Today, Rocket Companies (NYSE:RKT) is making headlines. Investors in RKT stock are seeing gains of more than 4% at the time of writing. These gains come on an otherwise flat end of the day to equity markets.
Indeed, Rocket Companies is a big player in the mortgage and financial services industry. Many readers may be aware of Rocket Mortgage, the company’s bread and butter. However, Rocket Companies is so named for the other verticals this firm has expanded into. Among these are Rocket Homes and Rocket Auto.
Today, Rocket Companies is announcing the move into a completely new line of business. Accordingly, investors appear to be cheering. Let’s dive into what was announced, and why it’s moving RKT stock right now.
RKT Stock on the Move As Rocket Companies Goes Solar
Today, Rocket Companies has announced its move into the solar energy space. The company’s hope is to leverage its existing technology and data platforms to penetrate the fast-growing green home market.
Solar installations are soaring, and Rocket Companies appears to be aggressively targeting a piece of this pie. Its hope is to simplify the solar installation process for customers looking to go green. Rocket Companies will provide financing for homeowners with a simple-to-use digital financing application. This move appears to be great for the environment, as well as potentially for Rocket Companies’ bottom line. Accordingly, investors are cheering this move today.
How big this market ultimately proves to be, and how much headway Rocket Companies can make in this space, remains to be seen. However, investors in RKT stock seem to like the move. This is a company I’ll be watching closely from here.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.