IIn the last 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 0.91% daily loss.
As of today, the company’s shares had lost 3.89% over the past month. At the same time, the business services sector gained 1.31%, while the S&P 500 gained 0.01%.
Wall Street will look for positivity from RKT as the date of its next earnings report approaches. The company is expected to post EPS of $ 0.43, down 64.46% from the previous year quarter. Meanwhile, Zacks’ consensus estimate for revenue projects net sales of $ 2.85 billion, down 38.41% from the previous year.
For the full year, our consensus estimates from Zacks suggest analysts expect 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 a year ago.
Any recent changes in analysts’ estimates for RKT should also be noted by investors. These revisions generally reflect the latest short-term business trends, which can change frequently. Thus, the positive estimate revisions reflect the optimism of analysts about the business and profitability of the company.
Research indicates that these estimate revisions are directly correlated with short-term stock price dynamics. We have developed the Zacks Rank to capitalize on this phenomenon. Our system takes these rating changes into account and provides a clear and actionable scoring model.
Zacks’ ranking system, which ranges from # 1 (strong buy) to # 5 (strong sell), has an impressive history of externally audited outperformance, with # 1 stocks generating an average annual return of + 25% since 1988. Zacks Consensus EPS estimate has remained stagnant over the past month. RKT currently holds a Zacks rank of 3 (Maintain).
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 the average Forward P / E for its sector of 29.96.
Investors should also note that RKT currently has a PEG ratio of 0.8. The PEG ratio is similar to the widely used P / E ratio, but this metric also takes into account the expected profit growth rate of the company. RKT’s industry had an average PEG ratio of 2.27 at 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 places it in the lowest 12% of all 250+ industries.
The Zacks Industry Rank includes is ranked from best to worst in terms of the average Zacks Rank of individual companies in each of these industries. Our research shows that the top 50% of industries top the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock market metrics and more on Zacks.com.
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Rocket Companies, Inc. (RKT): Free Stock Analysis Report
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