{"id":515352,"date":"2021-07-20T16:28:38","date_gmt":"2021-07-20T20:28:38","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/"},"modified":"2021-07-20T16:28:38","modified_gmt":"2021-07-20T20:28:38","slug":"rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/","title":{"rendered":"RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case"},"content":{"rendered":"<div class=\"xn-newslines\">\n<p class=\"xn-distributor\">PR Newswire<\/p>\n<\/p><\/div>\n<div class=\"xn-content\">\n<p>\n        <span class=\"xn-location\">SAN DIEGO<\/span>, <span class=\"xn-chron\">July 20, 2021<\/span> \/PRNewswire\/ &#8212; <b><a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3234235-1&amp;h=3520684935&amp;u=https%3A%2F%2Fwww.rgrdlaw.com%2Fservices-litigation-securities-fraud.html&amp;a=Robbins+Geller+Rudman+%26+Dowd+LLP\" rel=\"nofollow noopener\">Robbins <span class=\"xn-person\">Geller Rudman<\/span> &amp; Dowd LLP<\/a><\/b> has filed a class action seeking to represent purchasers of Rocket Companies, Inc. (NYSE:RKT) Class A common stock during the period between <span class=\"xn-chron\">February 25, 2021<\/span> and <span class=\"xn-chron\">May 5, 2021<\/span>, both dates inclusive (the &#8220;Class Period&#8221;).\u00a0 The <i>Rocket Companies<\/i> class action lawsuit charges Rocket Companies and certain of its executives with violations of the Securities Exchange Act of 1934.\u00a0 The <i>Rocket Companies<\/i> class action lawsuit (<i>Qaiyum v. Rocket Companies, Inc.<\/i>, No. 21-cv-11528) was filed in the Eastern District of <span class=\"xn-location\">Michigan<\/span> and is assigned to Judge <span class=\"xn-person\">Judith E. Levy<\/span>.<\/p>\n<p>\n        <b>If you suffered substantial losses and wish to serve as lead plaintiff of the <i>Rocket Companies<\/i> class action lawsuit, <a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3234235-1&amp;h=1203231040&amp;u=https%3A%2F%2Fwww.rgrdlaw.com%2Fcases-rocket-companies-inc-class-action-lawsuit.html%23caseSummary&amp;a=please+provide+your+information+by+clicking+here\" rel=\"nofollow noopener\">please provide your information by clicking here<\/a>.\u00a0 You can also contact attorney <a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3234235-1&amp;h=1373082145&amp;u=https%3A%2F%2Fwww.rgrdlaw.com%2Fattorneys-Brian-E-Cochran.html&amp;a=Brian+E.+Cochran\" rel=\"nofollow noopener\"><span class=\"xn-person\">Brian E. Cochran<\/span><\/a> of Robbins Geller by calling 800\/449-4900 or via e-mail at <a target=\"_blank\" href=\"mailto:bcochran@rgrdlaw.com\" rel=\"nofollow noopener\">bcochran@rgrdlaw.com<\/a>.\u00a0 Lead plaintiff motions for the <i>Rocket Companies <\/i>class action lawsuit must be filed with the court no later than <span class=\"xn-chron\">August 30<\/span>, 2021.\u00a0 <\/b>\n      <\/p>\n<p>\n        <b>CASE ALLEGATIONS:<\/b> The <i>Rocket Companies<\/i> class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) Rocket Companies&#8217; gain on sale margins were contracting at the highest rate in two years as a result of increased competition among mortgage lenders, an unfavorable shift toward the lower margin Partner Network operating segment and compression in the price spread between the primary and secondary mortgage markets; (ii) Rocket Companies was engaged in a price war and battle for market share with its primary competitors in the wholesale market, which was further compressing margins in Rocket Companies&#8217; Partner Network operating segment; (iii) the adverse trends identified above were accelerating and, as a result, Rocket Companies&#8217; gain on sale margins were on track to plummet at least 140 basis points in the first six months of 2021; (iv) as a result, the favorable market conditions that had preceded the Class Period and allowed Rocket Companies to achieve historically high gain on sale margins had vanished as Rocket Companies&#8217; gain on sale margins had returned to levels not seen since the first quarter of 2019; (v) rather than remaining elevated due to surging demand, Rocket Companies&#8217; company-wide gain-on-sale margins had fallen materially below pre-pandemic averages; and (vi) consequently, defendants&#8217; positive statements about Rocket Companies&#8217; business operations and prospects were materially misleading and\/or lacked a reasonable basis.<\/p>\n<p>On <span class=\"xn-chron\">May 5, 2021<\/span>, Rocket Companies reported that it was on track to achieve closed loan volume within a range of only <span class=\"xn-money\">$82.5 billion<\/span> and <span class=\"xn-money\">$87.5 billion<\/span> and gain on sale margins within a range of only 2.65% to 2.95% for the second quarter of 2021.\u00a0 At the mid-point, this gain on sale margin estimate equated to a 239 basis point decline year-over-year and a 94 basis point decline sequentially, which represented Rocket Companies&#8217; lowest quarterly gain on sale margin in two years.\u00a0 The stunning collapse in Rocket Companies&#8217; gain on sale margin reflected the fact that the favorable market conditions purportedly being experienced by Rocket Companies during the Class Period had in fact reversed.\u00a0 During a conference call to explain the results, Rocket Companies&#8217; Chief Financial Officer and Treasurer, defendant <span class=\"xn-person\">Julie R. Booth<\/span>, revealed that the sharp decline in quarterly gain on sale margin was being caused by three factors: (i) pressure on loan pricing; (ii) a product mix shift to Rocket Companies&#8217; lower margin Partner Network segment; and (iii) a compression in price spreads between the primary and secondary mortgage markets.\u00a0 Defendant Booth also admitted that certain of these trends began &#8220;at the end of Q1.&#8221;\u00a0 On this news, the price of Rocket Companies Class A common stock fell by nearly 17% to close at <span class=\"xn-money\">$19.01<\/span> per share.\u00a0 As the market continued to digest the news in the days that followed, the price of Rocket Companies Class A common stock continued to decline, falling to a low of just <span class=\"xn-money\">$16.48<\/span> per share by <span class=\"xn-chron\">May 11, 2021<\/span>.<\/p>\n<p>\n        <b>THE LEAD PLAINTIFF PROCESS: <\/b>The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Rocket Companies Class A common stock during the Class Period to seek appointment as lead plaintiff in the <i>Rocket Companies<\/i> class action lawsuit.\u00a0 A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.\u00a0 A lead plaintiff acts on behalf of all other class members in directing the <i>Rocket Companies<\/i> class action lawsuit.\u00a0 The lead plaintiff can select a law firm of its choice to litigate the <i>Rocket Companies<\/i> class action lawsuit.\u00a0 An investor&#8217;s ability to share in any potential future recovery of the <i>Rocket Companies <\/i>class action lawsuit is not dependent upon serving as lead plaintiff.\u00a0 <\/p>\n<p>The plaintiff is represented by Robbins Geller, which has <b><a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3234235-1&amp;h=3214213282&amp;u=https%3A%2F%2Fwww.rgrdlaw.com%2Ffirm.html&amp;a=extensive+experience\" rel=\"nofollow noopener\">extensive experience<\/a><\/b> in prosecuting investor class actions including actions involving financial fraud.<\/p>\n<p>\n        <b>ABOUT ROBBINS GELLER RUDMAN &amp; DOWD LLP:<\/b> With 200 lawyers in 9 offices nationwide, Robbins Geller Rudman &amp; Dowd LLP is the largest U.S. law firm representing investors in securities class actions.\u00a0 Robbins Geller attorneys have obtained many of the largest shareholder recoveries in history, including the largest securities class action recovery ever \u2013 <span class=\"xn-money\">$7.2 billion<\/span> \u2013 in <i>In re Enron Corp. Sec. Litig.<\/i>\u00a0 The 2020 ISS Securities Class Action Services Top 50 Report ranked Robbins Geller first for recovering <span class=\"xn-money\">$1.6 billion<\/span> for investors last year, more than double the amount recovered by any other securities plaintiffs&#8217; firm.\u00a0 Please visit <a target=\"_blank\" href=\"https:\/\/c212.net\/c\/link\/?t=0&amp;l=en&amp;o=3234235-1&amp;h=3234742988&amp;u=https%3A%2F%2Fwww.rgrdlaw.com%2Ffirm.html&amp;a=https%3A%2F%2Fwww.rgrdlaw.com%2Ffirm.html\" rel=\"nofollow noopener\">https:\/\/www.rgrdlaw.com\/firm.html<\/a> for more information. <\/p>\n<p>Attorney advertising.<br \/>Past results do not guarantee future outcomes.<br \/>Services may be performed by attorneys in any of our offices.<\/p>\n<div>\n<table id=\"convertedTable6183\" cellspacing=\"0\" cellpadding=\"0\" border=\"1\" class=\"prntblns\">\n<tr>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Contact: <\/span>\n              <\/p>\n<\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n              \n            <\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Robbins Geller Rudman &amp; Dowd LLP<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">655 W. Broadway, San Diego, CA\u00a092101 619-231-1058<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\">Brian E. Cochran, 800-449-4900<\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"prngen2\">\n              \n            <\/td>\n<td class=\"prngen2\">\n<p class=\"prnews_p\">\n                <span class=\"prnews_span\"><br \/>\n                  <a target=\"_blank\" href=\"mailto:bcochran@rgrdlaw.com\" class=\"prnews_a\" rel=\"nofollow noopener\">bcochran@rgrdlaw.com<\/a><br \/>\n                <\/span>\n              <\/p>\n<\/td>\n<\/tr>\n<\/table><\/div>\n<p>\u00a0<\/p>\n<p id=\"PURL\">\n        <img loading=\"lazy\" decoding=\"async\" title=\"Cision\" width=\"12\" height=\"12\" alt=\"Cision\" src=\"https:\/\/c212.net\/c\/img\/favicon.png?sn=LA49528&amp;sd=2021-07-20\" \/> View original content:<a id=\"PRNURL\" rel=\"nofollow\" href=\"https:\/\/www.prnewswire.com\/news-releases\/rkt-alert-robbins-geller-rudman--dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case-301337909.html\">https:\/\/www.prnewswire.com\/news-releases\/rkt-alert-robbins-geller-rudman&#8211;dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case-301337909.html<\/a><\/p>\n<p>SOURCE  Robbins Geller Rudman &amp; Dowd LLP<\/p>\n<\/p><\/div>\n<p>    <img decoding=\"async\" alt=\"\" src=\"https:\/\/rt.prnewswire.com\/rt.gif?NewsItemId=LA49528&amp;Transmission_Id=202107201625PR_NEWS_USPR_____LA49528&amp;DateId=20210720\" style=\"border:0px;width:1px;height:1px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>PR Newswire SAN DIEGO, July 20, 2021 \/PRNewswire\/ &#8212; Robbins Geller Rudman &amp; Dowd LLP has filed a class action seeking to represent purchasers of Rocket Companies, Inc. (NYSE:RKT) Class A common stock during the period between February 25, 2021 and May 5, 2021, both dates inclusive (the &#8220;Class Period&#8221;).\u00a0 The Rocket Companies class action lawsuit charges Rocket Companies and certain of its executives with violations of the Securities Exchange Act of 1934.\u00a0 The Rocket Companies class action lawsuit (Qaiyum v. Rocket Companies, Inc., No. 21-cv-11528) was filed in the Eastern District of Michigan and is assigned to Judge Judith E. Levy. If you suffered substantial losses and wish to serve as lead plaintiff of the Rocket Companies class action &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-515352","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"PR Newswire SAN DIEGO, July 20, 2021 \/PRNewswire\/ &#8212; Robbins Geller Rudman &amp; Dowd LLP has filed a class action seeking to represent purchasers of Rocket Companies, Inc. (NYSE:RKT) Class A common stock during the period between February 25, 2021 and May 5, 2021, both dates inclusive (the &#8220;Class Period&#8221;).\u00a0 The Rocket Companies class action lawsuit charges Rocket Companies and certain of its executives with violations of the Securities Exchange Act of 1934.\u00a0 The Rocket Companies class action lawsuit (Qaiyum v. Rocket Companies, Inc., No. 21-cv-11528) was filed in the Eastern District of Michigan and is assigned to Judge Judith E. Levy. If you suffered substantial losses and wish to serve as lead plaintiff of the Rocket Companies class action &hellip; Continue reading &quot;RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case&quot;\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/\" \/>\n<meta property=\"og:site_name\" content=\"Market Newsdesk\" \/>\n<meta property=\"article:published_time\" content=\"2021-07-20T20:28:38+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/c212.net\/c\/img\/favicon.png?sn=LA49528&amp;sd=2021-07-20\" \/>\n<meta name=\"author\" content=\"Newsdesk\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Newsdesk\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.marketnewsdesk.com\\\/index.php\\\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.marketnewsdesk.com\\\/index.php\\\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\\\/\"},\"author\":{\"name\":\"Newsdesk\",\"@id\":\"https:\\\/\\\/www.marketnewsdesk.com\\\/#\\\/schema\\\/person\\\/482f27a394d4fda80ecb5499e519d979\"},\"headline\":\"RKT ALERT: Robbins Geller Rudman &amp; 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Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case - Market Newsdesk","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/","og_locale":"en_US","og_type":"article","og_title":"RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case - Market Newsdesk","og_description":"PR Newswire SAN DIEGO, July 20, 2021 \/PRNewswire\/ &#8212; Robbins Geller Rudman &amp; Dowd LLP has filed a class action seeking to represent purchasers of Rocket Companies, Inc. (NYSE:RKT) Class A common stock during the period between February 25, 2021 and May 5, 2021, both dates inclusive (the &#8220;Class Period&#8221;).\u00a0 The Rocket Companies class action lawsuit charges Rocket Companies and certain of its executives with violations of the Securities Exchange Act of 1934.\u00a0 The Rocket Companies class action lawsuit (Qaiyum v. Rocket Companies, Inc., No. 21-cv-11528) was filed in the Eastern District of Michigan and is assigned to Judge Judith E. Levy. If you suffered substantial losses and wish to serve as lead plaintiff of the Rocket Companies class action &hellip; Continue reading \"RKT ALERT: Robbins Geller Rudman &amp; Dowd LLP Files Class Action Suit Against Rocket Companies, Inc. and Announces Opportunity for Investors With Substantial Losses to Lead Case\"","og_url":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/","og_site_name":"Market Newsdesk","article_published_time":"2021-07-20T20:28:38+00:00","og_image":[{"url":"https:\/\/c212.net\/c\/img\/favicon.png?sn=LA49528&amp;sd=2021-07-20","type":"","width":"","height":""}],"author":"Newsdesk","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Newsdesk","Est. reading time":"5 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/#article","isPartOf":{"@id":"https:\/\/www.marketnewsdesk.com\/index.php\/rkt-alert-robbins-geller-rudman-dowd-llp-files-class-action-suit-against-rocket-companies-inc-and-announces-opportunity-for-investors-with-substantial-losses-to-lead-case\/"},"author":{"name":"Newsdesk","@id":"https:\/\/www.marketnewsdesk.com\/#\/schema\/person\/482f27a394d4fda80ecb5499e519d979"},"headline":"RKT ALERT: Robbins Geller Rudman &amp; 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