Better Home & Finance Holding Company (BETR) vs loanDepot, Inc. (LDI)

Better Home & Finance Holding Company and loanDepot, Inc. are both Mortgage Finance companies. Better Home & Finance Holding Company and loanDepot, Inc. are of similar size ($223.8M and $206.1M). Better Home & Finance Holding Company grew revenue faster over the last twelve months: 57.8% against 11.4%. loanDepot, Inc. has the higher net margin (−5.52% vs −75.7%) and the higher return on invested capital (0.72% vs 0.00%). Across the 17 metrics below, loanDepot, Inc. leads on 12 and Better Home & Finance Holding Company on 5.

Valuation

Metric BETR LDI Mortgage Finance median
P/E n/m n/m 7.11
P/S 0.82 0.12 1.54
P/B 3.37 0.47 0.53
Price to free cash flow n/m n/m 6.59
EV/EBITDA n/m 44.36 22.03
EV/Sales 0.35 4.64 5.95
Earnings yield (105.45%) (44.78%) 2.09%
Free cash flow yield (85.05%) (164.78%) (16.97%)

Profitability

Metric BETR LDI Mortgage Finance median
Gross margin 81.25% 87.54% 84.40%
Operating margin 0.00% 5.49% 12.51%
Net margin (75.73%) (5.52%) (0.83%)
Free cash flow margin (69.77%) (20.34%) (45.06%)
Return on equity (267.67%) (17.97%) (1.16%)
Return on assets (12.97%) (1.08%) 0.38%
Return on invested capital 0.00% 0.72% 0.36%

Growth

Metric BETR LDI Mortgage Finance median
Revenue growth (TTM) 57.78% 11.44% 11.44%
EPS growth (last fiscal year) 20.88% 43.40% —
Revenue growth, 5-year CAGR — (22.71%) (11.16%)
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric BETR LDI Mortgage Finance median
Debt to equity 0.00 17.94 1.22
Current ratio 0.91 1.11 1.38
Net debt to EBITDA 0.00 48.55 9.85

Dividend

Metric BETR LDI Mortgage Finance median
Dividend yield — 18.71% 5.81%
Payout ratio 0.00 0.00 0.00

Size

Metric BETR LDI Mortgage Finance median
Market cap 206.08m 223.82m 214.95m

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