Rocket Companies (RKT)
Market Price (11/18/2025): $16.56 | Market Cap: $34.9 BilSector: Financials | Industry: Commercial & Residential Mortgage Finance
Rocket Companies (RKT)
Market Price (11/18/2025): $16.56Market Cap: $34.9 BilSector: FinancialsIndustry: Commercial & Residential Mortgage Finance
Investment Highlights
Why It Matters
Which of these 2 stories sounds closer for this stock?
1. Generates cash flow
The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.
2. Riding a trend
Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 42% | Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.3% | |
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments, Smart Buildings & Proptech, and E-commerce & Digital Retail. Themes include Online Banking & Lending, Show more. | Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -23% | |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 1814% | ||
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.5% |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 42% |
| Megatrend and thematic driversMegatrends include Fintech & Digital Payments, Smart Buildings & Proptech, and E-commerce & Digital Retail. Themes include Online Banking & Lending, Show more. |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.3% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -16%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -23% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 1814% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.5% |
Market Valuation & Key Metrics
RKT Stock
Why The Stock Moved
Qualitative Assessment
AI Generated Analysis | Feedback
Here are the key points for the movement of Rocket Companies (RKT) stock by approximately 11.2% from July 31, 2025, to November 18, 2025:
1. Strong Third Quarter 2025 Financial Results: Rocket Companies reported adjusted revenue of $1.78 billion for Q3 2025, surpassing the high end of their guidance range and exceeding analysts' expectations. The company also reported an adjusted net income of $158 million and adjusted diluted EPS of $0.07, meeting consensus estimates.
2. Favorable Mortgage Market Outlook and Increased Activity: The anticipation and shift towards lower mortgage rates following inflation reports, coupled with a surge in refinance activity, created a more favorable environment for Rocket Companies. There was also an uptick in home buying, especially for veterans using VA loans, and a rise in luxury home prices, which contributed to positive market sentiment.
Stock Movement Drivers
Return vs. Risk
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| RKT Return | - | -28% | -46% | 107% | -22% | 54% | -3% |
| Peers Return | 65% | 26% | -19% | 47% | 20% | 18% | 251% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 13% | 107% |
Monthly Win Rates [3] | |||||||
| RKT Win Rate | 25% | 50% | 42% | 50% | 42% | 70% | |
| Peers Win Rate | 68% | 68% | 35% | 58% | 57% | 34% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | |
Max Drawdowns [4] | |||||||
| RKT Max Drawdown | - | -28% | -52% | 0% | -24% | -9% | |
| Peers Max Drawdown | -53% | -10% | -31% | -9% | -12% | -15% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: ESNT, WD, SNFCA, COOP, PFSI.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 11/17/2025 (YTD)
How Low Can It Go
| Event | RKT | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -84.9% | -25.4% |
| % Gain to Breakeven | 562.4% | 34.1% |
| Time to Breakeven | Not Fully Recovered days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -41.8% | -33.9% |
| % Gain to Breakeven | 71.7% | 51.3% |
| Time to Breakeven | 123 days | 148 days |
Compare to ESNT, WD, SNFCA, COOP, PFSI
In The Past
Rocket Companies's stock fell -84.9% during the 2022 Inflation Shock from a high on 3/2/2021. A -84.9% loss requires a 562.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth over time.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
Latest Trefis Analyses
Trade Ideas
Select past ideas related to RKT. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 10312025 | BRO | Brown & Brown | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 1.2% | 1.2% | -4.2% |
| 10312025 | CPAY | Corpay | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 5.3% | 5.3% | 0.0% |
| 10312025 | EEFT | Euronet Worldwide | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -6.8% | -6.8% | -7.4% |
| 10312025 | GPN | Global Payments | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -6.7% | -6.7% | -6.7% |
| 10102025 | APO | Apollo Asset Management | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 5.6% | 5.6% | 0.0% |
| 07312025 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 11.2% | 11.2% | 0.0% |
| 10312024 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -16.1% | 9.3% | -36.1% |
| 01312024 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 31.5% | 4.3% | -16.5% |
| 07312023 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 17.1% | 47.8% | -34.0% |
| 01312023 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 13.3% | 30.8% | -23.4% |
| 04302022 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -24.2% | 0.7% | -29.0% |
| 01312021 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -15.6% | -38.1% | -39.4% |
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 10312025 | BRO | Brown & Brown | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 1.2% | 1.2% | -4.2% |
| 10312025 | CPAY | Corpay | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 5.3% | 5.3% | 0.0% |
| 10312025 | EEFT | Euronet Worldwide | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -6.8% | -6.8% | -7.4% |
| 10312025 | GPN | Global Payments | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -6.7% | -6.7% | -6.7% |
| 10102025 | APO | Apollo Asset Management | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 5.6% | 5.6% | 0.0% |
| 07312025 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 11.2% | 11.2% | 0.0% |
| 10312024 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -16.1% | 9.3% | -36.1% |
| 01312024 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 31.5% | 4.3% | -16.5% |
| 07312023 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 17.1% | 47.8% | -34.0% |
| 01312023 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | 13.3% | 30.8% | -23.4% |
| 04302022 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -24.2% | 0.7% | -29.0% |
| 01312021 | RKT | Rocket Companies | Special | Short Squeeze PotentialShort Squeeze PotentialHas potential for a short squeeze. High short interest, rising short interest and high debt. | -15.6% | -38.1% | -39.4% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons for Rocket Companies
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 60.17 |
| Mkt Cap | 5.9 |
| Rev LTM | 1,290 |
| Op Inc LTM | 341 |
| FCF LTM | -949 |
| FCF 3Y Avg | 47 |
| CFO LTM | -854 |
| CFO 3Y Avg | 49 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 16.0% |
| Rev Chg 3Y Avg | -0.3% |
| Rev Chg Q | 15.5% |
| QoQ Delta Rev Chg LTM | 3.8% |
| Op Mgn LTM | 13.1% |
| Op Mgn 3Y Avg | 13.3% |
| QoQ Delta Op Mgn LTM | 1.8% |
| CFO/Rev LTM | -15.6% |
| CFO/Rev 3Y Avg | 14.5% |
| FCF/Rev LTM | -23.0% |
| FCF/Rev 3Y Avg | 13.9% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 5.9 |
| P/S | 1.8 |
| P/EBIT | 9.3 |
| P/E | 8.5 |
| P/CFO | -2.2 |
| Total Yield | 8.7% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 11.3% |
| D/E | 0.6 |
| Net D/E | 0.1 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -1.4% |
| 3M Rtn | -7.9% |
| 6M Rtn | 2.2% |
| 12M Rtn | 10.7% |
| 3Y Rtn | 67.0% |
| 1M Excs Rtn | -1.6% |
| 3M Excs Rtn | -11.7% |
| 6M Excs Rtn | -9.6% |
| 12M Excs Rtn | -3.5% |
| 3Y Excs Rtn | -7.2% |
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/30/2025 | 4.5% | -2.1% | |
| 7/31/2025 | 12.0% | 18.8% | 20.3% |
| 5/8/2025 | -4.6% | 9.6% | 9.4% |
| 2/27/2025 | 9.1% | 15.7% | 7.3% |
| 11/12/2024 | -9.1% | -11.8% | -19.5% |
| 8/1/2024 | 12.3% | 16.9% | 27.9% |
| 5/2/2024 | 4.5% | 10.7% | 11.2% |
| 2/22/2024 | 5.3% | 14.4% | 28.7% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 13 | 15 | 13 |
| # Negative | 7 | 5 | 7 |
| Median Positive | 6.5% | 14.4% | 20.3% |
| Median Negative | -3.7% | -3.0% | -7.4% |
| Max Positive | 12.3% | 35.0% | 28.7% |
| Max Negative | -9.1% | -11.8% | -25.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 9302025 | 11062025 | 10-Q 9/30/2025 |
| 6302025 | 8082025 | 10-Q 6/30/2025 |
| 3312025 | 5092025 | 10-Q 3/31/2025 |
| 12312024 | 3032025 | 10-K 12/31/2024 |
| 9302024 | 11122024 | 10-Q 9/30/2024 |
| 6302024 | 8062024 | 10-Q 6/30/2024 |
| 3312024 | 5072024 | 10-Q 3/31/2024 |
| 12312023 | 2272024 | 10-K 12/31/2023 |
| 9302023 | 11092023 | 10-Q 9/30/2023 |
| 6302023 | 8092023 | 10-Q 6/30/2023 |
| 3312023 | 5102023 | 10-Q 3/31/2023 |
| 12312022 | 3012023 | 10-K 12/31/2022 |
| 9302022 | 11092022 | 10-Q 9/30/2022 |
| 6302022 | 8092022 | 10-Q 6/30/2022 |
| 3312022 | 5102022 | 10-Q 3/31/2022 |
| 12312021 | 3012022 | 10-K 12/31/2021 |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |