Oppenheimer bullish on Rocket Companies, initiates with an Outperform

As previously reported, Oppenheimer analyst Chad Larkin initiated coverage of Rocket Companies (RKT) with an Outperform rating and $25 price target The firm believes Rocket represents the best way to invest in residential real estate as rates fall and drive refinance demand. In addition, after acquiring Redfin and Mr. Cooper, Rocket has created the best top of funnel to capture and monetize the life cycle of real estate, Oppenheimer says. While the firm expects purchase demand to remain weak as affordability continues to be challenged, refinance demand will increase if mortgage rates continue to fall.