Onity (ONIT)
Market Price (11/4/2026): $28.63 | Market Cap: $239.2 MilSector: Financials | Industry: Commercial & Residential Mortgage Finance
Onity (ONIT)
Market Price (11/4/2026): $28.63Market Cap: $239.2 MilSector: FinancialsIndustry: Commercial & Residential Mortgage Finance
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 58%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 54% Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -30% Low stock price volatilityVol 12M is 45% Megatrend and thematic driversMegatrends include Experience Economy & Premiumization, and Smart Buildings & Proptech. Themes include Travel & Leisure Tech, IoT for Buildings, Show more. | Weak multi-year price returns2Y Excs Rtn is -34%, 3Y Excs Rtn is -56% | Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 4291% Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -159%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -202% Key risksONIT key risks include [1] significant financial fragility and potential bankruptcy risk due to its substantial debt load and "distress zone" Altman Z-Score, Show more. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 58%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 54% |
| Valuation becoming less expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is -30% |
| Low stock price volatilityVol 12M is 45% |
| Megatrend and thematic driversMegatrends include Experience Economy & Premiumization, and Smart Buildings & Proptech. Themes include Travel & Leisure Tech, IoT for Buildings, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -34%, 3Y Excs Rtn is -56% |
| Debt is significantNet D/ENet Debt/Equity. Debt net of cash. Negative indicates net cash. Equity is taken as the Market Capitalization is 4291% |
| Not cash flow generativeCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is -159%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is -202% |
| Key risksONIT key risks include [1] significant financial fragility and potential bankruptcy risk due to its substantial debt load and "distress zone" Altman Z-Score, Show more. |
Qualitative Assessment
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Onity (ONIT) stock has lost about 20% since 7/31/2026 because of the following key factors:
1. Significant miss in fiscal Q2 2026 earnings per share. Onity announced its fiscal Q2 2026 earnings on August 6, 2026, reporting an Earnings Per Share (EPS) of -$1.53. This substantially missed analysts' consensus estimates of $0.95, representing a miss of $2.48 per share. While revenue of $281 million surpassed expectations, the substantial earnings shortfall likely contributed significantly to the stock's decline in the specified period.
2. Loss of key subservicing business and sale of profitable assets. Onity experienced a reduction in its earnings base due to the loss of most of Rithm's subservicing business, which previously accounted for approximately half of Onity's delinquent loans. Additionally, the company sold about 80% of its profitable reverse-mortgage servicing rights to Finance of America for roughly $77 million, with this transaction closing on July 1, 2026. While Onity's overall servicing book grew to $341 billion, these lost loans were among its most profitable, leading to expectations of lower servicing fee revenue in fiscal year 2026.
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Onity (ONIT) stock has lost about 20% since 7/31/2026 because of the following key factors:
1. Significant miss in fiscal Q2 2026 earnings per share. Onity announced its fiscal Q2 2026 earnings on August 6, 2026, reporting an Earnings Per Share (EPS) of -$1.53. This substantially missed analysts' consensus estimates of $0.95, representing a miss of $2.48 per share. While revenue of $281 million surpassed expectations, the substantial earnings shortfall likely contributed significantly to the stock's decline in the specified period.
2. Loss of key subservicing business and sale of profitable assets. Onity experienced a reduction in its earnings base due to the loss of most of Rithm's subservicing business, which previously accounted for approximately half of Onity's delinquent loans. Additionally, the company sold about 80% of its profitable reverse-mortgage servicing rights to Finance of America for roughly $77 million, with this transaction closing on July 1, 2026. While Onity's overall servicing book grew to $341 billion, these lost loans were among its most profitable, leading to expectations of lower servicing fee revenue in fiscal year 2026.
3. Negative impact from hedging strategies. Onity's servicing-heavy business model did not benefit from higher interest rates, as its hedging strategies resulted in a loss of $62 million in the first half of fiscal year 2026. This contrasts sharply with a $15.3 million hedge gain in the first half of fiscal year 2025 and contributed to the GAAP Pre-Tax income turning negative at -$15.1 million in fiscal Q2 2026, compared to a positive $7.9 million in the prior quarter.
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Stock Movement Drivers
Fundamental Drivers
The -21.0% change in ONIT stock from 7/31/2026 to 11/2/2026 was primarily driven by a -22.7% change in the company's Net Income Margin (%).| (LTM values as of) | 7312026 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 36.66 | 28.97 | -21.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,261 | 1,321 | 4.7% |
| Net Income Margin (%) | 13.9% | 10.7% | -22.7% |
| P/E Multiple | 1.8 | 1.7 | -2.9% |
| Shares Outstanding (Mil) | 8 | 8 | 0.6% |
| Cumulative Contribution | -21.0% |
Market Drivers
7/31/2026 to 11/2/2026| Return | Correlation | |
|---|---|---|
| ONIT | -21.0% | |
| Market (SPY) | 0.7% | 22.0% |
| Sector (XLF) | 1.1% | 43.9% |
Fundamental Drivers
The -37.0% change in ONIT stock from 4/30/2026 to 11/2/2026 was primarily driven by a -32.0% change in the company's Net Income Margin (%).| (LTM values as of) | 4302026 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 46.01 | 28.97 | -37.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,202 | 1,321 | 9.9% |
| Net Income Margin (%) | 15.8% | 10.7% | -32.0% |
| P/E Multiple | 2.0 | 1.7 | -13.1% |
| Shares Outstanding (Mil) | 8 | 8 | -3.0% |
| Cumulative Contribution | -37.0% |
Market Drivers
4/30/2026 to 11/2/2026| Return | Correlation | |
|---|---|---|
| ONIT | -37.0% | |
| Market (SPY) | 4.9% | 5.7% |
| Sector (XLF) | 10.8% | 28.9% |
Fundamental Drivers
The -22.7% change in ONIT stock from 10/31/2025 to 11/2/2026 was primarily driven by a -78.8% change in the company's P/E Multiple.| (LTM values as of) | 10312025 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 37.47 | 28.97 | -22.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,098 | 1,321 | 20.3% |
| Net Income Margin (%) | 3.4% | 10.7% | 219.1% |
| P/E Multiple | 8.1 | 1.7 | -78.8% |
| Shares Outstanding (Mil) | 8 | 8 | -5.0% |
| Cumulative Contribution | -22.7% |
Market Drivers
10/31/2025 to 11/2/2026| Return | Correlation | |
|---|---|---|
| ONIT | -22.7% | |
| Market (SPY) | 11.2% | 19.2% |
| Sector (XLF) | 11.3% | 28.4% |
Fundamental Drivers
The 20.5% change in ONIT stock from 10/31/2023 to 11/2/2026 was primarily driven by a 20.4% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 10312023 | 11022026 | Change |
|---|---|---|---|
| Stock Price ($) | 24.04 | 28.97 | 20.5% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 1,097 | 1,321 | 20.4% |
| P/S Multiple | 0.2 | 0.2 | 10.5% |
| Shares Outstanding (Mil) | 8 | 8 | -9.4% |
| Cumulative Contribution | 20.5% |
Market Drivers
10/31/2023 to 11/2/2026| Return | Correlation | |
|---|---|---|
| ONIT | 20.5% | |
| Market (SPY) | 86.0% | 35.5% |
| Sector (XLF) | 85.7% | 40.9% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| ONIT Return | 38% | -23% | 1% | -0% | 49% | -37% | 0% |
| Peers Return | 33% | -16% | 23% | 4% | -3% | 12% | 54% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 10% | 101% |
Monthly Win Rates [3] | |||||||
| ONIT Win Rate | 67% | 33% | 50% | 42% | 50% | 27% | |
| Peers Win Rate | 57% | 40% | 48% | 50% | 52% | 51% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 36% | |
Max Drawdowns [4] | |||||||
| ONIT Max Drawdown | -29% | -56% | -41% | -29% | -34% | -53% | |
| Peers Max Drawdown | -17% | -41% | -29% | -21% | -32% | -29% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ALLE, HON, NSSC, FBIN, SPB.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/2/2026 (YTD)
How Low Can It Go
| Event | ONIT | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -20.7% | -18.8% |
| % Gain to Breakeven | 26.1% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -38.0% | -9.5% |
| % Gain to Breakeven | 61.4% | 10.5% |
| Time to Breakeven | 475 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -36.5% | -6.7% |
| % Gain to Breakeven | 57.5% | 7.1% |
| Time to Breakeven | 691 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -55.3% | -24.5% |
| % Gain to Breakeven | 123.8% | 32.4% |
| Time to Breakeven | 1203 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -78.9% | -33.7% |
| % Gain to Breakeven | 373.8% | 50.9% |
| Time to Breakeven | 125 days | 140 days |
| 2016-2017 Trump Reflation Bond Selloff | ||
| % Loss | -38.4% | -3.7% |
| % Gain to Breakeven | 62.3% | 3.9% |
| Time to Breakeven | 161 days | 6 days |
In The Past
Onity's stock fell -20.7% during the 2025 US Tariff Shock. Such a loss loss requires a 26.1% gain to breakeven.
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Asset Allocation
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| Event | ONIT | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -20.7% | -18.8% |
| % Gain to Breakeven | 26.1% | 23.1% |
| Time to Breakeven | 21 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -38.0% | -9.5% |
| % Gain to Breakeven | 61.4% | 10.5% |
| Time to Breakeven | 475 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -36.5% | -6.7% |
| % Gain to Breakeven | 57.5% | 7.1% |
| Time to Breakeven | 691 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -55.3% | -24.5% |
| % Gain to Breakeven | 123.8% | 32.4% |
| Time to Breakeven | 1203 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -78.9% | -33.7% |
| % Gain to Breakeven | 373.8% | 50.9% |
| Time to Breakeven | 125 days | 140 days |
| 2016-2017 Trump Reflation Bond Selloff | ||
| % Loss | -38.4% | -3.7% |
| % Gain to Breakeven | 62.3% | 3.9% |
| Time to Breakeven | 161 days | 6 days |
| 2008-2009 Global Financial Crisis | ||
| % Loss | -36.9% | -53.4% |
| % Gain to Breakeven | 58.5% | 114.4% |
| Time to Breakeven | 28 days | 1085 days |
| Summer 2007 Credit Crunch | ||
| % Loss | -39.0% | -8.6% |
| % Gain to Breakeven | 64.0% | 9.5% |
| Time to Breakeven | 637 days | 47 days |
In The Past
Onity's stock fell -20.7% during the 2025 US Tariff Shock. Such a loss loss requires a 26.1% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Onity (ONIT)
Onity Group Inc. (ONIT) is a financial services company primarily focused on the mortgage industry. It operates through two key segments: the origination of new mortgage loans and the servicing of existing mortgage loans. Essentially, Onity facilitates the creation of new home loans for borrowers and then manages those loans, and others, on behalf of their owners.
The company's servicing arm offers a comprehensive range of services for owners of mortgage loans and foreclosed real estate. This includes managing various types of residential and commercial mortgages, such as forward, reverse, conventional, government-insured, and non-agency loans. Beyond basic administration, Onity also provides specialized servicing and asset management to handle complex loan situations and property management for its clients.
In its originations segment, Onity creates new lending opportunities by originating and purchasing conventional and government-insured residential forward and reverse mortgage loans. It reaches borrowers through correspondent lending arrangements, broker relationships, and its direct retail channels. The company operates in the United States, the United States Virgin Islands, India, and the Philippines, serving these markets under established brands like PHH Mortgage and Liberty Reverse Mortgage.
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Here are 1-3 brief analogies for Onity:
- Think of it like the mortgage department of a big bank such as Wells Fargo or Chase, but operating as a standalone company solely focused on originating and servicing a wide array of residential and commercial mortgage loans.
- It's similar to Rocket Mortgage, but in addition to originating new loans, Onity also manages and services a vast portfolio of existing mortgages, including specialized reverse mortgages.
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- Mortgage Loan Origination: The process of creating and purchasing new conventional and government-insured residential forward and reverse mortgage loans.
- Mortgage Loan Servicing: Comprehensive services for managing the ongoing administration of residential (forward, reverse, conventional, government-insured, non-agency) and commercial forward mortgage loans.
- Special Servicing: Specialized management services for distressed or defaulted mortgage loans.
- Asset Management Services: Managing foreclosed real estate and other assets for owners of mortgage loans.
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Onity Group Inc. (ONIT) sells primarily to individuals, offering them various types of mortgage loans.
Major Customer Categories:
- Homebuyers and Homeowners seeking forward mortgage loans: This category includes individuals looking for conventional and government-insured residential mortgage loans for purchasing or refinancing homes. Onity serves these customers through its retail channels and under brands such as PHH Mortgage.
- Seniors seeking reverse mortgage loans: This category comprises individuals, typically seniors, who wish to convert a portion of their home equity into cash, often to supplement retirement income, without having to sell their home. Onity serves these customers under its Liberty Reverse Mortgage brand.
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Glen A. Messina, Chair, President and Chief Executive Officer
Mr. Messina has served as President and Chief Executive Officer of Onity Group (formerly Ocwen Financial Corporation) since October 2018 and was appointed Chair of the Board of Directors in January 2023. Before joining Onity, he was the President and Chief Executive Officer of PHH Corporation from January 2012 to June 2017, also serving as its Chief Operating Officer from July 2011 to December 2011. Prior to PHH, Mr. Messina spent 17 years at General Electric Company (GE), where his roles included Chief Executive Officer of GE Chemical and Monitoring Solutions from 2008 to July 2011, Chief Financial Officer of GE's equipment services business, and CEO and CFO of GE's mortgage services business. Ocwen Financial Corporation acquired PHH Corporation in October 2018.
Sean O'Neil, Executive Vice President and Chief Financial Officer
Mr. O'Neil has served as Executive Vice President and Chief Financial Officer of Onity Group since June 2022. Prior to joining Onity, he was the Chief Financial Officer for Bayview Asset Management, LLC, beginning in 2015, where he was responsible for finance, accounting, treasury, and financing structures. His previous experience includes serving as the Group Financial Officer for Wells Fargo, Eastern Community Bank, and as Chief Financial Officer for Wachovia's Wealth Management Group. Earlier in his career, he worked as a senior manager at Boston Consulting Group, advising financial services companies in Europe and North America.
Scott W. Anderson, Executive Vice President and Chief Servicing Officer
Mr. Anderson has served as Executive Vice President and Chief Servicing Officer of Onity Group since 2009. He has been with the company for over 20 years, having previously held the position of Senior Vice President, Residential Assets since November 2001. Before joining Ocwen (now Onity Group) in November 1993, Mr. Anderson was employed by CIGNA.
Joseph J. Samarias, Executive Vice President and Chief Legal Officer
Mr. Samarias has served as Executive Vice President and Chief Legal Officer of Onity Group since October 2022. He was previously Executive Vice President and General Counsel since April 2019 and Senior Vice President, Deputy General Counsel since 2013. Mr. Samarias also holds the title of Chief Ethics Officer and was appointed Company Secretary in April 2020. Before joining Onity (Ocwen), from 2009 to 2013, he was a senior attorney with the Treasury Department's Office of Financial Stability (OFS), serving as Chief Counsel of OFS from 2012 to 2013, where he directed all legal activities for the Troubled Asset Relief Program.
Aulene Wessel, Senior Vice President and Chief Accounting Officer
Ms. Wessel was named Senior Vice President and Chief Accounting Officer of Onity Group, effective February 23, 2026. In this role, she is responsible for the controllership function, overseeing core accounting operations, internal controls, technical accounting, and audits. Most recently, she served as Executive Vice President and Deputy Controller at Truist Bank. Her prior experience includes Head of Financial Reporting and Policy at SoFi Technologies, Head of Accounting Implementation and Head of Accounting Policy at Silicon Valley Bank, and leadership roles at American Express in global accounting policy and control. She also worked at Barclays and BDO earlier in her career.
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Onity Group Inc. (ONIT), a financial services company specializing in mortgage loan origination and servicing, faces several key business risks:
- Interest Rate Volatility and Market Conditions: The company's financial performance is highly sensitive to fluctuations in interest rates. Changes in interest rates directly impact mortgage loan origination volumes, origination margins, and the valuation and hedging costs of Mortgage Servicing Rights (MSRs). This volatility can also affect the fair value of mortgage-related assets and the company's overall profitability.
- Regulatory and Compliance Risks: The mortgage servicing and origination industry is subject to extensive and complex federal, state, and local consumer protection laws and regulations. Onity Group Inc., formerly Ocwen Financial Corporation, has historically faced significant regulatory scrutiny, investigations, and legal proceedings. Non-compliance can lead to substantial penalties, operational restrictions, reputational damage, and an inability to maintain necessary licenses or servicer statuses with key counterparties like government-sponsored enterprises (GSEs) and Ginnie Mae.
- Financial Health and Liquidity Risks: Onity Group Inc. has exhibited concerns regarding its financial strength, including high debt levels and indicators such as a low Altman Z-Score, suggesting potential financial distress. Additionally, specific strategic transactions, such as the proposed deal with Finance of America Reverse LLC, introduce execution and liquidity risks. Delays or failure to obtain timely regulatory approvals for such transactions could constrain expected proceeds, disrupt reverse origination volumes, erode counterparty confidence, and hinder the company's ability to attract and retain talent or implement its business plan.
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United States Market
- Mortgage Servicing: The U.S. loan servicing market was valued at approximately $884.20 million in 2025 and is projected to reach around $2.63 billion by 2035, demonstrating an anticipated compound annual growth rate (CAGR) of 11.50%. Mortgage loans are expected to constitute a significant portion of this market. Non-bank mortgage companies held the servicing rights for 54% of mortgage balances in the United States in 2022.
- Residential Mortgage Origination: The total single-family mortgage origination volume in the U.S. is projected to reach $2.0 trillion in 2025 and further increase to $2.2 trillion in 2026. Quarterly mortgage originations were $600.4 billion in Q3 2025 and $524.42 billion in Q4 2025.
- Reverse Mortgage: The U.S. reverse mortgage market is projected to grow from $1.79 billion in 2024 to $1.92 billion in 2025. In 2025, proprietary (private-label) reverse mortgages totaled nearly $2.5 billion, while federally insured Home Equity Conversion Mortgages (HECMs) amounted to approximately $4 billion. The global reverse mortgage market is forecasted to be worth $2.16 billion in 2026, with the United States contributing approximately 54% of this global market.
- Commercial Mortgage: The overall U.S. commercial real estate (CRE) market was estimated at $5.5 trillion in 2023. Commercial banks hold 50% of this market.
India Market
- Housing Loan: The India housing loan market was valued at $359.26 billion in 2025 and is projected to grow to $839.91 billion by 2034, with a CAGR of 8.54% between 2026 and 2034. Another estimate places the market size at $0.54 trillion (approximately $540 billion) in 2026, with a projection to reach $0.97 trillion (approximately $970 billion) by 2031. The individual housing finance market, valued at ₹33 trillion (approximately $378 billion) between 2024-2025, is estimated to reach ₹77-81 trillion (approximately $928 billion) by 2029-2030.
Philippines Market
- Home Loan: The Philippines home loan market is currently valued at approximately $20 billion. This market is expected to reach a value of $141.20 billion in 2027, with a projected CAGR of 12% from 2022 to 2027.
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Expected Drivers of Future Revenue Growth for Onity Group Inc. (ONIT)
Over the next 2-3 years, Onity Group Inc. (ONIT) is expected to drive revenue growth through several key initiatives and strategic focuses:
- Growth in Servicing Portfolio: Onity projects an increase in its servicing unpaid principal balance (UPB) of 5% to 15% in 2026, building on a significant $26 billion growth in 2025 that brought the total to $328 billion. This expansion is supported by enhanced liquidity for investments in higher-growth assets and a strategy to continually grow its servicing and subservicing portfolio through a multi-channel originations platform, bulk acquisitions of Mortgage Servicing Rights (MSRs), and new subservicing agreements.
- Increased Originations Volume: The company experienced a 43% surge in total originations volume in 2025 compared to the previous year, reaching $43 billion, with the fourth quarter marking its highest-ever funded volume. Onity plans to continue the modest and selective growth of its Correspondent volume as part of its strategy to replenish MSRs and drive overall growth. This is further supported by a 95% year-over-year increase in Consumer Direct originations volume and a 50% rise in Business-to-Business originations volume in Q4 2025.
- Investment in AI-enabled Technology and Innovation: Onity is actively investing in innovation and deploying new capital to support growth, particularly focusing on its AI-enabled Servicing platform. The company is utilizing artificial intelligence to enhance recapture performance and employing machine learning to improve communications and optimize capacity management, aiming to drive operational efficiency and growth.
- Strategic Repositioning in the Reverse Mortgage Market through Subservicing: Onity has entered into a strategic partnership with Finance of America Reverse, aiming to simplify its involvement in the reverse mortgage market. While the company is ceasing reverse mortgage originations, it will leverage a three-year subservicing agreement to manage existing reverse mortgage loans for Finance of America Reverse, contributing to its servicing portfolio and allowing for increased focus on forward mortgage products with higher growth potential.
- Expansion of Products and Services: The company's focus on diversifying its offerings is evident in the rollout of a non-qualified mortgage product suite during the fourth quarter of 2025. This strategic expansion into new product areas is expected to attract a broader customer base and generate additional revenue streams.
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Share Repurchases
- On February 10, 2026, Onity Group Inc. authorized a share repurchase program of up to $10 million, valid through August 2026.
- In May 2022, Ocwen Financial Corporation announced a share repurchase program of up to $50 million.
- As of October 31, 2022, Ocwen had repurchased $48 million of stock under its program.
Share Issuance
- On November 6, 2024, Onity Group's subsidiaries, PHH Corporation and PHH Escrow Issuer LLC, issued $500 million aggregate principal amount of 9.875% Senior Notes due 2029.
- On January 30, 2026, an additional $200 million aggregate principal amount of these 9.875% Senior Notes due 2029 were issued, forming a single series with the November 2024 issuance, bringing the total to $700 million. The net proceeds from this offering are designated for general corporate purposes, including the repayment of mortgage servicing rights (MSR) indebtedness.
Inbound Investments
- In November 2022, Ocwen Financial Corporation entered into an agreement with funds managed by Oaktree Capital Management, L.P. for an incremental investment of up to an additional $250 million in their MSR joint venture, MSR Asset Vehicle LLC (MAV), to acquire mortgage servicing rights.
- During 2023, the investment period for the MSR acquisition vehicle with Oaktree was extended through May 2025.
Peer Outperformance in Commercial & Residential Mortgage Finance
| Ticker | Name | Rev Growth 3Y Avg | P/E | 1Y | 3Y | 5Y | 5Y Gap |
|---|---|---|---|---|---|---|---|
| ONIT | Onity | 6.8% | 1.7x | -22.7% | 15.0% | -7.6% | — |
| FMCC | Federal Home Loan Mortgage | 6.1% | 1.1x | -50.8% | 610.6% | 398.9% | +407pp |
| ACT | Enact | 4.1% | 9.8x | 37.7% | 86.9% | 166.6% | +174pp |
| NMIH | NMI | 10.4% | 8.3x | 19.2% | 49.0% | 72.2% | +80pp |
| ESNT | Essent | 9.5% | 9.1x | 15.2% | 48.1% | 54.5% | +62pp |
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Reinsurance | 6 | 37.5% | 74.0% | 118.3% | SPNT 170% · RGA 148% · RNR 138% |
| Investment Banking & Brokerage | 13 | -1.9% | 90.1% | 92.3% | IBKR 314% · SNEX 159% · HOOD 140% |
| Diversified Banks | 12 | 32.8% | 141.8% | 91.6% | CM 142% · RY 130% · JPM 126% |
| Life & Health Insurance | 20 | 17.2% | 52.4% | 78.2% | JXN 536% · UNM 303% · FG 188% |
| Property & Casualty Insurance | 42 | 21.7% | 72.7% | 65.0% | PGR 176% · TRV 176% · ACGL 166% |
| Multi-line Insurance | 9 | 10.2% | 68.9% | 63.6% | AIZ 100% · GNW 98% · L 97% |
| Multi-Sector Holdings | 3 | 9.8% | 52.4% | 57.5% | BRK-B 93% · VOYA 57% · JEF 35% |
| Regional Banks | 262 | 34.5% | 91.3% | 53.5% | CBC 263% · FCNCA 189% · NIC 146% |
| Financial Exchanges & Data | 15 | 19.8% | 33.8% | 32.6% | CBOE 176% · VIRT 144% · CME 71% |
| Insurance Brokers | 15 | 5.3% | 11.6% | 26.0% | LIFE 387% · ARX 89% · AJG 80% |
| Asset Management & Custody Banks | 85 | -6.1% | 21.7% | 8.8% | VCTR 257% · WT 230% · AAMI 191% |
| Consumer Finance | 30 | 5.9% | 72.9% | 5.4% | ENVA 397% · FCFS 137% · AXP 101% |
| Diversified Financial Services | 4 | -5.1% | 18.6% | 3.3% | FRHC 171% · EQH 80% |
| Commercial & Residential Mortgage Finance ← | 14 | -48.7% | 20.2% | -0.2% | FNMA 448% · FMCC 399% · ACT 167% |
| Specialized Finance | 3 | 8.4% | 31.0% | -20.6% | HASI -21% · CACC -28% |
| Transaction & Payment Processing Services | 17 | 15.8% | 17.6% | -22.2% | V 111% · MA 106% · CPAY 69% |
| Mortgage REITs | 35 | -19.0% | -7.6% | -35.2% | RITM 35% · DX 18% · AGNC 11% |
| Diversified Capital Markets | 20 | -58.1% | 2.5% | -68.4% | LPLA 80% · TW 39% · WULF -60% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 65.30 |
| Mkt Cap | 3.7 |
| Rev LTM | 3,632 |
| Op Inc LTM | 415 |
| FCF LTM | 346 |
| FCF 3Y Avg | 241 |
| CFO LTM | 414 |
| CFO 3Y Avg | 324 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 10.9% |
| Rev Chg 3Y Avg | 6.5% |
| Rev Chg Q | 8.6% |
| QoQ Delta Rev Chg LTM | 2.1% |
| Op Inc Chg LTM | 23.2% |
| Op Inc Chg 3Y Avg | 13.9% |
| Op Mgn LTM | 17.2% |
| Op Mgn 3Y Avg | 18.7% |
| QoQ Delta Op Mgn LTM | 0.9% |
| CFO/Rev LTM | 11.4% |
| CFO/Rev 3Y Avg | 14.7% |
| FCF/Rev LTM | 9.6% |
| FCF/Rev 3Y Avg | 11.6% |
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Servicing | 910 | 867 | 995 | 828 | 826 |
| Originations | 157 | 109 | 72 | 141 | 250 |
| Corporate | 0 | 0 | 0 | 0 | 0 |
| Corporate Eliminations | -16 | -25 | |||
| Total | 1,067 | 976 | 1,067 | 954 | 1,050 |
| $ Mil | 2015 | 2014 | 2013 | 2012 | 2010 |
|---|---|---|---|---|---|
| Lending | 34 | -37 | 23 | -0 | |
| Servicing | 16 | 342 | 800 | 496 | 78 |
| Corporate | -180 | -229 | -85 | -15 | -35 |
| Corporate Eliminations | -0 | ||||
| Asset Management Vehicles | -1 | ||||
| Loans and Residuals | -3 | ||||
| Total | -130 | 76 | 737 | 481 | 39 |
| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Servicing | 14,684 | 15,242 | 11,688 | 11,538 | 11,002 |
| Originations | 1,252 | 945 | 552 | 570 | 824 |
| Corporate | 235 | 248 | 274 | 291 | 322 |
| Total | 16,171 | 16,435 | 12,514 | 12,399 | 12,147 |
Price Behavior
| Market Price | $28.97 | |
| Market Cap ($ Bil) | 0.2 | |
| First Trading Date | 09/25/1996 | |
| Distance from 52W High | -45.7% | |
| 50 Days | 200 Days | |
| DMA Price | $30.27 | $37.81 |
| DMA Trend | down | down |
| Distance from DMA | -4.3% | -23.4% |
| 3M | 1YR | |
| Volatility | 40.2% | 45.2% |
| Downside Capture | 160.89 | 115.04 |
| Upside Capture | 3.44 | 72.17 |
| Correlation (S&P 500) | 17.1% | 18.5% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 0.80 | 0.62 | 0.93 | 0.25 | 0.70 | 1.04 |
| Up Beta | -3.36 | -1.86 | 0.82 | -0.44 | 0.26 | 1.06 |
| Down Beta | 0.94 | 0.78 | 0.65 | -0.19 | 0.14 | 1.17 |
| Up Capture | 76% | 16% | 28% | -11% | 70% | 66% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 11 | 18 | 26 | 55 | 124 | 365 |
| Down Capture | 108% | 174% | 188% | 131% | 118% | 101% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 11 | 25 | 38 | 71 | 127 | 380 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ONIT | |
|---|---|---|---|---|
| ONIT | -21.5% | 45.2% | -0.40 | - |
| Sector ETF (XLF) | 11.6% | 14.6% | 0.52 | 28.4% |
| Equity (SPY) | 11.6% | 12.8% | 0.57 | 19.3% |
| Gold (GLD) | -2.3% | 28.6% | -0.09 | 2.2% |
| Commodities (DBC) | 43.1% | 20.9% | 1.60 | -22.4% |
| Real Estate (VNQ) | 11.0% | 13.7% | 0.50 | 30.5% |
| Bitcoin (BTCUSD) | -28.8% | 43.6% | -0.66 | 0.2% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ONIT | |
|---|---|---|---|---|
| ONIT | -2.9% | 48.0% | 0.10 | - |
| Sector ETF (XLF) | 9.0% | 18.3% | 0.35 | 42.6% |
| Equity (SPY) | 12.0% | 17.1% | 0.52 | 36.4% |
| Gold (GLD) | 16.5% | 19.0% | 0.69 | 2.9% |
| Commodities (DBC) | 8.4% | 19.6% | 0.31 | 6.3% |
| Real Estate (VNQ) | 1.1% | 18.9% | -0.05 | 37.2% |
| Bitcoin (BTCUSD) | 4.1% | 51.6% | 0.26 | 15.4% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ONIT | |
|---|---|---|---|---|
| ONIT | -6.9% | 69.9% | 0.21 | - |
| Sector ETF (XLF) | 13.4% | 22.1% | 0.55 | 38.8% |
| Equity (SPY) | 15.2% | 17.9% | 0.72 | 34.6% |
| Gold (GLD) | 11.6% | 16.5% | 0.57 | 3.9% |
| Commodities (DBC) | 7.8% | 18.1% | 0.34 | 15.2% |
| Real Estate (VNQ) | 5.4% | 20.7% | 0.22 | 35.7% |
| Bitcoin (BTCUSD) | 61.7% | 66.3% | 1.01 | 9.9% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Earnings Returns History
Updated 10/20/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/6/2026 | -2.9% | 0.8% | -8.3% |
| 5/5/2026 | -18.1% | -19.7% | -24.8% |
| 2/12/2026 | 6.1% | 4.3% | -8.3% |
| 11/6/2025 | -2.9% | 6.3% | 8.5% |
| 8/5/2025 | 3.4% | 4.1% | 12.1% |
| 4/30/2025 | 5.6% | 4.9% | 6.5% |
| 2/13/2025 | -8.3% | -17.2% | -22.9% |
| 11/5/2024 | 2.8% | 2.9% | 6.6% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 11 | 13 | 14 |
| # Negative | 13 | 11 | 10 |
| Median Positive | 5.6% | 4.3% | 8.6% |
| Median Negative | -4.9% | -12.8% | -18.6% |
| Max Positive | 15.7% | 18.8% | 32.7% |
| Max Negative | -20.1% | -22.2% | -29.5% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/6/2026 | -2.9% | 0.8% | -8.3% |
| 5/5/2026 | -18.1% | -19.7% | -24.8% |
| 2/12/2026 | 6.1% | 4.3% | -8.3% |
| 11/6/2025 | -2.9% | 6.3% | 8.5% |
| 8/5/2025 | 3.4% | 4.1% | 12.1% |
| 4/30/2025 | 5.6% | 4.9% | 6.5% |
| 2/13/2025 | -8.3% | -17.2% | -22.9% |
| 11/5/2024 | 2.8% | 2.9% | 6.6% |
| 8/1/2024 | -1.5% | -15.8% | 1.4% |
| 5/2/2024 | 5.5% | 11.9% | 1.4% |
| 2/27/2024 | -6.1% | -9.9% | -7.6% |
| 11/7/2023 | -1.7% | 2.0% | 12.7% |
| 8/3/2023 | -4.9% | -7.3% | -12.3% |
| 5/4/2023 | -1.9% | -1.6% | 3.6% |
| 2/28/2023 | -9.8% | -12.8% | -29.5% |
| 11/3/2022 | 15.7% | 17.0% | 16.5% |
| 8/4/2022 | -20.1% | -18.2% | -25.8% |
| 5/5/2022 | 3.7% | -2.0% | 32.7% |
| 2/25/2022 | -9.0% | -22.2% | -29.1% |
| 11/8/2021 | 11.8% | 1.9% | 9.1% |
| 8/4/2021 | 3.9% | 12.7% | 8.7% |
| 4/28/2021 | 7.8% | 18.8% | 20.9% |
| 2/9/2021 | 7.8% | 3.9% | 0.2% |
| 10/20/2020 | -4.2% | -12.8% | -14.3% |
| SUMMARY STATS | |||
| # Positive | 11 | 13 | 14 |
| # Negative | 13 | 11 | 10 |
| Median Positive | 5.6% | 4.3% | 8.6% |
| Median Negative | -4.9% | -12.8% | -18.6% |
| Max Positive | 15.7% | 18.8% | 32.7% |
| Max Negative | -20.1% | -22.2% | -29.5% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/06/2026 | 10-Q |
| 03/31/2026 | 05/05/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/05/2025 | 10-Q |
| 03/31/2025 | 04/30/2025 | 10-Q |
| 12/31/2024 | 02/21/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/01/2024 | 10-Q |
| 03/31/2024 | 05/02/2024 | 10-Q |
| 12/31/2023 | 02/27/2024 | 10-K |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/03/2023 | 10-Q |
| 03/31/2023 | 05/04/2023 | 10-Q |
| 12/31/2022 | 02/28/2023 | 10-K |
| 09/30/2022 | 11/03/2022 | 10-Q |
| Report Date | Filing Date | Filing |
|---|---|---|
| 06/30/2026 | 08/06/2026 | 10-Q |
| 03/31/2026 | 05/05/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 11/06/2025 | 10-Q |
| 06/30/2025 | 08/05/2025 | 10-Q |
| 03/31/2025 | 04/30/2025 | 10-Q |
| 12/31/2024 | 02/21/2025 | 10-K |
| 09/30/2024 | 11/07/2024 | 10-Q |
| 06/30/2024 | 08/01/2024 | 10-Q |
| 03/31/2024 | 05/02/2024 | 10-Q |
| 12/31/2023 | 02/27/2024 | 10-K |
| 09/30/2023 | 11/07/2023 | 10-Q |
| 06/30/2023 | 08/03/2023 | 10-Q |
| 03/31/2023 | 05/04/2023 | 10-Q |
| 12/31/2022 | 02/28/2023 | 10-K |
| 09/30/2022 | 11/03/2022 | 10-Q |
| 06/30/2022 | 08/04/2022 | 10-Q |
| 03/31/2022 | 05/05/2022 | 10-Q |
| 12/31/2021 | 02/25/2022 | 10-K |
| 09/30/2021 | 11/08/2021 | 10-Q |
| 06/30/2021 | 08/05/2021 | 10-Q |
| 03/31/2021 | 05/04/2021 | 10-Q |
| 12/31/2020 | 02/19/2021 | 10-K |
| 09/30/2020 | 11/03/2020 | 10-Q |
| 06/30/2020 | 08/04/2020 | 10-Q |
| 03/31/2020 | 05/08/2020 | 10-Q |
| 12/31/2019 | 02/26/2020 | 10-K |
| 09/30/2019 | 11/05/2019 | 10-Q |
Recent Forward Guidance
Updated 11/2/2026Latest: Q2 2026 Earnings Reported 8/6/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Adjusted ROE | Reported | 0.1 | 0.13 | 0.15 | 0.0% | Affirmed | Guidance: 0.13 for 2026 | |
Prior: Q1 2026 Earnings Reported 5/5/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Adjusted ROE | Reported | 0.1 | 0.13 | 0.15 | -1.5% | Lowered | Guidance: 0.14 for 2026 | |
Q4 2025 Earnings Reported 2/12/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2026 Adjusted ROE | Reported | 0.13 | 0.14 | 0.15 | -17.6% | -3.0% | Lower New | Guidance: 0.17 for 2025 |
| 2026 Servicing UPB growth | Reported | 5.0% | 10.0% | 15.0% | ||||
Q3 2025 Earnings Reported 11/6/2025
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| 2025 Adjusted ROE | Reported | 0.16 | 0.17 | 0.18 | Raised | Guidance: 0.17 for 2025 | ||
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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