VEL Velocity Financial
Based in Westlake Village, California, Velocity is a vertically integrated real estate finance company that primarily originates and manages investor loans secured by 1-4 unit residential rental and small commercial properties. Velocity originates loans nationwide across an extensive network of independent mortgage brokers.
Company profile
Ticker
VEL
Exchange
Website
CEO
Christopher D. Farrar
Employees
Incorporated
Location
Fiscal year end
Industry (SIC)
Former names
Velocity Financial, LLC
SEC CIK
Corporate docs
VEL stock data
()
News
Raymond James Maintains Outperform on Velocity Financial, Raises Price Target to $10
18 Mar 21
Stocks That Hit 52-Week Highs On Wednesday
17 Mar 21
JMP Securities Maintains Market Outperform on Velocity Financial, Raises Price Target to $9.5
17 Mar 21
Wells Fargo Maintains Overweight on Velocity Financial, Raises Price Target to $10
17 Mar 21
Velocity Financial Q4 EPS $0.29 Beats $0.13 Estimate
16 Mar 21
Press releases
Velocity Financial, Inc. Announces Fourth Quarter and Full Year 2020 Results
16 Mar 21
Velocity Financial Inc to Host Earnings Call
16 Mar 21
Velocity Financial, Inc. Announces Date of Fourth Quarter 2020 Financial Results Webcast and Conference Call
25 Feb 21
Velocity Financial, Inc. Announces New $175 Million Term Loan Facility and $200 Million Warehouse Facility
9 Feb 21
Velocity Financial Announces the Dismissal of Class Action Lawsuit
28 Jan 21
Calendar
16 Mar 21
18 Apr 21
31 Dec 21
Financial summary
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Dec 20 | Sep 20 | Jun 20 | Mar 20 | |
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Annual (USD) |
Dec 20 | Dec 19 | |
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Financial data from company earnings reports.
| Cash burn rate (estimated) | Burn method: Change in cash | Burn method: Operating income/loss | Burn method: FCF (opex + capex) | Last Q | Avg 4Q | Last Q | Avg 4Q | Last Q | Avg 4Q |
|---|---|---|---|---|---|---|
| Cash on hand (at last report) | 20.29M | 20.29M | 20.29M | 20.29M | 20.29M | 20.29M |
| Cash burn (monthly) | 2.25M | 604.92K | (positive/no burn) | (positive/no burn) | 1.62M | 299.42K |
| Cash used (since last report) | 8.13M | 2.19M | n/a | n/a | 5.86M | 1.08M |
| Cash remaining | 12.16M | 18.1M | n/a | n/a | 14.44M | 19.21M |
| Runway (months of cash) | 5.4 | 29.9 | n/a | n/a | 8.9 | 64.2 |
Recent insider trades
| Date | Owner | Security | Transaction | Code | Indirect | 10b5-1 | $Price | #Shares | $Value | #Remaining |
|---|---|---|---|---|---|---|---|---|---|---|
| 15 Jan 21 | Roland Thomas Kelly | Common Stock | Grant | Aquire A | No | No | 7.04 | 30,000 | 211.2K | 30,100 |
| 15 Jan 21 | Szczepaniak Mark R | Common Stock | Grant | Aquire A | No | No | 7.04 | 60,000 | 422.4K | 66,400 |
| 15 Jan 21 | Cowell Joseph A | Common Stock | Grant | Aquire A | No | No | 7.04 | 30,000 | 211.2K | 32,222 |
| 15 Jan 21 | Christopher D. Farrar | Common Stock | Grant | Aquire A | No | No | 7.04 | 180,000 | 1.27M | 185,000 |
| 15 Jan 21 | Taylor Jeffrey T. | Common Stock | Grant | Aquire A | No | No | 7.04 | 60,000 | 422.4K | 64,823 |
Institutional ownership Q1 2021
Data for the last complete 13F reporting period. To see the most recent changes to ownership, click the ownership history button above.
46.0% owned by funds/institutions
13F holders |
Current |
|---|---|
| Total holders | 5 |
| Opened positions | 0 |
| Closed positions | 0 |
| Increased positions | 0 |
| Reduced positions | 0 |
13F shares |
Current |
|---|---|
| Total value | 58.96M |
| Total shares | 9.46M |
| Total puts | 0 |
| Total calls | 0 |
| Total put/call ratio | – |
Largest owners |
Shares | Value |
|---|---|---|
| Beach Point Capital Management | 2.04M | $12.73M |
| WELLINGTON TRUST Co N A | 1.99M | $12.38M |
| Wellington Management | 1.99M | $12.38M |
| Adage Capital Partners GP, L.L.C. | 1.73M | $10.79M |
| Wellington Trust Company, National Association Multiple Common Trust Funds Trust, Micro Cap Equity Portfolio | 1.71M | $10.67M |
Financial report summary
?Management Discussion
- Interest Income. Interest income increased by $9.8 million, or 6.2%, to $167.3 million during the year ended December 31, 2020, compared to $157.5 million during the year ended December 31, 2019. The increase is primarily attributable to an increase in average loans (volume), which increased $261.1 million, or 14.6%, from $1.8 billion for the year ended December 31, 2019 to $2.0 billion for the year ended December 31, 2020. The average
- yield over those same periods decreased from 8.84% to 8.19% mainly due to the increase in nonperforming loans due to the COVID-19 pandemic.
- Interest Expense — Portfolio Related. Portfolio related interest expense consists of interest incurred on our warehouse facilities and securitizations, which increased by $3.9 million, or 4.7% to $87.8 million for the year ended December 31, 2020, from $83.9 million for the year ended December 31, 2019. The increase in portfolio related interest expense in 2020 was primarily attributable to the increased average balance, partially offset by a lower cost of funds, which decreased to 4.87% for the year ended December 31, 2020 from 5.23% for the year ended December 31, 2019, and was mainly attributable to improved securitization spreads.
Content analysis
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Current reports
8-K
Regulation FD Disclosure
16 Mar 21
8-K
Results of Operations and Financial Condition
16 Mar 21
8-K
Entry into a Material Definitive Agreement
9 Feb 21
8-K
Velocity Financial, Inc. Announces Third Quarter 2020 Results
12 Nov 20
8-K
Results of Operations and Financial Condition
3 Nov 20
8-K
Submission of Matters to a Vote of Security Holders
13 Aug 20
8-K
Velocity Financial, Inc. Announces Second Quarter 2020 Results
12 Aug 20
8-K
Departure of Directors or Certain Officers
28 Jul 20
8-K
Regulation FD Disclosure
13 Jul 20
8-K
Regulation FD Disclosure
15 Jun 20
Registration and prospectus
S-8
Registration of securities for employees
22 Jan 20
424B4
Prospectus supplement with pricing info
17 Jan 20
8-A12B
Registration of securities on exchange
17 Jan 20
S-1/A
IPO registration (amended)
6 Jan 20
S-1/A
IPO registration (amended)
6 Nov 19
S-1
IPO registration
18 Oct 19
DRS/A
Draft registration statement (amended)
29 Aug 19
DRSLTR
Correspondence regarding draft registration statement
29 Aug 19
DRS/A
Draft registration statement (amended)
8 May 19
DRSLTR
Correspondence regarding draft registration statement
8 May 19
Ownership
SC 13G/A
Velocity Financial / ADAGE CAPITAL PARTNERS GP, L.L.C. ownership change
11 Feb 21
SC 13G
Velocity Financial / WELLINGTON MANAGEMENT ownership change
4 Feb 21
SC 13G/A
Velocity Financial / Wellington Trust Company, National Association Multiple Common Trust Funds Trust, Micro Cap Equity Portfolio ownership change
3 Feb 21
SC 13G
Velocity Financial / WELLINGTON TRUST Co N A ownership change
3 Feb 21
4
Velocity Financial / Christopher D. Farrar ownership change
19 Jan 21
4
Velocity Financial / Jeffrey T. Taylor ownership change
19 Jan 21
4
Velocity Financial / Roland Thomas Kelly ownership change
19 Jan 21
4
Velocity Financial / Mark R Szczepaniak ownership change
19 Jan 21
4
Velocity Financial / Joseph A Cowell ownership change
19 Jan 21
4
Velocity Financial / Christopher J Oltmann ownership change
19 Jan 21
Reddit threads
Daily Discussion Thread - March 16th, 2021
16 Mar 21
Daily Discussion Thread - March 15th, 2021
15 Mar 21
Company Earnings for 15 to 19 March 2021
14 Mar 21
Daily Discussion Thread - November 11th, 2020
11 Nov 20
Daily Discussion Thread - November 10th, 2020
10 Nov 20
Daily Discussion Thread - November 9th, 2020
9 Nov 20
Amateur investor and need advice / guidance on picking stocks
20 Jun 20