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REAX vs RKT
Revenue, margins, valuation, and 5-year total return — side by side.
Financial - Mortgages
REAX vs RKT — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Real Estate - Services | Financial - Mortgages |
| Market Cap | $436M | $1.99B |
| Revenue (TTM) | $1.97B | $5.40B |
| Net Income (TTM) | $-8M | $-102M |
| Gross Margin | 8.4% | 91.3% |
| Operating Margin | -0.4% | 12.4% |
| Forward P/E | — | 19.2x |
| Total Debt | $0.00 | $13.98B |
| Cash & Equiv. | $60M | $1.27B |
REAX vs RKT — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | Aug 20 | May 26 | Return |
|---|---|---|---|
| The Real Brokerage … (REAX) | 100 | 204.0 | +104.0% |
| Rocket Companies, I… (RKT) | 100 | 50.3 | -49.7% |
Price return only. Dividends and distributions are not included.
Quick Verdict: REAX vs RKT
Each card shows where this stock fits in a portfolio — not just who wins on paper.
REAX is the clearest fit if your priority is income & stability and growth exposure.
- beta 1.60
- Rev growth 55.7%, EPS growth 73.6%, 3Y rev CAGR 72.8%
- 338.1% 10Y total return vs RKT's -20.9%
RKT carries the broadest edge in this set and is the clearest fit for quality and momentum.
- 0.5% margin vs REAX's -0.4%
- +18.2% vs REAX's -51.1%
- -0.3% ROA vs REAX's -6.2%, ROIC 2.5% vs -15.9%
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 55.7% FFO/revenue growth vs RKT's 34.8% | |
| Quality / Margins | 0.5% margin vs REAX's -0.4% | |
| Stability / Safety | Beta 1.60 vs RKT's 1.77 | |
| Dividends | Tie | Neither stock pays a meaningful dividend |
| Momentum (1Y) | +18.2% vs REAX's -51.1% | |
| Efficiency (ROA) | -0.3% ROA vs REAX's -6.2%, ROIC 2.5% vs -15.9% |
REAX vs RKT — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
REAX vs RKT — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
RKT leads this category, winning 3 of 5 comparable metrics.
Income & Cash Flow (Last 12 Months)
RKT is the larger business by revenue, generating $5.4B annually — 2.7x REAX's $2.0B. Profitability is closely matched — net margins range from 0.5% (RKT) to -0.4% (REAX).
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $2.0B | $5.4B |
| EBITDAEarnings before interest/tax | -$7M | $682M |
| Net IncomeAfter-tax profit | -$8M | -$102M |
| Free Cash FlowCash after capex | $74M | -$1.1B |
| Gross MarginGross profit ÷ Revenue | +8.4% | +91.3% |
| Operating MarginEBIT ÷ Revenue | -0.4% | +12.4% |
| Net MarginNet income ÷ Revenue | -0.4% | +0.5% |
| FCF MarginFCF ÷ Revenue | +3.8% | -63.6% |
| Rev. Growth (YoY)Latest quarter vs prior year | +44.1% | — |
| EPS Growth (YoY)Latest quarter vs prior year | +42.4% | -4.3% |
Valuation Metrics
REAX leads this category, winning 2 of 3 comparable metrics.
Valuation Metrics
| Metric | ||
|---|---|---|
| Market CapShares × price | $436M | $2.0B |
| Enterprise ValueMkt cap + debt − cash | $376M | $14.7B |
| Trailing P/EPrice ÷ TTM EPS | -55.28x | 67.10x |
| Forward P/EPrice ÷ next-FY EPS est. | — | 19.25x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | — | 18.81x |
| Price / SalesMarket cap ÷ Revenue | 0.22x | 0.37x |
| Price / BookPrice ÷ Book value/share | 8.70x | 0.22x |
| Price / FCFMarket cap ÷ FCF | 6.72x | — |
Profitability & Efficiency
RKT leads this category, winning 5 of 7 comparable metrics.
Profitability & Efficiency
RKT delivers a -1.2% return on equity — every $100 of shareholder capital generates $-1 in annual profit, vs $-17 for REAX.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | -17.4% | -1.2% |
| ROA (TTM)Return on assets | -6.2% | -0.3% |
| ROICReturn on invested capital | -15.9% | +2.5% |
| ROCEReturn on capital employed | -20.3% | +4.5% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 5 |
| Debt / EquityFinancial leverage | — | 1.55x |
| Net DebtTotal debt minus cash | -$60M | $12.7B |
| Cash & Equiv.Liquid assets | $60M | $1.3B |
| Total DebtShort + long-term debt | $0 | $14.0B |
| Interest CoverageEBIT ÷ Interest expense | -15.34x | 0.87x |
Total Returns (Dividends Reinvested)
RKT leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in REAX five years ago would be worth $10,851 today (with dividends reinvested), compared to $6,974 for RKT. Over the past 12 months, RKT leads with a +18.2% total return vs REAX's -51.1%. The 3-year compound annual growth rate (CAGR) favors RKT at 20.8% vs REAX's 18.7% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -44.7% | -29.1% |
| 1-Year ReturnPast 12 months | -51.1% | +18.2% |
| 3-Year ReturnCumulative with dividends | +67.2% | +76.2% |
| 5-Year ReturnCumulative with dividends | +8.5% | -30.3% |
| 10-Year ReturnCumulative with dividends | +338.1% | -20.9% |
| CAGR (3Y)Annualised 3-year return | +18.7% | +20.8% |
Risk & Volatility
Evenly matched — REAX and RKT each lead in 1 of 2 comparable metrics.
Risk & Volatility
REAX is the less volatile stock with a 1.60 beta — it tends to amplify market swings less than RKT's 1.77 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. RKT currently trades 57.8% from its 52-week high vs REAX's 37.7% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.60x | 1.77x |
| 52-Week HighHighest price in past year | $5.41 | $24.36 |
| 52-Week LowLowest price in past year | $1.92 | $11.08 |
| % of 52W HighCurrent price vs 52-week peak | +37.7% | +57.8% |
| RSI (14)Momentum oscillator 0–100 | 36.1 | 38.8 |
| Avg Volume (50D)Average daily shares traded | 2.1M | 25.2M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates REAX as "Buy" and RKT as "Hold". Consensus price targets imply 108.3% upside for REAX (target: $4) vs 53.5% for RKT (target: $22).
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $4.25 | $21.63 |
| # AnalystsCovering analysts | 7 | 25 |
| Dividend YieldAnnual dividend ÷ price | — | — |
| Dividend StreakConsecutive years of raises | — | 1 |
| Dividend / ShareAnnual DPS | — | — |
| Buyback YieldShare repurchases ÷ mkt cap | +9.0% | 0.0% |
RKT leads in 3 of 6 categories (Income & Cash Flow, Profitability & Efficiency). REAX leads in 1 (Valuation Metrics). 1 tied.
REAX vs RKT: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is REAX or RKT a better buy right now?
For growth investors, The Real Brokerage Inc.
(REAX) is the stronger pick with 55. 7% revenue growth year-over-year, versus 34. 8% for Rocket Companies, Inc. (RKT). Rocket Companies, Inc. (RKT) offers the better valuation at 67. 1x trailing P/E (19. 2x forward), making it the more compelling value choice. Analysts rate The Real Brokerage Inc. (REAX) a "Buy" — based on 7 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — REAX or RKT?
Over the past 5 years, The Real Brokerage Inc.
(REAX) delivered a total return of +8. 5%, compared to -30. 3% for Rocket Companies, Inc. (RKT). Over 10 years, the gap is even starker: REAX returned +338. 1% versus RKT's -20. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — REAX or RKT?
By beta (market sensitivity over 5 years), The Real Brokerage Inc.
(REAX) is the lower-risk stock at 1. 60β versus Rocket Companies, Inc. 's 1. 77β — meaning RKT is approximately 11% more volatile than REAX relative to the S&P 500.
04Which is growing faster — REAX or RKT?
By revenue growth (latest reported year), The Real Brokerage Inc.
(REAX) is pulling ahead at 55. 7% versus 34. 8% for Rocket Companies, Inc. (RKT). Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
05Which has better profit margins — REAX or RKT?
Rocket Companies, Inc.
(RKT) is the more profitable company, earning 0. 5% net margin versus -0. 4% for The Real Brokerage Inc. — meaning it keeps 0. 5% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: RKT leads at 12. 4% versus -0. 4% for REAX. At the gross margin level — before operating expenses — RKT leads at 91. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is REAX or RKT more undervalued right now?
Analyst consensus price targets imply the most upside for REAX: 108.
3% to $4. 25.
07Which pays a better dividend — REAX or RKT?
None of the stocks in this comparison currently pay a material dividend.
All are effectively zero-yield and should be held for capital appreciation rather than income.
08Is REAX or RKT better for a retirement portfolio?
For long-horizon retirement investors, The Real Brokerage Inc.
(REAX) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (+338. 1% 10Y return). Rocket Companies, Inc. (RKT) carries a higher beta of 1. 77 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (REAX: +338. 1%, RKT: -20. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between REAX and RKT?
These companies operate in different sectors (REAX (Real Estate) and RKT (Financial Services)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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