FBR Capital Reiterates a Buy Rating on Stonegate Mortgage

By Austin Angelo

In a report released today, Paul Miller from FBR Capital reiterated a Buy rating on Stonegate Mortgage (NYSE: SGM). The company’s shares opened today at $3.89.

According to TipRanks.com, Miller is a 5-star analyst with an average return of 9.4% and a 71.0% success rate. Miller covers the Financial sector, focusing on stocks such as Huntington Bancshares Inc., Capital One Financial, and Assured Guaranty Ltd.

Stonegate Mortgage has an analyst consensus of Moderate Buy.

Based on Stonegate Mortgage’s latest earnings report from June 30, the company posted quarterly revenue of $26.49M and quarterly net profit of -$17.15M. In comparison, last year the company earned revenue of $34.9M and had a net profit of -$22.8M.

Based on the recent corporate insider activity of 11 insiders, corporate insider sentiment is neutral on the stock. Most recently, in December 2015, SMITH JAMES V, the COO and President of SGM bought 10,000 shares for a total of $51,900.

Stonegate Mortgage Corp. engages in the provision of financial solutions. It operates through the following segments: Originations, Servicing, Financing, and Other. The Origination segment refers to the mortgages origination and sale of residential mortgages loans. The Servicing segment refers to mortgage servicing such as loan administration, collection and default activities, including the collection and remittance of loan payments, responding to customer inquiries, accounting for principal and interest, holding custodial (impound) funds for the payment of property taxes and insurance premiums, counseling delinquent mortgagors, modifying loans and supervising foreclosures and property dispositions. The Financing segment provides warehouse financing solutions among Stonegate Mortgage correspondent customers and other approved mortgage bankers. The company was founded by James J. Cutillo and Barbara A. Cutillo in January 2005 and is headquartered in Indianapolis, IN.