Market DynamicsCompetition in mortgage origination & servicing, interest rates, and regulation & litigation are influencing factors.
Regulatory ConcernsThe market is currently pricing in some level of skepticism regarding the deal’s eventual closing, possibly due to concerns from regulatory entities about RKT/COOP’s combined market dominance.
Valuation ConcernsDowngrading COOP shares to Market Perform from Market Outperform as the shares are now reasonably fairly valued with limited price appreciation potential after the announcement of the acquisition.