In the latest trading session, Rocket Companies (RKT) closed at $16.78, marking no change from the previous day. This move was narrower than the S&P 500’s daily loss of 0.91%.
Coming into today, shares of the company had lost 3.89% in the past month. In that same time, the Business Services sector gained 1.31%, while the S&P 500 gained 0.01%.
Wall Street will be looking for positivity from RKT as it approaches its next earnings report date. The company is expected to report EPS of $0.43, down 64.46% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.85 billion, down 38.41% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.10 per share and revenue of $12.49 billion. These totals would mark changes of -48.91% and -20.62%, respectively, from last year.
Any recent changes to analyst estimates for RKT should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. RKT is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note RKT’s current valuation metrics, including its Forward P/E ratio of 8.01. This valuation marks a discount compared to its industry’s average Forward P/E of 29.96.
Investors should also note that RKT has a PEG ratio of 0.8 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. RKT’s industry had an average PEG ratio of 2.27 as of yesterday’s close.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 224, which puts it in the bottom 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Rocket Companies, Inc. (RKT): Free Stock Analysis Report
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