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Rocket Companies, Inc.
$17.4B
Market Cap
53.6
P/E
0.42
PEG
1.6%
ROCE
-1.5%
ROE
1.48
D/E
8.5%
OPM
-43.7%
% from 52W High
20
α RS
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🌏 Global Investor Returns
Currency-adjusted total returns for RKT including FX impact
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📈 Price History
Ratio Health
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About

Rocket Companies, Inc., a fintech company, engages in the mortgage, real estate, and personal finance businesses in the United States and Canada. It operates in two segments, Direct to Consumer and Partner Network. The company offers Rocket Mortgage, a mortgage lender service; Redfin, a digital real estate brokerage and home search platform; Rocket Close, a digital experience for appraisal management, settlement, and title services; Rocket Money, a finance app that offers a suite of financial wellness services including subscription cancellation, budget management and credit score improvement; and Rocket Loans, a platform for personal loan. It also originates, closes, sells, and services agency-conforming loans; and provides Rocket Pro that works with mortgage brokers, community banks, and credit unions, to maintain own brand and client relationships. Rocket Companies, Inc. was founded in 1985 and is headquartered in Detroit, Michigan. Rocket Companies, Inc. was formerly a subsidiary of Rock Holdings Inc.

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⭐ Superinvestors Holding RKT
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Manager Shares Value % of Fund Period
Jeff Ubben ValueAct Holdings 28.21M $402.1M 7.04% Mar 2026
Steve Cohen Point72 Asset Management 11.12M $158.5M 0.20% Mar 2026
Jim Simons Renaissance Technologies LLC 2.19M $31.1M 0.05% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$2.8B
+93% YoY
Adjusted EBITDA
$766M
+345% YoY
Adjusted EBITDA Margin
28%
+2pp QoQ
Net Income
$229M
+574% YoY
What Went Right
  • Record purchase market share of 6.2% and refinance share of 14.3%, up from 5.5% and 12.2% in Q4.
  • Adjusted EBITDA margin expanded to 28% from 26% in Q1, delivering the most profitable quarter in four years.
  • Redfin integration is ahead of plan: June mortgage leads doubled YoY and mortgage attach reached 47%, approaching the 50% target.
What to Watch
  • Mortgage rates rose to 6.8%, 50bps above the H1 average and the highest level in more than a year.
  • Q3 mortgage market is expected to be smaller than Q2, a seasonal decline not seen since 2022.
  • The expected 2026 housing recovery has not materialized, with pending sales and purchase applications continuing to decline.
Management Guidance
  • Q3 adjusted revenue expected between $2.5B and $2.7B, implying continued market share gains.
  • Q3 expenses expected to be approximately $2.35B at the midpoint, including ~$110M intangible amortization, ~$90M stock-based compensation and ~$100M one-time acquisition costs; excluding those, expenses are down ~$100M QoQ.
  • Additional ~$100M in annualized expense synergies above the original $400M target, expected to be realized in the first half of 2027.
Investor Lens
The thesis is stronger after this quarter: Rocket delivered record market share and margin expansion despite a deteriorating housing market, and synergy execution is ahead of plan with a higher cost-savings target. The Q3 guide is conservative and reflects a shrinking market, but management argues the platform is built for upside when rates normalize. With over 70% of revenue from recurring or less rate-sensitive sources and $300B+ of origination capacity, Rocket is increasingly positioned as a share-gainer through the cycle. The key test is whether Q3 revenue can hold near guide while expenses continue to step down.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Record 6.2% purchase share and 28% EBITDA margin in tough spring.
Revenue
Adjusted revenue was $2.76B, near the midpoint of guidance and up roughly 93% YoY from $1.43B. Total net rate lock volume was $47B, with direct-to-consumer purchase volume up 45% YoY. Redfin mortgage leads doubled YoY in June, helping drive record market share gains.
Profitability
GAAP net income was $229M versus $34M a year ago; adjusted net income rose to $441M from $75M. Adjusted diluted EPS was $0.16 versus $0.04, making this the most profitable quarter in four years.
Margins
Adjusted EBITDA margin expanded to 28%, up from 26% in Q1. Gain on sale margin excluding correspondent was 311bps, down from 322bps in Q1, while total gain on sale margin was 248bps. Expense synergies contributed $100M annualized in Q2.
Balance Sheet
Liquidity was $11.2B, up $1.8B sequentially, and net corporate leverage was 0.9x. Servicing portfolio UPB remained at $2T, and MSR sales generated $795M of cash proceeds while retaining subservicing on roughly 80% of sold MSRs. In June, the company refinanced existing debt through a senior note offering.
Key Risks
Management flagged mortgage rates at 6.8% and rising inflation expectations as the main near-term headwinds. Q3 mortgage market is expected to be smaller than Q2, and analysts questioned whether the Q3 expense step-down is a sustainable run rate or just variable-cost alignment. The expected housing recovery has not materialized, pressuring purchase and refinance demand.
Outlook
Q3 adjusted revenue is guided to $2.5B-$2.7B, with expenses around $2.35B at the midpoint. Management also raised the synergy target by an additional $100M, expected to be realized by the first half of 2027.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-06
Achieved record market share and most profitable quarter in four years despite a tough housing market, with strong recurring revenue and successful integration of Redfin and Mr. Cooper. Q3 guidance anticipates continued share gains but a smaller market, with further cost synergies expected.
Q1 2026 Q1 2026 2026-05-07
Q1 2026 saw record profitability, market share gains, and strong AI-driven efficiency, with adjusted revenue of $2.8B and EBITDA margin up to 26%. Integration synergies are ahead of schedule, and Q2 guidance anticipates steady volumes and higher profitability despite a tougher market.
Q4 2025 Q4 2025 2026-02-26
Q4 and full-year 2025 saw record adjusted revenue, margin expansion, and successful integration of Redfin and Mr. Cooper. Strategic partnership with Compass and AI-driven efficiencies position the company for continued market share gains and growth in 2026.
Q3 2025 Q3 2025 2025-10-30
Q3 results exceeded guidance with strong market share gains in both purchase and refinance, driven by AI-powered efficiency and successful integration of Redfin and Mr. Cooper. The company projects continued growth and synergy realization, with robust liquidity and a resilient business model.
Q2 2025 Q2 2025 2025-07-31
Q2 2025 saw adjusted revenue of $1.34B (+9% YoY), strong origination and home equity growth, and rapid Redfin integration. AI-driven efficiencies and cost actions are expected to yield $80M in annualized savings, with Q3 guidance reflecting continued momentum and Redfin's inclusion.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

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Information Sources:
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