Notes Findell Capital Has Quietly Sold 500,000 Shares of Stock While Publicly Urging Others To BuySAN CARLOS, Calif., July 09, 2025 (GLOBE NEWSWIRE) -- Oportun (Nasdaq: OPRT) (“Oportun” or the “Company”), a mission-driven financial services company, today issued a letter to stockholders ahead of its July 18 annual meeting. The full text of the letter to stockholders follows: Dear Fellow Oportun Stockholders, We are writing to encourage you to vote TODAY “FOR” each of our director nominees – CEO Raul Vazquez ...

Company Overview - Oportun Financial Corporation (OPRT) shares increased by 8.6% to close at $7.69, supported by high trading volume compared to normal sessions [1] - The stock has gained 0.7% over the past four weeks [1] Recent Developments - Oportun has extended its gains for three consecutive sessions after issuing a letter to shareholders supporting CEO Raul Vazquez, urging investors to vote for his retention on the board [2] - This move countered efforts by Findell Capital Management to remove him, which positively influenced investor sentiment and boosted OPRT stock [2] Earnings Expectations - The company is expected to report quarterly earnings of $0.21 per share, reflecting a year-over-year increase of 162.5% [3] - Revenue is anticipated to be $239.79 million, a decrease of 4.2% from the same quarter last year [3] Stock Performance Insights - The consensus EPS estimate for Oportun has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [4] - Monitoring OPRT is advised to determine if the recent stock price increase can lead to further strength [4] Industry Context - Oportun Financial is part of the Zacks Financial - Miscellaneous Services industry, which includes StepStone Group Inc. (STEP) [5] - STEP's stock closed at $57.08, with a slight increase of 0.1% in the last trading session, but has returned -1.8% over the past month [5] - The consensus EPS estimate for StepStone has remained unchanged at $0.41, representing a decline of 14.6% from the previous year [6]

Core Viewpoint - Oportun's Board of Directors urges stockholders to vote "FOR" CEO Raul Vazquez and Carlos Minetti in the upcoming Annual Meeting, emphasizing the importance of maintaining strong leadership for the company's continued progress [2][7]. Company Leadership - The Board expresses concern over Findell Capital Management's attempt to remove CEO Raul Vazquez from the Board, describing it as a damaging and unconventional move that could undermine the company's stability and progress [3][5]. - Under Raul Vazquez's leadership, Oportun has executed a strategic plan that has led to improved financial performance, with the stock price increasing by over 80% this year [3][4]. Stockholder Communication - The Board highlights the necessity of clear communication between management and the Board, which is facilitated by Raul's presence on the Board, enhancing decision-making processes [6]. - The Board encourages stockholders to vote using the GREEN proxy card to support their nominees and to withhold votes for Findell's candidate, stressing the importance of a unified leadership approach [8]. Financial Performance - Oportun has provided over $20.3 billion in responsible credit and saved its members more than $2.4 billion in interest and fees, demonstrating its commitment to financial empowerment [9].

Core Viewpoint - Institutional Shareholder Services Inc. (ISS) has recommended stockholders vote for the election of Warren Wilcox to Oportun's Board of Directors and withhold votes for CEO Raul Vazquez due to his poor performance and governance issues [1][2]. Group 1: Corporate Governance Issues - ISS highlighted years of poor corporate governance at Oportun, linking it to a significant decline in share price, approximately 55% since the company's IPO in 2019 [1][2]. - The board's structure includes features that do not align with shareholder interests, such as a classified board and supermajority vote standards, which limit shareholder actions [2]. - There are serious concerns regarding board composition and independence, raising questions about the board's ability to hold management accountable [2]. Group 2: Performance and Strategic Decisions - Oportun's shift away from its core business in 2021 was described as value destructive, leading to increased costs and eroded profitability [2]. - The board's support for poor governance practices has resulted in consistent opposition from shareholders, as reflected in historical voting results [2]. Group 3: Recommendations for Change - The election of Warren Wilcox is seen as beneficial, providing an independent perspective and relevant experience in consumer lending, which could help improve governance and strategic decisions [2][3]. - Findell Capital Partners emphasizes the need for change in leadership to break the cycle of value-destructive decisions and refocus on Oportun's core strengths in lending [3].

Core Viewpoint - Oportun is committed to reaching a constructive compromise with Findell Capital Management and has made multiple proposals to change the Board's composition, which Findell has not responded to [1][3] Group 1: Board Actions - The Board has decided to reduce the number of directors and rebalance the skills and experience of its members, reflecting stockholder feedback [2] - The decision includes not nominating incumbent Lead Independent Director Neil Williams and director Scott Parker, both of whom are former Chief Financial Officers [2] Group 2: Company Overview - Oportun is a mission-driven financial services company that has provided over $20.3 billion in responsible credit and saved its members more than $2.4 billion in interest and fees since its inception [3] - The company empowers its members to build a better financial future by offering intelligent borrowing, savings, and budgeting capabilities, helping them set aside an average of over $1,800 annually [3]

Group 1 - Findell Capital Partners, one of the largest stockholders of Oportun Financial Corporation, is committed to reaching a good faith settlement to resolve ongoing issues in a manner beneficial to all stockholders [1] - The addition of Warren Wilcox to the Board of Directors is proposed to enhance corporate governance and value creation, alongside the continued service of Scott Parker, who has relevant expertise [2] - Findell urges the Board to cease wasting stockholder capital on disputes and expresses readiness to engage in discussions for a mutually beneficial outcome [3]

Core Insights - Oportun Financial Corporation (OPRT) and Enova International Inc. (ENVA) are fintech companies focused on providing credit solutions to underserved consumers, utilizing advanced analytics and digital platforms to serve non-prime borrowers [1][4]. Company Performance - OPRT shares have increased by 89.7% year-to-date, while ENVA shares have risen by 15.8% [2][10]. - Oportun's total revenues have experienced a five-year compound annual growth rate (CAGR) of 10.8%, despite a decline in the first quarter of 2025 [7]. - Enova's revenues have shown a CAGR of 17.7% over the last five years, with continued momentum into 2025 [13]. Financial Projections - OPRT anticipates 2025 adjusted earnings per share (EPS) to be in the range of $1.10-$1.30, up from 72 cents in 2024, with total revenues expected to be between $945-$970 million [20][22]. - ENVA's consensus estimates indicate a year-over-year revenue increase of 17.8% for 2025 and 14.3% for 2026, with earnings growth of 28.7% and 17.7% for the same years [22][24]. Valuation Analysis - OPRT is currently trading at a price-to-tangible book (P/TB) ratio of 1.22X, while ENVA is trading at 3.31X, indicating that OPRT is undervalued compared to ENVA [10][25][27]. Business Models - Oportun focuses on small-dollar personal loans and financial inclusion, while Enova offers a broader range of products including installment loans and small business loans [29][30]. - Both companies leverage proprietary data analytics and machine learning to enhance underwriting and loan servicing [28]. Strategic Initiatives - Oportun is expanding into new markets and product offerings, including credit cards and secured personal loans, which are expected to drive future financial performance [31]. - Enova's diversified lending portfolio and strong cash flow generation support its growth, although exposure to subprime borrowers poses potential risks [30].

Company Strategy & Performance - Oportun shifted its focus from growth to profitability, reduced headcount, and streamlined operations due to changing economic conditions in early 2022[7] - Oportun's actions led to improved credit metrics, increased profitability, and a more than doubled stock price over the last 12 months[7] - Oportun is focused on three strategic priorities: improving credit outcomes, strengthening business economics, and identifying high-quality originations[14] - Oportun's strategy is delivering results, with progress on credit performance, expense discipline, and profitability[37] - Oportun achieved an Adjusted EBITDA of $105 million and Adjusted EPS of $0.72 in FY24[19] Findell's Proxy Contest - Findell Capital Management is pursuing a proxy contest to remove Oportun's CEO from the Board[7] - Oportun believes Findell's remaining ideas are not in the best interests of the company or its stockholders[17] - Oportun has concerns about Findell's nominee, Warren Wilcox, and his suitability as a fiduciary[17] - Oportun believes Findell's comparisons to OneMain Financial are misguided, as Regional Management is a more appropriate comparator[47] Board & Governance - Oportun's Board has been actively refreshed over the last several years and is best positioned to oversee the company's strategy[51] - Oportun is reducing the size of the Board, consistent with best practices and Findell's feedback[163]

Highlights the Support of Oportun Founder and Former CEO James Gutierrez, who Wrote that Findell Has "Offered a Smart, Focused Plan to Restore Value"Outlines How the Company Forced a Costly Proxy Contest by Refusing to Fill Board Leadership Positions with Independent Directors Who Possess Lending Industry Experience and by Ousting Former OneMain Financial CFO Scott Parker from the BoardMakes Clear That Removing Failed CEO Raul Vazquez from the Board Would Strengthen the Board's Oversight of ManagementReiter ...

Core Insights - Oportun Financial (OPRT) is utilizing technology, specifically artificial intelligence (AI) and machine learning (ML), to enhance its underwriting standards and provide personalized customer service [1][9] - The company has improved its V12 credit model by incorporating data from the inflationary period, which aligns with conservative credit standards [2] - OPRT's annualized net charge-off (NCO) rate decreased to 12% in 2024 from 12.2% in 2023, although it rose to 12.2% in Q1 2025 due to a reduction in back-book loan exposure [3] - The lending database allows OPRT to scale operations efficiently with minimal infrastructure investment [4] - OPRT's technological advancements provide a competitive edge over traditional lending peers, enabling rapid market share growth and cost efficiency [5] Industry Comparison - Peers such as Enova International, Inc. (ENVA) and Regional Management Corp. (RM) are also leveraging technology to enhance credit underwriting capabilities [6] - Enova employs The Colossus Analytics Engine, with approximately 90% of its models being ML-based [6] - Regional Management has improved its technological infrastructure, achieving a delinquency rate of 7.1% in Q1 2025 [7] Financial Performance - OPRT's shares have increased by 80.4% this year, contrasting with a 6.3% decline in the industry [8] - The company trades at a price-to-book ratio of 0.72, significantly below the industry average [10] - Zacks Consensus Estimate indicates OPRT's earnings growth of 63.9% and 39.2% for 2025 and 2026, respectively, although estimates have been revised downward recently [12]