VELVelocity Financial, Inc.
Finance Services
- Revenue
- —
- Operating margin
- —
- EBITDA
- —
- Market cap
- $618M
- Employees
- 371
- Net debt / EBITDA
- —
- AI in 10-K
- 0.2
- mentions per 10K words
Takeover score 3 of 13
Fixable underperformance 1 of 7
- TSR below peersNo—3+ of last 5 years
- High CEO pay despite TSRNo$5M medianMedian CEO pay ≥ $15M while TSR trails
- Earnings not backed by cashYes17% of net incomeCash flow under 80% of net income
- Dilutive SBCNo—Over 10% of revenue
- Payouts exceed cash flowNo40% of cash flowBuybacks + dividends over cash flow
- Goodwill-heavyNo0% of assetsOver 40% of assets
- Shareholder dissentNo100% lowest supportAny vote under 80% support
Buyer economics 2 of 4
- Low revenue per employeeNo—Bottom quartile of its SIC industry
- Quiet on AIYes0.2 per 10K words · 13th pctBottom quartile of AI mentions in 10-Ks
- Net cashNo—More cash than debt, positive EBITDA
- Buyout-sizedYes$618M market capMarket cap $500M–$5B
Catalysts 0 of 2
- Active 13DNo0 filingsActive-intent 13D in 18 months
- Net insider sellingNo−$1M netNet sales over $10M in 12 months
Financials
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | YoY |
|---|---|---|---|---|---|---|
| Net income | $29M | $32M | $52M | $68M | $105M | 54% |
| Operating cash flow | $58M | $49M | $49M | $38M | $18M | 52% |
| Capex | $135K | $326K | $180K | $289K | $281K | 2.8% |
| Stock-based comp | $2M | $3M | $4M | $6M | $8M | 35% |
| Buybacks | — | $458K | $861K | $2M | $7M | 373% |
Deal filings
None.
13D filers
| Filed | Filer | Form | Stake | Intent |
|---|---|---|---|---|
| Aug 12, 2025 | SPG GP, LLC | SCHEDULE 13D/A | 34.7% | Passive |
| May 1, 2025 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SCHEDULE 13D/A | 33.1% | Active |
| Apr 15, 2025 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SCHEDULE 13D/A | 33.1% | Passive |
| Mar 31, 2025 | SPG GP, LLC | SCHEDULE 13D/A | 36.6% | Passive |
| Mar 10, 2025 | SPG GP, LLC | SCHEDULE 13D/A | 38.5% | Passive |
| Mar 10, 2025 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SCHEDULE 13D/A | 35.4% | Passive |
| Jul 23, 2024 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SC 13D/A | 36.5% | Active |
| Jul 22, 2024 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SC 13D/A | 36.5% | Active |
| Jul 14, 2023 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SC 13D/A | 38.8% | Active |
| Oct 12, 2021 | PACIFIC INVESTMENT MANAGEMENT CO LLC | SC 13D/A | 37.2% | Active |
Insider trading
- Open-market buys, 12 mo
- $0 · 0
- Open-market sells, 12 mo
- $1M · 28
- Net
- −$1M
Pay vs performance
| Year | CEO total comp | Comp actually paid | TSR (indexed) | Peer TSR |
|---|---|---|---|---|
| FY2025 | $7M | $7M | 215 | — |
| FY2024 | $5M | $6M | 203 | — |
| FY2023 | $4M | $6M | 178 | — |