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Velocity FinancialVEL -0.92%68 EV-to-OCF is 273.86 as of Jul. 16, 2026, which is 277% above its 10-year median of 72.60. GuruFocus rates VEL with a GF Score™ of 68/100 and a GF Value™ of $25.31 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 1,501 Banks companies, Velocity Financial ranks worse than 99.13% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, Velocity Financial's Enterprise Value is $7,315.1 Mil.
Velocity Financial's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was $26.7 Mil. Therefore, Velocity Financial's EV-to-OCF for today is 273.86.
The historical rank and industry rank for Velocity Financial's EV-to-OCF or its related term are showing as below:
VEL'
s EV-to-OCF Range Over the Past 10 Years
Min: -21.43 Med: 72.6 Max: 399.37
Current: 273.86
During the past 10 years, the highest EV-to-OCF of Velocity Financial was 399.37. The lowest was -21.43. And the median was 72.60.
VEL's EV-to-OCF is ranked worse than 99.13% of 1501
companies
in the Banks industry
Industry Median: 3.76
vs VEL: 273.86
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Velocity Financial's PE Ratio (TTM) for today is calculated as:
Velocity Financial's share price for today is $17.25.
Velocity Financial's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.800.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Velocity Financial EV-to-OCF Related Terms
Velocity Financial EV-to-OCF Historical Data
* Premium members only.
The historical data trend for Velocity Financial's EV-to-OCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Mortgage Finance subindustry, Velocity Financial's EV-to-OCF, along with its competitors' market caps and EV-to-OCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Velocity Financial EV-to-OCF vs Banks Industry
For the Banks industry and Financial Services sector, Velocity Financial's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Velocity Financial's EV-to-OCF falls into.
Velocity Financial's current Enterprise Value is $7,315.1 Mil.
Velocity Financial's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $26.7 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Velocity Financial (VEL) has a EV-to-OCF of 273.86 as of Jul. 16, 2026. This is 277% above median its historical median of 72.60. According to the industry distribution chart, Velocity Financial ranks #1488 out of 1501 companies in the Banks industry, placing it in the top 99.1%.
Is Velocity Financial's EV-to-OCF too high?
Velocity Financial's current EV-to-OCF of 273.86 is 277% above median its 10-year median of 72.60. The Banks industry median EV-to-OCF is 3.76. Velocity Financial's value of 273.86 is 7183.5% above this industry median. Based on the distribution chart, Velocity Financial ranks #1488 out of 1501 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, Velocity Financial has a GF Score™ of 68/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Velocity Financial's EV-to-OCF compare to UWMC and LDI?
According to the Banks industry distribution chart, Velocity Financial ranks #1488 out of 1501 companies for EV-to-OCF. This places Velocity Financial in the lower half of its industry. The industry median EV-to-OCF is 3.76. Velocity Financial's value of 273.86 is 7183.5% above this benchmark. While the company's 10-year median is 72.60 vs. the industry median of 3.76, Velocity Financial has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a Banks company?
The median EV-to-OCF among Banks companies is 3.76, based on 1,501 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Velocity Financial's current EV-to-OCF of 273.86 is 7183.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Banks industry, the median EV-to-OCF is 3.76 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Velocity Financial's current EV-to-OCF is 273.86, which is 277% above median its own 10-year median of 72.60. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Velocity Financial stock overvalued right now?
Based on GuruFocus' analysis, Velocity Financial (VEL) is currently considered Significantly Undervalued. The stock's GF Value™ is $25.31, compared to a current price of $17.25 — trading 31.8% below its estimated fair value. The current EV-to-OCF is 273.86, which is 277% above median its 10-year median of 72.60 and 7183.5% above the Banks industry median of 3.76. Velocity Financial's overall GF Score™ is 68/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Velocity Financial (VEL), the current EV-to-OCF is 273.86 as of Jul. 16, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Velocity Financial (VEL) Overvalued in 2026?
Based on GuruFocus' analysis, Velocity Financial stock appears to be undervalued.
The current stock price of $17.25 is trading 31.8% below its estimated GF Value™ of $25.31.
GuruFocus considers Velocity Financial to be Significantly Undervalued.
Key valuation signals for VEL:
EV-to-OCF: 273.86 (277% above median its 10-year median of 72.60)
GF Value™: $25.31 vs. price of $17.25 (31.8% below fair value)
Industry Position: 7183.5% above the Banks median (#1488 of 1501)
No single metric tells the full story. See the VEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Velocity Financial Inc is a United States-based real estate finance company. Company operates in a large fragmented market with substantial demand for financing and limited supply of institutional financing alternative The company originates and manages investor loans secured by residential rental and small commercial properties. The company earns revenue in the form of interest income. It operates in New York, California, Florida, New Jersey, and other states.
68GF Score
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EV-to-OCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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