What’s behind loanDepot’s earnings?

In today’s HousingWire Daily episode, HousingWire Digital Media Manager Alcynna Lloyd joins HousingWire Managing Editor James Kleimann to discuss the hottest topics coming across HousingWire’s news desk. 

In this episode, the pair review loanDepot’s latest earnings report following the lender’s recent IPO and examine what the rise of brokerage Compass could mean for the market going forward.

The pair also discuss the biggest and most prominent topics the HousingWire editorial team covered this month. 

Here’s a brief summary of HousingWire’s coverage of loanDepot’s IPO:

Online retail lender loanDepot raised just $54 million by offering 3.9 million shares at $14 on Thursday, far below the range of $19 to $21 it initially had sought. The downsized offering follows a theme that’s afflicted almost all of the nonbank mortgage originators that have gone public in the last year.

LoanDepot, the second-largest retail-focused IMB in the country, had initially planned to raise about $362.5 million by selling 17 million shares at $21 in an IPO. Instead, with the $54 million raised, its proceeds came in at 82% less than bookrunners had projected earlier this week.

All of this occurs against the backdrop of record origination volumes and record profits at the California-based lender, which is the fifth-largest overall retail lender in the country, according to Inside Mortgage Finance.

In its S-1, loanDepot said it originated $79.4 billion in loans for the 12 months that ended Sept. 30, 2020. And according to Inside Mortgage Finance, loanDepot originated about $100.7 billion in mortgages throughout 2020.

The company generated $1.47 billion in net income in the nine months through Sept. 30, blowing away any prior record many times over.

HousingWire Daily examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.

HousingWire articles related to this episode:

HousingWire Daily

Hosted by the journalists behind the headlines, HousingWire Daily examines the most compelling mortgage, real estate, and fintech articles reported from the HousingWire newsroom.

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