Rocket Companies Target of Unusually High Options Trading (NYSE:RKT)

Rocket Companies, Inc. (NYSE:RKT) was the recipient of unusually large options trading on Friday. Traders bought 80,083 call options on the stock. This is an increase of 48% compared to the average volume of 54,209 call options.

Rocket Companies Trading Down 3.0%

Shares of NYSE:RKT opened at $13.81 on Friday. The business’s 50 day moving average price is $14.24 and its 200-day moving average price is $14.81. Rocket Companies has a 1 year low of $12.17 and a 1 year high of $24.36. The firm has a market capitalization of $39.10 billion, a price-to-earnings ratio of 98.64 and a beta of 2.19. The company has a debt-to-equity ratio of 1.16, a current ratio of 4.85 and a quick ratio of 4.85.

Rocket Companies (NYSE:RKT) last released its quarterly earnings results on Thursday, August 6th. The company reported $0.16 earnings per share for the quarter, hitting the consensus estimate of $0.16. The firm had revenue of $2.76 billion during the quarter, compared to the consensus estimate of $2.81 billion. Rocket Companies had a net margin of 4.70% and a return on equity of 5.13%. The company’s revenue for the quarter was up 91.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.04 EPS. On average, equities research analysts forecast that Rocket Companies will post 0.53 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Rocket Companies

Hedge funds have recently made changes to their positions in the company. Greenland Capital Management LP lifted 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 valued at $756,000 after acquiring an additional 22,000 shares in the last quarter. Ameritas Advisory Services LLC purchased a new stake in shares of Rocket Companies during the second quarter worth approximately $113,000. Wedmont Private Capital increased its position in shares of Rocket Companies by 28.4% during the second quarter. Wedmont Private Capital now owns 31,319 shares of the company’s stock worth $451,000 after purchasing an additional 6,930 shares in the last quarter. HB Wealth Management LLC raised its stake in Rocket Companies by 4.9% in the 2nd quarter. HB Wealth Management LLC now owns 27,040 shares of the company’s stock valued at $426,000 after purchasing an additional 1,258 shares during the last quarter. Finally, Saudi Central Bank lifted its holdings in Rocket Companies by 85.4% in the 2nd quarter. Saudi Central Bank now owns 62,868 shares of the company’s stock valued at $990,000 after purchasing an additional 28,959 shares in the last quarter. Institutional investors and hedge funds own 4.59% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on RKT. JPMorgan Chase & Co. decreased their price target on Rocket Companies from $15.50 to $14.00 and set a “neutral” rating for the company in a report on Friday, August 7th. Benchmark dropped their price objective on shares of Rocket Companies from $21.00 to $19.00 and set a “buy” rating on the stock in a research note on Friday, August 7th. Barclays dropped their price objective on shares of Rocket Companies from $19.00 to $17.00 and set an “overweight” rating on the stock in a research note on Tuesday, July 7th. Stephens decreased their target price on shares of Rocket Companies from $22.50 to $20.00 and set an “overweight” rating for the company in a research note on Friday, August 7th. Finally, Wells Fargo & Company decreased their target price on shares of Rocket Companies from $17.00 to $15.00 and set an “equal weight” rating for the company in a research note on Friday, August 7th. Ten research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $19.87.

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.