#USA #New York #Class Action #Levi Korsinsky #Rocket Companies

Class Action Lawsuit Against Rocket Companies, Inc.

On June 13, 2025, Levi & Korsinsky, LLP announced the filing of a class action lawsuit against Rocket Companies, Inc. (NYSE: RKT), a significant player in the mortgage industry. This action aims to recover losses for investors who allegedly suffered due to misleading statements related to the company’s financial health. Investors affected by these events are encouraged to join the lawsuit before the deadline of July 8, 2025.

Background of the Case

The class action lawsuit is centered around allegations of securities fraud, highlighting a period from March 29 to April 1, 2021. During this time, it’s claimed that Rocket Companies made several misleading assertions regarding their operating margins, significantly impacting investors’ decisions. The complaint suggests that while the company was publicly optimizing its performance, internally it was struggling with declining margins that were being exacerbated by a competitive market landscape.

The filed complaint details various ways in which Rocket Companies allegedly obscured the harsh realities of their business performance:

• - Declining margins: It is claimed that Rocket's margins on sales were diminishing at a concerning rate, attributable to heightened competition among mortgage lenders. This situation was compounded by a shift towards their lower-margin Partner Network segment.
• - Engagement in price wars: As Rocket grappled with maintaining market share against its competitors, the situation led to a price war that further compressed their margins, raising red flags for investors.
• - Accelerating adverse trends: The negative trends impacting margins were reportedly accelerating, which could have resulted in a substantial decrease in gain-on-sale margins, anticipated to drop at least 140 basis points within the first half of 2021.
• - Loss of favorable conditions: The favorable market conditions that had previously allowed Rocket to maintain high margins began to dissipate, returning the company’s performance to levels not seen since early 2019.

What Investors Should Know

Investors who believe they have suffered losses during the specified timeframe are urged to act swiftly. To request a lead plaintiff status, they must express this by July 8, 2025. It is crucial to note that joining the lawsuit does not necessitate being a lead plaintiff—investors can still benefit from any potential recovery without a formal leadership role.

Furthermore, there are no associated costs for class members to participate in this class action lawsuit. Those involved may find themselves entitled to compensation without any out-of-pocket expenses or fees, eliminating financial risk while enabling them to seek justice.

Why Choose Levi & Korsinsky

With a robust history spanning over two decades, Levi & Korsinsky has built a formidable reputation in securities litigation. Notably, the firm has successfully recovered hundreds of millions of dollars for disillusioned shareholders. Their team of seasoned lawyers, which exceeds 70 professionals, specializes in complex securities litigation, making them well-equipped to handle high-stakes cases. Recognized for seven consecutive years as one of the top securities litigation firms in the United States by ISS Securities Class Action Services, Levi & Korsinsky brings a wealth of experience to this lawsuit.

Next Steps for Affected Investors

Those affected by the alleged fraud or who have questions about the class action can reach out to Joseph E. Levi, Esq. at (212) 363-7500 or through email at [email protected]. Additionally, more details can be found on their website by filling out a loss submission form linked within the press release.

Contact Information

Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
Email: [email protected]
Tel: (212) 363-7500
Fax: (212) 363-7171

As time is of the essence, affected investors are encouraged to take prompt action and seek legal guidance to ensure their rights are protected.