Is Rocket Companies Inc (RKT) overvalued?
On Equity Rank's model estimate, RKT trades 40% above its fair value. Rocket Companies Inc (RKT) last closed at $15.06; the multi-method model fair value is $10.76.
| Price | Model fair value | Price vs model |
|---|---|---|
| $15.06 | $10.76 | 40% above |
What the answer rests on
- 0 of 7 valuation methods put RKT's value above its price and 7 put it below, so the methods mostly agree.
- Over the past year the price sat below the model fair value on 2% of trading days. The gap ranged from 2% below to 55% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind RKT's fair value · What prices assume · Other companies