Rocket Companies, Inc. $RKT Stock Holdings Boosted by Fred Alger Management LLC

Fred Alger Management LLC raised its position in shares of Rocket Companies, Inc. (NYSE:RKT) by 67.6% in the fourth quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 10,190,918 shares of the company’s stock after purchasing an additional 4,112,118 shares during the quarter. Rocket Companies comprises 0.8% of Fred Alger Management LLC’s portfolio, making the stock its 25th largest holding. Fred Alger Management LLC owned about 0.48% of Rocket Companies worth $197,296,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Truvestments Capital LLC bought a new position in Rocket Companies during the 4th quarter valued at $26,000. Acumen Wealth Advisors LLC acquired a new stake in shares of Rocket Companies during the 4th quarter valued at $26,000. Pinnacle Bancorp Inc. lifted its position in shares of Rocket Companies by 369.7% during the 4th quarter. Pinnacle Bancorp Inc. now owns 1,503 shares of the company’s stock valued at $29,000 after acquiring an additional 1,183 shares during the last quarter. City State Bank acquired a new stake in shares of Rocket Companies during the 4th quarter valued at $30,000. Finally, Smithfield Trust Co acquired a new stake in shares of Rocket Companies during the 4th quarter valued at $32,000. 4.59% of the stock is owned by institutional investors.

Rocket Companies News Roundup

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

• Negative Sentiment: BTIG cut Rocket Companies to Neutral, saying the stock now has limited upside potential after its recent move and that near-term results may be pressured by the interest-rate backdrop. Rocket Companies cut to Neutral at BTIG on limited upside potential
• Negative Sentiment: Another report highlighted that rising mortgage rates are likely to weigh on Rocket’s loan volumes in the near term, which is a headwind for origination-driven revenue. Rising mortgage rates put near-term pressure on Rocket Companies’ volumes
• Neutral Sentiment: BTIG also said the broader mortgage sector still looks attractive over the medium term if rates stabilize, suggesting Rocket could benefit later from improving efficiency and a recovery in mortgage demand. BTIG sees upside in mortgage stocks despite higher rates, names Rithm top pick
• Neutral Sentiment: Coverage noting that Rocket was downgraded by a Wall Street analyst adds to the cautious tone around the name, but the report does not point to a company-specific operational problem. Palantir upgraded, Rocket Companies downgraded: Wall Street’s top analyst calls
• Neutral Sentiment: Rocket’s real estate arm Redfin discussed possible housing-demand benefits from a potential SpaceX IPO in San Antonio, which could be a localized positive for housing activity, though it is not a near-term catalyst for the stock. How A SpaceX IPO Could Shape Rocket Companies’ San Antonio Outlook

Analyst Ratings Changes

A number of brokerages have recently commented on RKT. JPMorgan Chase & Co. cut their price objective on Rocket Companies from $24.00 to $16.50 and set a “neutral” rating for the company in a research report on Thursday, April 9th. Royal Bank Of Canada reiterated 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 reiterated a “neutral” rating on shares of Rocket Companies in a research report on Tuesday. Citizens Jmp began coverage on Rocket Companies in a research report on Wednesday, March 25th. They set a “market perform” rating for the company. Finally, Keefe, Bruyette & Woods cut their price objective on Rocket Companies from $22.00 to $21.00 and set an “outperform” rating for the company in a research report on Tuesday, May 12th. Eight analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $20.93.

Rocket Companies Price Performance

RKT opened at $13.97 on Wednesday. The stock has a fifty day moving average of $14.39 and a 200-day moving average of $17.01. The firm has a market capitalization of $39.54 billion, a P/E ratio of 279.46 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 company has a quick ratio of 4.37, a current ratio of 4.37 and a debt-to-equity ratio of 1.13.

Rocket Companies (NYSE:RKT) last released its earnings results on Thursday, May 7th. The company reported $0.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.12 by $0.03. The company had revenue of $2.82 billion during the quarter, compared to analyst estimates of $2.76 billion. Rocket Companies had a return on equity of 4.30% and a net margin of 2.78%.The company’s revenue for the quarter was up 167.1% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.04 earnings per share. Equities analysts forecast that Rocket Companies, Inc. will post 0.65 EPS for the current fiscal year.

Rocket Companies 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.