Latest Ratios: P/E Ratio -425.5x · EV/EBITDA 34.1x · ROE -0.4%. (2018–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $33.0B | $47.9B | $23.1B | $28.7B | $13.8B | $27.9B | $2.4B | — | — |
| Enterprise Value | $30.3B | $45.2B | $35.8B | $37.1B | $23.4B | $46.9B | $28.0B | — | — |
| P/E Ratio → | -425.45 | — | 787.41 | — | 296.61 | 93.33 | 11.05 | — | — |
| P/S Ratio | 5.45 | 7.90 | 4.69 | 7.87 | 2.43 | 2.20 | 0.15 | — | — |
| P/B Ratio | 1.26 | 2.09 | 2.56 | 3.45 | 1.63 | 2.85 | 0.30 | — | — |
| P/FCF | — | — | — | 573.64 | 1.29 | 3.74 | — | — | — |
| P/OCF | — | — | — | 259.93 | 1.28 | 3.60 | — | — | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 7.45 | 7.27 | 10.18 | 4.12 | 3.70 | 1.81 | — | — |
| EV / EBITDA | 34.10 | 50.80 | 45.89 | — | 28.03 | 7.49 | 2.92 | — | — |
| EV / EBIT | 50.57 | 75.35 | 53.65 | — | 31.58 | 7.58 | 2.94 | — | — |
| EV / FCF | — | — | — | 742.74 | 2.19 | 6.30 | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 91.6% | 91.6% | 91.3% | 91.0% | 94.7% | 96.3% | 97.3% | 94.8% | 94.7% |
| Operating Margin | 8.7% | 8.7% | 12.4% | -10.1% | 12.4% | 46.9% | 60.0% | 17.4% | 14.3% |
| Net Profit Margin | -1.0% | -1.0% | 0.5% | -0.4% | 0.8% | 2.3% | 1.2% | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| ROE | -0.4% | -0.4% | 0.3% | -0.2% | 0.5% | 3.5% | 3.5% | — | — |
| ROA | -0.2% | -0.2% | 0.1% | -0.1% | 0.2% | 0.9% | 0.7% | — | — |
| ROIC | 2.0% | 2.0% | 2.5% | -1.6% | 2.2% | 14.0% | 26.0% | 4.5% | 4.3% |
| ROCE | 1.6% | 1.6% | 4.5% | -2.7% | 4.1% | 32.6% | 72.1% | 10.8% | 8.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 1.55 | 1.15 | 1.22 | 2.17 | 3.51 | 4.56 | 2.92 |
| Debt / EBITDA | — | — | 17.90 | — | 12.38 | 3.38 | 2.88 | 16.29 | 11.67 |
| Net Debt / Equity | — | -0.12 | 1.40 | 1.02 | 1.14 | 1.95 | 3.26 | 4.16 | 2.54 |
| Net Debt / EBITDA | -3.03 | -3.03 | 16.27 | — | 11.52 | 3.04 | 2.67 | 14.87 | 10.16 |
| Debt / FCF | — | — | — | 169.10 | 0.90 | 2.56 | — | — | 5.16 |
| Interest Coverage | 0.74 | 0.74 | 1.42 | -1.12 | 2.32 | 12.57 | 22.07 | 3.33 | 2.70 |
Net cash position: cash ($2.7B) exceeds total debt ($0)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 16.62 | 16.62 | 0.23 | 0.37 | 0.26 | 0.40 | 0.40 | 0.24 | 0.44 |
| Quick Ratio | 16.62 | 16.62 | 0.23 | 0.37 | 0.26 | 0.40 | 0.40 | 0.24 | 0.44 |
| Cash Ratio | 9.46 | 9.46 | 0.14 | 0.23 | 0.14 | 0.18 | 0.10 | 0.13 | 0.24 |
| Asset Turnover | — | 0.11 | 0.22 | 0.21 | 0.30 | 0.40 | 0.42 | 0.26 | 0.37 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | 14.5% | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 0.1% | — | 0.3% | 1.1% | 9.1% | — | — |
| FCF Yield | — | — | — | 0.2% | 77.6% | 26.7% | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 1.3% | 0.8% | 0.0% | — | — |
| Total Shareholder Yield | 0.0% | 0.0% | 0.0% | 0.0% | 15.8% | 0.8% | 0.0% | — | — |
| Shares Outstanding | — | $2.5B | $2.1B | $2.0B | $2.0B | $2.0B | $116M | $101M | $101M |
Includes 30+ ratios · 8 years · Updated daily
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Quick answers to the most common questions about buying RKT stock.
Rocket Companies, Inc.'s current P/E ratio is -425.5x. The historical average is 52.2x.
Rocket Companies, Inc.'s current EV/EBITDA is 34.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 27.0x.
Rocket Companies, Inc.'s return on equity (ROE) is -0.4%. The historical average is 1.2%.
Based on historical data, Rocket Companies, Inc. is trading at a P/E of -425.5x. Compare with industry peers and growth rates for a complete picture.
Rocket Companies, Inc. has 91.6% gross margin and 8.7% operating margin.
Key Metrics
Top Statement Risk
Negative net interest income
Metrics are mathematically derived from official filings.
Premium Priced, Earnings Dependent
Rocket trades at 1.49x book versus peers below 1x, implying the market expects sustained profitability. According to recent filings, forward P/E of 20.5x hinges on earnings recovery from negative NII.
The P/B of 1.49x is a significant premium to the peer group, where UWM trades at 0.19x and PennyMac at 0.95x. This premium appears justified only if Rocket can sustain the profitability seen in 2026Q1, where ROE reached 1.3%. However, the negative trailing P/E of -500x reflects the earnings volatility, and the forward multiple of 20.5x suggests the market is pricing in a normalization that has yet to be proven.
Fee Income Masks Spread Losses
ROE improved to 1.0% in 2026Q2, but non-interest income at 118% of revenue indicates core spread losses. As reported in financial statements, negative NIM persists, suggesting profitability relies on fee generation.
DuPont decomposition reveals that Rocket's ROE is driven almost entirely by fee income, with NIM negative for six consecutive quarters. The efficiency ratio improved dramatically to 30.9% in 2026Q2, but this is partly due to revenue concentration in fees. The reliance on non-interest income, which exceeded 100% of revenue, indicates that the core lending spread is unprofitable, and profitability is vulnerable to fee income volatility.
Negative NIM, Efficiency Swing
Net interest margin turned positive in 2026Q1 at 0.3% after six quarters of negative NIM, but 2026Q2 data is missing. Based on reported figures, efficiency ratio swung from 147.7% to 30.9%, indicating operational leverage.
The negative NIM reflects a cost of funds exceeding asset yields, a structural challenge for a mortgage-focused entity. The efficiency ratio improvement in 2026Q2 is notable, but the volatility across quarters suggests that cost control is not stable. Investors should monitor whether the positive NIM in 2026Q1 is sustainable or a one-off, as the negative NII in prior quarters indicates persistent spread compression.
Equity Bolstered, Capital Strong
Equity-to-assets ratio rose to 0.39 in 2026Q2, up from 0.26 in 2025Q3, indicating a strong capital buffer. As per balance sheet data, equity jumped to $23.5B, supporting future growth.
The equity-to-assets ratio of 0.39 is exceptionally high for a financial institution, suggesting a fortress-like capital position. This was driven by a near-doubling of assets and a significant equity injection, likely from the acquisition. While this provides ample capacity for capital return, the lack of dividend yield and minimal buybacks suggest management is retaining capital, possibly for strategic initiatives or to absorb potential losses from the securities portfolio.
Reserve Releases Boost Earnings
Provision releases of $82M in 2026Q2 and $149.6M in 2025Q3 boosted net income, but charge-offs are not reported. According to income statement data, credit quality appears stable, yet reserve adequacy is uncertain.
Negative provisions indicate that Rocket is releasing reserves, which artificially inflates earnings. While this may signal improving credit quality, the lack of charge-off data makes it difficult to assess the adequacy of remaining reserves. The $15.5B securities portfolio may carry unrealized losses, which could pressure future earnings if realized. Investors should monitor whether reserve releases are sustainable or a one-time benefit.
P/E Misleads on Earnings Quality
The negative trailing P/E of -500x is misleading due to provision releases and fee income volatility. As reported in financial statements, forward P/E of 20.5x better reflects normalized earnings, but NIM remains negative.
The most commonly misapplied ratio for Rocket is P/E, because earnings are heavily influenced by non-recurring items such as provision releases and MSR fair value changes. The negative trailing P/E is not indicative of ongoing losses, but rather a reflection of accounting volatility. Investors should instead focus on P/B and ROTCE, which better capture the underlying value of the franchise. The forward P/E of 20.5x assumes a recovery that is not yet evident in the NIM data, so caution is warranted.