Is Velocity Financial, Inc. (VEL) Overvalued?
We dive into why Velocity Financial, Inc. (VEL) could be considered overvalued on 2026-08-07, based on AAII’s Value Score and Grade.Michael Rose
A+ Stock Grade Summary:
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COMPANY SUMMARY
Velocity Financial, Inc. operates as a real estate finance company in the United States. The company originates, securitizes, and manages a portfolio of loans, which are secured by real estate, including investor loans unit residential rental properties; residential rental properties office; and loans for multi-family, mixed use, and commercial properties. The company also provides warehouse and other properties. It offers its products through a network of independent mortgage brokers and direct borrower relationships. The company was founded in 2004 and is headquartered in Westlake Village, California
Commentary & Analysis
What You Need to Know About Velocity Financial, Inc.'s Q3 Earnings
Velocity Financial, Inc.'s fiscal Q3 earnings report was released on Wednesday, August 05. Let's dive in to see if (VEL) missed or beat analyst's expectations.Michael Rose
What You Need to Know About Velocity Financial, Inc.'s Q2 Earnings
Velocity Financial, Inc.'s fiscal Q2 earnings report was released on Wednesday, May 06. Let's dive in to see if (VEL) missed or beat analyst's expectations.Tudor Pop
Why Velocity Financial, Inc.’s (VEL) Stock Is Up 5.69%
As of Tuesday, March 17, Velocity Financial, Inc.’s VEL share price has surged by 5.69%, which has investors questioning if this is right time to sell.Jenna Brashear
7 Undervalued Financial Services Stocks for Tuesday, March 10
Discover the top 7 undervalued Financial Services stocks for Tuesday, March 10 based on AAII’s Stock Grades.Tudor Pop
Financial Summary
| Share Statistics | VEL | Industry Median |
Percentile (All Stocks) |
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| Market Cap (Mil) | $724.1 | $2,330.0 | 41% |
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| Shares Out (Mil) | 39.3 | 72.9 | 42% |
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| Institutional Ownership | 92.0% | 86.6% | 60% |
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| Float (Mil) | 5.2 | 62.0 | 12% |
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| Beta | 0.70 | 0.87 | 41% |
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| Avg Daily Volume (000s) | 109 | 538 | 36% |
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| Price Change (52-week) |
(3.5%) | 78.0% | 41% |
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| Growth | VEL | Industry Median |
Percentile (All Stocks) |
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| Sales (5yr) | 26.4% | 10.5% | 87% |
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| Net Income (5yr) | 42.6% | 8.2% | 92% |
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| EPS (5yr) | 30.4% | 11.8% | 81 |
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| Dividends (5yr) | 0.0% | 0.0% | 0% |
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| Cash Flow (5yr) | 72.9% | (15.0%) | 97% |
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| Estimates | Qtrly | Current Fiscal Year |
Next Fiscal Year |
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| # of Estimates | 3 | 3 | 3 | |
| Current EPS | $0.713 | $2.807 | $3.033 | |
| Month Ago EPS | $0.673 | $2.710 | $3.000 | |
| # Rev Up | 1 | 1 | 1 | |
| # Rev Down | 0 | 0 | 0 | |
| Three Months Ago EPS | $0.645 | $2.600 | $3.415 | |
| Year/Year Chg | 11.4% | 2.0% | 23.5% | |
| Financials | VEL | Industry Median |
Percentile (All Stocks) |
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| Sales (TTM) (Mil) | $284 | $1,233 | 35% |
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| Net Income (TTM) (Mil) | $108 | $86 | 61% |
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| EPS (TTM) | $2.760 | $0.700 | 77% |
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| Operating Cash Flow (TTM) (Mil) | $23 | $166 | 42% |
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| Net Cash Flow (TTM) (Mil) | $148 | $5 | 81% |
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| Long-Term Debt (Q1) (Mil) | $6,740 | $730 | 88% |
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| Enterprise Value (Q1) (Mil) | na | $3,761 | na |
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| Valuation | VEL | Industry Median |
Percentile (All Stocks) |
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| P/B | 1.00 | 1.38 | 21% |
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| P/E | 6.7 | 19.1 | 7% |
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| Dividend Yield | 0.0% | 0.0% | 0% |
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| PEG (5yr hist) | 0.2 | 0.9 | 9% |
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| Ratios | VEL | Industry Median |
Percentile (All Stocks) |
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| Gross Margin | 75.7% | 61.5% | 86% |
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| Net Margin | 37.9% | 7.3% | 93% |
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| ROA | 1.5% | 1.0% | 52% |
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| ROE | 16.3% | 10.7% | 74% |
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| Liabilities to Assets | 90.9% | 74.8% | 87% |
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| F-Score | 7 | 5 | 82% |
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Velocity Financial, Inc. did not pass any screens on 8/21/2026.
