Provide online mortgage lending through Rocket Mortgage. Offer title insurance and property valuation services via Amrock. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
An average decline of 15% a year over the last 4 years — the most striking risk in this picture. Red columns mark years that ended in a loss.
At this burn rate the cash pile isn’t the pressing question — for now, time is on the company’s side.
This company is not turning a profit, so the market is pricing its sales instead: 5.4× for every dollar of annual revenue.
Against companies in its own sector, it looks cheaper than 14% of them.
Analysts' average target sits 41% above today's price.
The stock trades 44% below its peak. The market has trimmed its expectations for the company.
The company sells $6.9B a year; the problem isn’t sales — it’s costs running above that number.
A loss of $68M against $6.9B in annual sales.
This stock swings about 2.2 times as much as the market average. Big rallies — and big drops — can both happen fast.
On our five-subject report card, RKT sits behind the class. A low grade doesn’t mean “doomed” — it means “big claim, small proof.”
The takeaway: RKT’s sales are going backwards, and it closed last year at a loss. The road back runs through both.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Analysts’ average target sits above today’s price, yet the valuation grade (14/100) says the stock isn’t cheap.