Rocket Companies, Inc. carries no debt; cash flow comfortably covers obligations.

Rocket Companies, Inc.'s free cash flow has decreased 16.99% from $-3.43B last year to $-4.02B, signaling decreasing performance

Rocket Companies, Inc.'s debt to equity ratio is 1.16, which means that the company's assets are unhealthy financed, signaling financial risk.

Rocket Companies, Inc.'s debt has decreased relative to shareholder equity from 19.89 last year to 1.16 today, signaling strengthened financials

Rocket Companies, Inc. has a net cash position, so leverage is healthy.

Rocket Companies, Inc. carries no debt; interest obligations are fully covered.

Rocket Companies, Inc.'s profit margin has increased (796.42%) in the last year from 0.54% to 4.87%, signaling increasing performance

Rocket Companies, Inc.'s short-term assets of $4.74B exceed its short-term liabilities of $285.00M

Rocket Companies, Inc.'s return on assets of 0.00% is lower than the 5.00% threshold, indicating inefficient asset utilization

Rocket Companies, Inc.'s return on equity of 2.40%, is lower than 15.00%, indicating bad performance

Rocket Companies, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Rocket Companies, Inc. had positive net income in 3 out of 5 years, indicating stable and consistent earnings

Rocket Companies, Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

Rocket Companies, Inc. has negative free cash flow, indicating cash burn

Rocket Companies, Inc.'s yearly earnings has decreased 331.53% since last year from $29.37M to $-68.00M, signaling decreasing performance

Rocket Companies, Inc.'s yearly revenue has increased 27.37% since last year from $5.40B to $6.88B, signaling increasing performance

ROIC 2.26% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Rocket Companies, Inc.'s 3-year revenue CAGR of 4.64% is positive, indicating growing revenue over the past 3 years

Rocket Companies, Inc. had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

Rocket Companies, Inc. had positive ROE in 3 out of 5 years, indicating consistent and reliable returns on equity

Rocket Companies, Inc. has insufficient data to evaluate this check.

Rocket Companies, Inc. has an earnings yield of 1.21%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Rocket Companies, Inc. is overvalued relative to its fair value price of 3.17 based on EBITDA multiple model

Rocket Companies, Inc. has an EV/EBITDA ratio of 40.63x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Rocket Companies, Inc. is overvalued relative to its fair value price of 2.80 based on Earnings Fair Value model

Rocket Companies, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails

Rocket Companies, Inc. has a price-to-book ratio of 1.66x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Rocket Companies, Inc. has a price-to-sales ratio of 4.03x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue