Rocket Companies (NYSE:RKT) Reaches New 12-Month Low – Should You Sell?

Rocket Companies, Inc. (NYSE:RKT)’s share price reached a new 52-week low during trading on Monday. The company traded as low as $11.38 and last traded at $11.4350, with a volume of 11719032 shares traded. The stock had previously closed at $12.17.

Analyst Upgrades and Downgrades

Several analysts have issued reports on the company. Royal Bank Of Canada restated a “sector perform” rating and issued a $16.00 price objective (up from $15.00) on shares of Rocket Companies in a research note on Wednesday, August 12th. Wells Fargo & Company decreased their target price on Rocket Companies from $17.00 to $15.00 and set an “equal weight” rating on the stock in a report on Friday, August 7th. BTIG Research reaffirmed a “neutral” rating on shares of Rocket Companies in a report on Tuesday, June 16th. Stephens reduced their price objective on shares of Rocket Companies from $22.50 to $20.00 and set an “overweight” rating for the company in a research report on Friday, August 7th. Finally, JPMorgan Chase & Co. decreased their price objective on shares of Rocket Companies from $15.50 to $14.00 and set a “neutral” rating on the stock in a report on Friday, August 7th. Nine analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $19.57.

Rocket Companies Trading Down 3.2%

The company has a debt-to-equity ratio of 1.16, a quick ratio of 4.85 and a current ratio of 4.85. The stock has a market capitalization of $33.37 billion, a price-to-earnings ratio of 84.37, a price-to-earnings-growth ratio of 3.34 and a beta of 2.20. The business has a fifty day simple moving average of $13.57 and a 200 day simple moving average of $14.15.

Rocket Companies (NYSE:RKT) last announced its earnings results on Thursday, August 6th. The company reported $0.16 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.16. Rocket Companies had a net margin of 4.70% and a return on equity of 5.13%. The company had revenue of $2.76 billion during the quarter, compared to analysts’ expectations of $2.81 billion. During the same quarter in the previous year, the business posted $0.04 earnings per share. Rocket Companies’s quarterly revenue was up 91.9% on a year-over-year basis. As a group, research analysts expect that Rocket Companies, Inc. will post 0.52 EPS for the current year.

Insider Activity

In other news, Rocket Mortgage CEO Jesse Bray sold 225,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $13.11, for a total transaction of $2,949,750.00. Following the transaction, the insider directly owned 7,953,027 shares of the company’s stock, valued at approximately $104,264,183.97. This trade represents a 2.75% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 57.68% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Rocket Companies

A number of large investors have recently added to or reduced their stakes in the stock. Envestnet Portfolio Solutions Inc. bought a new position in Rocket Companies during the 2nd quarter worth $164,000. Integrated Wealth Concepts LLC grew its holdings in shares of Rocket Companies by 32.8% during the 2nd quarter. Integrated Wealth Concepts LLC now owns 142,805 shares of the company’s stock worth $2,249,000 after purchasing an additional 35,239 shares in the last quarter. Nykredit A S acquired a new stake in shares of Rocket Companies during the 2nd quarter worth $2,980,000. Greenland Capital Management LP increased its position in shares of Rocket Companies by 84.6% in the second quarter. Greenland Capital Management LP now owns 48,000 shares of the company’s stock worth $756,000 after purchasing an additional 22,000 shares during the period. Finally, Ameritas Advisory Services LLC bought a new position in shares of Rocket Companies in the second quarter worth $113,000. Institutional investors and hedge funds own 4.59% of the company’s stock.

About Rocket Companies

Rocket Companies, Inc is a Detroit-based financial technology company that provides digital platforms and services for homeownership and personal finance. Its flagship business, Rocket Mortgage, originates and services residential mortgage loans through an online application and lending process, serving borrowers across the United States.

The company also operates Rocket Homes, a real estate platform that connects consumers with real estate agents and home-buying resources; Rocket Loans, which provides personal loans; and Rocket Money, a personal finance app designed to help users manage subscriptions, budgeting and other aspects of their financial lives.