Axos Financial (AX) has been beaten down lately with too much selling pressure. While the stock has lost 9.3% over the past four weeks, there is light at the end of the tunnel as it is now in oversold territory and Wall Street analysts expect the company to report better earnings than they predicted earlier.Guide to Identifying Oversold StocksWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is oversold. This is a momentum oscillator that ...

Axos Financial (AX) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Since a changi ...

Financial Data and Key Metrics - Net interest income for Q2 2025 was $280 million, up 22.5% YoY from $228.6 million in the prior period [7][8] - Net interest margin was 4.83% for Q2 2025, up 28 basis points YoY but down from 5.17% in Q1 2025 [9] - Tangible book value per share grew 21% YoY [7] - Return on average common equity was 17%, and return on assets was 1.7% for Q2 2025 [7] - Net income was $104 million, compared to $152.8 million in the same period last year [13] - Non-GAAP adjusted EPS was $1.82 for Q2 2025 [14] Business Line Performance - Loan originations were strong at $3.5 billion, with growth in single-family mortgage warehouse and C&I loan balances [15] - Auto loan portfolio saw its first sequential increase since Q1 2023 [16] - Average loan yields for non-purchased loans were 8.08%, while purchased loans yielded 13.92% [17] - Lender finance, fund finance, and equipment leasing had strong originations and net loan growth [16] - Single-family jumbo mortgage pipeline increased from $345 million to $496 million due to competitive exits and rate reductions [15] Market Performance - Total on-balance sheet deposits increased 9.5% YoY to $19.9 billion [10] - Demand, money market, and savings accounts represented 96% of total deposits, growing 10.6% YoY [19] - Consumer and small business deposits accounted for 60% of total deposits, while commercial TM and institutions represented 20% [19] - Axos Clearing deposits grew to $1.36 billion, up $104 million from the prior quarter [36] Strategy and Industry Competition - The company is focused on reducing headwinds in single-family jumbo mortgages and expects flat to slightly up growth in multifamily hybrid ARMs [15] - The company is leveraging low-code software development and AI to enhance operational efficiency [39] - The company is exploring inorganic growth opportunities, including potential acquisitions in specialty finance businesses [44][101] - The company is actively engaging with private credit partners to leverage the growth of the ecosystem [43] Management Commentary on Operating Environment and Future Outlook - Management expects the consolidated net interest margin to remain at the high end or slightly exceed the 4.25% to 4.35% target range [25] - The company is optimistic about organic loan growth returning, with expectations of high single-digit YoY growth in the remaining quarters of fiscal 2025 [51] - Management is cautious about expense growth and is focused on maintaining discipline while investing in technology and operational efficiency [92][93] Other Important Information - The company announced a $150 million at-the-market shelf offering to capitalize on potential strategic opportunities [45] - The company is actively working on AI use cases to enhance efficiency and reduce project timelines [39] - The company is realigning back-office servicing functions in its clearing and custody business to improve efficiency [38] Q&A Summary Question: Deposit Cost Trends - The company has successfully repriced higher-cost deposits and expects further opportunities to improve deposit mix over time [55][56] - Management believes the company can offset declines in interest income by repricing deposits, as demonstrated in Q2 2025 [57] Question: Net Interest Margin Drivers - The company attributes the strong net interest margin to a combination of asset-side growth (e.g., competitive exits in mortgage lending) and deposit repricing [58][59] - Excess liquidity has been a drag on net interest margin, but the company expects to grow into this liquidity with improved loan growth [62] Question: Crypto Engagement - The company is awaiting clearer regulatory guidance before reengaging in the crypto space [66][67] - Management emphasized the need for comprehensive regulatory clarity from both the SEC and primary regulators [67] Question: Non-Performing Assets (NPAs) - The increase in NPAs was attributed to specific idiosyncratic circumstances, particularly in real estate-backed loans [70][71] - Management is confident in the credit quality of the loan book and does not anticipate material losses from current non-performing loans [30][74] Question: Loan Demand and Growth Opportunities - The company sees strong demand in cap call, real estate lender finance, and other segments, with a $2.1 billion loan pipeline as of January 22, 2025 [50][83] - Management expects to stem runoff in single-family jumbo and multifamily loans, with potential for growth in these areas [81][89] Question: Expense Management and Operating Leverage - The company is focused on maintaining expense discipline while investing in technology and operational efficiency [92][93] - Management highlighted the use of AI and low-code platforms to drive productivity and reduce project timelines [94] Question: Capital Deployment and M&A - The company is exploring inorganic growth opportunities, particularly in specialty finance businesses [101] - The $150 million ATM offering is a proactive step to position the company for potential strategic acquisitions [102] Question: Provision for Credit Losses - The provision for credit losses was $12 million in Q2 2025, down from $13.5 million YoY, driven by lower net loan growth [48] - The company's allowance for credit losses to total loans held for investment was 1.37%, up slightly from 1.34% in Q1 2025 [49] Question: Fee Income Growth - The company expects fee income growth to be driven by its securities business, particularly Axos Advisory Services [123] - Management is optimistic about net new asset growth in the custody and clearing businesses [124] Question: Share Repurchases - The company remains disciplined in capital deployment, prioritizing organic growth and opportunistic share repurchases [133] - Management is optimistic about loan growth but remains cautious about capital allocation [131]

Axos Q2 Fiscal 2025 Earnings Supplement January 28, 2025 NYSE: AX Loan Growth by Category | | | | | | | $ Millions | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | | Q2 FY25 | | Q1 FY25 | | Inc (Dec) | | | Single Family Mortgage & | Jumbo Mortgage | $ | 3,641 | $ | 3,807 | $ | (166) | | | Warehouse | SF Warehouse Lending | | 509 | | 345 | | 164 | | | Multifamily & Commercial | Multifamily | | 2,148 | | 2,363 | | (215) | | | Mortgage | Small Balance Commercial | | 1,283 | | 1,284 | | (1) ...

For the quarter ended December 2024, Axos Financial (AX) reported revenue of $307.9 million, down 12.7% over the same period last year. EPS came in at $1.82, compared to $1.60 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $303.64 million, representing a surprise of +1.40%. The company delivered an EPS surprise of +3.41%, with the consensus EPS estimate being $1.76.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall ...

Axos Financial (AX) came out with quarterly earnings of $1.82 per share, beating the Zacks Consensus Estimate of $1.76 per share. This compares to earnings of $1.60 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.41%. A quarter ago, it was expected that this bank holding company would post earnings of $1.80 per share when it actually produced earnings of $1.96, delivering a surprise of 8.89%.Over the last four quarters, the ...

Core Insights - Axos Financial reported mixed results for Q2 of fiscal 2025, with adjusted EPS of $1.82 exceeding analyst expectations of $1.75, while revenue of $280.1 million fell short of the $303 million estimate [1][6]. Financial Performance - Adjusted EPS increased by 13.8% year-over-year from $1.60 in Q2 2024 [3]. - Revenue grew by 22.5% year-over-year, but non-interest income (NII) saw a significant decline of 77.6% compared to Q2 2024 due to losses in mortgage banking and broker-dealer fees [3][6]. - Net interest income was reported at $280.1 million, up from $228.6 million in the previous year [3][6]. - The net interest margin improved to 4.83%, an increase of 28 basis points from 4.55% a year earlier [3][7]. - Book value per share rose by 20.9% to $44.17, while tangible book value per share increased by 23.4% to $41.27 [3]. Business Overview - Axos Financial operates as a technology-driven financial institution, focusing on digital platforms for retail banking and investment advisory services, which reduces reliance on physical branches [4]. - The company aims to enhance customer experiences through scalable technology solutions and has been expanding its digital banking capabilities [4][5]. Operational Efficiency - The company maintained strong operational efficiency, with non-interest expenses slightly declining to $145.3 million [7]. - Loan growth in commercial, industrial, and auto sectors contributed to a stable deposit base, achieving a 5.9% annualized growth in deposits [8]. Credit Quality and Provisions - The provision for credit losses was $12.2 million, an improvement from $13.5 million in Q2 2024, although issues with credit quality in the commercial sector and increased non-performing assets were noted [9]. Future Outlook - Management did not provide specific forward guidance but indicated expectations for positive loan growth and a focus on expanding the digital platform [10]. - The company targets high single-digit annual growth rates for loans, supported by strategic hiring and new asset acquisition strategies [11].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-37709 AXOS FINANCIAL, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delaware 33-0867444 (I.R.S. ...

Axos Q2 Fiscal 2025 Earnings Supplement January 28, 2025 NYSE: AX Loan Growth by Category | $ | i | l | l | i | M | o | n | s | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | Q | 2 | 2 | Q | 1 | 2 | ( | ) | F | Y | 5 | F | Y | 5 | I | D | n | c ...

Wall Street analysts expect Axos Financial (AX) to post quarterly earnings of $1.76 per share in its upcoming report, which indicates a year-over-year increase of 10%. Revenues are expected to be $303.03 million, down 14.1% from the year-ago quarter.Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Prior to a company's earnings release, it is of utmost impo ...