New York, New York – (Newsfile Corp. – July 1, 2021) – The securities litigation law firm of The Gross Law Firm issues the following notice on behalf of the shareholders of Rocket Companies, Inc. (NYSE: RKT).
Shareholders who have purchased RKT shares during the stated reference period are encouraged to contact the company regarding a possible appointment of a lead applicant. Appointment as principal applicant is not necessary to participate in any recovery.
CONTACT US HERE:
COURSE PERIOD: February 25, 2021 to May 5, 2021
ALLEGATIONS: The complaint alleges that during the Class Period, the Defendants made false and / or misleading statements and / or failed to disclose that: mortgage lenders, an unfavorable move towards the operational segment of the network of low-margin partners and the compression of the price differential between the primary and secondary mortgage markets; (b) Rocket was engaged in a price war and battle for market share with its major competitors in the wholesale market, which further squeezed the margins of the operating segment of Rocket’s partner network; (c) the adverse trends identified above were accelerating and, as a result, the margin gain on Rocket’s sales was on track to decline by at least 140 basis points in the first six months of 2021; (d) as a result of the foregoing, the favorable market conditions which preceded the Class Period and allowed Rocket to achieve a historically high gain on selling margins had disappeared while the Company’s gain on margins sales had returned to levels not seen since the first quarter of 2019; (e) instead of remaining high due to strong demand, Rocket’s enterprise-wide selling profit margins were significantly lower than recent historical averages; and (f) as a result of the foregoing, the positive statements of the defendants regarding the business activities and prospects of the Company were materially misleading and / or lacked reasonable basis.
The Gross Law Firm is committed to ensuring that companies adhere to responsible business practices and engage in good corporate citizenship. The company seeks redress on behalf of investors who have suffered losses when false and / or misleading statements or the omission of material information by a company lead to artificial inflation of the company’s shares. Lawyer advertising. Past results do not guarantee similar results.
The gross law firm
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