Stock Analysis
Rocket Companies, Inc.RKT
P/E 64.79×· 5Y range 50.95–55,609.34×· bottom 5% of history
Sector: Financial Services · Industry: Mortgage Bankers & Loan Correspondents
AnalystsBuy22 analystsP/E 64.8× sits at the 5th percentile of its 5.0513347022587265-year history.
Cash covers 10% of debt · Q2 2026.
PMP Verdict
Cheap for a reason — weak fundamentals
Risks
- Quality12
- Growth25
Cheap for a reason — fundamentals remain weak.
Market context
-2.6% today· Z 0.9σ
Bull Case
- ✓P/E 64.8× at bottom 5% of 5-year history
What's happening with RKT
Profile
earnings quality, moat, growth, profitability and financial health lag behind.
How is each axis scored?
- Valuation50/100 · Moderate
- P/E vs own history (5th pct)25/25
- FCF yield (-2.5%)0/25
- P/S (3.0x)20/25
- EV/EBIT (29.3x)5/25
- Growth25/100 · Weak
- Revenue CAGR (-15.1%)0/25
- Net income CAGR (n/a)0/25
- EPS CAGR 5Y (n/a)0/25
- Fwd implied growth (252.8%)25/25
- Profitability36/100 · Weak
- ROIC (3.0%)5/25
- ROE (2.0%)5/25
- Net margin (4.7%)6/25
- Operating margin (20.5%)20/25
- Financial Health36/100 · Weak
- Altman Z (0.93)3/25
- Current ratio (1.88)18/25
- Interest coverage (2.2x)10/25
- Net cash / debt (D/A 49%)5/25
- Quality12/100 · Weak
- Piotroski F (0/9)0/25
- Beneish M (-1.88)12/25
- FCF conversion (-164%)0/25
- Margin stability (σ 27.3%)0/25
- Moat16/100 · Weak
- ROIC >12% years (2/6 yrs)6/25
- Median gross margin (12.9%)0/25
- FCF-positive years (3/6 yrs)5/25
- Worst-year net margin (worst -1.0%)5/25
Risk Flags
- ⚠Altman Z 0.9 — distress-zone balance sheet
- ⚠Negative FCF margin (-0.1%) — burning cash
- ⚠2 loss-making years in recent history
- ⚠Interest coverage 2.2× — thin debt cushion
- ⚠Revenue shrinking 15.1%/yr
About Rocket Companies, Inc.
Rocket Companies is a financial services company that was originally founded as Rock Financial in 1985 and is currently based in Detroit. Show more
Rocket Companies offers a wide array of services and products but is best known for its Rocket Mortgage business. The company's mortgage lending operations are split between its direct-to-consumer lending, which sees borrowers accessing the company's lending arm directly through either its mobile app or website, and its partner network where mortgage brokers and other firms use Rocket's origination process to offer loans to their customers. The company has rapidly gained market share in recent years and will also be the largest mortgage servicer in the US following its acquisition of the Mr. Cooper Group.
Headquarters: DETROIT, MI · Employees: 23,500 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
50CP/E (TTM)64.5xD
Grade D: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 51.0x–55609.3x · 5th pct
P/FCF17.3xB
Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield-2.5%D
Grade D: NegativeTTM (OCF − CapEx) / Market Cap — vs own 5Y history: -43.1%–25.5% · 35th pct
P/S (TTM)3.03xB
Grade B: FairPrice / TTM Revenue (own statements) — vs own 5Y history: 1.4x–41.5x · 30th pct
EV/EBIT29.3xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 8.9x–590.6x · 28th pct
EV/Sales6.0xC
Grade C: ExpensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E18.3xB
Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio1.29xA
Grade A: FairPrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio—
Finnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield—
TTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio266.3%D
Grade D: UnsustainableDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
36DROIC3.0%D
Grade D: LowNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE2.0%D
Grade D: WeakReturn on Equity. Neg. equity = heavy buybacks
ROA0.9%D
Grade D: WeakReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin4.7%D
Grade D: LowNet Income / Revenue
Operating Margin20.5%C
Grade C: AverageTTM EBIT / TTM Revenue
Gross Margin6.6%D
Grade D: LowGross Profit / Revenue
FCF Margin-7.7%D
Grade D: LowFCF / Revenue
True FCF Margin-12.0%D
Grade D: LowTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
25ERevenue CAGR-15.1%D
Grade D: LowCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR—
Compound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)—
Compound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth252.8%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)+2043.6%D
Grade D: DilutiveShare count change over 5Y
SBC / Net Income91.2%D
Grade D: HighStock-based comp/Net income. >30% = dilution risk
SBC / Revenue4.3%C
Grade C: MedTTM stock-based comp / TTM Revenue
Financial Health
36DAltman Z-Score0.93D
Grade D: DistressBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio1.88xC
Grade C: OkCurrent Assets/Liabilities
Quick Ratio0.17xD
Grade D: Low(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage2.2xD
Grade D: RiskyEBIT/Interest. >10 Strong
Debt Repayment—
Years to repay net debt via FCF
Net Debt/EBIT14.5xD
Grade D: HighLeverage. <2x Low, >4x High
Debt/Equity1.41xC
Grade C: MedDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt0.10xD
Grade D: ThinCash covers how much of total debt. >1 = could repay all debt from cash
Quality
12EPiotroski F-Score0/9D
Grade D: WeakFinancial strength 0–9. >7 Strong
Beneish M-Score-1.88C
Grade C: Gray zoneEarnings manipulation risk. < -2.22 Safe
FCF Conversion-164.1%D
Grade D: PoorFCF / Net Income
Margin Stability27.3%D
Grade D: VolatileEBIT margin std deviation. Lower = stable
Capex / Revenue1.4%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.19xD
Grade D: LowRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Mildenhall Jonathan Filed | Mildenhall Jonathan | Tax withholding | -12860 | |
Malhotra Shawn Filed | Malhotra Shawn | Tax withholding | -13751 | |
Banfield William D. Filed | Banfield William D. | Tax withholding | -8056 | |
Lovier Heather M. Filed | Lovier Heather M. | Tax withholding | -8056 | |
Edwards Noah A. Filed | Edwards Noah A. | Tax withholding | -2302 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Brown Brian Nicholas Filed | Brown Brian Nicholas | Tax withholding | -16112 | |
Bray Jesse K Filed | Bray Jesse K | SellOpen market sale | -92300 | |
Bray Jesse K Filed | Bray Jesse K | SellOpen market sale | -132700 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
16EROIC >12% Years2/6 yrsD
Grade D: WeakShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)12.9%D
Grade D: WeakMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years3/6 yrsD
Grade D: WeakShare of completed fiscal years with positive free cash flow
Net Margin Floor-1.0%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$0.17
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$1.10
Cash & short-term investments per share (Finnhub)
Book Value / Share$8.32
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$33.18B
Total debt obligations (short + long term)
Cash & Equiv.$3.45B
Cash and short-term investments
Net Debt$29.73B
Total Debt minus Cash. Negative = Net Cash position
Total Equity$23.55B
Shareholders' equity (book value)
Asset / Liability1.63xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$30.37B
Current Market Capitalization
Beta2.31D
Grade D: High volatilityPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: Rocket Companies, Inc. (RKT)
RKT is down 2.62% at the last close. Rocket Companies, Inc. meets only 0 of 9 Piotroski F-Score criteria — a sign of weak underlying fundamentals. Altman Z-Score of 0.93 is below the 1.81 distress threshold — an elevated financial-risk flag. Revenue has been contracting (CAGR ≈ -15%), which weighs on the growth outlook.
- Free-cash-flow margin is negative (-8%) — the business currently burns cash.
- Company has negative FCF, making debt repayment from operations difficult.
- Rocket Companies, Inc. posted a net loss in 2 of 6 available completed fiscal years (2020–2025).
See how RKT ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all RKT moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 15 | Regular | 11.04 | +4.84% | 2.22 |
| Oct 15 | After-hours | 11.03 | +4.75% | 2.18 |
| Oct 12 | After-hours | 10.86 | -5.40% | -2.02 |
| Oct 2 | Pre-market | 12.52 | +4.59% | 2.33 |
| Oct 1 | Regular | 12.01 | +4.30% | 2.10 |
Frequently Asked Questions about RKT
What is the current Rocket Companies, Inc. (RKT) stock price?
RKT is trading at $10.78 at the last market close, down 2.62% on the session. PreMarketPrice tracks RKT pre-market, intraday and after-hours prices.
Is RKT stock a buy right now?
PreMarketPrice's quantitative model rates Rocket Companies, Inc.'s financial health at 36/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is RKT stock overvalued?
Rocket Companies, Inc. trades at a trailing P/E of 64.5 and our valuation score rates it 50/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Rocket Companies, Inc. report earnings?
No confirmed earnings date is currently scheduled for RKT. The Earnings section lists recent reports and updates as dates are announced.
What sector does Rocket Companies, Inc. operate in?
Rocket Companies, Inc. operates in the Financial Services sector, within the Mortgage Bankers & Loan Correspondents industry. The Related Stocks section lists sector peers for comparison.
What does Rocket Companies, Inc. do?
Rocket Companies is a financial services company that was originally founded as Rock Financial in 1985 and is currently based in Detroit.
About Rocket Companies, Inc. (RKT) Stock
Rocket Companies, Inc. (RKT) is a US-listed stock operating in the Financial Services sector, specifically the Mortgage Bankers & Loan Correspondents industry. As of the latest update, Rocket Companies, Inc. is trading at $10.78, down 2.62% on the day with a market capitalization of $30.4 billion. The financial health score for RKT is 36/100, which indicates weak financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for RKT stock.
RKT Stock Analysis & Key Metrics
On PreMarketPrice, you can track Rocket Companies, Inc. (RKT) across multiple dimensions:
- Pre-market price & movement: Real-time RKT stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for RKT with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Rocket Companies, Inc. across multiple reporting periods.
- Financial health score: A composite score of 36/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for RKT.
- Sector peers: Compare RKT against 4 other financial services stocks on key financial metrics.
Is RKT a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Rocket Companies, Inc. (RKT) as an investment. The financial health score of 36/100 suggests weak financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Rocket Companies, Inc. (RKT) trades on NYSE. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.