Onity Group (NYSE:ONIT) Stock Rating Upgraded by Wall Street Zen

Key Points

• Onity Group has been upgraded to a "Buy" rating by Wall Street Zen, showing increased confidence in the company's stock performance.
• Research firms B. Riley and Keefe, Bruyette & Woods have both raised their target price for Onity Group to $55.00, reinforcing its status as a strong investment.
• Despite a reported missed earnings estimate of $1.87 EPS, Onity Group maintains a moderate buy consensus and demonstrates significant institutional investment, with hedge funds owning over 70% of the stock.

Onity Group (NYSE:ONIT - Get Free Report) was upgraded by analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued to investors on Friday.

Other equities analysts have also issued research reports about the company. B. Riley lifted their price target on Onity Group from $50.00 to $55.00 and gave the company a "buy" rating in a research note on Friday, June 20th. Zacks Research cut Onity Group from a "hold" rating to a "strong sell" rating in a report on Thursday, August 21st. Finally, Keefe, Bruyette & Woods lifted their price objective on Onity Group from $50.00 to $55.00 and gave the stock an "outperform" rating in a report on Wednesday, August 6th. Three investment analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $50.00.

Onity Group Stock Performance

Shares of NYSE ONIT traded up $1.71 during trading on Friday, reaching $45.43. 48,224 shares of the company traded hands, compared to its average volume of 48,113. The firm's fifty day simple moving average is $39.70 and its 200 day simple moving average is $36.12. The stock has a market cap of $366.13 million, a P/E ratio of 11.59 and a beta of 1.44. Onity Group has a 12-month low of $25.50 and a 12-month high of $45.67. The company has a current ratio of 37.90, a quick ratio of 37.90 and a debt-to-equity ratio of 23.99.

Onity Group (NYSE:ONIT - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The company reported $1.87 earnings per share for the quarter, missing analysts' consensus estimates of $2.08 by ($0.21). The company had revenue of $246.60 million for the quarter, compared to analysts' expectations of $252.90 million. Onity Group had a net margin of 3.74% and a return on equity of 18.99%. As a group, research analysts anticipate that Onity Group will post 10.51 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in ONIT. Long Focus Capital Management LLC lifted its stake in Onity Group by 3.8% during the first quarter. Long Focus Capital Management LLC now owns 677,088 shares of the company's stock worth $21,883,000 after purchasing an additional 25,000 shares in the last quarter. Dimensional Fund Advisors LP purchased a new stake in shares of Onity Group during the fourth quarter worth $12,178,000. Prescott Group Capital Management L.L.C. increased its position in shares of Onity Group by 7.9% during the first quarter. Prescott Group Capital Management L.L.C. now owns 164,593 shares of the company's stock worth $5,320,000 after acquiring an additional 12,000 shares during the period. Geode Capital Management LLC increased its position in shares of Onity Group by 6.3% during the second quarter. Geode Capital Management LLC now owns 148,257 shares of the company's stock worth $5,660,000 after acquiring an additional 8,748 shares during the period. Finally, JPMorgan Chase & Co. increased its position in shares of Onity Group by 585.2% during the second quarter. JPMorgan Chase & Co. now owns 128,210 shares of the company's stock worth $4,894,000 after acquiring an additional 109,498 shares during the period. 70.16% of the stock is currently owned by institutional investors and hedge funds.

About Onity Group

Onity Group Inc, a financial services company, originates and services mortgage loans in the United States, the United States Virgin Islands, India, and the Philippines. It operates through, Servicing and Originations segments. The company provides commercial forward mortgage loan servicing, reverse mortgage servicing, special servicing, and asset management services for to owners of mortgage loans and foreclosed real estate, as well as residential mortgage loan servicing, such as forward and reverse conventional, government-insured, and non-agency loans, including the reverse mortgage loans classified as loans.