Rocket (Rocket) Debt-to-Equity

: 8.40 (As of Dec. 2023)

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Rocket's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $319 Mil. Rocket's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $4,928 Mil. Rocket's Total Stockholders Equity for the quarter that ended in Dec. 2023 was $625 Mil. Rocket's debt to equity for the quarter that ended in Dec. 2023 was 8.40.

A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.

The historical rank and industry rank for Rocket's Debt-to-Equity or its related term are showing as below:

RKT' s Debt-to-Equity Range Over the Past 10 Years
Min: 1.46 Med: 9.35 Max: 15.69
Current: 8.4

During the past 7 years, the highest Debt-to-Equity Ratio of Rocket was 15.69. The lowest was 1.46. And the median was 9.35.

RKT's Debt-to-Equity is ranked worse than
98.35% of 1398 companies
in the Banks industry
Industry Median: 0.7 vs RKT: 8.40

Rocket Debt-to-Equity Historical Data

The historical data trend for Rocket's Debt-to-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Rocket Annual Data

Trend

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Debt-to-Equity

1.62

15.69

14.69

10.31

8.40

Rocket Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Debt-to-Equity																10.31	12.41	10.27	10.36	8.40

Competitive Comparison

For the Mortgage Finance subindustry, Rocket's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Rocket Debt-to-Equity Distribution

For the Banks industry and Financial Services sector, Rocket's Debt-to-Equity distribution charts can be found below:

* The bar in red indicates where Rocket's Debt-to-Equity falls into.

Rocket Debt-to-Equity Calculation

Debt to Equity measures the financial leverage a company has.

Rocket's Debt to Equity Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Debt to Equity	=	Total Debt			/	Total Stockholders Equity
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	Total Stockholders Equity
	=	(319.308	+	4928.344)	/	624.9
	=	8.40

Rocket's Debt to Equity Ratio for the quarter that ended in Dec. 2023 is calculated as

Debt to Equity	=	Total Debt			/	Total Stockholders Equity
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	Total Stockholders Equity
	=	(319.308	+	4928.344)	/	624.9
	=	8.40

Rocket (NYSE:RKT) Debt-to-Equity Explanation

In the calculation of Debt to Equity, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by Total Stockholders Equity. In some calculations, Total Liabilities is used to for calculation.

Be Aware

Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.

Rocket Debt-to-Equity Related Terms

Thank you for viewing the detailed overview of Rocket's Debt-to-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.

Rocket (Rocket) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Rocket Companies Inc (NYSE:RKT) » Definitions » Debt-to-Equity

Comparable Companies

Traded in Other Exchanges

RKT:Mexico

Address

1050 Woodward Avenue, Detroit, MI, USA, 48226

Website

https://ir.rocketcompanies.com

Rocket Companies is a financial services company that was originally founded as Rock Financial in 1985 and is currently based in Detroit. Rocket Companies offers a wide array of services and products but is best known for its Rocket Mortgage business. The company's mortgage lending operations are split between its direct-to-consumer lending, which sees borrowers accessing the company's lending arm directly through either its mobile app or website, and its partner network where mortgage brokers and other firms use Rocket's origination process to offer loans to their customers. The company has rapidly gained market share in recent years and is now the largest mortgage originator in the U.S. as well as the servicer for more than 2 million loans.

Executives

Varun Krishna	officer: Chief Executive Officer	2700 COAST AVENUE, MOUNTAIN VIEW CA 94043
Jonathan D Mariner	director	2200 WEST DON TYSON PARKWAY, SPRINGDALE AR 72762
William C. Emerson	director	1050 WOODWARD AVENUE, DETROIT MI 48226
Matthew Rizik	director	1050 WOODWARD AVENUE, DETROIT MI 48226
Jay Farner	director, officer: Chief Executive Officer	1050 WOODWARD AVENUE, DETROIT MI 48226
Tina V. John	officer: General Counsel & Secretary	C/O ROCKET COMPANIES, INC., 1050 WOODWARD AVENUE, DETROIT MI 48226
Daniel B Gilbert	director, 10 percent owner	1050 WOODWARD AVENUE, DETROIT MI 48226
Rock Holdings Inc.	director, 10 percent owner	1090 WOODWARD AVENUE, DETROIT MI 48226
Jennifer L. Gilbert	director	1050 WOODWARD AVENUE, DETROIT MI 48226
Nancy Tellem	director	1016 LAKE PARK DRIVE, BIRMINGHAM MI 48009
Suzanne F. Shank	director	C/O PENSARE SPONSOR GROUP, LLC, 1720 PEACHTREE STREET, SUITE 629, ATLANTA GA 30309
Julie Booth	officer: Chief Fin. Officer & Treasurer	1050 WOODWARD AVENUE, DETROIT MI 48226
Angelo Vitale	officer: General Counsel and Secretary	1050 WOODWARD AVENUE, DETROIT MI 48226
Walters Robert D. Jr.	officer: President & Chief Oper Officer	1050 WOODWARD AVENUE, DETROIT MI 48226
Brian Nicholas Brown	officer: Chief Accounting Officer	1050 WOODWARD AVENUE, DETROIT MI 48226