Ocwen Financial Corp Earns “Underperform” Rating from Zacks (OCN)
Ocwen Financial Corp (NYSE:OCN)‘s stock had its “underperform” rating reiterated by Zacks in a note issued to investors on Friday. They currently have a $25.00 price objective on the stock. Zacks‘s price objective would indicate a potential downside of 8.09% from the company’s current price.
Zacks’ analyst wrote, “Ocwen’s second-quarter 2014 adjusted earnings missed the Zacks Consensus Estimate owing to higher net other expenses. However, this was partly offset by marginal rise in revenues and lower operating expenses. Though market volatility and contraction in subprime MSR market remain causes of concern, Ocwen continues to be steadfast on loan modifications and new business acquisitions. Moreover, given its strong liquidity position, we believe that the company is expected to avail the opportunities to acquire servicing portfolios. Nevertheless, sluggish economic recovery, elevated expenses and new regulations make us apprehensive. Further, the on-going regulatory probes pertaining to Ocwen’s business relations with its affiliates have made the investors wary of the company’s near-term growth prospects.”
Shares of Ocwen Financial Corp (NYSE:OCN) traded down 0.77% during mid-day trading on Friday, hitting $26.99. The stock had a trading volume of 735,335 shares. Ocwen Financial Corp has a 52 week low of $24.87 and a 52 week high of $60.18. The stock has a 50-day moving average of $31.6 and a 200-day moving average of $35.96. The company has a market cap of $3.531 billion and a P/E ratio of 12.02.
Ocwen Financial Corp (NYSE:OCN) last issued its quarterly earnings data on Thursday, July 31st. The company reported $0.48 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.79 by $0.31. The company had revenue of $553.10 million for the quarter, compared to the consensus estimate of $553.83 million. During the same quarter last year, the company posted $0.53 earnings per share. Ocwen Financial Corp’s revenue was up 1.5% compared to the same quarter last year. On average, analysts predict that Ocwen Financial Corp will post $2.48 earnings per share for the current fiscal year.
Other equities research analysts have also recently issued reports about the stock. Analysts at Bank of America reiterated a “buy” rating on shares of Ocwen Financial Corp in a research note on Tuesday, August 5th. They now have a $35.00 price target on the stock, down previously from $54.00. Separately, analysts at Compass Point downgraded shares of Ocwen Financial Corp from a “buy” rating to a “neutral” rating in a research note on Tuesday, August 5th. They now have a $29.00 price target on the stock, down previously from $34.00. Finally, analysts at Oppenheimer downgraded shares of Ocwen Financial Corp from an “outperform” rating to a “market perform” rating in a research note on Tuesday, August 5th. They now have a $36.00 price target on the stock. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and two have given a buy rating to the stock. Ocwen Financial Corp currently has an average rating of “Hold” and an average price target of $32.86.
Ocwen Financial Corporation is a financial services holding company. The Company is engaged in the servicing and origination of mortgage loans.
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