#USA #New York #Securities Fraud #Levi Korsinsky #Rocket Companies

Rocket Companies Class Action Lawsuit Overview

On May 27, 2025, Levi & Korsinsky announced that a class action lawsuit has been filed against Rocket Companies, Inc. (NYSE: RKT). This lawsuit is directed toward investors who were negatively impacted by alleged securities fraud occurring from March 29, 2021 to April 1, 2021.

What is the Class Action About?

The lawsuit aims to gather claims from investors who suffered losses due to misleading information provided by the company. During this period, Rocket Companies faced significant disadvantages, stemming primarily from adverse market conditions and increasing competition in the mortgage lending sector. Specifically, the complaint alleges that the company concealed crucial aspects of its financial condition that eventually led to substantial declines in profit margins.

Allegations in Detail

According to the filed complaint, the defendants, including key executives at Rocket, made numerous false statements to the public about the company’s financial health. Some key points from the allegations include:
1. Declining Profit Margins: The lawsuit claims that the company’s gain on sale margins were contracting at unprecedented rates due to fierce competition among lenders and a shift within their operational segments.
2. Market Competition and Price Wars: Rocket was reportedly engaged in aggressive competition, leading to even lower profit margins than initially expected.
3. Misrepresentation of Business Health: The adverse trends led to a significant drop in profit margins, even returning to levels not seen since early 2019, contradicting previous optimistic statements made by the executives.
4. False Reassurances: Despite the negative financial trends, Rocket’s leadership continued to provide positive feedback about the company’s future prospects, which the lawsuit contends was intentionally misleading.

Next Steps for Affected Investors

Investors who may have suffered losses during the relevant period have until July 8, 2025, to request the Court to appoint them as lead plaintiffs. However, it’s important to note that participation in any recovery does not require appointment as a lead plaintiff.

No Financial Obligation

Engaging with this class action lawsuit comes at no cost to class members. Investors included in the lawsuit may be entitled to compensation without incurring any out-of-pocket expenses. Levi & Korsinsky confirms that there’s no financial obligation for affected investors wishing to participate in this class action.

Why Choose Levi & Korsinsky?

Levi & Korsinsky has established a solid reputation over the past 20 years, advocating for shareholders and securing significant settlements in complex securities litigation. With a team boasting extensive experience and over 70 staff, they aim to provide comprehensive support to their clients. For seven consecutive years, the firm has been recognized in ISS Securities Class Action Services' Top 50 Report as one of the leading securities litigation firms in the United States.

For those interested in pursuing action, detailed information and contact opportunities are available:

• - Contact Information:

Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 17th Floor
New York, NY 10004
Phone: (212) 363-7500

• - Website: Levi & Korsinsky

Conclusion

This class action lawsuit represents an important opportunity for investors in Rocket Companies, Inc. to seek restitution for alleged losses resulting from misleading information. Stay informed about the litigation progress and ensure your rights are protected.

• ---