Reviewing Nuveen Churchill Direct Lending (NYSE:NCDL) & Rocket Companies (NYSE:RKT)

Rocket Companies (NYSE:RKT) and Nuveen Churchill Direct Lending (NYSE:NCDL) are both business services companies, but which is the superior stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, risk, dividends, earnings and valuation.

Valuation and Earnings

This table compares Rocket Companies and Nuveen Churchill Direct Lending’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rocket Companies	$3.80 billion	6.48	-$15.51 million	($0.16)	-77.50
Nuveen Churchill Direct Lending	$161.76 million	5.95	$75.94 million	N/A	N/A

Nuveen Churchill Direct Lending has lower revenue, but higher earnings than Rocket Companies.

Analyst Ratings

This is a summary of current ratings and target prices for Rocket Companies and Nuveen Churchill Direct Lending, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rocket Companies	6	7	0	0	1.54
Nuveen Churchill Direct Lending	0	3	3	0	2.50

Rocket Companies currently has a consensus price target of $10.02, indicating a potential downside of 19.06%. Nuveen Churchill Direct Lending has a consensus price target of $18.50, indicating a potential upside of 5.29%. Given Nuveen Churchill Direct Lending’s stronger consensus rating and higher probable upside, analysts clearly believe Nuveen Churchill Direct Lending is more favorable than Rocket Companies.

Insider & Institutional Ownership

4.6% of Rocket Companies shares are held by institutional investors. 94.1% of Rocket Companies shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Rocket Companies and Nuveen Churchill Direct Lending’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rocket Companies	-0.41%	-3.63%	-1.47%
Nuveen Churchill Direct Lending	46.95%	11.91%	4.89%

Summary

Nuveen Churchill Direct Lending beats Rocket Companies on 7 of the 11 factors compared between the two stocks.

About Rocket Companies

Rocket Companies, Inc., a fintech holding company, provides mortgage lending, title and settlement services, and other financial technology services in the United States and Canada. It operates through two segments, Direct to Consumer and Partner Network. The company's solutions include Rocket Mortgage, a mortgage lender; Amrock that provides title insurance, property valuation, and settlement services; Rocket Homes, a home search platform and real estate agent referral network, which offers technology-enabled services to support the home buying and selling experience; and Rocket Loans, an online-based personal loans business. It also offers Core Digital Media, a online marketing platform in the mortgage and personal financial product sectors; Rocket Money, a personal finance app that helps clients manage every aspect of their financial lives; Lendesk, a software services company that provides a point of sale system for mortgage professionals and a loan origination system for private lenders; Rock Connections, a sales and support platform specializing in contact center services; and Rocket Innovation Studio that recruits and mentors top technology talent. In addition, the company originates, closes, sells, and services agency-conforming loans. Rocket Companies, Inc. was founded in 1985 and is headquartered in Detroit, Michigan. The company operates as a subsidiary of Rock Holdings Inc.

About Nuveen Churchill Direct Lending

Nuveen Churchill Direct Lending Corp. is a specialty finance company focused primarily on investing in senior secured loans to private equity-owned U.S. middle market companies. It has elected to be regulated as a business development company. Nuveen Churchill Direct Lending Corp. is based in NEW YORK.