Rocket Companies (NYSE:RKT) Price Target Cut to $19.00 by Analysts at Benchmark

Key Points

• Benchmark cut Rocket Companies’ price target from $21 to $19 while maintaining a “buy” rating, implying about 41.7% upside from the prior close. The analyst consensus remains “Moderate Buy,” with an average target of $20.30.
• Rocket’s second-quarter EPS of $0.16 matched expectations, while revenue surged 91.9% year over year to $2.76 billion but fell short of the $2.81 billion consensus estimate.
• Analyst sentiment is mixed: several firms lowered price targets, reflecting concerns about weaker mortgage demand and housing-market conditions, although most maintained overweight or buy-equivalent ratings.

Rocket Companies (NYSE:RKT - Get Free Report) had its target price reduced by Benchmark from $21.00 to $19.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. Benchmark's price target would indicate a potential upside of 41.73% from the company's previous close.

Several other research firms have also recently issued reports on RKT. Morgan Stanley upgraded Rocket Companies from an "equal weight" rating to an "overweight" rating and increased their price objective for the stock from $18.00 to $19.00 in a research report on Thursday, July 16th. Barclays decreased their target price on shares of Rocket Companies from $19.00 to $17.00 and set an "overweight" rating on the stock in a research report on Tuesday, July 7th. Wells Fargo & Company cut their price target on shares of Rocket Companies from $17.00 to $15.00 and set an "equal weight" rating for the company in a report on Friday. Weiss Ratings upgraded shares of Rocket Companies from a "sell (d)" rating to a "hold (c)" rating in a research note on Wednesday, May 13th. Finally, Stephens dropped their target price on shares of Rocket Companies from $22.50 to $20.00 and set an "overweight" rating for the company in a report on Friday. Ten equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $20.30.

Rocket Companies Stock Performance

RKT traded up $0.19 during trading on Friday, reaching $13.41. The company's stock had a trading volume of 26,315,691 shares, compared to its average volume of 29,174,912. The company has a debt-to-equity ratio of 1.13, a quick ratio of 4.37 and a current ratio of 4.37. The company's fifty day moving average price is $14.02 and its 200-day moving average price is $15.48. Rocket Companies has a 52-week low of $12.17 and a 52-week high of $24.36. The company has a market capitalization of $37.93 billion, a price-to-earnings ratio of 268.34 and a beta of 2.19.

Rocket Companies (NYSE:RKT - Get Free Report) last issued its earnings results on Thursday, August 6th. The company reported $0.16 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.16. The business had revenue of $2.76 billion during the quarter, compared to the consensus estimate of $2.81 billion. Rocket Companies had a return on equity of 4.30% and a net margin of 2.78%.The company's revenue for the quarter was up 91.9% on a year-over-year basis. During the same period in the prior year, the business posted $0.04 EPS. On average, equities analysts forecast that Rocket Companies will post 0.54 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Rocket Companies

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Vanguard Group Inc. boosted its position in Rocket Companies by 280.3% during the fourth quarter. Vanguard Group Inc. now owns 87,256,540 shares of the company's stock worth $1,689,287,000 after acquiring an additional 64,311,040 shares during the last quarter. ValueAct Holdings L.P. boosted its holdings in shares of Rocket Companies by 55.1% during the fourth quarter. ValueAct Holdings L.P. now owns 39,380,652 shares of the company's stock worth $762,409,000 after purchasing an additional 13,985,025 shares during the last quarter. Nuveen LLC boosted its holdings in shares of Rocket Companies by 5.5% during the fourth quarter. Nuveen LLC now owns 32,538,137 shares of the company's stock worth $629,938,000 after purchasing an additional 1,706,659 shares during the last quarter. Morgan Stanley grew its position in shares of Rocket Companies by 461.2% in the fourth quarter. Morgan Stanley now owns 27,009,279 shares of the company's stock valued at $522,900,000 after purchasing an additional 22,196,782 shares during the period. Finally, Price T Rowe Associates Inc. MD increased its stake in Rocket Companies by 11,636.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 26,189,869 shares of the company's stock valued at $507,037,000 after purchasing an additional 25,966,725 shares during the last quarter. 4.59% of the stock is currently owned by hedge funds and other institutional investors.

Rocket Companies News Roundup

Here are the key news stories impacting Rocket Companies this week:

• Positive Sentiment: Strong year-over-year growth and market-share gains: Second-quarter revenue rose 91.9% year over year to approximately $2.76 billion, while the company reported $0.16 in adjusted EPS, up from $0.04 a year earlier. Rocket also highlighted record mortgage-market-share gains and improved efficiency from artificial intelligence. RKT Q2 Earnings Match, Revenues Miss Amid Housing Weakness, Stock Dips
• Positive Sentiment: Earnings met expectations: Rocket’s second-quarter EPS matched the $0.16 analyst consensus, and adjusted net income reached $441 million, supporting the company’s profitability narrative despite a difficult housing environment. Rocket Companies Announces Second Quarter 2026 Results
• Neutral Sentiment: Analysts remain divided: Stephens reduced its price target from $22.50 to $20.00 but retained an “overweight” rating. Wells Fargo lowered its target from $17.00 to $15.00 and maintained an “equal weight” rating. The cuts reflect more cautious near-term expectations, although both targets remain above the recent share price. Analyst price-target updates
• Negative Sentiment: Revenue and forward guidance disappointed: Second-quarter revenue fell short of the approximately $2.81 billion consensus estimate. Rocket guided for third-quarter revenue of $2.5 billion to $2.7 billion, below analysts’ roughly $2.9 billion forecast, increasing concerns about mortgage demand and near-term earnings momentum.
• Negative Sentiment: Housing conditions remain a headwind: Redfin reported that pending home sales declined 3.7% week over week to a five-month low as mortgage rates rose to their highest level in nearly a year. The broader real-estate selloff has added pressure to mortgage-related stocks, including RKT. Redfin Reports Pending Home Sales Sink to 5-Month Low

Rocket Companies Company Profile

Rocket Companies, Inc is a Detroit-based holding company whose businesses are centered on digital mortgage origination and related consumer finance and real estate services. The company grew out of the Quicken Loans franchise and completed an initial public offering in 2020. Founder Dan Gilbert remains a prominent figure associated with the firm, which operates a suite of brands that aim to simplify the home financing and buying experience through technology and scale.

The company's core activity is mortgage lending through its Rocket Mortgage platform, which offers online application, underwriting and servicing for home purchase and refinance loans.

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