Loandepot Inc (LDI)vsVelocity Financial Llc (VEL)
LDI
Loandepot Inc
$1.41
-2.76%
FINANCIAL SERVICES · Cap: $807.02M
VEL
Velocity Financial Llc
$17.68
+1.84%
FINANCIAL SERVICES · Cap: $681.12M
Smart Verdict
WallStSmart Research — data-driven comparison
Loandepot Inc generates 444% more annual revenue ($1.23B vs $225.61M). VEL leads profitability with a 46.6% profit margin vs -5.1%. VEL earns a higher WallStSmart Score of 66/100 (B-).
LDI
Hold40
out of 100
Grade: F
VEL
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for LDI.
Margin of Safety
+84.7%
Fair Value
$128.70
Current Price
$17.68
$111.02 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 70.1% year-over-year
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 47 of every $100 in revenue as profit
Strong operational efficiency at 61.7%
Earnings expanding 55.5% YoY
Areas to Watch
Smaller company, higher risk/reward
ROE of -24.1% — below average capital efficiency
Earnings declined 98.8%
Negative free cash flow — burning cash
Smaller company, higher risk/reward
Revenue declined 4.4%
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : LDI
The strongest argument for LDI centers on Price/Book, Revenue Growth. Revenue growth of 70.1% demonstrates continued momentum.
Bull Case : VEL
The strongest argument for VEL centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 46.6% and operating margin at 61.7%.
Bear Case : LDI
The primary concerns for LDI are Market Cap, Return on Equity, EPS Growth.
Bear Case : VEL
The primary concerns for VEL are Market Cap, Revenue Growth, Free Cash Flow. Debt-to-equity of 9.70 is elevated, increasing financial risk.
Key Dynamics to Monitor
LDI profiles as a hypergrowth stock while VEL is a declining play — different risk/reward profiles.
LDI carries more volatility with a beta of 3.16 — expect wider price swings.
LDI is growing revenue faster at 70.1% — sustainability is the question.
VEL generates stronger free cash flow (-5M), providing more financial flexibility.
Bottom Line
VEL scores higher overall (66/100 vs 40/100), backed by strong 46.6% margins. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Loandepot Inc
FINANCIAL SERVICES · MORTGAGE FINANCE · USA
LoanDepot, Inc. is dedicated to the origination and servicing of conventional and government mortgage loans in the United States. The company is headquartered in Foothill Ranch, California.
Velocity Financial Llc
FINANCIAL SERVICES · MORTGAGE FINANCE · USA
Velocity Financial, Inc. is a real estate finance company in the United States. The company is headquartered in Westlake Village, California.
Visit Website →Compare with Other MORTGAGE FINANCE Stocks
Want to dig deeper into these stocks?