Ocwen Financial Corp
) crafted a new 52-week high, touching $42.97 in the first hour
of the trading session on May 10, 2013. The closing price of this
financial holding company represents a solid year-to-date return
of 18.60%. The average trading volume over the last 3 months was
1.9 million shares.
Despite hitting its 52-week high, this Zacks Rank #3 (Hold) stock
has plenty of upside left given its strong estimate revisions
over the last 60 days and expected year-over-year earnings growth
of 234.15% for 2013.
On May 2, 2013, Ocwen reported its first-quarter 2013 results
with adjusted earnings of 64 cents per share, rising
substantially from the year-ago earnings of 25 cents. On a
year-over-year basis, the results benefited from impressive
top-line growth and a rise in interest income, partially offset
by increased operating and interest expenses.
Moreover, in Apr 2013, Ocwen closed the deal to acquire Genworth
Financial Home Equity Access, Inc. from
Genworth Financial, Inc
) for approximately $22 million in cash. In the same month, Ocwen
also completed the acquisition of $84.6 billion worth of Fannie
Mae mortgage servicing rights from Ally Bank.
In Feb 2013, Ocwen acquired Residential Capital LLC's MSRs in
Walter Investment Management Corp
). The company shelled out $2.1 billion for the deal, subject to
Estimate Revisions Show Potency
Over the last 60 days, 1 out of 4 estimates for 2013 has been
revised upward, lifting the Zacks Consensus Estimate by 7.0% to
$4.74 per share. For 2014, 1 out of 4 estimates moved higher over
the same time frame, helping the Zacks Consensus Estimate advance
3.2% to $5.44 per share.
Ellington Financial LLC
) is a better performing financial stock with a Zacks Rank #1
ELLINGTON FINL (EFC): Free Stock Analysis
GENWORTH FINL (GNW): Free Stock Analysis
OCWEN FINL CORP (OCN): Free Stock Analysis
WALTER INV MGMT (WAC): Free Stock Analysis
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