ROCKET COS INC-CLASS A (RKT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RKT - US77311W1018 - Common Stock
19.41 USD
-0.04 (-0.21%)
19.41 USD
0 (0%)
Overall RKT gets a fundamental rating of 2 out of 10. We evaluated RKT against 99 industry peers in the Financial Services industry. RKT has a bad profitability rating. Also its financial health evaluation is rather negative. RKT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year RKT was profitable.
In the past year RKT has reported a negative cash flow from operations.
Of the past 5 years RKT 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: RKT reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of RKT (-0.30%) is worse than 74.75% of its industry peers.
The Return On Equity of RKT (-1.15%) is worse than 71.72% of its industry peers.
RKT has a Return On Invested Capital (2.71%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RKT is significantly below the industry average of 8.44%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.3% | ||
| ROE | -1.15% | ||
| ROIC | 2.71% |
ROA(3y)0.09%
ROA(5y)0.35%
ROE(3y)3.22%
ROE(5y)19.25%
ROIC(3y)3.29%
ROIC(5y)10.14%
1.3 Margins
RKT's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 18.57%, RKT is in the better half of the industry, outperforming 65.66% of the companies in the same industry.
RKT's Operating Margin has declined in the last couple of years.
The Profit Margin and Gross Margin are not available for RKT so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.57% | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3Y-23.89%
OM growth 5Y-3.1%
PM growth 3Y-38.56%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RKT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RKT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for RKT has been increased compared to 5 years ago.
The debt/assets ratio for RKT is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.33, we must say that RKT is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 1.33, RKT is doing good in the industry, outperforming 64.65% of the companies in the same industry.
A Debt/Equity ratio of 2.48 is on the high side and indicates that RKT has dependencies on debt financing.
RKT's Debt to Equity ratio of 2.48 is on the low side compared to the rest of the industry. RKT is outperformed by 73.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.48 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.33 |
ROIC/WACC0.35
WACC7.85%
2.3 Liquidity
RKT has a Current Ratio of 0.42. This is a bad value and indicates that RKT is not financially healthy enough and could expect problems in meeting its short term obligations.
RKT's Current ratio of 0.42 is on the low side compared to the rest of the industry. RKT is outperformed by 63.64% of its industry peers.
RKT has a Quick Ratio of 0.42. This is a bad value and indicates that RKT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of RKT (0.42) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
RKT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.56%.
RKT shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -53.86% yearly.
Looking at the last year, RKT shows a very strong growth in Revenue. The Revenue has grown by 40.62%.
Measured over the past years, RKT shows a small growth in Revenue. The Revenue has been growing by 0.62% on average per year.
EPS 1Y (TTM)5.56%
EPS 3Y-53.86%
EPS 5YN/A
EPS Q2Q%-12.5%
Revenue 1Y (TTM)40.62%
Revenue growth 3Y-25.65%
Revenue growth 5Y0.62%
Sales Q2Q%148.11%
3.2 Future
The Earnings Per Share is expected to grow by 36.44% on average over the next years. This is a very strong growth
RKT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 17.13% yearly.
EPS Next Y14.31%
EPS Next 2Y92.31%
EPS Next 3Y71.83%
EPS Next 5Y36.44%
Revenue Next Year37.66%
Revenue Next 2Y54.15%
Revenue Next 3Y38.08%
Revenue Next 5Y17.13%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 102.16, which means the current valuation is very expensive for RKT.
Based on the Price/Earnings ratio, RKT is valued a bit more expensive than the industry average as 75.76% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 26.59, RKT is valued quite expensively.
Based on the Price/Forward Earnings ratio of 23.86, the valuation of RKT can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RKT indicates a slightly more expensive valuation: RKT is more expensive than 64.65% of the companies listed in the same industry.
RKT is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 102.16 | ||
| Fwd PE | 23.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RKT is valued a bit more expensive than 61.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 44.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RKT does not grow enough to justify the current Price/Earnings ratio.
RKT's earnings are expected to grow with 71.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)7.14
PEG (5Y)N/A
EPS Next 2Y92.31%
EPS Next 3Y71.83%
5. Dividend
5.1 Amount
RKT has a Yearly Dividend Yield of 4.19%, which is a nice return.
Compared to an average industry Dividend Yield of 2.43, RKT pays a better dividend. On top of this RKT pays more dividend than 81.82% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.88, RKT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
5.2 History
RKT has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y92.31%
EPS Next 3Y71.83%
19.41
-0.04 (-0.21%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners40.19%
Inst Owner Change59.26%
Ins Owners1.47%
Ins Owner Change-72.78%
Market Cap54.66B
Revenue(TTM)6.10B
Net Income(TTM)-102.15M
Analysts73.75
Price TargetN/A
Short Float %4.54%
Short Ratio1.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.19% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)48.67%
Min EPS beat(2)46.68%
Max EPS beat(2)50.67%
EPS beat(4)3
Avg EPS beat(4)34.73%
Min EPS beat(4)-1.8%
Max EPS beat(4)50.67%
EPS beat(8)6
Avg EPS beat(8)100.21%
EPS beat(12)10
Avg EPS beat(12)82.9%
EPS beat(16)10
Avg EPS beat(16)33.24%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-4.67%
Max Revenue beat(2)5.36%
Revenue beat(4)2
Avg Revenue beat(4)9.18%
Min Revenue beat(4)-17.55%
Max Revenue beat(4)53.56%
Revenue beat(8)4
Avg Revenue beat(8)2.67%
Revenue beat(12)6
Avg Revenue beat(12)2.27%
Revenue beat(16)8
Avg Revenue beat(16)4.15%
PT rev (1m)4.5%
PT rev (3m)16.21%
EPS NQ rev (1m)-17.2%
EPS NQ rev (3m)10%
EPS NY rev (1m)5.75%
EPS NY rev (3m)17.18%
Revenue NQ rev (1m)-1.26%
Revenue NQ rev (3m)24.83%
Revenue NY rev (1m)3.72%
Revenue NY rev (3m)6.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 102.16 | ||
| Fwd PE | 23.86 | ||
| P/S | 8.96 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 6.17 | ||
| P/tB | N/A | ||
| EV/EBITDA | 44.4 |
EPS(TTM)0.19
EY0.98%
EPS(NY)0.81
Fwd EY4.19%
FCF(TTM)-0.33
FCFYN/A
OCF(TTM)-0.3
OCFYN/A
SpS2.17
BVpS3.14
TBVpS-1.8
PEG (NY)7.14
PEG (5Y)N/A
Graham Number3.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.3% | ||
| ROE | -1.15% | ||
| ROCE | 5.79% | ||
| ROIC | 2.71% | ||
| ROICexc | 3.3% | ||
| ROICexgc | 8.03% | ||
| OM | 18.57% | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.09%
ROA(5y)0.35%
ROE(3y)3.22%
ROE(5y)19.25%
ROIC(3y)3.29%
ROIC(5y)10.14%
ROICexc(3y)3.45%
ROICexc(5y)10.75%
ROICexgc(3y)6.07%
ROICexgc(5y)14.38%
ROCE(3y)6.38%
ROCE(5y)29.47%
ROICexgc growth 3Y-32.9%
ROICexgc growth 5Y-0.88%
ROICexc growth 3Y-38.01%
ROICexc growth 5Y-6.72%
OM growth 3Y-23.89%
OM growth 5Y-3.1%
PM growth 3Y-38.56%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score2
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.48 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 16.97 | ||
| Cap/Depr | 43.03% | ||
| Cap/Sales | 1.14% | ||
| Interest Coverage | 2.37 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 1.33 |
F-Score2
WACC7.85%
ROIC/WACC0.35
Cap/Depr(3y)71.15%
Cap/Depr(5y)102.8%
Cap/Sales(3y)1.43%
Cap/Sales(5y)1.17%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.56%
EPS 3Y-53.86%
EPS 5YN/A
EPS Q2Q%-12.5%
EPS Next Y14.31%
EPS Next 2Y92.31%
EPS Next 3Y71.83%
EPS Next 5Y36.44%
Revenue 1Y (TTM)40.62%
Revenue growth 3Y-25.65%
Revenue growth 5Y0.62%
Sales Q2Q%148.11%
Revenue Next Year37.66%
Revenue Next 2Y54.15%
Revenue Next 3Y38.08%
Revenue Next 5Y17.13%
EBIT growth 1Y196.98%
EBIT growth 3Y-43.41%
EBIT growth 5Y-2.5%
EBIT Next Year1229.42%
EBIT Next 3Y285.01%
EBIT Next 5Y115.5%
FCF growth 1Y-599.97%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-1194.29%
OCF growth 3YN/A
OCF growth 5YN/A
ROCKET COS INC-CLASS A / RKT FAQ
What is the ChartMill fundamental rating of ROCKET COS INC-CLASS A (RKT) stock?
ChartMill assigns a fundamental rating of 2 / 10 to RKT.
Can you provide the valuation status for ROCKET COS INC-CLASS A?
ChartMill assigns a valuation rating of 1 / 10 to ROCKET COS INC-CLASS A (RKT). This can be considered as Overvalued.
Can you provide the profitability details for ROCKET COS INC-CLASS A?
ROCKET COS INC-CLASS A (RKT) has a profitability rating of 2 / 10.
What are the PE and PB ratios of ROCKET COS INC-CLASS A (RKT) stock?
The Price/Earnings (PE) ratio for ROCKET COS INC-CLASS A (RKT) is 102.16 and the Price/Book (PB) ratio is 6.17.
How financially healthy is ROCKET COS INC-CLASS A?
The financial health rating of ROCKET COS INC-CLASS A (RKT) is 0 / 10.