WallStSmart
ONIT

Onity Group Inc.

NYSE: ONIT · FINANCIAL SERVICES · MORTGAGE FINANCE

$46.01
+0.46% today

Updated 2026-04-30

Market cap
$390.89M
P/E ratio
2.14
P/S ratio
0.37x
EPS (TTM)
$21.46
Dividend yield
52W range
$35 – $54
Volume
0.1M

Onity Group Inc. (ONIT) Stock Valuation Analysis

Fair value estimate, historical valuation range, and quality signals for ONIT.

WallStSmart Verdict
Attractively
Valued

Fundamentals support the current valuation. Strong combination of growth, quality, and price.

Smart Value Score: 81 / 100
P/E (TTM)
2.1x
vs 5Y median of 2.2x
PEG
0.62
Under 1.0 = undervalued
Margin of Safety
DCF limited for this profile
EV / EBITDA
64.8x

ONIT historical valuation range

Where current P/E sits in ONIT's own 5Y range.

NOW
2.0x
5Y Low
2.1x
25th
2.2x
Median
10.1x
75th
21.1x
5Y High
ONIT is trading cheaper than 58% of the last 5Y.
42th percentile · Below median

ONIT intrinsic value (DCF)

DCF-based fair value estimate vs current market price.

DCF has limited applicability for ONIT

Standard discounted cash flow models produce unreliable output for unprofitable or near-breakeven companies. Revenue-based multiples such as P/S and EV/Sales, combined with the historical valuation position above, give a more reliable read for this stock.

Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.

ONIT valuation signals

Quick-read green flags, caution flags, and risks based on current metrics.

PEG ratio under 1.0
PEG of 0.62 indicates growth is outpacing the multiple. Traditionally a buy signal for quality compounders.
!
P/E in mid-range
P/E sits at the 42th percentile of the 5Y range. Neither cheap nor rich historically.
!
DCF limited applicability
Company profile produces unstable DCF output. Lean on P/S, EV/Sales, and historical valuation position instead of intrinsic value for this stock.
Weak financial quality
Piotroski F-Score of 0/9 suggests deteriorating fundamentals. Valuation requires closer scrutiny.

P/E Ratio — History

Current: 2.14x

P/S Ratio — History

Current: 0.37x

Is ONIT overvalued in 2026?

Onity Group Inc. (ONIT) currently trades at $46.01 per share with a market capitalization of $390,887,000.00. Based on our multi-factor framework, the stock looks attractively valued with a Smart Value Score of 81/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.

The stock trades at a P/E ratio of 2.1x, below its 5-year median of 2.2x. The PEG ratio of 0.62 suggests earnings growth is outpacing the multiple, a classic sign of undervaluation.

Looking at its own history, ONIT is currently trading cheaper than 58% of the last 5Y on P/E. This places it in the 42th percentile of its historical range, a reasonable but unremarkable position.

A standard DCF model does not produce reliable output for ONIT under current conditions. For unprofitable or near-breakeven companies, revenue-based multiples such as EV/Sales and historical P/S percentile are more informative than intrinsic value calculations.

Financial quality is a concern. The Piotroski F-Score of 0/9 flags weakening fundamentals that deserve closer scrutiny before the valuation case can be fully trusted.

Bottom line: ONIT looks attractively valued on our framework, with a Smart Value Score of 81/100. The combination of reasonable price, healthy growth, and quality fundamentals makes it worth serious consideration.

Frequently asked questions

Is ONIT overvalued in 2026?

Based on a Smart Value Score of 81/100, ONIT is not overvalued. Fundamentals support the current price and offer reasonable margin of safety.

What is ONIT's fair value?

Standard DCF is unreliable for ONIT due to its current profitability profile. Revenue-based approaches such as EV/Sales or historical P/S percentile are more informative for this stock.

What P/E ratio does ONIT trade at?

ONIT trades at a P/E of 2.1x on trailing twelve-month earnings, compared to its 5-year median of 2.2x.

Is ONIT a buy based on valuation?

WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 81/100 reflects the combined read on growth, quality, and price. The profile skews favorable for long-term accumulation.

How does ONIT's valuation compare to its history?

On P/E, ONIT currently sits in the 42th percentile of its own 5Y range. That is below its long-run median relative to where it has traded over the period.

What is ONIT's Smart Value Score?

ONIT's Smart Value Score is 81/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.