha | -31.19 |
| Beta | 2.236 |
| Volatility | 45.66% |
| Current Volume | 34171.1k |
| Average Volume 20d | 29723.1k |
| Stop Loss | 15.2 (-7.3%) |
| Signal | -0.04 |
Piotroski VR‑10 (Strict, 0-10) 1.0
| Net Income (-308.0k TTM) > 0 and > 6% of Revenue (6% = 308.2m TTM) |
| FCFTA 0.00 (>2.0%) and ΔFCFTA 8.24pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 94.43% (prev 232.9%; Δ -138.5pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA -0.07 (>3.0%) and CFO -2.14b <= Net Income -308.0k (YES >=105%, WARN >=100%) |
| Net Debt (15.22b) to EBITDA (239.7m) ratio: 63.51 <= 3.0 (WARN <= 3.5) |
| Current Ratio 18.43 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (171.4m) change vs 12m ago 22.76% (target <= -2.0% for YES) |
| Gross Margin 92.41% (prev 91.13%; Δ 1.28pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 19.02% (prev 20.55%; Δ -1.52pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 0.25 (EBITDA TTM 239.7m / Interest Expense TTM 510.7m) >= 6 (WARN >= 3) |
Altman Z'' 1.11
| (A) 0.16 = (Total Current Assets 5.13b - Total Current Liabilities 278.2m) / Total Assets 30.36b |
| (B) 0.01 = Retained Earnings (Balance) 178.5m / Total Assets 30.36b |
| (C) 0.00 = EBIT TTM 127.4m / Avg Total Assets 27.00b |
| (D) 0.01 = Book Value of Equity 177.3m / Total Liabilities 22.91b |
| Total Rating: 1.11 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 40.34
| 1. Piotroski 1.0pt = -4.0 |
| 2. FCF Yield 0.12% = 0.06 |
| 3. FCF Margin 1.21% = 0.30 |
| 4. Debt/Equity 2.73 = -0.36 |
| 5. Debt/Ebitda 63.51 = -2.50 |
| 6. ROIC - WACC (= -7.50)% = -9.38 |
| 7. RoE -0.01% = -0.00 |
| 8. Rev. Trend 41.56% = 3.12 |
| 9. EPS Trend 61.96% = 3.10 |
What is the price of RKT shares?
Over the past week, the price has changed by -3.25%, over one month by -22.32%, over three months by +17.49% and over the past year by -2.86%.
Is Rocket Companies a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of RKT is around 14.79 USD . This means that RKT is currently overvalued and has a potential downside of -9.76%.
Is RKT a buy, sell or hold?
- Strong Buy: 1
- Buy: 0
- Hold: 11
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the RKT price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 18.5 | 12.9% |
| Analysts Target Price | 18.5 | 12.9% |
| ValueRay Target Price | 16.6 | 1.5% |
Last update: 2025-10-13 02:04
RKT Fundamental Data Overview
P/E Forward = 25.0627
P/S = 6.7152
P/B = 6.9398
P/EG = 0.5624
Beta = 2.236
Revenue TTM = 5.14b USD
EBIT TTM = 127.4m USD
EBITDA TTM = 239.7m USD
Long Term Debt = 8.00b USD (from longTermDebt, last quarter)
Short Term Debt = 12.04b USD (from shortTermDebt, last quarter)
Debt = 20.34b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 15.22b USD (from netDebt column, last quarter)
Enterprise Value = 49.84b USD (34.59b + Debt 20.34b - CCE 5.09b)
Interest Coverage Ratio = 0.25 (Ebit TTM 127.4m / Interest Expense TTM 510.7m)
FCF Yield = 0.12% (FCF TTM 62.3m / Enterprise Value 49.84b)
FCF Margin = 1.21% (FCF TTM 62.3m / Revenue TTM 5.14b)
Net Margin = -0.01% (Net Income TTM -308.0k / Revenue TTM 5.14b)
Gross Margin = 92.41% ((Revenue TTM 5.14b - Cost of Revenue TTM 389.6m) / Revenue TTM)
Gross Margin QoQ = 98.10% (prev 90.71%)
Tobins Q-Ratio = 1.64 (Enterprise Value 49.84b / Total Assets 30.36b)
Interest Expense / Debt = 0.73% (Interest Expense 148.6m / Debt 20.34b)
Taxrate = -40.50% (negative due to tax credits) (-9.83m / 24.3m)
NOPAT = 179.0m (EBIT 127.4m * (1 - -40.50%)) [negative tax rate / tax credits]
Current Ratio = 18.43 (Total Current Assets 5.13b / Total Current Liabilities 278.2m)
Debt / Equity = 2.73 (Debt 20.34b / totalStockholderEquity, last quarter 7.45b)
Debt / EBITDA = 63.51 (Net Debt 15.22b / EBITDA 239.7m)
Debt / FCF = 244.4 (Net Debt 15.22b / FCF TTM 62.3m)
Total Stockholder Equity = 4.43b (last 4 quarters mean from totalStockholderEquity)
RoA = -0.00% (Net Income -308.0k / Total Assets 30.36b)
RoE = -0.01% (Net Income TTM -308.0k / Total Stockholder Equity 4.43b)
RoCE = 1.02% (EBIT 127.4m / Capital Employed (Equity 4.43b + L.T.Debt 8.00b))
RoIC = 2.01% (NOPAT 179.0m / Invested Capital 8.89b)
WACC = 9.52% (E(34.59b)/V(54.93b) * Re(14.51%) + D(20.34b)/V(54.93b) * Rd(0.73%) * (1-Tc(-0.41)))
Discount Rate = 14.51% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 9.89%
[DCF Debug] Terminal Value 47.34% ; FCFE base≈62.3m ; Y1≈40.9m ; Y5≈18.7m
Fair Price DCF = 1.30 (DCF Value 179.6m / Shares Outstanding 138.4m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: 61.96 | EPS CAGR: 220.3% | SUE: -1.63 | # QB: 0
Revenue Correlation: 41.56 | Revenue CAGR: 2.92% | SUE: 0.69 | # QB: 0
Additional Sources for RKT Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle