Better has an “implied equity value” of $6.9 billion. By comparison, PennyMac, the nation’s second largest originator, has a market capitalization rate of $4.01 billion.
The mortgage production cycle is starting to turn, so that means a reduction in headcount. But based on third-quarter results from a handful of public shops, the trimming has been light thus far. (Includes data chart.)
A tougher origination year in 2022? Looks that way, but forecasts can change on a dime when unexpected news alters economic perceptions. Meanwhile, a fist full of nonbank stocks are selling for less than $5 a unit.