Buy Or Sell Opportunity • Aug 10
Now 20% overvalued after recent price rise Over the last 90 days, the stock has risen 4.4% to €33.00. The fair value is estimated to be €27.46, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has been flat over the last 3 years. Meanwhile, the company has become profitable. Revenue is forecast to grow by 4.2% in 2 years. Earnings are forecast to decline by 45% in the next 2 years. Reported Earnings • Aug 07
Second quarter 2026 earnings released: US$1.53 loss per share (vs US$2.56 profit in 2Q 2025) Second quarter 2026 results: US$1.53 loss per share (down from US$2.56 profit in 2Q 2025). Revenue: US$282.9m (up 15% from 2Q 2025). Net loss: US$12.9m (down 163% from profit in 2Q 2025). Revenue is forecast to grow 7.0% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has increased by 122% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. Annuncio • Jul 29
Onity Group Inc. to Report Q2, 2026 Results on Aug 06, 2026 Onity Group Inc. announced that they will report Q2, 2026 results on Aug 06, 2026 Annuncio • Jun 02
Onity Group Inc. (NYSE:ONIT) announces an Equity Buyback for $20 million worth of its shares. Onity Group Inc. (NYSE:ONIT) announces a share repurchase program. Under the program, the company will repurchase up to $20 million worth of its shares. The purpose is to deploy capital and provide returns to the shareholders. The repurchased shares will be retired and cancelled. The repurchase program is valid till June 30, 2027. Annuncio • Apr 24
Onity Group Inc. to Report Q1, 2026 Results on May 05, 2026 Onity Group Inc. announced that they will report Q1, 2026 results at 8:30 AM, US Eastern Standard Time on May 05, 2026 Annuncio • Feb 25
Onity Group Inc. Announces Executive Changes On February 24, 2026, Onity Group Inc. announced that Aulene Wessel has been named Senior Vice President and Chief Accounting Officer, effective February 23, 2026. Ms. Wessel reports to Sean O’Neil, Executive Vice President and Chief Financial Officer of Onity. Ms. Wessel is responsible for providing strategic leadership of the controllership function, overseeing all core accounting operations, internal controls, technical accounting, audits, and third-party service providers utilized for these services, as well as ensuring compliance with GAAP and other applicable regulations, rules and laws. Ms. Wessel, 43, served as Executive Vice President and Deputy Controller at Truist Bank from August 2024 through February 2026. She previously served as Head of Financial Reporting and Policy at SoFi Technologies from September 2023 through August 2024 and as Head of Accounting Implementation and Head of Accounting Policy at Silicon Valley Bank from May 2021 through June 2023. From 2008 through 2021 she also served in leadership roles at American Express, including most recently as Vice President and Controller, Global Merchant Services and Loyalty. Among other roles, she also previously served as a Finance Business Partner at Barclays and as an Audit Senior at BDO. Ms. Wessel holds a Bachelor of Accounting degree from the University of Stellenbosch, South Africa and a Bachelor of Commerce in Accounting postgraduate degree from the University of Natal, South Africa. She is certified as a Chartered Global Management Accountant in the United Kingdom by the Chartered Institute of Management Accountants. Ms. Wessel succeeds Francois Grunenwald in the role of Chief Accounting Officer. Mr. Grunenwald will be leaving the Company following a transition period. Annuncio • Feb 12
Onity Group Inc. (NYSE:ONIT) announces an Equity Buyback for $10 million worth of its shares. Onity Group Inc. (NYSE:ONIT) announces a share repurchase program. Under the program, the company will repurchase up to $10 million worth of its shares. The shares repurchased will be retired and canceled. The program will be valid till August 2026. Annuncio • Jan 06
Onity Group Inc. Announces Board Changes Onity Group Inc. announced the appointment of Dawn C. Morris to its Board of Directors, effective January 1, 2026. Concurrent with Ms. Morris’s appointment, the Board has temporarily increased its size to nine directors. The Board has determined that Ms. Morris is an independent director under the listing standards of the New York Stock Exchange and applicable rules of the Securities and Exchange Commission, including the independence standards applicable to members of compensation committees and audit committees. Dawn C. Morris, 58, is the Founder and CEO of Growth Partners Group, LLC, a strategic consulting firm that serves clients in strategic business transformation and innovation. Prior to founding Growth Partners Group in November 2020, she was the Chief Digital and Marketing Officer at First Horizon National Corporation from September 2018 to January 2020. Ms. Morris was an Army Captain in the 530th Supply and Service Battalion after graduating from the United States Military Academy at West Point. Following her service in the Army, she joined RBC Bank starting as a Banking Center Manager and eventually becoming Vice President of Retail/Small Business Client and Branch Strategy, then RBS Citizens Financial Group as Senior Vice President responsible for Business Banking Product Management then Customer Segment and Product Marketing followed by Webster Bank as Executive Vice President and Chief Marketing Officer. Ms. Morris also serves on the board of directors of America’s Car-Mart Inc. and First Financial Bancorp, and she is a member of the Junior League of Boca Raton and Impact 100 Palm Beach County. Previously she served on the boards of The Hartford Stage, the Girl Scouts of Connecticut, and the Governor’s Partnership of Connecticut. Ms. Morris holds a Bachelor of Science in International Relations from the United States Military Academy at West Point. Jenne K. Britell has decided not to stand for re-election at Onity’s 2026 Annual Meeting of Shareholders scheduled for May 19, 2026, but will continue to serve on the Board until that time. Annuncio • Oct 07
Onity Group Inc., Annual General Meeting, May 20, 2026 Onity Group Inc., Annual General Meeting, May 20, 2026. Annuncio • Oct 04
Onity Group Inc. Announces Board and Committee Changes Onity Group Inc. announced that on September 30, 2025, the Board of Directors of Onity Group Inc. appointed Robert S. Welborn to serve as a director, effective October 1, 2025. Concurrent with Mr. Welborn’s appointment, the Board has temporarily increased its size to eight directors. The Board has determined that Mr. Welborn is an independent director under the listing standards of the New York Stock Exchange and applicable rules of the Securities and Exchange Commission, including the independence standards applicable to members of compensation committees and audit committees. Mr. Welborn, 52, is self-employed as a marketing technology consultant. Since October 2021, he has served as a director of NOV Inc., an equipment and technology provider to the global energy industry. From November 2020 through August 2024, Mr. Welborn served as the Head of Data Science for Meta Inc. Prior to that, he was the Head of Programs Data Science, Small Business Group for Meta Inc. Before joining Meta Inc. in 2020, he held various positions within General Motors Company between 2018 and 2020, including Global Chief Data and Analytics Officer. Between 2009 and 2017, Mr. Welborn served in several positions of increasing responsibility at USAA, including Chief Data Scientist. Mr. Welborn holds a Bachelor of Science in Engineering from Texas A&M University and a Master of Business Administration from the University of California, San Diego. Effective with his appointment, Mr. Welborn has been appointed to serve on the Company’s Risk and Compliance Committee. In addition, DeForest B. Soaries, Jr., a director of the Company, has notified the Board that he has decided not to stand for re-election at the Company’s 2026 annual shareholder meeting, which is currently scheduled for May 20, 2026. Dr. Soaries will continue to serve on the Board until that time. The Board has determined that its size shall be decreased to seven effective immediately prior to the beginning of the 2026 annual shareholder meeting. Onity thanks Dr. Soaries for his many contributions over 11 years of service to the Company as a director. Dr. Soaries’ retirement from the Board is not due to any disagreement with the Company relating to its operations, policies or practices. Annuncio • Apr 23
PHH Mortgage Launches Proprietary Reverse Mortgage Product PHH Mortgage, a subsidiary of Onity Group Inc. announced that the Company has launched a proprietary reverse mortgage product known as EquityIQ®. The product will be available through the Company’s wholesale network and marketed under PHH’s reverse mortgage product brand, Liberty Reverse Mortgage. EquityIQ® Product Information Available to homeowners at least 55 years old (unless restricted by state law); Private (not insured by the Federal Housing Administration), jumbo reverse mortgage; allows homeowners to access more available funds as compared to a traditional HECM; Fixed-rate loan with a maximum loan amount of $4 million; No upfront or ongoing mortgage insurance and no monthly servicing fee; Full draw of available proceeds required at closing; Eligible property types include single-family, condominium, townhomes, multi-family property (2-4 units) and planned unit development; All applicable parties must receive counseling from a PHH-approved housing counseling agency; Available for primary residence only and borrower is required to continue paying property taxes, homeowners insurance, HOA fees and maintenance costs. Annuncio • Apr 16
Onity Group Inc., Annual General Meeting, May 21, 2025 Onity Group Inc., Annual General Meeting, May 21, 2025. Annuncio • Apr 08
Onity Group Reportedly Evaluates Potential Sale of Company Onity Group Inc. (NYSE:ONIT) is considering sale of the mortgage servicing rights company. Onity fell 2%. Onity, formerly known as Owen Financial, is evaluating a potential sale, according to a report from Inside Mortgage Finance on April 07, 2025, which cited investment bankers who claim to have knowledge of the matter. West Palm Beach, Florida-based Onity didn't immediately respond to Seeking Alpha's email request for comment. Annuncio • Dec 04
Oaktree Capital Management, L.P. completed the acquisition of 15% stake in MSR Asset Vehicle, LLC from Onity Group Inc. (NYSE:ONIT) for $49.5 million. Oaktree Capital Management, L.P. agreed to acquire 15% stake in MSR Asset Vehicle, LLC from Onity Group Inc. (NYSE:ONIT) for $49 million on September 30, 2024. Closing of the Sale is expected to occur during the fourth quarter of 2024 and is subject to the consummation of a Debt Financing, the receipt of necessary regulatory consents and approvals, and other customary closing conditions.
Oaktree Capital Management, L.P. completed the acquisition of 15% stake in MSR Asset Vehicle, LLC from Onity Group Inc. (NYSE:ONIT) for $49.5 million on December 3, 2024. Reported Earnings • Nov 05
Third quarter 2024 earnings released: EPS: US$2.72 (vs US$1.11 in 3Q 2023) Third quarter 2024 results: EPS: US$2.72 (up from US$1.11 in 3Q 2023). Revenue: US$265.7m (up 4.0% from 3Q 2023). Net income: US$21.4m (up 152% from 3Q 2023). Profit margin: 8.1% (up from 3.3% in 3Q 2023). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 9.3% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Reported Earnings • Aug 02
Second quarter 2024 earnings released: EPS: US$1.34 (vs US$2.03 in 2Q 2023) Second quarter 2024 results: EPS: US$1.34 (down from US$2.03 in 2Q 2023). Revenue: US$246.4m (down 9.4% from 2Q 2023). Net income: US$10.5m (down 32% from 2Q 2023). Profit margin: 4.3% (down from 5.7% in 2Q 2023). Revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. New Risk • Jul 31
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 6.7% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risks Share price has been volatile over the past 3 months (6.7% average weekly change). Large one-off items impacting financial results. Shareholders have been diluted in the past year (2.2% increase in shares outstanding). Valuation Update With 7 Day Price Move • Jul 29
Investor sentiment improves as stock rises 19% After last week's 19% share price gain to €26.80, the stock trades at a forward P/E ratio of 3x. Average forward P/E is 12x in the Diversified Financial industry in Germany. Total returns to shareholders of 22% over the past three years. Reported Earnings • May 02
First quarter 2024 earnings released: EPS: US$3.91 (vs US$5.34 loss in 1Q 2023) First quarter 2024 results: EPS: US$3.91 (up from US$5.34 loss in 1Q 2023). Revenue: US$239.1m (down 8.7% from 1Q 2023). Net income: US$30.1m (up US$70.3m from 1Q 2023). Profit margin: 13% (up from net loss in 1Q 2023). Revenue is forecast to grow 5.6% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has fallen by 55% per year but the company’s share price has only fallen by 5% per year, which means it has not declined as severely as earnings. Annuncio • Apr 30
Ocwen Loan Servicing, LLC and Ocwen Financial Corporation Propose Settlement A proposed settlement has been reached in a class action lawsuit called Weiner v. Ocwen Financial Corp., Case No. Case No. 14-cv-02597, (E.D. Cal.) (the Settlement). This Notice summarizes Class Members' rights and options. Plaintiff alleges that Ocwen Loan Servicing, LLC and its parent company Ocwen Financial Corporation (together, Defendants or Ocwen) over-charged borrowers for certain property valuation expenses, including Broker Price Opinions (BPOs) or Hybrid Valuations (Hybrids), which Plaintiff alleges contained undisclosed "mark-ups." Ocwen denies Plaintiff's claims, and all alleged wrongdoing associated with Plaintiff's claims. The Court has not decided who is right or wrong. Instead, the Parties have agreed to the Settlement to avoid the costs, risk, and delays associated with continuing this complex and time-consuming litigation. The Court certified a Nationwide Settlement Class that includes all residents of the United States of America who have or had a loan serviced by Ocwen and who paid for one or more BPOs or Hybrids charged by Ocwen through Altisource, from November 5, 2010 through September 29, 2017, the date of the class certification order in this action. The Court also certified a California Settlement Sub-Class that includes all residents of the State of California who have or had a loan serviced by Ocwen and to whom charges for one or more BPOs or Hybrids were assessed to their mortgage account by Ocwen through Altisource, from November 5, 2010 through September 29, 2017 (the class period"). The Nationwide Settlement Class and California Settlement Sub-Cass are collectively the Settlement Class. If approved, the Settlement will provide: A $60 reimbursement for each BPO fee that Settlement Class Members paid during the class period; A $70 reimbursement for each Hybrid fee that Settlement Class Members paid during the class period; Reversals and/or credits for any California Sub-Class Members who continue to have loans serviced by Ocwen, in the amount of $60 for each BPO and $70 for each Hybrid fee that was assessed to the Class Member during the class period but for which the Class Member has not paid; and Defendants' modification of disclosures to borrowers in valuation-related correspondence and reports, and in any applicable fee schedules, to identify, as applicable, the "reconciliation" service added by vendors to BPO and Hybrid products. Class Members can file a claim, request exclusion, object, or do nothing. File a Claim. To receive a payment from the Settlement, submit a valid claim electronically at website or postmarked by September 29, 2025. Annuncio • Apr 04
Ocwen Financial Corporation, Annual General Meeting, May 28, 2024 Ocwen Financial Corporation, Annual General Meeting, May 28, 2024. Agenda: to consider proposal and approve name change of the company at its Annual Meeting of Shareholders. Annuncio • Apr 02
Ocwen Financial Corporation Announces Board of Directors Changes Ocwen Financial Corporation announced the appointment of Claudia J. Merkle to its Board of Directors (“Board”), effective April 1, 2024. In addition, Phyllis R. Caldwell has notified the Board that she has decided not to stand for re-election at Ocwen’s 2024 Annual Meeting of Shareholders scheduled for May 28, 2024. Claudia Merkle currently serves as an Advisory Board member of HomeLend Inc. and is the former Chief Executive Officer of NMI Holdings Inc., a publicly traded private mortgage insurer and the parent company of National Mortgage Insurance Corporation (National MI), a position she held from 2019 to 2021. Under her leadership, National MI was recognized on Fortune’s 100 Fastest-Growing Companies list in 2020 and was consistently recognized as one of the best places to work in the U.S. In 2021, Ms. Merkle was named one of the Most Influential Women in the Bay Area by the San Francisco Business Times. Prior to her role as CEO, Ms. Merkle held multiple executive leadership positions since joining National MI in 2012, including President; Chief Operating Officer; Executive Vice President, Chief of Insurance Operations; and Senior Vice President, Underwriting Fulfillment and Risk Operations. Earlier in her career, she served as Vice President, National and Regional Accounts, Risk and Operations, and previously as Managing Director at PMI Mortgage Insurance Co. She holds a B.S. degree in management from the University of Pennsylvania’s Wharton School of Business. New Risk • Feb 29
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 2.1% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. This is currently the only risk that has been identified for the company. Reported Earnings • Feb 28
Full year 2023 earnings released: US$8.34 loss per share (vs US$2.97 profit in FY 2022) Full year 2023 results: US$8.34 loss per share (down from US$2.97 profit in FY 2022). Revenue: US$1.07b (up 12% from FY 2022). Net loss: US$63.7m (down 348% from profit in FY 2022). Revenue is forecast to grow 4.5% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has increased by 3% per year, which means it is well ahead of earnings. Annuncio • Dec 09
Ocwen Financial Corporation Announces Executive Changes On December 8, 2023, Ocwen Financial Corporation announced that George T. Henley, Executive Vice President and Chief Growth Officer, will be leaving the Company after a transition period on December 31, 2023. Andy Peach, Senior Vice President, Business-to-Business Lending, who has been with the Company since March 2021, is currently serving as the interim leader of the Company’s Originations business. Reported Earnings • Nov 08
Third quarter 2023 earnings released: EPS: US$1.10 (vs US$4.33 in 3Q 2022) Third quarter 2023 results: EPS: US$1.10 (down from US$4.33 in 3Q 2022). Revenue: US$255.6m (up 2.4% from 3Q 2022). Net income: US$8.50m (down 77% from 3Q 2022). Profit margin: 3.3% (down from 15% in 3Q 2022). Revenue is forecast to grow 9.0% p.a. on average during the next 3 years, compared to a 10.0% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has fallen by 34% per year but the company’s share price has increased by 6% per year, which means it is well ahead of earnings. New Risk • Oct 10
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of German stocks, typically moving 6.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Reported Earnings • Aug 03
Second quarter 2023 earnings released: EPS: US$2.02 (vs US$1.12 in 2Q 2022) Second quarter 2023 results: EPS: US$2.02 (up from US$1.12 in 2Q 2022). Revenue: US$272.0m (up 22% from 2Q 2022). Net income: US$15.0m (up 45% from 2Q 2022). Profit margin: 5.5% (up from 4.7% in 2Q 2022). Revenue is forecast to grow 8.2% p.a. on average during the next 2 years, compared to a 8.2% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has increased by 9% per year but the company’s share price has increased by 20% per year, which means it is tracking significantly ahead of earnings growth. Reported Earnings • May 06
First quarter 2023 earnings released: US$5.32 loss per share (vs US$6.30 profit in 1Q 2022) First quarter 2023 results: US$5.32 loss per share (down from US$6.30 profit in 1Q 2022). Revenue: US$262.0m (up 13% from 1Q 2022). Net loss: US$40.0m (down 169% from profit in 1Q 2022). Revenue is forecast to grow 8.8% p.a. on average during the next 2 years, compared to a 9.3% growth forecast for the Diversified Financial industry in Germany. Over the last 3 years on average, earnings per share has increased by 68% per year but the company’s share price has only increased by 60% per year, which means it is significantly lagging earnings growth. Annuncio • May 04
Ocwen Financial Corporation Provides Update on Pending Litigation with the Consumer Financial Protection Bureau Ocwen Financial Corporation issued the following statement in response to rulings entered on May 2, 2023 by the United States District Court for the Southern District of Florida in the Company’s pending litigation with the Consumer Financial Protection Bureau (“CFPB”). In those rulings, the district court granted in full Ocwen’s motion for summary judgment on the CFPB’s remaining claims, entered final judgment in the Company’s favor, and closed the case. Valuation Update With 7 Day Price Move • Mar 16
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to €23.60, the stock trades at a forward P/E ratio of 10x. Average forward P/E is 11x in the Mortgage industry in Europe. Total returns to shareholders of 280% over the past three years. Reported Earnings • Mar 01
Full year 2022 earnings released: EPS: US$3.28 (vs US$2.00 in FY 2021) Full year 2022 results: EPS: US$3.28 (up from US$2.00 in FY 2021). Revenue: US$954.0m (down 9.2% from FY 2021). Net income: US$26.0m (up 44% from FY 2021). Profit margin: 2.7% (up from 1.7% in FY 2021). The increase in margin was driven by lower expenses. Revenue is forecast to grow 13% p.a. on average during the next 2 years, compared to a 5.1% growth forecast for the Mortgage industry in Europe. Over the last 3 years on average, earnings per share has increased by 124% per year but the company’s share price has only increased by 28% per year, which means it is significantly lagging earnings growth. Annuncio • Jan 24
Ocwen Financial Corporation Announces Board Changes Ocwen Financial Corporation announced that its Board of Directors has unanimously elected Glen A. Messina as Chair of the Board, effective January 23, 2023. Mr. Messina will continue to serve as President and Chief Executive Officer of Ocwen, a position he has held, along with serving on the Board as a director, since October 2018. Mr. Messina succeeds Phyllis R. Caldwell, who has successfully served as Chair since March 2016 and as a director since January 2015. Ms. Caldwell will remain on the Board as an independent director and intends to stand for re-election at the next Annual meeting. In accordance with the Company’s Corporate Governance Guidelines and to provide effective oversight and independence of the Board, the Board appointed Kevin Stein as Lead Independent Director. Mr. Stein has served as an independent director on Ocwen’s Board since February 2019. The Board has determined that combining the Chair of the Board and Chief Executive Officer positions, along with appointing a Lead Independent Director, is the appropriate structure for the Company at this time and helps provide strong and consistent leadership for the management team and its Board. The Board believes that Mr. Messina’s knowledge and background with the Company, deep industry experience, demonstrated leadership capability and track record of delivering results benefits Ocwen’s shareholders, customers and employees and uniquely positions him to lead the Board and continue to oversee the Company’s strategic initiatives. Board Change • Nov 16
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 7 experienced directors. No highly experienced directors. Independent Director Kevin Stein was the last director to join the board, commencing their role in 2019. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Nov 10
Investor sentiment improved over the past week After last week's 17% share price gain to €35.60, the stock trades at a forward P/E ratio of 6x. Average forward P/E is 11x in the Mortgage industry in Europe. Total returns to shareholders of 61% over the past three years. Reported Earnings • Nov 05
Third quarter 2022 earnings released: EPS: US$4.33 (vs US$2.35 in 3Q 2021) Third quarter 2022 results: EPS: US$4.33 (up from US$2.35 in 3Q 2021). Revenue: US$249.7m (down 12% from 3Q 2021). Net income: US$36.9m (up 71% from 3Q 2021). Profit margin: 15% (up from 7.6% in 3Q 2021). The increase in margin was driven by lower expenses. Revenue is forecast to grow 9.2% p.a. on average during the next 3 years, compared to a 7.3% growth forecast for the Mortgage industry in Europe. Over the last 3 years on average, earnings per share has increased by 130% per year but the company’s share price has only increased by 14% per year, which means it is significantly lagging earnings growth. Recent Insider Transactions • Sep 26
Insider recently bought €3.8m worth of stock On the 19th of September, Howard Amster bought around 136k shares on-market at roughly €27.75 per share. This transaction amounted to 98% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought €3.9m more in shares than they have sold in the last 12 months. Valuation Update With 7 Day Price Move • Aug 11
Investor sentiment deteriorated over the past week After last week's 22% share price decline to €27.00, the stock trades at a forward P/E ratio of 5x. Average forward P/E is 12x in the Mortgage industry in Europe. Total returns to shareholders of 40% over the past three years. Reported Earnings • Aug 06
Second quarter 2022 earnings released: EPS: US$1.12 (vs US$1.15 loss in 2Q 2021) Second quarter 2022 results: EPS: US$1.12 (up from US$1.15 loss in 2Q 2021). Revenue: US$222.2m (down 16% from 2Q 2021). Net income: US$10.4m (up US$20.7m from 2Q 2021). Profit margin: 4.7% (up from net loss in 2Q 2021). The move to profitability was driven by lower expenses. Over the next year, revenue is forecast to grow 5.6%, compared to a 11% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 122% per year but the company’s share price has only increased by 15% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Jun 18
Investor sentiment deteriorated over the past week After last week's 18% share price decline to €21.60, the stock trades at a forward P/E ratio of 3x. Average forward P/E is 10x in the Mortgage industry in Europe. Total loss to shareholders of 1.7% over the past three years. Recent Insider Transactions • May 26
CEO, President & Director recently bought €73k worth of stock On the 24th of May, Glen Messina bought around 3k shares on-market at roughly €24.40 per share. This was the largest purchase by an insider in the last 3 months. This was Glen's only on-market trade for the last 12 months. Valuation Update With 7 Day Price Move • May 25
Investor sentiment improved over the past week After last week's 16% share price gain to €23.80, the stock trades at a forward P/E ratio of 3x. Average forward P/E is 12x in the Mortgage industry in Europe. Total returns to shareholders of 7.1% over the past three years. Annuncio • May 24
Ocwen Financial Corporation (NYSE:OCN) announces an Equity Buyback for $50 million worth of its shares. Ocwen Financial Corporation (NYSE:OCN) announces a share repurchase program. Under the program, the company will repurchase up to $50 million worth of its shares. The program will be valid till November 20, 2022. Reported Earnings • May 07
First quarter 2022 earnings released: EPS: US$6.30 (vs US$0.98 in 1Q 2021) First quarter 2022 results: EPS: US$6.30 (up from US$0.98 in 1Q 2021). Revenue: US$231.6m (up 12% from 1Q 2021). Net income: US$58.1m (up US$49.5m from 1Q 2021). Profit margin: 25% (up from 4.1% in 1Q 2021). The increase in margin was primarily driven by lower expenses. Over the next year, revenue is forecast to stay flat compared to a 13% growth forecast for the industry in Germany. Over the last 3 years on average, earnings per share has increased by 105% per year but the company’s share price has fallen by 3% per year, which means it is significantly lagging earnings. Board Change • Apr 27
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 7 experienced directors. No highly experienced directors. Independent Director Kevin Stein was the last director to join the board, commencing their role in 2019. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Annuncio • Apr 19
Ocwen Financial Corporation, Annual General Meeting, May 25, 2022 Ocwen Financial Corporation, Annual General Meeting, May 25, 2022, at 09:00 Eastern Daylight. Agenda: To elect seven directors for one-year terms or until their successors are elected and qualified; to ratify, on an advisory basis, the appointment by the Audit Committee of company's Board of Directors of Deloitte & Touche LLP as the independent registered public accounting firm of Ocwen Financial Corporation for the fiscal year ending December 31, 2022; to hold an advisory vote to approve executive compensation (Say-on-Pay); to approve an amendment to the Ocwen Financial Corporation 2021 Equity Incentive Plan to increase the number of available shares; and to transact such other business as may properly come before the meeting and any postponement or adjournment of the meeting. Valuation Update With 7 Day Price Move • Apr 11
Investor sentiment deteriorated over the past week After last week's 16% share price decline to €18.40, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 12x in the Mortgage industry in Europe. Total loss to shareholders of 29% over the past three years. Board Change • Apr 01
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 7 experienced directors. No highly experienced directors. Independent Director Kevin Stein was the last director to join the board, commencing their role in 2019. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Mar 04
Investor sentiment deteriorated over the past week After last week's 20% share price decline to €25.00, the stock trades at a forward P/E ratio of 4x. Average forward P/E is 13x in the Mortgage industry in Europe. Total loss to shareholders of 7.9% over the past three years. Board Change • Mar 02
Insufficient new directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 7 experienced directors. No highly experienced directors. Independent Director Kevin Stein was the last director to join the board, commencing their role in 2019. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Reported Earnings • Feb 26
Full year 2021 earnings: EPS in line with expectations, revenues disappoint Full year 2021 results: EPS: US$2.00 (up from US$4.59 loss in FY 2020). Revenue: US$1.05b (up 9.3% from FY 2020). Net income: US$18.1m (up US$58.3m from FY 2020). Profit margin: 1.7% (up from net loss in FY 2020). Revenue missed analyst estimates by 100%. Over the next year, revenue is forecast to grow 24%, compared to a 14% growth forecast for the banks industry in Germany. Over the last 3 years on average, earnings per share has increased by 81% per year but the company’s share price has only increased by 4% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 09
Third quarter 2021 earnings released: EPS US$2.35 (vs US$1.09 loss in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: US$283.1m (up 14% from 3Q 2020). Net income: US$21.6m (up US$31.0m from 3Q 2020). Profit margin: 7.6% (up from net loss in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 65% per year but the company’s share price has fallen by 7% per year, which means it is significantly lagging earnings. Recent Insider Transactions • Aug 19
Independent Director recently bought €98k worth of stock On the 16th of August, Jacques Busquet bought around 4k shares on-market at roughly €24.40 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought €178k more in shares than they have sold in the last 12 months. Reported Earnings • Aug 08
Second quarter 2021 earnings released: US$1.15 loss per share (vs US$0.23 profit in 2Q 2020) The company reported a soft second quarter result with weaker earnings and weaker control over costs, although revenues improved. Second quarter 2021 results: Revenue: US$265.4m (up 17% from 2Q 2020). Net loss: US$10.3m (down US$12.3m from profit in 2Q 2020). Over the last 3 years on average, earnings per share has increased by 45% per year but the company’s share price has fallen by 25% per year, which means it is significantly lagging earnings. Breakeven Date Change • Jul 27
Forecast to breakeven in 2021 The analyst covering Ocwen Financial expects the company to break even for the first time. New forecast suggests the company will make a profit of US$39.3m in 2021. Earnings growth of 99% is required to achieve expected profit on schedule. Reported Earnings • May 07
First quarter 2021 earnings released: EPS US$0.98 (vs US$2.84 loss in 1Q 2020) The company reported a decent first quarter result with improved earnings and profit margins, although revenues were weaker. First quarter 2021 results: Revenue: US$207.6m (down 18% from 1Q 2020). Net income: US$8.54m (up US$34.0m from 1Q 2020). Profit margin: 4.1% (up from net loss in 1Q 2020). Over the last 3 years on average, earnings per share has increased by 32% per year but the company’s share price has fallen by 23% per year, which means it is significantly lagging earnings. Annuncio • Mar 07
Ocwen Financial Comments on Court Order Granting Ocwen’s Motion for Summary Judgment on Majority of Claims in CFPB Matter Ocwen Financial Corporation issued the following statement in response to the ruling issued on March 4, 2021 by the United States District Court for the Southern District of Florida on the company’s motion for summary judgment in the action pending with the Consumer Financial Protection Bureau. The Court granted judgment in Ocwen’s favor on 9 of the Bureau’s 10 counts regarding alleged servicing misconduct that occurred before February 26, 2017. If the CFPB seeks to pursue any claims under Counts 1-9 based on alleged servicing misconduct which occurred after February 26, 2017, the Court reserved ruling on Ocwen’s remaining grounds for summary judgment pending the CFPB’s submission of a supplemental statement identifying such claims and its evidence, if any. As to Count 10, the Court denied the Bureau’s motion for summary judgment because Ocwen credibly disputed the Bureau’s claims of misconduct as to the small subset of loans at issue for that count. Executive Departure • Mar 02
Executive Officer has left the company On the 28th of February, Timothy Yanoti's tenure as Executive Officer ended after 2.3 years in the role. As of December 2020, Timothy personally held 4.71k shares (€107k worth at the time). A total of 2 executives have left over the last 12 months. Reported Earnings • Feb 21
Full year 2020 earnings released: US$4.59 loss per share (vs US$15.86 loss in FY 2019) The company reported a decent full year result with reduced losses and improved control over expenses, although revenues were weaker. Full year 2020 results: Revenue: US$960.9m (down 14% from FY 2019). Net loss: US$40.2m (loss narrowed 72% from FY 2019). Over the last 3 years on average, earnings per share has increased by 22% per year but the company’s share price has fallen by 18% per year, which means it is significantly lagging earnings. Analyst Estimate Surprise Post Earnings • Feb 21
Revenue beats expectations Revenue exceeded analyst estimates by 28%. Over the next year, revenue is expected to shrink by 12% compared to a 4.6% decline forecast for the Mortgage industry in Germany. Annuncio • Feb 10
Ocwen Financial Corporation announced that it expects to receive $250 million in funding from Oaktree Capital Management, L.P. Ocwen Financial Corporation (NYSE:OCN) announced that it has entered into entered into a note and warrant purchase agreement for a private placement for gross proceeds of $250 million on February 9, 2021. The transaction will include participation from Oaktree Capital Management, L.P. The company will issue senior secured notes in the transaction. The initial closing will be for the principal amount of $199.5 million and will be issued at a discount of $24.5 million for gross proceeds of $175 million. The remaining $85.5 million aggregate principal amount will be issued and sold for gross proceeds of $75 million on a subsequent closing date that is no later than one year following the initial closing date. Initial closing date would be before March 31, 2021. The warrants to purchase shares of the company’s common stock equal to 12.0% of the company’s then outstanding common stock at an exercise price of $26.82 per share. The senior secured notes will have a six-year term with no amortization of principal. Interest on the notes will be payable quarterly in arrears on the last business day of each March, June, September and December and will accrue at the rate of 12% per annum to the extent interest is paid in cash or 13.25% per annum to the extent interest is “paid-in-kind” through an increase in the principal amount or the issuance of additional senior secured notes. The notes would be redeemable in nature. Annuncio • Feb 09
Ocwen Financial Corporation Announces Executive Changes Ocwen Financial Corporation announced the appointment of George T. Henley as Executive Vice President and Chief Growth Officer, effective February 15, 2021. Mr. Henley will become a member of the Company’s executive leadership team and report to Glen A. Messina, President and Chief Executive Officer of Ocwen. In this role, Mr. Henley will be responsible for the growth and development of the Company’s originations business and operations. This includes customer acquisition and retention in forward and reverse mortgages; enterprise sales efforts to expand its subservicing, correspondent and flow mortgage servicing rights (“MSR”) client base; and the purchase of bulk MSRs. He will also be responsible for continuing to enhance and expand the Company’s originations capabilities. Most recently, Mr. Henley served as Executive Vice President, Retail Lending of Freedom Mortgage responsible for sales, operations and originations channel expansion. Prior to this role, he was Executive Vice President, Capital Markets and Correspondent Lending responsible for the growth and development of Freedom Mortgage’s correspondent lending channel. Mr. Henley will succeed Timothy J. Yanoti, who is departing after a brief transition period to pursue opportunities outside of Ocwen. Mr. Yanoti will remain with the Company through February 28, 2021 to assist in the leadership transition. George Henley most recently served as Executive Vice President, Retail Lending for Freedom Mortgage overseeing its traditional retail channel, including sales and operations. In addition to his role as head of retail lending, Mr. Henley worked in capital markets, responsible for retail channel pricing and margin management as well as GSE relations. Annuncio • Jan 08
Ocwen Financial Issued A Conclusion of Mediation with the Consumer Financial Protection Bureau Ocwen Financial Corporation issued the following statement in response to the mediator’s notice that the company’s court-ordered mediation with the Consumer Financial Protection Bureau (“CFPB” or “Bureau”) had concluded. The parties were unable to reach a settlement related to the lawsuit filed by the CFPB in 2017 against the company regarding certain legacy servicing activities. The company increased its legal and regulatory accrual related to the CFPB matter by $13.1 million in the fourth quarter of 2020 resulting from its efforts to resolve the matter in mediation. Is New 90 Day High Low • Dec 24
New 90-day high: €26.20 The company is up 46% from its price of €17.98 on 25 September 2020. The German market is up 9.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Mortgage industry, which is up 28% over the same period. Reported Earnings • Nov 05
Third quarter 2020 earnings released: US$1.09 loss per share The company reported a decent third quarter result with reduced losses and improved control over expenses, although revenues were weaker. Third quarter 2020 results: Revenue: US$249.0m (down 8.0% from 3Q 2019). Net loss: US$9.42m (loss narrowed 78% from 3Q 2019). Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 20% per year, which means it is significantly lagging earnings. Analyst Estimate Surprise Post Earnings • Nov 05
Revenue beats expectations Revenue exceeded analyst estimates by 1.6%. Over the next year, revenue is expected to shrink by 18% compared to a 47% growth forecast for the Mortgage industry in Germany. Is New 90 Day High Low • Oct 10
New 90-day high: €21.60 The company is up 189% from its price of €7.47 on 10 July 2020. The German market is up 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Mortgage industry, which is up 5.0% over the same period. Annuncio • Aug 04
Ocwen Financial Reverse Stock Split May Assist to Regain and Maintain Compliance Ocwen Financial Corporation announced that its Board of Directors approved a reverse stock split of authorized and outstanding shares of the Company’s common stock at a ratio of one-for-15. The Company believes a reverse stock split may facilitate investment in its stock by potentially broadening the range of eligible institutional investors, increasing analyst and broker-dealer interest, and decreasing stock price volatility. The Company also believes that increased interest in the Company and its common stock may lead to an increase in the dollar trading volume and liquidity of its common stock. Additionally, as previously described in the Company’s filings with the Securities and Exchange Commission, the Company was notified on April 8, 2020 by the NYSE that the average trading price per share of its common stock was below the NYSE’s continued listing standard rule relating to minimum average share price, and the Company must regain compliance with the NYSE’s share price standard by December 17, 2020. While Ocwen’s share price is currently above the minimum threshold price, by increasing the market price per share of the Company’s common stock, the reverse stock split may assist the Company in regaining and maintaining compliance with the NYSE’s minimum average share price requirement. Annuncio • Jul 17
Ocwen Financial Corporation to Report Q2, 2020 Results on Jul 17, 2020 Ocwen Financial Corporation announced that they will report Q2, 2020 results at 11:45 AM, GMT Standard Time on Jul 17, 2020