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Here are 1-2 brief analogies to describe Axos Financial:

• A Bank of America, but exclusively online and without physical branches.
• Like Ally Bank, but with a broader focus on both consumer and commercial online banking.

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• Retail Banking: Provides a full suite of digital banking services for consumers, including checking, savings, money market, and certificate of deposit accounts.
• Residential Mortgage Loans: Offers a variety of home purchase and refinance mortgage products for individual borrowers.
• Commercial & Industrial Lending: Provides loans for businesses' operational needs, such as working capital and equipment financing.
• Commercial Real Estate Lending: Finances the acquisition, development, and refinancing of income-producing commercial properties.
• Wealth Management Services: Offers investment management, financial planning, and brokerage clearing services through its subsidiaries for individual investors and financial advisors.

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Major Customers of Axos Financial (AX)

Axos Financial, through its subsidiary Axos Bank, serves a diverse customer base that includes both individuals and businesses. Given its broad banking operations, Axos Financial does not sell primarily to a select few named companies or exclusively to individuals. Instead, its customer base is best described through distinct categories reflecting its diverse product offerings across consumer and commercial banking.

The primary categories of customers Axos Financial serves include:

• Individual Consumers: This category comprises customers seeking personal banking products and services. These include checking accounts, savings accounts, money market accounts, certificates of deposit (CDs), residential mortgage loans, auto loans, and personal loans.
• Small to Mid-Sized Businesses and Corporations: Axos Bank provides comprehensive business banking solutions to these entities. Services include commercial real estate (CRE) loans, commercial and industrial (C&I) loans, treasury management services, and various business deposit products.
• Specialized Commercial & Real Estate Investors: This segment includes national and regional real estate investors, as well as other commercial clients utilizing specialized financing products such as equipment leasing and asset-backed lending.

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• Fiserv, Inc. (FI)
• Temenos AG (TEMN.SW)
• FIS (FIS)
• Experian plc (EXPN.L)
• TransUnion (TRU)
• Equifax Inc. (EFX)
• Visa Inc. (V)
• Mastercard Incorporated (MA)

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Gregory Garrabrants

Gregory Garrabrants has served as President and Chief Executive Officer of Axos Bank (formerly BofI Holding, Inc.) since 2007 or 2008. Prior to joining Axos, he was a Senior Vice President and Head of Corporate Business Development at the nation's seventh-largest thrift, where he focused on new business segments, mergers and acquisitions, joint ventures, and strategic alliances. Before his executive roles in banking institutions, Mr. Garrabrants spent over 15 years in the financial services industry, serving as an investment banker at Goldman Sachs, a management consultant at McKinsey & Company, and an attorney. At Goldman Sachs, he specialized in advising management and directors on strategic planning, capital and liquidity management, balance sheet management, and shareholder value enhancement. His work at McKinsey & Company involved leading teams for money center banks, non-bank financial services companies, insurance companies, and asset managers on strategy development, sales force effectiveness, risk management, organizational design, and corporate restructuring. He began his career at Deloitte Consulting in financial advisory services and litigation support practices. Mr. Garrabrants holds a Juris Doctorate, magna cum laude, from Northwestern University School of Law and a Master of Business Administration, with the highest distinctions, from the Kellogg Graduate School of Management at Northwestern University.

Derrick K. Walsh

Derrick K. Walsh joined Axos in 2013 and was appointed Executive Vice President, Chief Financial Officer in September 2021. Before becoming CFO, he held various accounting and finance positions at Axos, including Chief Accounting Officer. Prior to his time at Axos, Mr. Walsh led the SEC & Regulatory Reporting department at LPL Financial, where he was responsible for SEC and regulatory reporting, as well as aspects of management reporting and investor relations. He also worked as a manager in public accounting, auditing publicly traded organizations and financial institutions. Mr. Walsh is a licensed CPA in California and holds an active Series 27 license. He graduated as a double major in accounting and business administration with a concentration in finance from the Robins School of Business at the University of Richmond.

Raymond Matsumoto

Raymond Matsumoto has served as the Chief Operating Officer and Executive Vice President of Axos Financial since 2019. His previous roles include Executive Vice President and Chief Administrative Officer at CIT Group. Mr. Matsumoto also held executive positions at OneWest Bank and Indymac Bank.

Andrew J. Micheletti

Andrew J. Micheletti joined Axos Bank in 2001 and served as the institution's Chief Financial Officer for two decades before transitioning to the role of Executive Vice President, Finance, in September 2021. Before joining Axos, he was Vice President of Finance for TeleSpectrum Worldwide Inc. In July 1999, TeleSpectrum acquired International Data Response Corporation (IDRC), where Mr. Micheletti was Vice President and Corporate Controller. From 1990 to 1997, he was Managing Director and Chief Financial Officer of Linsco/Private Ledger Corp (LPL Financial Services). Prior to LPL Financial Services, he was Vice President, Controller and Vice President, Financial Reporting for Imperial Savings Association, a publicly traded $10 billion savings and loan, where he started as an internal auditor in 1985. Mr. Micheletti also held several positions with Deloitte & Touche LLP as an auditor from 1980 to 1985. He is a licensed CPA (inactive) in California and holds a B.S. from San Diego State University.

Thomas M. Constantine

Thomas M. Constantine serves as Executive Vice President and Chief Credit Officer of Axos Bank. No further background information is available from the provided sources.

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1. Commercial Real Estate (CRE) Exposure
Axos Financial has a significant exposure to commercial real estate loans, with CRE loans constituting more than half of its total loan portfolio. This is considerably higher than the regional bank average and poses a significant risk due to potential headwinds in the CRE sector, including rising defaults and falling property values.

2. Allegations of Lax Underwriting Standards and Questionable Accounting Practices
An investigation by Hindenburg Research has alleged that Axos Financial may have concealed risks related to its lending practices and the health of its loan portfolio. The report raises concerns about potentially lax underwriting standards, suggesting the bank may have lent to borrowers rejected by other financial institutions, and questionable accounting practices that could present an overly optimistic financial picture. Such practices could lead to a significant number of future loan defaults and reputational damage.

3. Net Interest Margin (NIM) Compression
Axos Financial is susceptible to net interest margin compression, which can be impacted by fluctuations in interest rates. While the company benefits from a low-cost funding base, its net interest margin has shown signs of narrowing, and ongoing interest rate changes could further compress NIM, affecting profitability.

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• Intensifying Competition from Neobanks and Fintechs: The rapid proliferation and growth of digital-only banks (e.g., Chime, Varo, Monzo) and specialized fintech platforms offering competitive deposit rates, lower fees, and user-friendly mobile experiences. These companies frequently target specific demographics or niche banking needs, directly competing with Axos for deposits and lending opportunities. This landscape increases pressure on Axos's customer acquisition costs, deposit pricing, and loan margins, necessitating continuous investment in technology and user experience to avoid losing market share to more agile or niche competitors.
• Expansion of Big Tech into Financial Services: Companies like Apple (Apple Card, Apple Pay), Google (Google Pay, checking accounts with partner banks), and Amazon (Amazon Lending, payment processing) are increasingly leveraging their massive user bases, vast data resources, and advanced technological capabilities to offer a growing suite of financial products and services. Big Tech's entry poses a threat due to their potential to seamlessly integrate financial services into their existing ecosystems, offer unparalleled convenience, and quickly scale new offerings, which could draw away Axos's retail and small business customers.

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Axos Financial (AX) operates primarily through its banking segment and a securities and advisory services division, serving customers nationwide. The addressable markets for their main products and services in the U.S. are as follows:

• Commercial Banking: The U.S. commercial banking market is estimated at approximately $732.5 billion in 2025 and is projected to grow to $915.45 billion by 2030.
• Consumer Banking: The United States retail banking market, also known as consumer banking, is valued at approximately $0.87 trillion (or $870 billion) in 2025 and is forecasted to reach $1.08 trillion by 2030.
• Mortgage Lending: The U.S. home loan market was valued at approximately $2.29 trillion in 2025 and is forecasted to grow to $3.02 trillion by 2030.
• Wealth Management and Investment Advisory Services: The North American wealth management market, which includes investment advisory services, accounted for approximately $937.45 billion in 2023.

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1. Continued Loan Growth in Targeted Segments: Axos Financial anticipates sustained loan growth, particularly in areas such as single-family mortgage warehouse, commercial specialty real estate, auto lending, fund finance, equipment leasing, and lender finance. The company projects low to mid-teens annual loan growth for fiscal year 2026. This expansion is driven by improved origination pipelines and strategic portfolio allocation.

2. Strategic Acquisitions, notably Verdant Commercial Capital: The recent acquisition of Verdant Commercial Capital is a significant driver, expected to bolster future growth by contributing an estimated $150-200 million in net new loans and leases. This acquisition enhances Axos Financial's asset base and expands its commercial lending capabilities.

3. Expansion and Diversification of the Securities Division: The growth of Axos Financial's securities division, which includes Axos Advisory Services and Axos Invest, represents a key revenue stream. The company aims to increase its assets under custody and cash balances by attracting new advisors and clients, diversifying its income with non-interest and balance-linked revenues.

4. Investment in Technology and AI for Enhanced Efficiency and Services: Axos Financial is strategically investing in technological advancements, including AI implementation and digital platform enhancements. These investments are intended to improve operational efficiency, reduce costs, and facilitate the launch of new services, such as the proprietary Axos Professional Workstation for clearing clients, which integrates banking and lending.

5. Stable and Growing Deposit Base: The company's diversified deposit gathering strategy, with approximately 90% of deposits being FDIC-insured or collateralized, provides a stable and low-cost funding source for loan growth. Axos Financial has seen year-over-year deposit growth, including in its Axos ONE consumer bundled deposit product and commercial cash and treasury management businesses, which contributes to its ability to generate net interest income.

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Share Repurchases

• Axos Financial's Board of Directors authorized a $100 million increase to its existing common stock repurchase program on May 8, 2025, with approximately $48 million remaining from a previous increase.
• Under a program announced on February 12, 2024, the company completed the repurchase of 853,609 shares for $51.93 million.
• During April 2025, the company repurchased approximately $31 million of common stock at an average price of $59 per share.

Share Issuance

• No information available for explicit dollar amounts of common shares issued over the last 3-5 years. The number of shares outstanding decreased by -0.29% in one year as of November 5, 2025.

Outbound Investments

• Axos Financial completed the acquisition of Verdant Commercial Capital on September 30, 2025, for a total consideration of approximately $571.8 million.
• The Verdant Commercial Capital acquisition included $500.0 million to settle Verdant's debt, $41.0 million in cash, and contingent consideration with a fair value of $30.8 million (with a potential up to $50.0 million).
• This acquisition added approximately $1.2 billion of loans and leases to Axos Financial's portfolio.

Capital Expenditures

• In the last 12 months leading up to November 5, 2025, Axos Financial reported net capital expenditures of approximately -$45.59 million.