VEL

Sinker

Velocity Financial, Inc. · Financial Services · United States · $604M cap · $2.7M/day traded

$16.11 -1.6% · close 12 Nov · scored 13 Nov

Sinker: Weak business, rich price and weak momentum. Nothing here to keep it afloat.

34
Score
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Quality
47
Value
46
Momentum
32

As of 13 Nov 2026, the MoatMap Score for Velocity Financial, Inc. (VEL) is 34/100, ranked against 25,000+ stocks in 38 markets (Quality 47, Value 46, Momentum 32, each scored against its sector).

Does the score work? Each tenth of the ranking, tracked monthly. See the record →

P/E (TTM)
6.4x
peers 12.8x
ROE
15.8%
peers 9.6%
D/E
9.6x
peers 0.3x
Dividend %
—
trailing yield

ABOUT VELOCITY FINANCIAL, INC.

Read

Velocity Financial is a specialized real estate finance company that originates and manages investor loans secured by 1-4 unit residential rental and small commercial properties. Operating in the underserved non-owner occupied mortgage market, the company utilizes a nationwide network of independent mortgage brokers to source loans. Its proprietary underwriting platform and extensive historical performance data enable precise risk pricing, establishing it as a leading niche player in the private money lending space.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue91.2M155.5M211.7M311.5M50.6%380.3M320.8M359.0M7.3%
EPS0.991.602.072.8141.6%2.772.772.922.0%
Shares32.5M32.9M33.5M39.6M+21.8%39.5M———
Debt3.3B3.8B4.9B6.5B25.9%7.3B———
Equity376.8M433.4M516.9M672.5M21.3%————
Op CF48.7M48.8M37.8M18.2M-28.0%18.2M———
Inv CF-908.2M-584.7M-1.0B-1.5B—————
Fin CF874.0M535.8M1.0B1.7B—————
PRICE (1Y) · USD+10.4%
14.515.316.116.917.62 Oct23 Oct12 Nov
SMA 50SMA 200

Price checkFinding a floorExperimental

No new 52-week low for 6 weeks, 14% above that low, but not back above a rising 50-day average.

SwingsCalm

Calmer than 78% of stocks we rank over the past year (volatility 27% a year).

How this is worked out

The Price check reads only the chart, the price side of the Momentum score in words; it is not the MoatMap Score.

  • Still falling: It set a new 52-week low in the last two weeks, after a deep fall.
  • Finding a floor (this stock): It fell hard, but has set no new low for more than two weeks.
  • Turning up: It has climbed off its low and is back above a rising 50-day average.
  • In an uptrend: It is near its 52-week high and above its 200-day average.
  • No clear trend: None of the above: no recent deep fall and no steady climb.
  • No read yet: Not enough price history yet: it needs a year of trading.

In past US falls, waiting for Turning up cut the chance of another 20% drop from 42% to 33%. Returns were no better, and 33% of turns failed.

The exact rules

Still falling is a new 52-week low in the last two weeks, at least 25% below the high, with the low set after the high. Finding a floor is the same fall with no new low in the last two weeks. Turning up is 20 or more trading days without a new low, at least 10% off it, and back above a rising 50-day average. In an uptrend is above the 200-day average, with the 50-day average above the 200-day, and within 15% of the high. No clear trend is everything else. No read yet is under 252 trading days of history, or missing data. A new state shows once it has held for three trading days.

In 2,112 US drawdowns since 2001, buying while the price was still falling was followed by a further 20% drop 42% of the time. Waiting for a turn (the Turning up rule above) cut that to 33%, at about 7% higher prices and with no better returns. Part of that cut is simply not buying: 13% of falls never turned, and waiting kept those out. Among turns that were bought, 38% still fell another 20%, and 33% of turns were followed by a new low within six months. The benefit was largest in crashes such as 2008 and 2020.

What it measures: how much the price moved day to day over the past year, scaled to a yearly figure (annualised volatility) and ranked against every stock we cover. Very calm under 20% a year, Calm 20 to 30%, Average 30 to 40%, Bumpy 40 to 55%, Very bumpy above that.

What we found: across about 13,500 stocks in 34 markets (2002 to 2025), past swings were a good guide to the next year's, and bumpier stocks fell further. How much further changed too much between eras to put a number on it.

Calm is not safe: a calm stock can still slide steadily.

Rules fixed before any data was fetched. Describes the chart, not a recommendation.

Close
$16.11
RSI (14)
57.9
52-Week Range-24.7% from high
Low $14.18High $21.40

SCORE BREAKDOWN

Quality
47
ROIC (ROA)
1.4%*50.8
ROE
15.8%75.5
GP/Assets
4.2%46.4
Op. Margin
25.4%44.2
FCF/Assets
0.3%31.3
Piotroski
446.4
Int. Cover
—N/A
D/E Ratio
9.64x1.5
Current Ratio
14.59x87.2
Value
46
P/E (TTM)
6.4x86.9
EV/EBITDA
—N/A
P/FCF
28.9x13.3
P/B
0.9x67.8
P/S
1.8x70.8
Div Yield
—N/A
Momentum
32
52W High %
75%31.0
RS 6M
-9%26.6
SMA 50/200
0.90x15.0
EPS Rev 4W
-0.3%28.5
EPS Rev 12W
+0.8%59.1
EPS Improve
+9%34.6
Q Growth
4%38.3

FUNDAMENTALS

Market Cap
$604M
P/E (Forward)
5.8x
Gross Margin
82.0%

SECTOR PEERS

Closest peers in Financial Services, ranked by industry match, size, and score similarity. Cross-listings of VEL are excluded.

TickerCompanyMkt CapScore
VELVelocity Financial, Inc.(you)$604M34
WDWalker & Dunlop, Inc.$1.2B37
ONITOnity Group Inc.$215M27
LDIloanDepot, Inc.$273M11
UWMCUWM Holdings Corporation$2.3B20
BETRBetter Home & Finance Holding Company$318M3
PFSIPennyMac Financial Services, Inc.$3.3B12
IORIncome Opportunity Realty Investors, Inc.$74M19
BLNEBeeline Holdings, Inc.$63M16
LDPCohen & Steers Limited Duration Preferred and Income Fund, Inc.$599M33

Peer medians: ROE 9.6% · P/E 12.8x · Gross margin 70.8%

Company Deep Dive

A 10,000-word report: the business and its segments, what management promised on earnings calls and whether it delivered, the competition, and how things could turn out.

Request Deep Dive(50 Feathers)

Velocity Financial, Inc. (VEL): Stock Score Summary

Velocity Financial, Inc. (VEL) has a MoatMap Score of 34/100 based on Quality (47/100), Value (46/100), and Momentum (32/100) factor scores.

Velocity Financial is a specialized real estate finance company that originates and manages investor loans secured by 1-4 unit residential rental and small commercial properties. Operating in the underserved non-owner occupied mortgage market, the company utilizes a nationwide network of independent mortgage brokers to source loans. Its proprietary underwriting platform and extensive historical performance data enable precise risk pricing, establishing it as a leading niche player in the private money lending space.

Director dealings

From 2 Jan 2026 to 12 Nov 2026, MoatMap's records hold 25 sales and no purchases of Velocity Financial, Inc. (VEL) shares by its directors. The largest: Kelly Roland Thomas sold 14,026 shares at $18.03 on 30 Mar 2026 (about $253K).

  • 5 Nov 2026: Kelly Roland Thomas sold 3,200 shares at $18.00 (about $58K)
  • 5 Nov 2026: Szczepaniak Mark R sold 2,000 shares at $18.00 (about $36K)
  • 10 Sep 2026: Szczepaniak Mark R sold 2,000 shares at $18.03 (about $36K)
  • 1 Sep 2026: Kelly Roland Thomas sold 1,600 shares at $18.00 (about $29K)
  • 11 Aug 2026: Tam Fiona sold 1,232 shares at $19.00 (about $23K)
VEL insider filings, last 180 days

Key Financial Metrics

Price$16.11
Market Cap$604M
P/E (TTM)6.36
P/E (Forward)5.83
Price/Book0.91
Return on Equity15.8%
Debt/Equity9.64x
Gross Margin82.0%
Operating Margin25.4%
Revenue Growth176.3%
Free Cash Flow$21M

Velocity Financial, Inc. operates in the Mortgage Finance industry, part of the Financial Services sector (United States).

Frequently Asked Questions

What is Velocity Financial, Inc.’s (VEL) MoatMap Score?
The MoatMap Score for Velocity Financial, Inc. (VEL) is 34/100. It is a composite of Quality (47), Value (46), and Momentum (32), each scored against its sector. The composite is then ranked across MoatMap’s universe of 25,000+ stocks.
Does Velocity Financial, Inc. have an economic moat?
Velocity Financial, Inc. (VEL) has a Quality factor score of 47/100. Quality blends several measures of profitability and financial strength, led by gross profit to assets, return on invested capital and free cash flow to assets. A high score describes the financial record a durable advantage tends to leave; it does not prove a moat.
What sector is Velocity Financial, Inc. in?
Velocity Financial, Inc. (VEL) operates in the Financial Services sector, specifically the Mortgage Finance industry (United States).