FOA
Finance of America Companies Inc.
Next earnings Aug 3, 2026 (after close) · consensus $1.13 EPS
Last earnings -1.0% on 2026-05-05
$27.47
▲ +0.26%$27.47▲ +18.97%
over 1Y
L $16.05H $29.22
Earnings Dividend Split Congress buy Congress sellGrouped by date · hover a pin to expand
Today+0.3%
1W+26.8%
1M+42.2%
3M+55.0%
YTD+22.4%
1Y+19.0%
Hold
Conviction
Horizon
Medium (3–12mo)
12-mo target
$•••
Street · 5 analysts
Buy
Real reverse-mortgage turnaround at 7.3x earnings, but the profit is mostly mark-to-market — cheap enough to hold, too fragile to chase.
Diluted EPS $3.74 · FY2025
The read
Middling fundamentals offset by an attractive price (~417% below fair value) — worth a look on the value angle.
FOA has genuinely turned the corner. After deep losses (FY2022 -$191M, FY2023 -$80M), it strung together two profitable years — FY2024 net income $15.5M then FY2025 $45.2M (+192%), with diluted EPS of $3.74 (+217%) and revenue up 26% to $497M. The core engine is real: net origination gains grew to $226M from $180M, and the company is a leader in the underserved 55+ home-equity/reverse-mortgage market with fresh growth optionality — the October 2025 launch of traditional home-equity loans, the new second-lien reverse product, and the December 2025 Blue Owl product-development partnership. At $27.47 the stock trades at just 7.3x EPS and 0.5x sales, which looks statistically cheap for a business growing originations double-digits.
But the earnings quality is the whole story here, and it's weak. The MD&A shows total revenue jumped largely on 'Net fair value changes on loans and related obligations' of $264.7M (vs $80.2M), driven by a $147.0M favorable swing in 'fair value changes from market inputs or model assumptions' — non-cash marks that are highly sensitive to interest rates and model assumptions and can reverse just as fast. Meanwhile net portfolio interest income actually slipped ($260.8M vs $267.9M) and non-funding interest income flipped to -$57.6M from +$16.7M. So the headline EPS is flattered by mark-to-market gains, not durable cash earnings. Operating cash flow was -$430M, and cash on hand is only $89.5M.
Is FOA a buy? The one-page verdict, explained →
The options angle
model · matches our verdictCovered call~60d expiry
- Long 100 shares @ ~27.47
- Short call 29 @ ~2.10 est
debit $2,537max +$363max −$2,536BE 25.37
HOLD means own it, don't chase it — harvesting premium against the position matches the verdict.
Educational template, not a trade recommendation. Strikes and premiums are Black-Scholes model estimates from the last close and 30-day realized volatility — real chains, spreads and IV will differ. Options involve substantial risk.
Financials · annual, by fiscal year
| Line item | FY20 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | $1.80B | $52.8M | $234M | $394M | $497M |
| Gross profit | — | — | — | — | — |
| Operating income | — | — | — | — | — |
| Net income | $518M | -$191M | -$80.1M | $15.5M | $45.2M |
| Diluted EPS | — | -$3.12 | -$9.77 | $1.18 | $3.74 |
| Net margin | 28.8% | -361.4% | -34.2% | 3.9% | 9.1% |
10-year statements — income, cash flow, balance sheet & CSV export →
Annual figures from SEC 10-K XBRL filings. Open the filing links below for full statement detail.
Key statistics
Valuation
Enterprise value—
EV / EBITDA—
EV / Sales—
EV / FCF—
P / FCF—
PEG (trailing)0.04
Earnings yield18.5%
FCF yield-180.5%
Quality & risk
ROIC (est.)—
Free cash flow-$441M
Total debt$358M
Net cash-$268M
Piotroski F-Score5/7
Capital returns
Buyback yield—
Dividend yield (est.)—
Shareholder yield—
Shares Δ YoY-3.2%
Computed from SEC XBRL annual figures + the current quote. EV and ROIC use long-term + current debt where filed; estimates, not investment advice.
Disclosure timeline
SEC · 8-Ks + reportsRecent disclosure tone has been improving.
- 8-K Reg FD disclosure2026-07-01
Reg FD/other-events disclosure with exhibits; no material financial change flagged
- 8-K Shareholder vote2026-06-30
Reported shareholder voting results from a stockholder meeting
- 8-K Shareholder vote2026-05-21
Disclosed results of votes on shareholder matters
- 10-Q Quarterly report2026-05-11
Q1 2026 (Mar-31): reverse-mortgage franchise stays profitable post-turnaround
- 8-K Earnings results2026-05-05
Entered a material definitive agreement (financing/partnership)
- 8-K Material agreement2026-05-05
Entered a material definitive agreement (financing/partnership)
- DEF 14A Proxy statement2026-04-07
Proxy for 2026 annual meeting; routine board/compensation votes
- 8-K Officer / director change2026-04-03
Announced a director/officer change
- 10-K Annual report2026-03-13
FY25 rev $497M +26%, NI $45M +192%, EPS $3.74; new home-equity/Blue Owl push
Recent filings
all on EDGAR ↗4Period ending 2026-07-012026-07-02open ↗8-KPeriod ending 2026-06-302026-07-01open ↗4Period ending 2026-06-292026-07-01open ↗144Filing2026-07-01open ↗8-KPeriod ending 2026-06-262026-06-30open ↗PRE 14CPeriod ending 2026-06-302026-06-30open ↗144Filing2026-06-29open ↗4Period ending 2026-03-132026-06-26open ↗4Period ending 2026-06-152026-06-16open ↗4Period ending 2026-06-012026-06-03open ↗4Period ending 2026-06-012026-06-03open ↗144Filing2026-06-01open ↗
Frequently asked
- Is Finance of America Companies Inc. (FOA) a buy?
- FOA currently carries a Hold rating with 3/5 conviction, derived from its latest SEC filings. Real reverse-mortgage turnaround at 7.3x earnings, but the profit is mostly mark-to-market — cheap enough to hold, too fragile to chase.
- What is FOA's fair value?
- A Modified-Graham model based on FOA's SEC fundamentals estimates a fair value of about $142.12. It is an estimate from reported earnings, not a price target.
- Is FOA overvalued or undervalued?
- Against a Modified-Graham fair-value estimate, FOA currently appears undervalued relative to its SEC-grounded earnings power.
- What is Finance of America Companies Inc.'s quality score?
- FOA scores 81.76810476697204/100 (grade A-) on a SEC-grounded quality model spanning value, growth, profitability, financial health and momentum.
Sources: SEC EDGAR (CIK 0001828937, latest 10-Q filed 2026-05-11) · EODHD · Proprietary analysis · as of 7/3/2026, 10:53:48 AM.
About this recommendation — produced by TENK/calls (tenkcalls.com), Luxembourg · not investment advice
AI-generated analysis, produced by our proprietary engine from SEC filing data.
Investment recommendation produced by TENK/calls (tenkcalls.com), Luxembourg. Completed Jul 3, 2026, 6:53 AM ET. Ratings & methodology: definitions · All recommendations to date: track record · Conflicts: disclosures. Not investment advice.
Research and education only — not financial advice. TENKis not a registered investment adviser or broker-dealer and gives no personalized advice. Every call is impersonal — identical for all users, generated on a schedule from SEC filings plus a delayed/third-party price feed — may be wrong or out of date, and is not a recommendation to buy or sell any security. The operator and an affiliated trading operation may hold or trade the securities TENK rates; see Disclosures. Past performance does not guarantee future results. Do your own research.