Heather Lovier
Rocket CompaniesAbout Heather Lovier
Heather Lovier is Chief Operating Officer at Rocket Companies (RKT), appointed June 20, 2024, after serving as Chief Client Experience Officer (Nov 2021–Mar 2024) and multiple VP roles since 2015; she joined Rocket in 2003 and previously spent eight years in the automotive industry leading customer service teams . Age 51, tenure at Rocket spans 22 years as of 2024, with remit over end-to-end homeownership experience, banking and client operations, and AI-enabled process improvements . Company performance in 2024 included adjusted revenue of $4.9B and adjusted EBITDA of $862M; the annual incentive plan paid 139% of target driven by financial outperformance (revenue 143% and EBITDA 200% of target components), while strategic scorecard paid 73% . Her 2024 long-term awards were 100% RSUs with semiannual vesting; PSUs (rTSR and market share metrics) were limited to CEO/CFO in 2024 .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Rocket Companies | Chief Operating Officer | Jun 2024–present | Oversees homeownership experience; leads Banking & Client Experience; integrates Rocket Close and Rocket Homes; drives AI to scale operations |
| Rocket Companies | Chief Client Experience Officer | Nov 2021–Mar 2024 | Led client experience strategy across mortgage operations |
| Rocket Companies | Vice President roles (Client Experience) | 2015–2021 | Led Client Experience; improved service and innovation |
| Rocket Companies | Business Development lead | 2010–2015 | Built partnerships and growth initiatives |
| Rocket Companies | Operations loan analyst; Mousetrap innovation team | 2003–2005 | Early process/innovation contributions |
External Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Automotive industry (pre-Rocket) | Customer service team lead | Eight years pre-2003 | Built leadership expertise and service discipline |
Fixed Compensation
| Component | FY 2024 Detail | Notes |
|---|---|---|
| Base Salary | $350,000 (Jan 1–Feb 18, 2024) | Pre-promotion |
| Base Salary | $450,000 (Feb 19–Jun 2024) | Annual review increase |
| Base Salary | $600,000 (effective June 2024; approved Aug 2024 retroactive to promotion) | COO promotion |
| Target Bonus % | 100% of base salary | Set Aug 2024 (applied retro to Jan 1, 2024) |
| Actual Cash Bonus (AIP 2024) | $834,000 | Based on 139% payout x $600k target |
Performance Compensation
Annual Incentive Plan (AIP) – FY 2024
| Metric | Weight | Threshold | Target | Max | Actual Performance | Payout |
|---|---|---|---|---|---|---|
| Adjusted Revenue (billions) | 33% | $3.610 | $4.512 | $5.414 | $4.902 | 143% |
| Adjusted EBITDA (billions) | 33% | $0.321 | $0.534 | $0.748 | $0.862 | 200% |
| Company Scorecard (Execution/Client/Culture) | 33% | — | — | — | Progress positive but below target | 73% |
| Total AIP Payout | 100% | — | — | — | — | 139% |
Notes:
- Scorecard areas include AI product adoption, brand refresh groundwork, engagement metrics; final scorecard funding 73% .
Long-Term Incentives (Grants & Vesting)
| Grant Date | Instrument | Shares (#) | Grant Value ($) | Vesting Schedule |
|---|---|---|---|---|
| Mar 7, 2024 | RSUs | 158,227 | $1,999,989 | Semiannual on Mar 7/Sep 7 over 3 years; first vest Sep 7, 2024 |
| Aug 26, 2024 | RSUs | 60,153 | $1,249,979 | Semiannual on Mar 7/Sep 7 over 3 years; first vest Mar 7, 2025 |
| Sep 28, 2023 | RSUs (pre-NEO) | 121,508 | Market value at 12/31/24: $1,368,180 | Semiannual on Mar 7/Sep 7 starting Mar 7, 2024 |
| Mar 7, 2022 | RSUs (pre-NEO) | 12,195 | Market value at 12/31/24: $137,316 | Annual over 3 years |
| Aug 5, 2020 | Stock Options | 123,203 exercisable | Strike $18.00; expires Aug 5, 2030 | 33.33% at 1-year, then monthly over 24 months |
Program design notes:
- 2024 PSU framework (rTSR, Refinance Market Share Growth, Purchase Market Share Growth) applied to CEO/CFO; Heather’s 2024 LTI awards were RSUs only .
Equity Ownership & Alignment
| Item | Detail |
|---|---|
| Beneficial Ownership (Class A) | 344,817 shares; less than 1% of outstanding |
| Options | 123,203 shares acquirable via options (exercisable) |
| Unvested RSUs (as of 12/31/2024) | 131,856 (Mar 7, 2024 grant) ; 60,153 (Aug 26, 2024 grant) ; 121,508 (Sep 28, 2023 grant) ; 12,195 (Mar 7, 2022 grant) |
| Stock Ownership Guidelines (NEOs) | 3x base salary; five-year compliance period; all NEOs met or are on track as of 12/31/2024 |
| Hedging/Pledging | Short sales/options prohibited; long-term hedges allowed with pre-clearance; pledging allowed subject to policy and legal considerations |
| Pledged Shares | No pledging disclosed for Heather in security ownership table |
Employment Terms
| Term | Disclosure |
|---|---|
| Appointment as COO (Company) | June 20, 2024; replaces Bill Emerson (who remains President) |
| Employment Agreement | Entered in connection with promotion; does not include severance or change-in-control benefits |
| Change-in-Control Plan Provisions | Company plan provides for RSU/PSU acceleration if awards are not continued/assumed, or within 18 months post-termination without Cause/for Good Reason; Varun, Shawn, Jonathan have defined severance terms; Heather’s agreement has no severance/CIC benefits |
| Clawback Policy | NYSE/SEC-compliant recovery of incentive compensation upon accounting restatements (3-year lookback), regardless of fault |
| Insider Trading | Pre-clearance and blackout windows for Section 16 officers; Rule 10b5-1 plan governance |
Performance & Track Record
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenues ($USD) | 1,458,637,000* | 1,401,780,000* | 1,462,173,000* |
| EBITDA ($USD) | 1,155,915,000* | 67,348,000* | 1,250,199,000* |
Values retrieved from S&P Global. Calculations and any derived trends are based on S&P Global values.
Company execution highlights relevant to COO remit:
- AI-driven automation saving 1 million hours and $40M efficiency gains; per-team-member client service up 54% YoY in Q4 2024 .
- Adjusted revenue $4.9B (+30% YoY) and adjusted EBITDA $862M (18% margin) in 2024; adjusted diluted EPS improved to $0.23 .
Investment Implications
- Alignment and design: 2024 pay mix for Heather emphasized cash AIP tied two-thirds to objective financials and one-third to strategic scorecard, with 100% RSUs for LTI (semiannual vesting) vs PSUs reserved for CEO/CFO—indicating role alignment with operational delivery but less direct linkage to TSR/market share in LTI .
- Retention and risk: No severance or change-in-control benefits in Heather’s agreement reduce guaranteed exit economics; semiannual RSU vesting creates predictable windows that may correlate with Form 4 activity—monitor scheduled vest dates and trading blackout periods for potential supply; options at $18 expiring 2030 provide upside alignment .
- Ownership and governance: Beneficial ownership is <1% with exercisable options; NEO ownership guidelines (3x salary) and clawback policy are robust, and no pledged shares disclosed—supporting alignment and governance hygiene .
- Pay-for-performance: 2024 AIP payout at 139% reflects execution against revenue/EBITDA in a recovering market and cultural/brand investments; continued monitoring of scorecard rigor and any expansion of PSUs to broader executives in 2025+ is warranted .
Data gap: Recent Form 4 transactions for Heather were not included in proxies; review insider filings to assess any selling pressure around semiannual vest dates .