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FOA (Finance of America) Return-on-Tangible-Equity : 195.65% (As of Mar. 2025)


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What is Finance of America Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Finance of America's annualized net income for the quarter that ended in Mar. 2025 was $120.8 Mil. Finance of America's average shareholder tangible equity for the quarter that ended in Mar. 2025 was $61.8 Mil. Therefore, Finance of America's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 was 195.65%.

The historical rank and industry rank for Finance of America's Return-on-Tangible-Equity or its related term are showing as below:

FOA' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 142.11   Med: 220.89   Max: 274.2
Current: 142.11

During the past 6 years, Finance of America's highest Return-on-Tangible-Equity was 274.20%. The lowest was 142.11%. And the median was 220.89%.

FOA's Return-on-Tangible-Equity is ranked better than
96.67% of 511 companies
in the Credit Services industry
Industry Median: 6.31 vs FOA: 142.11

Finance of America Return-on-Tangible-Equity Historical Data

The historical data trend for Finance of America's Return-on-Tangible-Equity 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.

* Premium members only.

Finance of America Return-on-Tangible-Equity Chart

Finance of America Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Return-on-Tangible-Equity
Get a 7-Day Free Trial 167.58 - - - 274.20

Finance of America Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - 846.27 -374.38 195.65

Competitive Comparison of Finance of America's Return-on-Tangible-Equity

For the Credit Services subindustry, Finance of America's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity 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.


Finance of America's Return-on-Tangible-Equity Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Finance of America's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Finance of America's Return-on-Tangible-Equity falls into.


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Finance of America Return-on-Tangible-Equity Calculation

Finance of America's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2024 )  (A: Dec. 2023 )(A: Dec. 2024 )
=15.488/( (-27.66+38.957 )/ 2 )
=15.488/5.6485
=274.20 %

Finance of America's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2025 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2025 )  (Q: Dec. 2024 )(Q: Mar. 2025 )
=120.836/( (38.957+84.568)/ 2 )
=120.836/61.7625
=195.65 %

* 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.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2025) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Finance of America  (NYSE:FOA) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Finance of America Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Finance of America's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Finance of America Business Description

Traded in Other Exchanges
N/A
Address
5830 Granite Parkway, Suite 400, Plano, TX, USA, 75024
Finance of America Companies Inc is a financial services holding company that, through its operating subsidiaries, is a modern retirement solutions platform that provides customers with access to a range of retirement offerings centered on the home. In addition, FoA offers capital markets and portfolio management capabilities to optimize the distribution of its originated loans to investors. It operates through two segments: Retirement Solutions and Portfolio Management. It generates the majority of its revenue from Retirement Solutions.
Executives
Kristen N Sieffert officer: President C/O FINANCE OF AMERICA COMPANIES INC., 5830 GRANITE PARKWAY, SUITE 400, PLANO TX 75024
Tai A. Thornock officer: Chief Accounting Officer C/O FINANCE OF AMERICA COMPANIES INC., 909 LAKE CAROLYN PARKWAY, SUITE 1550, IRVING TX 75039
Norma Corio director C/O GO ACQUISITION CORP., 450 W 14TH ST, NEW YORK NY 10014
Lance West director 375 PARK AVENUE, 12TH FLOOR, NEW YORK NY 10152
Reza Jahangiri 10 percent owner C/O AMERICAN ADVISORS GROUP, INC., 18200 VON KARMAN AVENUE, SUITE 300, IRVINE CA 92612
Bloom Retirement Holdings Inc. 10 percent owner 3800 W. CHAPMAN AVENUE, THIRD FLOOR, ORANGE CA 92868
Lauren Richmond officer: Chief Legal Officer C/O FINANCE OF AMERICA COMPANIES INC., 909 LAKE CAROLYN PARKWAY, SUITE 1550, IRVING TX 75039
Blackstone Tactical Opportunities Associates - Nq L.l.c. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Blackstone Tactical Opportunities Fund - S - Nq L.p. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Edmond Safra 10 percent owner C/O REPLAY ACQUISITION CORP., 767 FIFTH AVENUE, 46TH FLOOR, NEW YORK NY 10153
D1 Capital Partners L.p. 10 percent owner 9 WEST 57TH STREET, 36TH FLOOR, NEW YORK NY 10019
Patricia Cook director, officer: Chief Executive Officer C/O FINANCE OF AMERICA COMPANIES INC., 909 LAKE CAROLYN PARKWAY, SUITE 1550, IRVING TX 75039
Brian L Libman director, 10 percent owner CLAYTON HOLDINGS, INC., 2 CORPORATE DRIVE, SHELTON CT 06484
Graham Fleming officer: President C/O FINANCE OF AMERICA COMPANIES INC., 909 LAKE CAROLYN PARKWAY, SUITE 1550, IRVING TX 75039
Johan Gericke officer: EVP, Chief Financial Officer C/O FINANCE OF AMERICA COMPANIES INC., 909 LAKE CAROLYN PARKWAY, SUITE 1550, IRVING TX 75039