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Best Mortgage Stocks to Buy Now (2024)
Top mortgage stocks in 2024 ranked by overall Zen Score. See the best mortgage stocks to buy now, according to analyst forecasts for the mortgage finance industry.

Industry: Mortgage Finance

Zen Score Price Valuation Financials Forecast Earnings & Revenue Dividends Ownership Technicals

Ticker	Company	Exchange	Industry	Market Cap	Price	1d %	EBITDA	P/E	D/E
WD	WALKER & DUNLOP INC	NYSE	Mortgage Finance	$3.45B	$102.30	1.99%	$419.85M	37.20x	1.22
COOP	MR COOPER GROUP INC	NASDAQ	Mortgage Finance	$5.38B	$83.11	1.39%	$1.49B	8.48x	2.35
VEL	VELOCITY FINANCIAL INC	NYSE	Mortgage Finance	$589.46M	$17.87	-0.78%	$81.91M	9.98x	9.21
SNFCA	SECURITY NATIONAL FINANCIAL CORP	NASDAQ	Mortgage Finance	$179.86M	$7.81	3.44%	$38.00M	8.31x	3.52
GHI	GREYSTONE HOUSING IMPACT INVESTORS LP	NYSE	Mortgage Finance	$362.61M	$15.57	0.52%	$113.91M	8.26x	3.02
CNF	CNFINANCE HOLDINGS LTD	NYSE	Mortgage Finance	$110.42M	$1.61	-4.17%	$28.68M	4.85x	3.08
IOR	INCOME OPPORTUNITY REALTY INVESTORS INC	NYSEMKT	Mortgage Finance	$69.33M	$17.00	1.80%	$8.77M	9.94x	0.00
GHLD	GUILD HOLDINGS CO	NYSE	Mortgage Finance	$905.44M	$14.76	1.65%	$79.40M	33.55x	2.26
PFSI	PENNYMAC FINANCIAL SERVICES INC	NYSE	Mortgage Finance	$4.78B	$93.88	2.76%	$259.23M	30.58x	4.55
AAMC	ALTISOURCE ASSET MANAGEMENT CORP	NYSEMKT	Mortgage Finance	$8.00M	$3.13	4.33%	$102.63M	0.08x	5.26
UWMC	UWM HOLDINGS CORP	NYSE	Mortgage Finance	$11.79B	$7.38	0.41%	$411.04M	92.25x	90.53
OCN	OCWEN FINANCIAL CORP	NYSE	Mortgage Finance	$200.39M	$25.66	1.50%	$572.80M	31.29x	29.29
ECPG	ENCORE CAPITAL GROUP INC	NASDAQ	Mortgage Finance	$1.11B	$46.72	0.00%	$74.72M	-5.48x	3.91
RKT	ROCKET COMPANIES INC	NYSE	Mortgage Finance	$28.63B	$14.40	-1.37%	$278.59M	96.00x	20.89
PAPL	PINEAPPLE FINANCIAL INC	NYSEMKT	Mortgage Finance	$9.34M	$1.30	3.01%	N/A	-2.77x	0.89
LDI	LOANDEPOT INC	NYSE	Mortgage Finance	$698.95M	$2.16	-5.68%	$88.22M	-3.86x	17.28
BETR	BETTER HOME & FINANCE HOLDING CO	NASDAQ	Mortgage Finance	$298.46M	$0.40	-5.28%	-$439.59M	-0.37x	10.03

Mortgage Stocks FAQ

What are the best mortgage stocks to buy right now in May 2024?

According to Zen Score, the 3 best mortgage finance stocks to buy right now are:

1. Walker & Dunlop (NYSE:WD)

Walker & Dunlop (NYSE:WD) is the top mortgage stock with a Zen Score of 41, which is 19 points higher than the mortgage industry average of 22. It passed 15 out of 38 due diligence checks and has strong fundamentals. Walker & Dunlop has seen its stock return 45.91% over the past year, overperforming other mortgage stocks by 26 percentage points.

Walker & Dunlop has an average 1 year price target of $100.00, a downside of -2.25% from Walker & Dunlop's current stock price of $102.30.

Walker & Dunlop stock has a consensus Hold recommendation according to Wall Street analysts. Of the 2 analysts covering Walker & Dunlop, 0% have issued a Strong Buy rating, 0% have issued a Buy, 100% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Mr Cooper Group (NASDAQ:COOP)

Mr Cooper Group (NASDAQ:COOP) is the second best mortgage stock with a Zen Score of 36, which is 14 points higher than the mortgage industry average of 22. It passed 12 out of 33 due diligence checks and has average fundamentals. Mr Cooper Group has seen its stock return 84.85% over the past year, overperforming other mortgage stocks by 65 percentage points.

Mr Cooper Group has an average 1 year price target of $89.33, an upside of 7.49% from Mr Cooper Group's current stock price of $83.11.

Mr Cooper Group stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 6 analysts covering Mr Cooper Group, 50% have issued a Strong Buy rating, 33.33% have issued a Buy, 16.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Velocity Financial (NYSE:VEL)

Velocity Financial (NYSE:VEL) is the third best mortgage stock with a Zen Score of 35, which is 13 points higher than the mortgage industry average of 22. It passed 12 out of 33 due diligence checks and has average fundamentals. Velocity Financial has seen its stock return 97.46% over the past year, overperforming other mortgage stocks by 77 percentage points.

Velocity Financial has an average 1 year price target of $18.60, an upside of 4.09% from Velocity Financial's current stock price of $17.87.

Velocity Financial stock has a consensus Buy recommendation according to Wall Street analysts. Of the 5 analysts covering Velocity Financial, 40% have issued a Strong Buy rating, 40% have issued a Buy, 20% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the mortgage stocks with highest dividends?

Out of 3 mortgage stocks that have issued dividends in the past year, the 3 mortgage stocks with the highest dividend yields are:

1. Greystone Housing Impact Investors (NYSE:GHI)

Greystone Housing Impact Investors (NYSE:GHI) has an annual dividend yield of 9.92%, which is 6 percentage points higher than the mortgage industry average of 4.21%. Greystone Housing Impact Investors's dividend payout is not stable, having dropped more than 10% five times in the last 10 years. Greystone Housing Impact Investors's dividend has shown consistent growth over the last 10 years.

Greystone Housing Impact Investors's dividend payout ratio of 82% indicates that its high dividend yield is sustainable for the long-term.

2. Guild Holdings Co (NYSE:GHLD)

Guild Holdings Co (NYSE:GHLD) has an annual dividend yield of 3.39%, which is -1 percentage points lower than the mortgage industry average of 4.21%.

Guild Holdings Co's dividend payout ratio of 113.6% indicates that its dividend yield might not be sustainable for the long-term.

3. Walker & Dunlop (NYSE:WD)

Walker & Dunlop (NYSE:WD) has an annual dividend yield of 3.12%, which is -1 percentage points lower than the mortgage industry average of 4.21%. Walker & Dunlop's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Walker & Dunlop's dividend has shown consistent growth over the last 10 years.

Walker & Dunlop's dividend payout ratio of 92.4% indicates that its dividend yield might not be sustainable for the long-term.

Why are mortgage stocks up?

Mortgage stocks were up 1.46% in the last day, and up 3.31% over the last week.

We couldn't find a catalyst for why mortgage stocks are up.

What are the most undervalued mortgage stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued mortgage stocks right now are:

1. Security National Financial (NASDAQ:SNFCA)

Security National Financial (NASDAQ:SNFCA) is the most undervalued mortgage stock based on WallStreetZen's Valuation Score. Security National Financial has a valuation score of 86, which is 56 points higher than the mortgage industry average of 30. It passed 6 out of 7 valuation due diligence checks.

Security National Financial's stock has gained 3.68% in the past year. It has underperformed other stocks in the mortgage industry by -16 percentage points.

2. Velocity Financial (NYSE:VEL)

Velocity Financial (NYSE:VEL) is the second most undervalued mortgage stock based on WallStreetZen's Valuation Score. Velocity Financial has a valuation score of 57, which is 27 points higher than the mortgage industry average of 30. It passed 4 out of 7 valuation due diligence checks.

Velocity Financial's stock has gained 97.46% in the past year. It has overperformed other stocks in the mortgage industry by 77 percentage points.

3. Mr Cooper Group (NASDAQ:COOP)

Mr Cooper Group (NASDAQ:COOP) is the third most undervalued mortgage stock based on WallStreetZen's Valuation Score. Mr Cooper Group has a valuation score of 57, which is 27 points higher than the mortgage industry average of 30. It passed 4 out of 7 valuation due diligence checks.

Mr Cooper Group's stock has gained 84.85% in the past year. It has overperformed other stocks in the mortgage industry by 65 percentage points.

Are mortgage stocks a good buy now?

36.36% of mortgage stocks rated by analysts are a buy right now. On average, analysts expect mortgage stocks to rise by 9.89% over the next year.

What is the average p/e ratio of the mortgage finance industry?

The average P/E ratio of the mortgage finance industry is 67.43x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.