Rocket Companies (NYSE:RKT) Share Price Breaks Above 50-Day Moving Average on Analyst Downgrade

Shares of Rocket Companies, Inc. (NYSE:RKT) crossed above its fifty day moving average during trading on Friday after JPMorgan Chase & Co. raised their price target on the stock from $12.50 to $13.00. The stock has a fifty day moving average of $12.38 and traded as high as $12.85. JPMorgan Chase & Co. currently has a neutral rating on the stock. Rocket Companies shares last traded at $12.81, with a volume of 54,366,624 shares trading hands.

RKT has been the subject of several other reports. Morgan Stanley set a $16.00 price objective on Rocket Companies and gave the stock an “overweight” rating in a research note on Monday, October 12th. Keefe, Bruyette & Woods cut their target price on Rocket Companies from $20.00 to $19.00 and set an “outperform” rating on the stock in a research report on Monday, August 10th. Wells Fargo & Company set a $13.00 price target on Rocket Companies and gave the stock an “equal weight” rating in a report on Tuesday, October 6th. Stephens lowered their price target on 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, Weiss Ratings upgraded Rocket Companies from a “hold (c-)” rating to a “hold (c)” rating in a research note on Thursday, October 8th. Eight equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $18.75.

Insider Activity at Rocket Companies

In other news, Rocket Mortgage CEO Jesse Bray sold 225,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $13.11, for a total value of $2,949,750.00. Following the transaction, the insider owned 7,953,027 shares in the company, valued at $104,264,183.97. The trade was a 2.75% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 450,000 shares of company stock worth $5,687,074. 57.68% of the stock is owned by company insiders.

Trending Headlines about Rocket Companies

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

• Positive Sentiment: Q3 earnings beat expectations: Rocket reported adjusted EPS of $0.15, above the $0.14 analyst consensus and more than double the $0.07 reported a year earlier. Adjusted revenue reached $2.57 billion, while total revenue was $3.28 billion. Rocket Companies Announces Third Quarter 2026 Results
• Positive Sentiment: Substantial growth in revenue and profit: Quarterly revenue increased 37.4% year over year. Rocket posted $709 million in GAAP net income and $419 million in adjusted net income, supporting the view that profitability is improving despite elevated mortgage rates. Rocket Companies Q3 earnings surprise to the upside as profitability improves
• Positive Sentiment: Management provided a sizable Q4 revenue outlook: Rocket expects fourth-quarter revenue of $2.10 billion to $2.30 billion, giving investors visibility into continued business activity. Rocket Companies Q4 revenue outlook
• Neutral Sentiment: Revenue of $2.57 billion was slightly below the roughly $2.58 billion consensus estimate, indicating that the earnings beat was driven primarily by profitability rather than stronger-than-expected sales.
• Negative Sentiment: RBC reduced its price target: Royal Bank of Canada cut its target from $16 to $14 and maintained a “sector perform” rating, signaling limited near-term upside and caution about Rocket’s valuation or operating environment. Royal Bank of Canada recommendations
• Negative Sentiment: Housing conditions remain challenging: U.S. home-sale prices declined for the first time in more than three years, while median mortgage payments remain near record levels. High borrowing costs and weak affordability could constrain purchase and mortgage-origination volumes. U.S. Home-Sale Prices Just Fell

Institutional Trading of Rocket Companies

Institutional investors and hedge funds have recently modified their holdings of the business. Amundi boosted its position in Rocket Companies by 152.1% in the first quarter. Amundi now owns 13,725,878 shares of the company’s stock worth $195,594,000 after purchasing an additional 8,280,463 shares during the last quarter. Wellington Management Group LLP grew its stake in Rocket Companies by 64.5% in the 2nd quarter. Wellington Management Group LLP now owns 9,029,295 shares of the company’s stock valued at $142,211,000 after purchasing an additional 3,541,916 shares during the period. Atreides Management LP grew its stake in Rocket Companies by 69.7% in the 1st quarter. Atreides Management LP now owns 6,114,947 shares of the company’s stock valued at $87,138,000 after purchasing an additional 2,512,384 shares during the period. Maple Rock Capital Partners Inc. increased its position in shares of Rocket Companies by 76.9% during the 2nd quarter. Maple Rock Capital Partners Inc. now owns 5,543,600 shares of the company’s stock valued at $87,312,000 after purchasing an additional 2,410,400 shares during the last quarter. Finally, Assenagon Asset Management S.A. purchased a new stake in shares of Rocket Companies during the 2nd quarter valued at $74,874,000. 4.59% of the stock is owned by hedge funds and other institutional investors.

Rocket Companies Trading Up 7.5%

The stock has a market capitalization of $36.27 billion, a PE ratio of 28.47, a price-to-earnings-growth ratio of 3.58 and a beta of 2.23. The firm has a 50-day moving average price of $12.38 and a 200-day moving average price of $14.76. The company has a current ratio of 4.85, a quick ratio of 4.85 and a debt-to-equity ratio of 1.16.

Rocket Companies (NYSE:RKT) last issued its quarterly earnings results on Thursday, October 29th. The company reported $0.15 earnings per share for the quarter, topping analysts’ consensus estimates of $0.14 by $0.01. The company had revenue of $2.57 billion for the quarter, compared to the consensus estimate of $2.58 billion. Rocket Companies had a net margin of 11.14% and a return on equity of 5.39%. The firm’s quarterly revenue was up 37.4% on a year-over-year basis. During the same period in the previous year, the firm earned $0.07 EPS. As a group, equities analysts forecast that Rocket Companies, Inc. will post 0.47 EPS for the current fiscal year.

About Rocket Companies

Rocket Companies, Inc is a Detroit-based financial technology company that operates a portfolio of consumer finance and real estate businesses. Its platform is designed to simplify the homeownership process through digital applications, automated workflows and online customer support.

The company’s principal business is Rocket Mortgage, a residential mortgage lender and servicer offering home purchase, refinance and home equity products. Its broader portfolio includes Rocket Homes, a real estate services platform; Rocket Money, a personal finance app that helps consumers manage subscriptions, budgets and bills; Rocket Loans, which provides personal loans; and Rocket Pro, which supports mortgage brokers and other partners.

Rocket Companies traces its history to 1985, when Dan Gilbert founded Rock Financial.