Finance of America Companies (FOA) and Its Competitors Financial Analysis

Finance of America Companies (NYSE:FOA) is one of 19 public companies in the “FIN – MTG&REL SVS” industry, but how does it contrast to its rivals? We will compare Finance of America Companies to similar companies based on the strength of its institutional ownership, profitability, analyst recommendations, valuation, earnings, dividends and risk.

Profitability

This table compares Finance of America Companies and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Finance of America Companies	N/A	-3.12%	-0.04%
Finance of America Companies Competitors	-5.93%	-85.16%	-0.75%

Valuation and Earnings

This table compares Finance of America Companies and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Finance of America Companies	$359.42 million	$15.49 million	6.61
Finance of America Companies Competitors	$18.20 billion	$1.82 billion	-67.33

Finance of America Companies’ rivals have higher revenue and earnings than Finance of America Companies. Finance of America Companies is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

97.2% of Finance of America Companies shares are held by institutional investors. Comparatively, 52.2% of shares of all “FIN – MTG&REL SVS” companies are held by institutional investors. 25.0% of Finance of America Companies shares are held by insiders. Comparatively, 29.5% of shares of all “FIN – MTG&REL SVS” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Finance of America Companies and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Finance of America Companies	0	1	1	0	2.50
Finance of America Companies Competitors	154	685	989	15	2.47

Finance of America Companies currently has a consensus price target of $27.50, suggesting a potential upside of 12.97%. As a group, “FIN – MTG&REL SVS” companies have a potential upside of 24.02%. Given Finance of America Companies’ rivals higher possible upside, analysts clearly believe Finance of America Companies has less favorable growth aspects than its rivals.

Risk & Volatility

Finance of America Companies has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500. Comparatively, Finance of America Companies’ rivals have a beta of 1.33, suggesting that their average share price is 33% more volatile than the S&P 500.

Summary

Finance of America Companies beats its rivals on 7 of the 13 factors compared.

Finance of America Companies Company Profile

Finance of America Companies Inc. a financial service holding company, through its subsidiaries, engages in the operation of a retirement solutions platform in the United States. It operates through two segments: Retirement Solutions and Portfolio Management. The Retirement Solutions segment engages in the loan origination activities comprising home equity conversion, proprietary reverse, and hybrid mortgage loans for senior homeowners. The Portfolio Management segment provides product development, loan securitization, loan sales, risk management, servicing oversight, and asset management services for borrowers and investors. The company was founded in 2013 and is headquartered in Plano, Texas.