Velocity Financial (VEL) Meets Q3 Earnings Estimates

Core Viewpoint - Velocity Financial reported quarterly earnings of $0.47 per share, matching the Zacks Consensus Estimate and showing an increase from $0.37 per share a year ago [1] - The company posted revenues of $35.06 million for the quarter ended September 2024, which was below the Zacks Consensus Estimate by 2.89% and up from $27.37 million year-over-year [2] Earnings Performance - The earnings surprise for the previous quarter was 4.65%, with actual earnings of $0.45 per share compared to an expected $0.43 [1] - Over the last four quarters, the company has exceeded consensus EPS estimates three times [1] Revenue Insights - Velocity Financial has topped consensus revenue estimates only once in the last four quarters [2] - The current consensus EPS estimate for the upcoming quarter is $0.48, with expected revenues of $37.8 million, and for the current fiscal year, the estimate is $1.91 on revenues of $135.8 million [7] Stock Performance - Since the beginning of the year, Velocity Financial shares have increased by approximately 13.8%, while the S&P 500 has gained 24.3% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Financial - Mortgage & Related Services industry, to which Velocity Financial belongs, is currently ranked in the top 8% of over 250 Zacks industries [8] - Historical data suggests that the top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8]