DETROIT, Aug. 26, 2024 /PRNewswire/ -- Rocket Companies, Inc. (NYSE: RKT) ("Rocket Companies" or the "Company"), the Detroit-based fintech platform company including mortgage, real estate and other financial services businesses, today announced that the Company will host its first Investor Day on Tuesday, September 10, 2024 starting at 9:00 a.m. ET in Detroit, Michigan. The event will feature presentations and engagement opportunities with Rocket Companies' leadership, immersive demo experiences and a tour ...

New temporary buydown option eases the transition into homeownership with Rocket Mortgage covering the cost of a lower interest rate for two years DETROIT, Aug. 26, 2024 /PRNewswire/ -- Rocket Mortgage, the nation's largest mortgage lender and a part of Rocket Companies (NYSE: RKT), today introduced "Welcome Home RateBreak," a lender-paid 2-1 temporary buydown program. Buyers can enjoy significant savings with a mortgage rate reduced by two percentage points in the first year, then one percentage point in t ...

Financial Performance - Net income for the same period was $177.9 million, reflecting a 28% increase compared to $139.2 million in the prior year[144]. - Adjusted EBITDA for the three months ended June 30, 2024, was $224.8 million, a significant increase from $18.2 million in the same period in 2023[144]. - The net income for the six months ended June 30, 2024, was $468.6 million, a turnaround from a net loss of $272.3 million in the same period in 2023[145]. - Adjusted EBITDA for the six months ended June 30, 2024, was $399.1 million, compared to an Adjusted EBITDA loss of $60.8 million in the same period in 2023[145]. - The company reported total revenue of $1,300.7 million for the three months ended June 30, 2024, compared to $1,236.2 million in the same period in 2023[154]. - Adjusted revenue for the three months ended June 30, 2024, was $1,228.2 million, up from $1,001.7 million in the same period in 2023[154]. - The company’s adjusted net income for the three months ended June 30, 2024, was $121.0 million, compared to a loss of $33.0 million in the same period in 2023[155]. - Net income attributable to Rocket Companies for the three months ended June 30, 2024, was $1,295 million, compared to a loss of $7,438 million for the same period in 2023[157]. - Adjusted net income for the six months ended June 30, 2024, was $204,575 million, a significant improvement from a loss of $143,624 million in the same period of 2023[160]. Loan Origination and Servicing - The company originated $24.7 billion in residential mortgage loans for the three months ended June 30, 2024, a 10% increase from $22.3 billion in the same period in 2023[144]. - For the six months ended June 30, 2024, the company originated $44.9 billion in residential mortgage loans, a 14% increase from $39.3 billion in the same period in 2023[145]. - Closed loan origination volume for the three months ended June 30, 2024, reached $24,661,690 million, up from $22,330,333 million in 2023, representing an increase of approximately 10.4%[164]. - The total serviced UPB (unpaid principal balance) for loans, including subserviced, was $534,557,627 million as of June 30, 2024, compared to $503,693,198 million in 2023, indicating growth of about 6.1%[164]. - The number of MSRs (mortgage servicing rights) loans serviced increased to 2,459.5 thousand as of June 30, 2024, from 2,312.6 thousand in 2023, representing a growth of about 6.4%[164]. - The total serviced UPB as of June 2024 was $534.6 billion, an increase from $503.7 billion in June 2023[196]. - The total serviced delinquency count (60+) as a percentage of total loans was 1.26% in June 2024, compared to 1.10% in June 2023[196]. Revenue and Income Sources - Gain on sale of loans, net for Q2 2024 was $758,556, up 27.7% from $594,469 in Q2 2023[185]. - Loan servicing fee income for Q2 2024 was $354,677, slightly up from $343,591 in Q2 2023[185]. - Interest income, net increased to $31,122 in Q2 2024 from $21,245 in Q2 2023, representing a 46.5% increase[185]. - Other income for Q2 2024 was $269,308, up from $234,545 in Q2 2023[185]. - Interest income, net for the six months ended June 30, 2024, was $68.7 million, an increase of $15.8 million, or 30%, compared to $52.9 million for the same period in 2023[201]. - Direct to Consumer Adjusted revenue for the three months ended June 30, 2024, was $908.8 million, an increase of $120.1 million, or 15%, compared to $788.7 million for the same period in 2023[213]. - Partner Network Adjusted revenue for Q2 2024 was $187.8 million, an increase of $65.3 million, or 53%, compared to $122.5 million in Q2 2023, primarily driven by Gain on sale[216]. Expenses and Financial Health - Total expenses for Q2 2024 were $1,108,680, a marginal increase from $1,097,857 in Q2 2023[185]. - Total expenses for the three months ended June 30, 2024, were $1.1 billion, flat compared to the same period in 2023, with general and administrative expenses increasing by $32.5 million, or 16%[206]. - Marketing and advertising expenses for the six months ended June 30, 2024, were $417.2 million, an increase of $16.8 million, or 4%, compared to $400.4 million for the same period in 2023[207]. - Salaries, commissions, and team member benefits for Q2 2024 were $553,420, down from $579,139 in Q2 2023[185]. Liquidity and Capital Structure - Total liquidity as of June 30, 2024, was $8.6 billion, including $1.3 billion in cash and cash equivalents[224]. - Equity increased to $8.8 billion as of June 30, 2024, up by $449.1 million, or 5%, compared to $8.4 billion as of June 30, 2023[227]. - Cash and cash equivalents increased by $419.5 million, or 46%, to $1.3 billion as of June 30, 2024, compared to $917.8 million a year earlier[226]. - The company had 17 different funding and financing facilities with an aggregate available amount of $22.6 billion as of June 30, 2024[221]. - The company was in compliance with all financial covenants as of June 30, 2024[225].

The 25-city showcase will spotlight both household names and featured acts in premiere clubs across the country, including Improv venues in multiple stops DETROIT, Aug. 6, 2024 /PRNewswire/ -- Rocket Mortgage – the nation's largest retail mortgage lender and part of Rocket Companies (NYSE: RKT) – today announced the launch of the Rocket Comedy Tour in partnership with comedian, writer and director Mike Young. The 25-stop nationwide tour is set to bring headlining acts alongside Young to intimate theaters ac ...

Core Insights - Rocket Companies reported revenue of $1.3 billion for the quarter ended June 2024, reflecting a 5.2% increase year-over-year and a surprise of +5.96% over the Zacks Consensus Estimate of $1.23 billion [1] - The earnings per share (EPS) was $0.06, compared to -$0.02 in the same quarter last year, resulting in an EPS surprise of +20.00% against the consensus estimate of $0.05 [1] Revenue Performance - Gain on sale of loans, net was $758.56 million, exceeding the average estimate of $731.73 million by five analysts, representing a year-over-year increase of +27.6% [3] - Loan servicing income from servicing fee income was $354.68 million, slightly below the estimated $359.16 million, showing a +3.2% change year-over-year [4] - Interest income, net was reported at $31.12 million, falling short of the $38.25 million estimate, indicating a year-over-year decline of -15.2% [5] - Change in fair value of mortgage servicing rights (MSRs) was -$112.94 million, better than the estimated -$211.59 million, reflecting a significant year-over-year change of -366.5% [6] - Other income amounted to $269.31 million, surpassing the average estimate of $264.67 million, with a year-over-year increase of +22.9% [7] - Loan servicing income, net was $241.74 million, significantly lower than the estimated $149.21 million, showing a year-over-year decrease of -37.4% [8] - Gain on sale of loans from fair value of originated MSRs was $345.55 million, exceeding the estimate of $310.76 million, with a year-over-year increase of +9.8% [9] - Gain on sale of loans excluding fair value of MSRs, net was $413.01 million, slightly below the estimate of $428.30 million, reflecting a year-over-year increase of +47.7% [9] - Interest income was reported at $112.42 million, surpassing the estimate of $93.28 million, indicating a year-over-year increase of +39.2% [10] Stock Performance - Shares of Rocket Companies have returned +16.9% over the past month, outperforming the Zacks S&P 500 composite's +1.1% change [10] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [10]

Financial Performance - Rocket Companies reported adjusted revenue of $1.228 billion, exceeding the Street consensus estimate of $1.219 billion, marking the fourth consecutive quarter of year-over-year revenue growth [1] - The company achieved earnings per share of 6 cents, surpassing the Street consensus estimate of 5 cents per share [2] - Closed loan origination volume reached $24.7 billion in the quarter, reflecting a 10.4% increase year-over-year [2] Future Outlook - The company anticipates adjusted revenue to be between $1.15 billion and $1.3 billion in the third quarter [3] - Rocket Companies will host its first Investor Day on September 10 in downtown Detroit [3] Strategic Initiatives - The CEO highlighted the company's focus on improving processes, teams, marketing, and technology to grow purchase market share year-over-year [2] - The company is implementing an AI-fueled homeownership strategy to enhance the homeownership experience for clients [3] Stock Performance - Rocket shares declined by 2% to $15.03 in after-hours trading, with a 52-week trading range of $7.17 to $16.65 [4]

Core Viewpoint - Rocket Companies (RKT) is expected to report a year-over-year increase in earnings despite lower revenues, with the consensus EPS estimate at $0.05, reflecting a significant increase of +350% compared to the previous year [2][4]. Earnings Expectations - The anticipated revenues for Rocket Companies are $1.23 billion, which is a slight decline of 0.7% from the same quarter last year [5]. - The consensus EPS estimate has been revised down by 2.22% over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [6][12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates a negative Earnings ESP of -10.78% for Rocket Companies, suggesting a lower likelihood of beating the consensus EPS estimate [12]. - The stock currently holds a Zacks Rank of 4, which further complicates the prediction of an earnings beat [13][14]. Historical Performance - In the last reported quarter, Rocket Companies exceeded the expected earnings of $0.01 per share by delivering $0.04, resulting in a surprise of +300% [15]. - The company has successfully beaten consensus EPS estimates in each of the last four quarters [16]. Industry Comparison - MediaAlpha, Inc. (MAX), another player in the Zacks Technology Services industry, is expected to report earnings of $0.02 per share, representing a year-over-year increase of +106.3%, with revenues projected at $150.99 million, up 78.1% from the previous year [20]. - Despite a lower Most Accurate Estimate leading to an Earnings ESP of -50.00%, MediaAlpha holds a Zacks Rank of 2, indicating a better outlook compared to Rocket Companies [21].

Core Insights - Rocket Mortgage has been ranked 1 in client satisfaction for mortgage servicing by J.D. Power for the 10th consecutive year, totaling 22 awards in various categories [1][3][11] - The company has significantly integrated artificial intelligence (AI) into its operations, enhancing client interactions and achieving over 60% first call resolution rates [2][8] - Rocket Mortgage's servicing portfolio reached $511 billion with 2.5 million loans serviced as of March 30, 2024 [6] Client Experience - The company offers a user-friendly website and mobile app, resulting in 78% of clients opting for a paperless experience, compared to the industry average of 30% [4] - Rocket Mortgage's commitment to exceptional service has led to clients returning for subsequent home loans three times more often than the industry average [5] - Client feedback highlighted the expertise and empathy of Rocket's team, reinforcing trust and satisfaction in the homeownership journey [6] Technological Innovations - One of the AI tools, Rocket Logic – Synopsis, utilizes machine learning to enhance client interactions by transcribing calls and capturing important details, projected to save over 45,000 hours annually [8] - The company has closed more than $1.7 trillion in mortgage volume since its inception in 1985, showcasing its significant market presence [15] Company Overview - Rocket Mortgage is the largest retail mortgage lender in the U.S. and is part of Rocket Companies (NYSE: RKT), which includes various fintech brands [10][12] - The company has consistently ranked among the top third of Fortune's "100 Best Companies to Work For" for 21 consecutive years [11][13]

DETROIT, July 18, 2024 /PRNewswire/ -- Rocket Companies, Inc. (NYSE: RKT) ("Rocket Companies" or the "Company"), the Detroit-based fintech platform company including mortgage, real estate and other financial services businesses, today announced that the Company will issue its second quarter 2024 earnings on August 1, 2024. Leadership will host a conference call to discuss results at 4:30 p.m. ET on that date and a press release detailing the Company's results will be issued prior to the call. A live webcast ...

Core Viewpoint - The real estate market remains expensive, causing hesitation among investors regarding RKT stock and the mortgage financing service sector [1][2][14] Group 1: Market Conditions - Inflation has caused prices to rise significantly, and lower interest rates may not effectively address the housing affordability crisis [2] - Rocket Companies (NYSE:RKT) has seen a nearly 17% increase in stock price over the past five sessions, alongside gains for related companies like Re/Max and Redfin [4] Group 2: Investment Strategy - The J-Hook technical analysis pattern suggests that RKT could be a potential upside opportunity, indicating a cyclical pattern of price movement [5][11][15] - A recommendation is made to buy near-expiry RKT stock call options, particularly the 2024 Aug. 2 $16 call, in anticipation of a potential Federal Reserve monetary policy shift [7][10] Group 3: Risks and Considerations - The options market for RKT is characterized by low volume and high volatility, with a significant bid-ask spread of 14.28% noted [8] - The upcoming Federal Reserve policy meeting at the end of July could influence RKT stock, with speculation of a dovish pivot potentially driving prices higher [12]