Finance of America Companies (NYSE:FOA) Stock Lifted to “Hold” by Zacks Research

Finance of America Companies (NYSE:FOA) was upgraded by analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Monday, Zacks reports.

Several other brokerages also recently weighed in on FOA. Wall Street Zen upgraded shares of Finance of America Companies from a “sell” rating to a “hold” rating in a research note on Saturday, October 3rd. Alliance Global Partners began coverage on Finance of America Companies in a research report on Wednesday, July 22nd. They set a “buy” rating and a $30.00 price target on the stock. Weiss Ratings lowered Finance of America Companies from a “sell (d+)” rating to a “sell (d)” rating in a research report on Tuesday, August 11th. Finally, B. Riley Financial restated a “buy” rating and issued a $32.00 price target (up from $25.00) on shares of Finance of America Companies in a research note on Wednesday, August 5th. Two investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $30.50.

Finance of America Companies Stock Performance

Finance of America Companies stock opened at $10.70 on Monday. The company has a market cap of $185.15 million, a price-to-earnings ratio of -3.55 and a beta of 1.77. The company has a debt-to-equity ratio of 60.78, a current ratio of 3.02 and a quick ratio of 3.02. Finance of America Companies has a 12 month low of $10.04 and a 12 month high of $29.79. The stock’s 50-day moving average is $13.82 and its 200-day moving average is $19.31.

Finance of America Companies (NYSE:FOA) last released its quarterly earnings data on Tuesday, November 3rd. The company reported $0.28 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.26 by ($0.98). Finance of America Companies had a positive return on equity of 28.39% and a negative net margin of 0.10%. The business had revenue of $89.00 million for the quarter, compared to analysts’ expectations of $132.34 million. Equities analysts anticipate that Finance of America Companies will post 3.87 earnings per share for the current year.

Insider Activity at Finance of America Companies

In other news, CIO Jeremy Prahm sold 5,610 shares of the firm’s stock in a transaction on Monday, October 19th. The stock was sold at an average price of $10.74, for a total value of $60,251.40. Following the completion of the sale, the executive owned 150,246 shares of the company’s stock, valued at $1,613,642.04. This trade represents a 3.60% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 43,110 shares of company stock valued at $729,971. 35.37% of the stock is currently owned by corporate insiders.

Institutional Trading of Finance of America Companies

Institutional investors have recently added to or reduced their stakes in the business. Dimensional Fund Advisors LP boosted its stake in shares of Finance of America Companies by 56.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 102,061 shares of the company’s stock worth $1,694,000 after acquiring an additional 36,929 shares in the last quarter. Prescott Group Capital Management L.L.C. increased its holdings in shares of Finance of America Companies by 17.8% during the 3rd quarter. Prescott Group Capital Management L.L.C. now owns 66,206 shares of the company’s stock worth $837,000 after purchasing an additional 10,000 shares during the period. First Trust Advisors LP lifted its position in shares of Finance of America Companies by 43.7% in the 1st quarter. First Trust Advisors LP now owns 17,210 shares of the company’s stock worth $286,000 after acquiring an additional 5,236 shares during the period. Finally, Public Employees Retirement System of Ohio bought a new position in Finance of America Companies in the second quarter worth $240,000. 97.20% of the stock is currently owned by institutional investors and hedge funds.

Finance of America Companies News Summary

Here are the key news stories impacting Finance of America Companies this week:

• Positive Sentiment: Finance of America reported higher origination volume, indicating increased lending activity. Finance of America grows origination volume but reports $110M loss in Q3
• Positive Sentiment: Management forecast a $4–$5 adjusted EPS run rate in the second half of 2027, assuming margins normalize in the first half. The target is a potentially encouraging longer-term signal, but depends on execution and improved margins. Finance of America forecasts $4-$5 run rate adjusted EPS
• Positive Sentiment: Coverage described FOA as a leader in the reverse-mortgage market, a position that could support its business prospects. Finance of America Cements its Position as Leader in Reverse Mortgage Market
• Negative Sentiment: Q3 adjusted earnings were $0.28 per share, well below the $1.26 consensus and down from $1.33 a year earlier. Revenue of $89 million also missed the $132.34 million estimate, while one report cited a $110 million quarterly loss. The sharp shortfall is a key near-term headwind. Finance of America Companies misses Q3 earnings and revenue estimates

Finance of America Companies Company Profile

Finance of America Companies Inc (NYSE:FOA) is a financial services company focused on helping homeowners access and manage home equity. Its primary business is conducted through Finance of America Reverse, which provides reverse mortgage products and related services to older homeowners.

The company offers federally insured Home Equity Conversion Mortgages (HECMs), proprietary reverse mortgage products and reverse mortgage refinancing solutions. These products generally allow eligible homeowners to convert a portion of their home equity into funds while continuing to live in their homes, subject to applicable loan terms, taxes, insurance and maintenance requirements.