| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 5/6 |
| Past Performance | 0/6 |
| Financial Health | 0/6 |
| Dividends | 0/6 |
FOA Stock Overview
Finance of America Companies Inc. operates a consumer lending platform in the United States.
Rewards
Risk Analysis
No risks detected for FOA from our risk checks.
Finance Of America Companies Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$1.79 |
| 52 Week High | US$6.72 |
| 52 Week Low | US$1.53 |
| Beta | 0.73 |
| 1 Month Change | -3.24% |
| 3 Month Change | -28.11% |
| 1 Year Change | -72.96% |
| 3 Year Change | -81.87% |
| 5 Year Change | n/a |
| Change since IPO | -81.52% |
Recent News & Updates
Shareholder Returns
| FOA | US Mortgage | US Market | |
|---|---|---|---|
| 7D | 1.1% | 2.2% | 1.0% |
| 1Y | -73.0% | -23.4% | -12.9% |
Return vs Industry: FOA underperformed the US Mortgage industry which returned -23.6% over the past year.
Return vs Market: FOA underperformed the US Market which returned -12.8% over the past year.
Price Volatility
| FOA volatility | |
|---|---|
| FOA Average Weekly Movement | 9.1% |
| Mortgage Industry Average Movement | 3.7% |
| Market Average Movement | 7.9% |
| 10% most volatile stocks in US Market | 17.1% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: FOA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: FOA's weekly volatility (9%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2013 | 6,674 | Graham Fleming | https://www.financeofamerica.com |
Finance of America Companies Inc. operates a consumer lending platform in the United States. The company operates through: Mortgage Originations, Reverse Originations, Commercial Originations, Lender Services, and Portfolio Management segments. It provides residential mortgage loans to the government sponsored entities; government-insured agricultural lending solutions to farmers; product development, loan securitization, loan sales, risk management, asset management, and servicing oversight services to enterprise and third-party funds; and ancillary business services, title agency and title insurance services, mortgage servicing rights valuation and trade brokerage, transactional fulfillment services, mortgage loan third party review or due diligence services, and appraisal and capital management services to residential mortgage, student lending, and commercial lending industry customers.
Finance Of America Companies Fundamentals Summary
| FOA fundamental statistics | |
|---|---|
| Market Cap | US$342.08m |
| Earnings (TTM) | -US$543.10m |
| Revenue (TTM) | US$1.25b |
0.3x
P/B Ratio0.1x
P/S RatioIs FOA overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| FOA income statement (TTM) | |
|---|---|
| Revenue | US$1.25b |
| Cost of Revenue | US$0 |
| Gross Profit | US$1.25b |
| Other Expenses | US$1.79b |
| Earnings | -US$543.10m |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | -8.69 |
| Gross Margin | 100.00% |
| Net Profit Margin | -43.52% |
| Debt/Equity Ratio | 1,123.5% |
How did FOA perform over the long term?
See historical performance and comparisonValuation
Is FOA undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Price-To-Book vs Peers
Price-To-Book vs Industry
Price-To-Book vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for FOA?
Other financial metrics that can be useful for relative valuation.
| What is FOA's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$342.08m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | n/a |
| Enterprise Value/EBITDA | n/a |
| PEG Ratio | n/a |
Price to Book Ratio vs Peers
How does FOA's PB Ratio compare to its peers?
| FOA PB Ratio vs Peers |
|---|
| Company | PB | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 0.8x | ||
HBCP Home Bancorp | 1x | 7.6% | US$328.1m |
VEL Velocity Financial | 1.1x | 44.2% | US$377.3m |
BLFY Blue Foundry Bancorp | 0.7x | 167.8% | US$305.5m |
SBT Sterling Bancorp (Southfield MI) | 0.9x | -20.4% | US$297.3m |
FOA Finance Of America Companies | 0.3x | 147.3% | US$342.1m |
Price-To-Book vs Peers: FOA is good value based on its Price-To-Book Ratio (0.3x) compared to the peer average (0.8x).
Price to Earnings Ratio vs Industry
How does FOA's PE Ratio compare vs other companies in the US Mortgage Industry?
Price-To-Book vs Industry: FOA is good value based on its Price-To-Book Ratio (0.3x) compared to the US Mortgage industry average (1x)
Price to Book Ratio vs Fair Ratio
What is FOA's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PB Ratio | 0.3x |
| Fair PB Ratio | n/a |
Price-To-Book vs Fair Ratio: Insufficient data to calculate FOA's Price-To-Book Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of FOA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: FOA ($1.79) is trading below our estimate of fair value ($14.01)
Significantly Below Fair Value: FOA is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.
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Future Growth
How is Finance Of America Companies forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
5/6Future Growth Score 5/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
147.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FOA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).
Earnings vs Market: FOA is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: FOA is expected to become profitable in the next 3 years.
Revenue vs Market: FOA's revenue (12.5% per year) is forecast to grow faster than the US market (7.9% per year).
High Growth Revenue: FOA's revenue (12.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FOA's Return on Equity is forecast to be high in 3 years time (30%)
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Past Performance
How has Finance Of America Companies performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-26.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FOA is currently unprofitable.
Growing Profit Margin: FOA is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: FOA is unprofitable, and losses have increased over the past 5 years at a rate of 26.7% per year.
Accelerating Growth: Unable to compare FOA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: FOA is unprofitable, making it difficult to compare its past year earnings growth to the Mortgage industry (1.7%).
Return on Equity
High ROE: FOA has a negative Return on Equity (-175.86%), as it is currently unprofitable.
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Financial Health
How is Finance Of America Companies's financial position? (This company is analysed differently as a bank or financial institution)
Financial Health Score
0/6Financial Health Score 0/6
Asset Level
Allowance for Bad Loans
Low Risk Liabilities
Loan Level
Low Risk Deposits
Level of Bad Loans
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: FOA's Assets to Equity ratio (25.2x) is very high.
Allowance for Bad Loans: Insufficient data to determine if FOA has a sufficient allowance for bad loans.
Low Risk Liabilities: FOA reports no customer deposits, 100% of its liabilities are made up of higher risk sources of funding.
Loan Level: Insufficient data to determine if FOA has an appropriate level of Loans to Assets ratio.
Low Risk Deposits: FOA reports no customer deposits, loans are made up entirely of externally borrowed funds.
Level of Bad Loans: Insufficient data to determine if FOA has an appropriate level of bad loans.
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Dividend
What is Finance Of America Companies's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate FOA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate FOA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if FOA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if FOA's dividend payments have been increasing.
Current Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of FOA's dividend in 3 years as they are not forecast to pay a notable one for the US market.
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Management
How experienced are the management team and are they aligned to shareholders interests?
1.6yrs
Average management tenure
CEO
Graham Fleming (52 yo)
1.83yrs
Tenure
US$17,625,510
Compensation
Mr. Graham A. Fleming serves as President of Finance Of America Companies Inc. since October 2020 and serves as its Interim Chief Executive Officer since July 01, 2022. He joined Finance Of America Compani...
CEO Compensation Analysis
Compensation vs Market: Graham's total compensation ($USD17.63M) is above average for companies of similar size in the US market ($USD2.70M).
Compensation vs Earnings: Graham's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: FOA's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
Experienced Board: FOA's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Finance Of America Companies Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Finance Of America Companies Inc.
- Ticker: FOA
- Exchange: NYSE
- Founded: 2013
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Implied Market Cap: US$342.083m
- Market Cap: US$111.829m
- Shares outstanding: 191.11m
- Website: https://www.financeofamerica.com
Number of Employees
Location
- Finance Of America Companies Inc.
- 909 Lake Carolyn Parkway
- Suite 1550
- Irving
- Texas
- 75039
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/06 00:00 |
| End of Day Share Price | 2022/08/05 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.