Mr Cooper (COOP) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is 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. Individ ...

Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today: First BanCorp. (FBP) : This bank holding company for FirstBank Puerto Rico has seen the Zacks Consensus Estimate for its current year earnings increasing 9.3% over the last 60 days. Norwegian Cruise Line Holdings Ltd. (NCLH) : This cruise company has seen the Zacks Consensus Estimate for its current year earnings increasing 8.8% over the last 60 days. Owens Corning (OC) : This building materials company has seen the Zacks Consensus Est ...

Here are three stocks with buy rank and strong value characteristics for investors to consider today, May 24: Norwegian Cruise Line Holdings Ltd. (NCLH) : This cruise company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its next year earnings increasing 8.8% over the last 60 days. Norwegian Cruise Line Holdings has a price-to-earnings ratio (P/E) of 11.95 compared with 27.80 for the industry. The company possesses a Value Score of A. See the full list of top ranked stocks here ...

Here are two stocks with buy rank and strong value characteristics for investors to consider today, May 13th:  Organon & Co. (OGN) : This healthcare company which focuses on the health of women throughout their lives, carries a Zacks Rank #1(Strong Buy), and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 0.9% over the last 60 days.Organon has a price-to-earnings ratio (P/E) of 4.72 compared with 6.0 for the industry. The company possesses a Value Score of A.The ODP Corpo ...

Mr. Cooper Group Inc. (COOP) shares rose 2.9% since it reported strong first-quarter 2024 results on Apr 24, 2024. Solid growth in Servicing and Originations units were major tailwinds for the company. The servicing portfolio has reached the $1.1 trillion mark.Investors also seem to be impressed with its focus on technological advancements. The implementation of the mortgage-centric AI platform named Pyro, which was developed in partnership with Google, is boosting efficiency and cost savings for the compan ...

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, April 26th:SEI Investments Company (SEIC) : This asset management holding company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 3.3% over the last 60 days.SEI Investments’ shares gained 3.3% over the last three months compared with the S&P 500’s advance of 3.1%. The company possesses a Momentum Score  of B.Crane Company (CR) : This engineered indu ...

Here are five stocks added to the Zacks Rank #1 (Strong Buy) List today:Fuel Tech, Inc. (FTEK) : This company that provides multi-pollutant emissions control and water treatment technologies has seen the Zacks Consensus Estimate for its current year earnings increasing 62.5% over the last 60 days.Kronos Worldwide, Inc. (KRO) : This company that produces and markets titanium dioxide pigments internationally has seen the Zacks Consensus Estimate for its current year earnings increasing 312.5% over the last 60 ...

Here are two stocks with buy rank and strong value characteristics for investors to consider today, April 26th:Stride, Inc. (LRN) : This tech-based education service company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 4.9% over the last 60 days.Stride has a price-to-earnings ratio (P/E) of 13.99, compared with 20.29 for the S&P 500. The company possesses a Value Score  of B.Mr. Cooper Group Inc. (COOP) : This non-banking financial services ...

Financial Data and Key Metrics Changes - The company reported a net income of $181 million, with pre-tax operating earnings of $199 million, reflecting strong performance in servicing and operational results [67] - Tangible book value per share increased by 15% year-on-year to $65.48, with a slight increase in share count due to employee stock incentives [23][56] - Operating ROTCE reached 14.5%, aligning with the guidance range of 14% to 18% [38][87] Business Line Data and Key Metrics Changes - Servicing income was $273 million, up from $229 million in the previous quarter, driven by portfolio growth and low CPRs [47] - Originations generated $32 million in pre-tax income, slightly above guidance, with a focus on cash-out purchases and second liens [48][29] - The servicing portfolio reached $1.1 trillion, up 33% year-on-year, with $54 billion in MSR acquisitions [56][45] Market Data and Key Metrics Changes - The overall mortgage market remains robust, with $14 trillion in mortgages outstanding and over $30 trillion in homeowner equity [10][136] - Delinquencies in the MSR portfolio dropped to an all-time low of 1.1%, down from 2.3% a year ago, indicating strong asset quality [85] Company Strategy and Development Direction - The company is focusing on technology investments, particularly in AI and cloud-native platforms, to enhance operational efficiency and customer service [40][41] - The strategy includes asset-light growth through subservicing and launching a commingled MSR fund [4][46] - The company aims to maintain disciplined capital deployment while exploring attractive opportunities in the bulk market [90][64] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging originations environment but expressed optimism about growth opportunities in servicing and subservicing [72][29] - The company is confident in its ability to navigate market fluctuations and maintain profitability through technology and operational efficiencies [87][88] - Future growth is expected to depend on market yields and disciplined capital deployment [64][69] Other Important Information - The company has a strong liquidity position, reaching a record high of $3.3 billion, supported by a recent $1 billion senior note issuance [51] - The company is actively engaging with sovereign wealth funds and pension plans for potential capital raising opportunities [52] Q&A Session Summary Question: Can you discuss competition in the origination segment? - Management noted solid improvement in margins and volumes, indicating a competitive market but expressed confidence in maintaining margins [53] Question: What is the outlook for the servicing portfolio? - Management highlighted the potential for continued growth, with expectations of onboarding another $100 billion in UPB in the second quarter [64][69] Question: How is the company financing the $50 billion of MSRs being onboarded? - The majority of the $50 billion was competitively bid, with a focus on maintaining a balanced business model [127] Question: What are the expectations for recapture rates? - Management indicated strong recapture rates, with a focus on maintaining best-in-class performance [108] Question: How does the company view the evolving MSR market? - Management expressed confidence in the stability of the market, emphasizing a disciplined approach to acquisitions [129][130]

For the quarter ended March 2024, Mr Cooper (COOP) reported revenue of $564 million, up 70.9% over the same period last year. EPS came in at $2.28, compared to $1.17 in the year-ago quarter.The reported revenue represents a surprise of +13.22% over the Zacks Consensus Estimate of $498.15 million. With the consensus EPS estimate being $2.11, the EPS surprise was +8.06%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their ...