Overview
Non-bank financial services firm's Q4 net income was $126 mln, diluted EPS $14.24
Company announced $10 mln share repurchase program
Full year revenue increased 9% to $1.1 bln compared to FY 2024
Outlook
Onity Group expects 2026 adjusted ROE between 13% and 15%
Company forecasts servicing UPB growth of 5% to 15% in 2026
Onity Group announces $10 mln share repurchase program
Result Drivers
ORIGINATIONS GROWTH - Originations volume increased 43% to $43 bln in 2025, supporting revenue growth
DEFERRED TAX ALLOWANCE - Released $120 mln deferred tax valuation allowance, aiding profitability
MSR RUNOFF IMPACT - FHA modification changes and government shutdown increased MSR runoff by $14 mln
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 EPS | $14.24 | ||
Q4 Net Income | $126 mln | ||
Q4 Adjusted Pretax Profit | $9 mln |
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
Wall Street's median 12-month price target for Onity Group Inc is $55.00, about 33.7% above its February 11 closing price of $41.15
The stock recently traded at 4 times the next 12-month earnings vs. a P/E of 4 three months ago
Press Release: ID:nGNXsmCCZ
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)