Oportun Financial Corporation Sees 13.4% Surge in Premarket Trading
Oportun Financial Corporation (OPRT) has experienced a notable surge in its stock price during premarket trading, with a change of $0.79, equating to a 13.4% increase. The current premarket price stands at $6.70, reflecting positive investor sentiment following the company's recent financial disclosures.
On February 12, 2025, Oportun reported its fourth quarter and full year financial results for 2024, showcasing a remarkable turnaround. The company returned to GAAP profitability, achieving a net income of $9 million for the fourth quarter, a significant improvement from a net loss of $42 million in the same period last year. This turnaround is attributed to a combination of increased revenues and reduced operating expenses.
Oportun's adjusted EBITDA for the fourth quarter reached $41 million, representing a staggering 315% increase year-over-year. This substantial growth highlights the company's effective cost management strategies and improved credit performance. The quarterly annualized net charge-off rate also dropped to 11.7%, the lowest since the third quarter of 2022, indicating enhanced credit quality.
In addition to the impressive quarterly results, Oportun announced that it is raising its expectations for the full year 2025, projecting adjusted earnings per share (EPS) between $1.10 and $1.30. This forecast implies a growth rate of 53% to 81%, further bolstering investor confidence in the company's future prospects.
Oportun's CEO, Raul Vazquez, expressed optimism about the company's trajectory, stating, "We finished the year stronger than anticipated and believe that we've turned the corner, well-poised to capitalize on our momentum and advance our strategic priorities into 2025 and beyond." This sentiment is likely contributing to the positive movement in Oportun's stock price.
With a trading volume of 24,816 shares in premarket activity, investors are clearly reacting to the favorable financial results and the company's strategic outlook. As Oportun continues to navigate the financial landscape, stakeholders will be keenly watching how these developments influence its stock performance moving forward.
