Quicken Loans parent Rocket losing altitude

Fredun Pharmaceuticals

13/08/2020 21:39

** Rocket Companies Inc  RKT.N , parent of mortgage lender
Quicken Loans, finishes down 6.3% at $18.74 on Thurs, a week
after its debut
    ** RKT has fallen for 4th straight session, losing ~26%
along the way. Shares now ~4% above their $18 IPO price
    ** Susquehanna Financial on Thurs becomes first brokerage to
start coverage on RKT; assigns "neutral" rating and PT of $18
    ** Fannie Mae and Freddie Mac on Weds said they would impose
new fee on refinanced mortgages they guarantee, which could damp
future profits for mortgage lenders, WSJ reports https://www.wsj.com/articles/borrowers-face-new-fee-to-cover-heightened-risks-11597282215
    ** Shares of other mortgage originators/servicers also fell
on Thurs: New Residential  NRZ.N ), PennyMac Financial  PFSI.N ,
Mr. Cooper  COOP.O  and Ocwen Financial  OCN.N  down 2.6%-8.8%
    ** Rocket's $1.8 bln IPO last week was 3rd biggest new
listing of 2020 by U.S.-based co (excluding SPAC IPOs)
 urn:newsml:reuters.com:*:nL1N2F81K3
    ** Goldman Sachs, Morgan Stanley, Credit Suisse and JP
Morgan are among 20 Wall St banks that were underwriters for
Rocket's IPO and are required by industry practice to wait until
late Aug/early Sept to launch research coverage

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com 646-223-5017))