Key Takeaways Rocket Companies will release Q3 2025 earnings on Oct. 30, expecting higher revenues but lower earnings.Redfin's buyout and firm mortgage demand are likely to have boosted RKT's revenue momentum this quarter.Expenses likely to rise due to Redfin integration, marketing, tech upgrades and credit card program wind-down.Rocket Companies, Inc. (RKT) is scheduled to report third-quarter 2025 results on Oct. 30, after market close. The company’s results are expected to reflect year-over-year growth i ...

Core Insights - The Zacks Mortgage & Related Services industry is experiencing benefits from declining mortgage rates, which are driving improvements in purchase originations and refinancing volumes [1][3][4] - Increased competition is pressuring mortgage servicers to cut prices, leading to reduced sales margins [1][5] - Companies like Rocket Companies and LendingTree are well-positioned to navigate the challenges posed by the competitive landscape [1][16][19] Industry Overview - The Zacks Mortgage & Related Services industry includes providers of mortgage-related loans, refinancing, and loan-servicing facilities, with non-banks gaining market share as banks retreat due to compliance and capital requirements [2] - The industry is heavily influenced by Federal Reserve interest rates, which affect customer decisions regarding mortgage applications [2] Trends - Mortgage rates have decreased significantly, with the 30-year fixed-rate mortgage dropping from above 7% to around 6%, stimulating renewed interest in purchase applications [3] - The Federal Reserve's recent rate cuts are expected to improve housing affordability, leading to increased demand for mortgages and refinancing activities [4] - The U.S. single-family mortgage debt is projected to grow due to house price appreciation, although competition may hinder profitability for many originators [5] Performance Metrics - The Zacks Mortgage & Related Services industry holds a Zacks Industry Rank of 95, placing it in the top 39% of over 243 Zacks industries, indicating positive prospects [6] - Over the past year, the industry has underperformed compared to the broader Zacks Finance sector and the S&P 500, with a growth of 15.9% compared to 16.7% and 20.5% respectively [8][9] Valuation - The industry currently trades at a price-to-book (P/B) ratio of 6.58X, lower than the S&P 500's 8.93X, indicating a premium compared to the broader Zacks Finance sector's P/B of 4.27X [12][14] Company Highlights - **Rocket Companies**: This fintech platform is increasing its market share through process optimizations and recently acquired Mr. Cooper Group, enhancing its position in the mortgage servicing and origination space. The Zacks Consensus Estimate for its 2025 earnings is 25 cents per share, reflecting an 8.7% increase year-over-year, with revenues expected to rise 16.6% [16][17] - **LendingTree**: The company is focusing on improving purchase conversion rates and diversifying its offerings beyond mortgages. The Zacks Consensus Estimate for its 2025 earnings indicates a 36.9% year-over-year increase, with revenues anticipated to grow 14.9% [19][20]

Core Insights - Wall Street anticipates a year-over-year increase in earnings for Federal Agricultural Mortgage (AGM) due to higher revenues, with a focus on how actual results compare to estimates impacting stock price [1][2] - AGM is expected to report quarterly earnings of $4.43 per share, reflecting an 8.1% increase year-over-year, and revenues of $101.01 million, up 11.7% from the previous year [3] - The consensus EPS estimate has been revised 1.43% lower in the last 30 days, indicating a reassessment by analysts [4] Earnings Expectations - The earnings report is set to be released on November 3, and better-than-expected results could lead to a stock price increase, while a miss may result in a decline [2] - The Zacks Earnings ESP model indicates that a positive or negative reading can predict the likelihood of actual earnings deviating from consensus estimates, with a focus on positive readings [9][10] Analyst Insights - For AGM, the Most Accurate Estimate aligns with the Zacks Consensus Estimate, resulting in an Earnings ESP of 0%, and the stock holds a Zacks Rank of 4, complicating predictions of an earnings beat [12] - Historical performance shows that AGM has beaten consensus EPS estimates in two out of the last four quarters, with a recent surprise of +0.70% [13][14] Industry Comparisons - In the Zacks Financial - Mortgage & Related Services industry, Rocket Companies (RKT) is expected to report earnings of $0.04 per share, indicating a 50% year-over-year decline, with revenues projected at $1.75 billion, up 32.1% [18][19] - The consensus EPS estimate for Rocket Companies has been revised 37.5% higher in the last 30 days, but an Earnings ESP of 0% and a Zacks Rank of 2 (Buy) make predictions of an earnings beat uncertain [19][20]

Core Viewpoint - The article discusses the current trading status of three stocks—MercadoLibre, Rocket Companies, and On Holding—highlighting their positions in relation to their 52-week highs and the implications for investors in a bear market context [1][2]. Group 1: MercadoLibre Inc. (MELI) - MercadoLibre is currently trading at $2,161.11, which is 79% of its 52-week high of $2,645.22, indicating potential for bullish momentum [3][4]. - The stock has shown a year-to-date performance of 23.6%, with a decline in short interest by 13.8%, suggesting a possible shift in market sentiment [3][4]. - The consensus price target for MercadoLibre is $2,810.88, representing a 33.7% upside from the current price, with some analysts projecting even higher targets [5][6]. Group 2: Rocket Companies Inc. (RKT) - Rocket Companies is trading at $17.89, which is 76% of its 52-week high of $22.56, reflecting bearish market conditions influenced by housing market indicators [8][9]. - The consensus price target for Rocket is $17.12, but some analysts predict a potential rise to $25 per share, indicating a significant upside opportunity [9][10]. - The expected earnings per share (EPS) for Q4 is projected to be 12 cents, a substantial increase from the current 4 cents, suggesting potential undervaluation [11]. Group 3: On Holding (ONON) - On Holding is trading at $41.72, which is 65% of its 52-week high of $64.05, primarily affected by tariff concerns related to its exposure to China [14][15]. - The consensus price target for On Holding is $63.65, indicating a potential upside of 53.5%, supported by a high price-to-earnings (P/E) ratio of 92.2x [15][16]. - The market's confidence in On Holding's brand strength and growth trajectory could lead to a closing of the valuation gap if strong Q4 results are delivered [16].

Group 1 - The REIT Forum offers exclusive investment ideas and access to subscriber-only portfolios [1] - Amrita leads a family office fund in Vancouver focused on sustainable, growth-driven companies that maximize shareholder equity [2] - The Pragmatic Optimist newsletter, co-founded by Amrita, emphasizes portfolio strategy, valuation, and macroeconomics [2] Group 2 - Amrita has experience in high-growth supply-chain start-ups and has worked with venture capital firms to enhance user acquisition [2] - The newsletter has been recognized as a top finance newsletter and aims to simplify financial literacy and macroeconomic concepts [2]

Group 1 - The article discusses the investment strategy of a boutique family office fund led by Amrita, focusing on sustainable, growth-driven companies that aim to maximize shareholder equity [2] - Amrita has a background in high-growth supply-chain start-ups and has experience working with venture capital firms, which has contributed to her ability to maximize returns for clients [2] - The newsletter "The Pragmatic Optimist," co-founded by Amrita, emphasizes democratizing financial literacy and simplifying complex macroeconomic concepts for better understanding [2] Group 2 - The REIT Forum is mentioned as a source for exclusive investment ideas and subscriber-only portfolios [1]

Core Insights - StockKey Inc. is introduced as a new contributing analyst on Seeking Alpha, focusing on investment ideas and market trends [1] - The professional investor at StockKey Inc. has 9 years of experience in navigating market cycles and emphasizes the importance of fundamental analysis and strategic decision-making [2] Company Overview - StockKey Inc. operates as a financial platform aimed at uncovering long-term investment opportunities [2] - The company’s focus areas include technology, financial services, energy, and emerging high-growth industries [2] Investment Approach - The investment strategy combines solid fundamentals with a thematic perspective, identifying opportunities during shifting market narratives [2] - The analyst aims to provide clear and actionable analysis to assist readers in making informed investment decisions [2]

Core Viewpoint - Rocket Companies, Inc. (NYSE: RKT) is currently rated as a Hold, indicating a cautious stance on the stock due to speculative positioning and significant risks involved [1]. Company Analysis - The company is focusing on long-term strategies, but these efforts are seen as largely speculative at this time [1]. - The analysis highlights the importance of a comprehensive and fundamental approach to investment, suggesting that there may be hidden opportunities within the company [1]. Analyst Background - The analyst has over a decade of experience in the stock market and a strong background in political economics, providing a unique perspective on macroeconomic impacts on assets [1]. - The analyst dedicates significant time to data analysis and writing for financial platforms, indicating a commitment to thorough research [1].

Core Viewpoint - Rocket Companies, Inc. (NYSE: RKT) is currently rated as a Hold, indicating a cautious stance on the stock due to speculative positioning and significant risks involved [1]. Company Analysis - The company is focusing on long-term strategies, but these efforts are seen as largely speculative at this time [1]. - The analysis highlights the importance of a comprehensive and fundamental approach to investment, suggesting that there may be hidden opportunities within the company [1]. Analyst Background - The analyst has over a decade of experience in the stock market and a strong background in political economics, providing insights into macroeconomic impacts on assets [1]. - The analyst dedicates significant time to data analysis and writing for financial platforms, indicating a commitment to thorough research [1].

Core Insights - Rocket Companies, Inc. will release its third quarter 2025 earnings on October 30, 2025, followed by a conference call at 4:30 p.m. ET to discuss the results [1] - The company operates a fintech platform that includes various businesses such as mortgage, real estate, title, and personal finance [3] Company Overview - Founded in 1985, Rocket Companies is based in Detroit and includes brands like Rocket Mortgage, Redfin, Mr. Cooper, Rocket Homes, Rocket Close, Rocket Money, and Rocket Loans [3] - The company leverages insights from over 160 million client calls annually and possesses 30 petabytes of data, positioning itself as a leader in AI-driven homeownership solutions [4] - Rocket Mortgage has been recognized for exceptional client satisfaction, ranking 1 in primary mortgage origination and servicing by J.D. Power 23 times, the highest among mortgage lenders [4]