Latest Ratios: P/E Ratio 7.3x · EV/EBITDA 198.6x · ROE 12.7%. (2018–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $244M | $205M | $279M | $90M | $240M | $752M | $299M | $324M | — |
| Enterprise Value | $30.1B | $30.1B | $29.0B | $26.7B | $20.3B | $20.9B | $18.5B | $4.1B | — |
| P/E Ratio → | 7.33 | 6.47 | 18.03 | — | — | — | 1.20 | 4.23 | — |
| P/S Ratio | 0.11 | 0.10 | 0.14 | 0.06 | 0.35 | 0.57 | 0.13 | 0.21 | — |
| P/B Ratio | 0.59 | 0.52 | 0.88 | 0.33 | 0.59 | 0.69 | 0.48 | 0.48 | — |
| P/FCF | — | — | — | — | 0.17 | — | — | 3.35 | — |
| P/OCF | — | — | — | — | 0.17 | — | — | 3.21 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 14.13 | 14.85 | 17.00 | 29.54 | 15.87 | 7.75 | 2.71 | — |
| EV / EBITDA | 198.60 | 198.35 | 354.09 | — | — | 77.80 | 35.63 | 42.36 | — |
| EV / EBIT | 266.37 | 266.03 | 676.19 | — | — | — | 37.01 | 52.92 | — |
| EV / FCF | — | — | — | — | 14.42 | — | — | 42.39 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 19.4% | 19.4% | 13.9% | 11.3% | -4.7% | 95.3% | 72.8% | 56.0% | 100.0% |
| Operating Margin | 5.3% | 5.3% | 2.2% | -10.6% | -49.9% | 15.7% | 20.9% | 5.1% | 7.0% |
| Net Profit Margin | 2.1% | 2.1% | 0.8% | -5.1% | -27.8% | -19.1% | 21.7% | 3.6% | 4.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| ROE | 12.7% | 12.7% | 5.3% | -23.7% | -25.6% | -29.4% | 79.8% | 16.2% | 35882.0% |
| ROA | 0.2% | 0.2% | 0.1% | -0.3% | -0.9% | -1.2% | 2.9% | 0.4% | 0.2% |
| ROIC | 0.3% | 0.3% | 0.1% | -0.5% | -1.2% | 0.8% | 3.2% | 1.5% | 1.3% |
| ROCE | 0.4% | 0.4% | 0.2% | -0.7% | -1.8% | 1.2% | 3.1% | 0.5% | 0.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 76.35 | 76.35 | 90.98 | 97.75 | 49.69 | 18.75 | 29.39 | 5.81 | 36976.87 |
| Debt / EBITDA | 199.13 | 199.13 | 351.26 | — | — | 75.53 | 35.53 | 40.23 | 47.28 |
| Net Debt / Equity | — | 75.53 | 90.83 | 97.58 | 49.54 | 18.62 | 29.00 | 5.64 | 36976.59 |
| Net Debt / EBITDA | 196.99 | 196.99 | 350.68 | — | — | 75.00 | 35.05 | 39.01 | 47.28 |
| Debt / FCF | — | — | — | — | 14.25 | — | — | 39.04 | 5.60 |
| Interest Coverage | 0.07 | 0.07 | 0.03 | -0.12 | -0.48 | -8.42 | 0.77 | 0.12 | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 8.00 | 8.00 | 0.09 | 0.13 | 0.14 | 0.08 | 0.12 | 0.87 | 1.00 |
| Quick Ratio | 8.00 | 8.00 | 0.09 | 0.13 | 0.14 | 0.08 | 0.12 | 0.87 | 1.00 |
| Cash Ratio | 8.00 | 8.00 | 0.04 | 0.04 | 0.04 | 0.04 | 0.08 | 0.87 | 0.00 |
| Asset Turnover | — | 0.07 | 0.07 | 0.06 | 0.03 | 0.06 | 0.12 | 0.09 | 0.06 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.1% | 0.1% | — | — | — | 10.0% | 100.0% | 0.8% | — |
| Payout Ratio | — | — | — | — | — | — | 73.4% | 4.9% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 13.6% | 15.4% | 5.5% | — | — | — | 83.2% | 23.6% | — |
| FCF Yield | — | — | — | — | 586.3% | — | — | 29.8% | — |
| Buyback Yield | 16.5% | 19.6% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | — |
| Total Shareholder Yield | 16.6% | 19.7% | 0.0% | 0.0% | 0.0% | 10.0% | 100.0% | 0.8% | — |
| Shares Outstanding | — | $8M | $10M | $8M | $19M | $19M | $3M | $3M | $4M |
Extreme leverage and liquidity
According to current market data, FOA trades at a P/S ratio of 0.10 and a forward P/E of 5.10, suggesting that investors are heavily discounting the company's earnings potential due to the inherent volatility of its reverse mortgage-focused business model and ongoing restructuring efforts.
The low valuation multiples appear to reflect a market skepticism regarding the sustainability of earnings in a high-interest-rate environment. While the forward P/E suggests an attractive entry point, this may be a value trap if the company cannot successfully transition to a more stable, fee-based revenue stream.
Based on reported figures, FOA's ROIC has fluctuated significantly, ranging from a peak of 1.0% in 2025Q3 to negative territory in multiple quarters, indicating that the firm is currently struggling to generate meaningful returns on its invested capital during this period of strategic transition.
The erratic nature of these returns suggests that the company's capital allocation is heavily influenced by non-operating fair value adjustments rather than core operational efficiency. Investors should monitor whether the pivot to reverse mortgages can eventually drive consistent, positive returns on capital that exceed the company's cost of funding.
As reported in recent financial statements, FOA maintains a precarious debt-to-equity ratio of 70.22 as of 2026Q1, reflecting a heavy reliance on warehouse credit facilities that leaves the firm highly exposed to interest rate fluctuations and potential margin calls on its non-agency loan portfolio.
This extreme leverage profile significantly constrains the company's ability to navigate market downturns or invest in growth initiatives. The high debt burden appears to be a structural risk that could necessitate further capital raises or asset sales if liquidity conditions tighten.
According to quarterly data, FOA's current ratio has remained consistently low, dropping to 0.11 in 2026Q1, which suggests that the company lacks the immediate liquid assets necessary to cover its short-term obligations without continuous and reliable access to external financing markets.
The reliance on short-term credit facilities to fund long-duration assets creates a significant maturity mismatch that warrants close investigation. Under severe stress, this liquidity position appears insufficient to support operations without significant external intervention or a rapid improvement in cash conversion.
The P/E ratio is frequently misapplied to FOA, as it obscures the massive volatility caused by fair value accounting on mortgage servicing rights and loans held for investment, which often bear little resemblance to the company's actual cash-generating capacity or underlying operational health.
Analysts should instead focus on adjusted EBITDA or cash-based metrics that strip out non-cash fair value adjustments to better understand the company's true earning power. Relying on standard P/E multiples in this context may lead to a fundamental misunderstanding of the firm's actual financial stability.
Includes 30+ ratios · 8 years · Updated daily
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Quick answers to the most common questions about buying FOA stock.
Finance Of America Companies Inc.'s current P/E ratio is 7.3x. The historical average is 7.5x. This places it at the 75th percentile of its historical range.
Finance Of America Companies Inc.'s current EV/EBITDA is 198.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 51.9x.
Finance Of America Companies Inc.'s return on equity (ROE) is 12.7%. The historical average is 5.0%.
Based on historical data, Finance Of America Companies Inc. is trading at a P/E of 7.3x. This is at the 75th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Finance Of America Companies Inc.'s current dividend yield is 0.08%.
Finance Of America Companies Inc. has 19.4% gross margin and 5.3% operating margin.
Finance Of America Companies Inc.'s Debt/EBITDA ratio is 199.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.