5 Days Ago
2 Min Read

RKT down -12%. The primary reasons:

+7.79% 24h

Rocket Companies, Inc. (RKT) is trading -12% lower at $9.06 today.

  • Q2: -$0.03 vs consensus -$0.02, down from $0.46 June 2021
  • Q2 adjusted revenue: $1.13B, below consensus estimates of $1.53B, and down from $2.79B a year ago 
  • Q2 closed origination volume: $34.5B from $83.8B a Q2 2021
  • Gain on sale margin: 2.92% vs. 2.78% in Q2 2021
  • Net rate lock volume: $29.4B vs. $83.6B Q2 2021
  • Adjusted EBITDA: -$27M vs +$1.3B Q2 2021
  • Net interest income: $36.5M vs $22.3M Q2 2021
  • Treasurer and CFO Julie Booth, citing pressure from rising rates: "we reduced expenses by approximately $300 million during the second quarter and will continue to execute a prudent approach to cost management" 
  • "We are also investing our capital into the Rocket engagement and services platforms to expand our client base, drive higher conversion, and lower our client acquisition cost, setting the foundation for our next stage of growth."
  • Guidance, Q3 closed loan volume: $23B-28B 
  • Guidance, Q3 net rate lock volume: $23B-30B
  • Guidance, Q3 gain on sale margins: 2.50%-2.80%

Rocket Companies, Inc. has been trading between a 52-week high of $18.16 and a 52-week low of $6.27. The stock has a market cap of $1.07 Billion.

Rocket Companies is a Detroit-based holding company consisting of personal finance and consumer technology brands including Rocket Mortgage, Rocket Homes, Rocket Loans, Rocket Auto, Rock Central, Amrock, Core Digital Media, Rock Connections, Lendesk and Edison Financial. Since 1985, Rocket Companies has been obsessed with helping its clients achieve the American dream of home ownership and financial freedom. Rocket Companies offers an industry-leading client experience powered by our simple, fast, and trusted digital solutions.


Rocket Companies, Inc. (RKT) Q2 2022 Earnings Call Transcript
The Motley Fool 08-04-22

Rocket Companies, Inc''s (RKT) CEO Jay Farner on Q2 2022 Results - Earnings Call Transcript
Seeking Alpha 08-04-22

Rocket Companies, Inc. 2022 Q2 - Results - Earnings Call Presentation (NYSE:RKT)
Seeking Alpha 08-04-22

Rocket Companies stock slides after disappointing Q3 guidance, Q2 miss
Seeking Alpha 08-04-22

Recap: Rocket Companies Q2 Earnings
Benzinga 08-04-22

As you can imagine, the internet had a few things to say about the price move. Here's a few choice comments from the Reddit Traderverse™:

Throwaway1021920087 - 7 upvotes - source

bodacioustugboat3 - 3 upvotes - source
RKT puts make me hard

LoudHousing3 - 3 upvotes - source
How is RKT done after bad earnings, I thought when companies miss the stock goes up

bitterbrew - 3 upvotes - source
For a moment there I thought my RKT CCs we’re gonna get called away. Thank goodness the stocks tanking so I can keep my garbage shares.

Zachjsrf - 3 upvotes - source
Sooooo who followed my RKT put play callout? Anyone? Bueller? Bueller? ![img](emote|t5_2th52|8882)

Zachjsrf - 3 upvotes - source
My earnings play for the day is RKT $10p and $9.5p for 8/19 well over 13000 of these bought at or near the ask by whales. Smol bet but we will see

Throwaway1021920087 - 2 upvotes - source
To the Zach guy in here if this RKT play works out thx for the tip

Zachjsrf - 2 upvotes - source
Yea I'm bored, I did throw a few hundo at RKT 9.5 puts to feel something tho

bodacioustugboat3 - 2 upvotes - source
RKT puts

madalvinz - 2 upvotes - source
RKT lottos anyone?