Avala Global LP Acquires New Position in Rocket Companies, Inc. $RKT

Avala Global LP acquired a new stake in shares of Rocket Companies, Inc. (NYSE:RKT) during the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund acquired 1,127,013 shares of the company’s stock, valued at approximately $21,819,000. Rocket Companies makes up about 1.0% of Avala Global LP’s investment portfolio, making the stock its 22nd largest position.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Truvestments Capital LLC purchased a new position in Rocket Companies during the fourth quarter valued at approximately $26,000. Acumen Wealth Advisors LLC purchased a new position in Rocket Companies during the fourth quarter valued at approximately $26,000. Pinnacle Bancorp Inc. grew its position in Rocket Companies by 369.7% during the fourth quarter. Pinnacle Bancorp Inc. now owns 1,503 shares of the company’s stock valued at $29,000 after purchasing an additional 1,183 shares in the last quarter. City State Bank purchased a new position in Rocket Companies during the fourth quarter valued at approximately $30,000. Finally, Smithfield Trust Co purchased a new position in Rocket Companies during the fourth quarter valued at approximately $32,000. 4.59% of the stock is owned by hedge funds and other institutional investors.

Rocket Companies Stock Performance

RKT stock opened at $13.17 on Thursday. The company has a quick ratio of 4.37, a current ratio of 4.37 and a debt-to-equity ratio of 1.13. The company has a market capitalization of $37.27 billion, a price-to-earnings ratio of 263.48 and a beta of 2.19. Rocket Companies, Inc. has a 12 month low of $12.17 and a 12 month high of $24.36. The firm has a 50 day moving average of $14.36 and a two-hundred day moving average of $16.96.

Rocket Companies (NYSE:RKT) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.15 earnings per share for the quarter, topping analysts’ consensus estimates of $0.12 by $0.03. Rocket Companies had a net margin of 2.78% and a return on equity of 4.30%. The business had revenue of $2.82 billion during the quarter, compared to analysts’ expectations of $2.76 billion. During the same period in the previous year, the company earned $0.04 earnings per share. Rocket Companies’s revenue for the quarter was up 167.1% on a year-over-year basis. As a group, equities analysts anticipate that Rocket Companies, Inc. will post 0.65 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the stock. Stephens assumed coverage on shares of Rocket Companies in a research report on Thursday, April 23rd. They set an “overweight” rating and a $22.50 price objective on the stock. Royal Bank Of Canada reaffirmed a “sector perform” rating and set a $20.00 price objective on shares of Rocket Companies in a research report on Monday, May 11th. BTIG Research reaffirmed a “neutral” rating on shares of Rocket Companies in a research report on Tuesday. Compass Point began coverage on shares of Rocket Companies in a research report on Tuesday, March 10th. They set a “buy” rating and a $21.00 price objective on the stock. Finally, Wells Fargo & Company decreased their target price on shares of Rocket Companies from $19.00 to $17.00 and set an “equal weight” rating for the company in a research report on Thursday, April 9th. Eight equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $20.93.

About Rocket Companies

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.