$2.6 billion in Q3 revenue guidance fell well short of the $2.89 billion analysts expected, signaling weaker demand ahead for the mortgage lender.
Q2 revenue rose 92.9% year over year to $2.76 billion but still missed forecasts of $2.84 billion, while adjusted EPS matched estimates at $0.16.
Higher mortgage rates and affordability pressure kept the expected 2026 housing recovery from materializing, weighing on both purchase and refinance activity.
Rocket said market-share gains, Redfin and Mr. Cooper integration, and a business mix with more than 70% of revenue from recurring or less rate-sensitive segments helped cushion the slowdown.
Management expects about $100 million in quarter-over-quarter expense reductions and further acquisition synergies in the first half of next year as it tries to keep gaining share in a contracting market.