Better Home & Finance Holding Co (BETR) Stock Analysis

Price updated 4 days ago · SEC data refreshed 3 months ago ⓘ · Not investment advice

Better Home & Finance Holding Co

BETR Financial Services Mortgage Lending📄 SEC filings ↗
Valuation N/A
Long-term trend (200d) 67% below 200-day Risk 58/100 Elevated
▾ What's in the 58/100 risk score? (higher = riskier)
Smart money (short interest + insider buying) (55%) 65/100 → +35.8
Macro backdrop (VIX, curve, credit, fear/greed + week-over-week momentum) (45%) 50/100 → +22.5
Total58/100

Contributions (weight × component score) sum to the total. This near-term score now includes fundamental health (leverage, FCF trend). It excludes the Altman Z score, whose retained-earnings input this filer does not report separately. See the Financial Health section for the full balance-sheet read.

💵 Price $12.95 · 4 days ago 📄 Financials SEC EDGAR · refreshed 3 months ago
📍 START HERE

How to read BETR (bank / insurer)

Banks and insurers are valued on what they earn on their capital, not on free cash flow — a normal DCF misleads here.

Where to start — the sections that matter most for this stock
  1. 1 Bank / Insurance lens (P/TBV + ROE) ↓
    Price-to-tangible-book versus return-on-equity is how analysts actually judge a bank cheap or rich.
  2. 2 Financial-health screens ↓
    Watch the trend in profitability and asset quality, not the (not-applicable) bankruptcy score.
Or — what are you trying to decide?
A note on process: fear-driven decisions — including fear of missing out — tend to be the expensive ones. A stock up 10% a day for three days is excitement, not evidence. Whichever reader you are, the data below is there to be checked before anything is decided.
🚀
"It's surging — should I chase it?"
The momentum / FOMO trade. Before you chase, see whether the people who know it best are quietly selling into the rally.
🏷️
"Is it a cheap bargain?"
The deep-value trade. How far below assets and our value it trades — and whether it's cheap for a reason.
ⓘ Using the right valuation lens for this business type

Standard DCF doesn't fit BETR well — but that's expected for this kind of business. The Bank / Insurance Valuation Lens below uses the metrics actually used by analysts who value mortgage lending. Reverse DCF + Football Field also work as cross-checks.

ⓘ Why does BETR trade at $12.95?

Better Home & Finance Holding Co has 15.4 million shares outstanding. At $12.95 per share, the market values all outstanding BETR equity at $199 million. That's market capitalization, not enterprise value — enterprise value also accounts for debt and cash (for a bank or insurer, borrowings and deposits are the raw material of the business, so enterprise value isn't a meaningful yardstick — the bank lens below uses book value and returns instead). The share price by itself tells you almost nothing — a company can pick any share price by splitting or issuing more shares. What matters is the total value (Market Cap?Market Cap — The total dollar value the market is assigning to the entire company.
Why it matters: This is the number that actually matters when comparing companies. Two companies with the same business but different share counts have the same market cap.
Reference: Mega cap >$200B · Large $10–200B · Mid $2–10B · Small $300M–2B · Micro <$300M
Full explanation →) compared to what the business actually produces. This page values BETR in Per Share?Per Share — A company-level figure divided by total shares — what one share represents.
Why it matters: Per-share metrics are the only way to fairly compare two companies with different share counts.
Full explanation → economics — what each share represents of the underlying business. Play with the share-price calculator on the homepage →

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Checking filings for failure warnings…
PEER BASKET — LIMITED COMPARABLES

⚠ We found only 1 genuine same-industry (Mortgage Lending) comparable — fewer than the 4 we require for a reliable median. The 8 names in the table below therefore include 7 broader Financial Services names marked fallback, whose business models and margins differ — which is why any median below is computed over that wider set, not over true comparables. So we do not derive a peer-implied share value here. Read the multiples as rough context only.

How does BETR stack up against its closest peers?

Ideally we compare BETR only to same-industry peers, but too few exist in our universe right now, so the basket below mixes in broader-sector names. Treat the multiples as rough context, not a valuation. For a leveraged business, EV/EBIT and FCF yield (both in the table) are usually more reliable than EV/Sales, because revenue multiples ignore differences in margins and debt.

▾ What's "EV / Sales" in plain English?

EV (Enterprise Value) = market cap + total debt − cash. It's "what you'd pay to buy the entire company outright" — you pay the market cap to shareholders and take over their debt, but you keep their cash. EV is fairer than market cap alone because it includes the debt the new owner inherits.

EV / Sales = EV ÷ annual revenue. So "2.5×" means investors pay $2.50 of enterprise value per $1 of yearly sales. Higher = market is paying more per dollar of sales (usually because they expect future growth or fat margins).

p25 / median / p75 are the 25th, 50th (middle), and 75th percentile of the peers' multiples. Half the peers fall between p25 and p75. The median (p50) is the typical peer — that's the benchmark we compare to.

What peers trade at (p25 / median / p75)
EV / Sales?EV / Sales — For every $1 of yearly revenue, this is how many dollars investors pay to own the whole business (including debt).
Why it matters: Works for pre-profit growth companies where P/E and FCF don't apply. The most apples-to-apples cross-company multiple because it ignores accounting choices.
Reference: 1–3x for mature companies · 4–10x for software/SaaS · 10–20x for hypergrowth · >20x is rare and demanding
Full explanation →		 1.5x / 5.0x / 17.1x

Bold middle number = median peer. Half the peers trade above it, half below. Computed over 8 peers (broad — see caveat); implausible multiples excluded.

Peer-implied value check
Banks & insurers aren't valued on revenue or EV/Sales — a bank's "revenue" (net interest income + fees) isn't comparable the way a normal company's sales are. Use the Bank lens (P/TBV + ROE) above, which is how banks are actually judged cheap or rich.

⚠️ Important caveat: peer multiples only work if the peers are genuinely comparable. Always check the peer list below — if the auto-picker grabbed micro-caps or unrelated businesses, the comparison is noise. A medical-device giant priced against tiny biotech startups won't produce a useful signal.

▾ View peer list (8)
Ticker Company Industry Mcap EV/EBIT FCF Yield
ONIT ONITY GROUP INC. Mortgage Lending $291M — 1.6%
WEAT Teucrium Commodity Trust Investment Banking ·fallback $182M — —
XRPZ Franklin XRP Trust Investment Banking ·fallback $230M — —
WENC West Enclave Merger Corp. SPACs ·fallback $160M — —
WHG WESTWOOD HOLDINGS GROUP INC Asset Management ·fallback $147M 29.5x 9.4%
WNEB Western New England Bancorp, Inc. Banks ·fallback $273M — 5.5%
XFLH XFLH Capital Corp SPACs ·fallback $138M — —
WTF Waton Financial Ltd Security & Commodity Broke ·fallback $127M — 0.8%
BANK / FINANCIAL VALUATION LENS

How to value a bank (not a DCF question)

A bank's economic engine is the shareholder equity on its balance sheet — what the accountants say is left over after all loans, deposits, and liabilities are netted out. The bank earns a percentage on that equity each year (its ROE). So the two questions are: (1) what are you paying per dollar of equity (Price / Book)? and (2) how much is that equity actually earning (ROE)? Free cash flow doesn't work here — banks lend out their cash for a living.

Price-to-Book (P/B)?Price-to-Book (P/B) — Share price divided by book value per share — what you pay for $1 of accounting equity.
Why it matters: For banks and insurers, book value is the regulatory capital they earn returns on. P/B is the cleanest comparison: 1.0× means buying the bank at the same price the accountants say it's worth.
Reference: 0.8–1.2× = fair for average bank · 1.5–2.0× = solid franchise · >2.5× = premium · <0.8× = potentially cheap or distress
Full explanation →
5.35×
Plain English: you pay $5.35 for every $1 of the bank's accounting equity ($2.42/share).
Premium to book — market expects above-average returns on this equity.
Return on Equity (ROE)?Return on Equity (ROE) — How much profit the company generates on every dollar of shareholder equity.
Why it matters: For a bank, ROE is the engine. A bank earning 15% on equity will compound book value at ~15%/year if it retains earnings. Combined with P/B, ROE tells you whether a premium price is supported by returns.
Reference: <8% = weak · 10–12% = solid · 15%+ = excellent · >20% sustained = exceptional franchise
Full explanation →
-446.1%
Plain English: the bank lost money last year. Every $100 of shareholder equity shrank to about $-346. This is the opposite of compounding — it's a value destroyer until proven otherwise.
Return on Assets (ROA)?Return on Assets (ROA) — Net income divided by total assets — how productive each dollar of assets is.
Why it matters: For banks especially, ROA isolates underwriting and operating efficiency from leverage. Two banks with identical ROE may have very different ROAs — one earning it cleanly, one earning it on borrowed money.
Reference: <0.8% = weak · 1.0–1.2% = solid · >1.5% = excellent (very rare for big banks)
Full explanation →
-11.02%
Plain English: the bank lost 11.02% on every $100 of total assets (loans, securities, cash combined). For context: total assets are much larger than equity (banks are leveraged ~10×), so even small ROA losses translate to big ROE swings.
ROA differs from ROE because banks borrow ~10× their equity. Big asset base, smaller equity sliver.
DISTRESS SIGNAL — bank is losing money (negative ROE). The low price-to-book is the market correctly pricing in shareholder losses, not a bargain.
Plain English: this bank is shrinking, not compounding. Avoid unless you have specific knowledge of a turnaround catalyst.

Note: this lens skips Altman Z-Score and Piotroski F-Score (validated on industrial companies, not banks). For deeper bank-specific health analysis: check the 10-K's Tier 1 capital ratio, Non-Performing Loan ratio, and CET1 — these are what regulators actually monitor.

FINANCIAL HEALTH SCREENS

Quality & solvency checks

Cheap stocks can be cheap for a reason. These screens warn when a low valuation comes paired with structural fragility.

Altman Z-Score?Altman Z-Score — A bankruptcy-risk score combining 5 financial ratios into one number. Predictive of bankruptcy within 2 years.
Why it matters: Cheap-looking stocks (low P/E or P/B) often have low Z-scores because the market knows the company is dying. Z-score warns you before you fall into a value trap.
Reference: > 3.0 = safe zone · 1.81–3.0 = grey zone · < 1.81 = distress zone
Full explanation →
Not Applicable

Altman Z was calibrated on industrial firms and doesn't apply to banks or insurers — their balance sheets are dominated by loans/securities, not working capital. See the Bank Valuation Lens above for P/B, ROE and ROA — the metrics regulators and analysts actually use to assess bank solvency.

Piotroski F-Score?Piotroski F-Score — A 9-point quality checklist scoring profitability, leverage, and operating efficiency.
Why it matters: High score = fundamentals improving. Low score = deteriorating. Especially powerful for filtering cheap stocks: cheap + high F-score historically outperforms; cheap + low F-score is often a value trap.
Reference: 7–9 = strong · 4–6 = mediocre · 0–3 = weak
Full explanation →
Not Applicable

Piotroski F was built for non-financial firms (gross margin, asset turnover, current ratio all assume an industrial cost structure). For banks, the equivalent quality signals are efficiency ratio, net interest margin, and provision coverage — see the Bank Valuation Lens above.

Cash Runway
7 mo
TIGHT — under a year; likely needs to raise capital soon

Plain English: the company holds about $100M in cash and is burning roughly $167M/year in operations. At that pace, the cash lasts 7 mo before it must raise capital (diluting shareholders), take on debt, or cut spending.

Assumes constant burn and ignores financing/asset sales. For pre-profit biotech and growth companies, this matters more than a DCF — a great drug pipeline is worthless if they run out of money before approval.

INTERACTIVE — TWEAK YOUR ASSUMPTIONS

What if you assume different inputs?

Here's where we land — and what happens if you change the assumptions. Drag the sliders to set your own Discount Rate?Discount Rate — The annual return you demand for taking single-stock risk instead of buying a safe Treasury or index fund.
Why it matters: Higher discount rate = stricter valuation (a stock has to produce more cash to be worth holding). Lower = more generous.
Reference: 8–12% is standard · 9–10% matches S&P 500 historical return · Below 7% is illogical for single-stock risk
Full explanation → (the annual return you demand for single-stock risk) and terminal growth; the value updates live so you can see whether the stock looks cheaper or richer. The discount rate starts at 10.0%, the figure our model used for BETR. Open Advanced to also change beta, growth and the rate path.

Note: no headline intrinsic value is published for this stock (the valuation is held for a data-quality reason — see the notes above). The calculator below is a what-if tool: the values it produces are your assumptions played out, not our estimate.

4.5% (risk-free)9-10% normal18% (deep-risk)
0%2-3% (GDP)5% (rarely sustainable)

A full intrinsic value isn't shown for BETR because the valuation is currently held for a data-quality reason (see the guardrail notes above). The reverse-DCF reading still works — it needs only the price and cash flow — but we won't publish a forward value until the underlying data passes our checks.

For comparison — the revenue growth today's price already assumes
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⚙ Advanced — tinker with every input (beta, growth, rate path, margin → full intrinsic value)
Where the discount rate comes from — discount rate = risk-free + beta × equity-risk-premium
What you'd earn risk-free from government bonds — the floor under every other rate. Slide it down to model the market expecting rate cuts (value rises); up for higher-for-longer.
The extra yearly return investors demand for owning stocks instead of safe bonds — the price of risk. History runs ~4.5–6.5%; we default to 5.5% (slightly conservative). It's an estimate, not a law — lower it if you think equities are less risky than that.
Inflation reduces the purchasing power of a nominal return: a 9% gain at 3% inflation is about 6% in real terms. The intrinsic value above is already in today's dollars (a nominal DCF carries inflation in both the growth and the discount rate), so this switch does not change the value — it restates the return in real terms.
Higher beta → higher discount rate (sets the rate above). 1.0 = moves with the market.
What you think BETR can grow revenue for ~5 years, then fades to terminal.
For a pre-profit company: the % of revenue that eventually becomes free cash flow once mature. (Our published value uses the sector norm.)
All inputs start at the values our model used.

    Copy shareable link to this scenario →

    Price$12.95
    Model IVNot applicable — DCF couldn't price this stock. The other valuation lenses on this page (reverse-DCF, peers, sector lens — whichever apply to this filer) carry the read instead.

    Analysis narrative not yet available for this stock.

    ⚠️ FCF negative: revenue/margin growth model projects future cash flows from revenue trajectory.

    As of 3 months ago

    ANATOMY

    Anatomy of a share

    What you're buying per share. Bars are at the same scale so you can see the relative size of revenue, costs, cash flow, and debt — not just read them in a table.

    BETR Better Home & Finance Holding Co stock anatomy showing per-share revenue, operating expenses, free cash flow, and debt
    −100.6%
    loss
    Where each $1 of revenue goes
    For every $1 of revenue, BETR currently loses 100.6¢ — costs exceed sales. A money-losing business can still be a good investment if losses are shrinking toward profitability; check the trend, not just the snapshot.
    Net margin = net income ÷ revenue (most recent fiscal year).
    Plain English: each share (at $13) represents $10.73 of revenue per share per year, $10.80 lost per share per year, and $12.25 of cash burned per share (negative free cash flow) from the latest fiscal year. Debt-per-share isn't a meaningful figure for a bank or insurer — its liabilities (deposits, policy reserves, wholesale funding) are the business itself. Judge leverage with the capital ratios in the bank lens instead.
    What's free cash flow / what do these mean?

    Revenue per share — how much the business earns from customers, divided by the number of shares outstanding. Top of the income statement.

    Earnings per share — profit left after operating costs, interest, and taxes, per share. Two versions appear on this page and are not interchangeable: GAAP diluted EPS uses the company's weighted-average diluted share count during the reporting period (this is the "earnings" in "price-to-earnings"); net income per current share divides annual net income by today's share count. They differ whenever the share count has changed.

    Owner-earnings free cash flow per share — the cash the business produces for shareholders. Savng's owner-earnings FCF subtracts capital expenditures and stock-based compensation from operating cash flow (SBC is a real dilution cost even though it's non-cash). This is deliberately more conservative than "standard" FCF, which subtracts only capital expenditures — so our figure is lower than the headline FCF you'll see elsewhere. FCF funds dividends, buybacks, debt repayment, and acquisitions; a company can report positive earnings yet negative FCF.

    Debt per share — total interest-bearing borrowings divided by shares. High debt-per-share next to thin FCF-per-share is a fragility signal.

    MOMENTUM — WHAT'S GETTING BETTER & WORSE

    The trend, in plain numbers (FY2024 → FY2025, latest reported)

    Straight from the financial statements — no model, no opinion. For a small or unprofitable company, the direction of these numbers usually tells you more than any single valuation.

    ✅ Improving
    • Revenue grew +52% to $164.9M.
    • Free cash flow is negative at -$188.2M — the cash burn narrowed vs last year.
    • Still unprofitable at -$165.9M — loss narrowing.

    Nothing was clearly worsening year-over-year.

    WHO

    Management & Leadership

    Information not yet available. Executive data not available from current data sources.
    WHAT

    What They Make

    Company description not yet available.

    Segment revenue breakdown not available from current data sources.
    Market Cap: 198.9MBeta: 1.83
    WHY

    Why Is It Priced Like This?

    No discounted-cash-flow value for this filer This company's reported free cash flow is negative, so a discounted-cash-flow valuation has no positive cash stream to discount. That is a fact about the business, not missing data — the reported figures below are complete.

    What we use instead: earnings (P/E, EV/EBIT), book value (P/B) — computed from the figures this company does report, shown in the sections below. Those numbers are unaffected by the missing cash-flow data.
    Pricing analysis not yet available for this stock.
    HOW

    Business Model & Valuation

    Business model analysis not yet available for this stock.

    Growth / Revenue DCF

    Negative free cash flow: revenue/margin growth model used - standard FCF DCF is unreliable for companies still scaling.

    Show advanced inputs
    Revenue Growth15.0%

    What this model does NOT do: this is a consolidated owner-earnings FCF model. Standalone segment assumptions: none. It does not project net interest income and fee-income lines independently; their combined effect is embedded in the historical revenue and cash-flow trend the model extrapolates. The calculator above can only approximate a segment's impact through the single consolidated growth rate — it cannot model any one line separately. For a true segment-level view, build a separate model from the company's segment disclosures.

    WHEN

    Maturity & Competitive Position

    Competitive analysis not yet available for this stock.
    WHERE

    Geography & Markets

    Geographic revenue mix not available from current data sources.
    SIGNALS

    Market Signals

    These are timing signals, not value signals — they describe the stock's recent price behavior, not what the business is worth. Use them for the "the thesis looks good, but is now the moment?" question. Each tile below explains what it's saying.

    Model neutral, tape bearish
    RSI?RSI — Relative Strength Index — a 0-100 momentum gauge. Above 70 = overbought; below 30 = oversold.
    Why it matters: Short-term contrarian indicator. Extreme readings often precede mean reversion, though not always.
    Reference: 30–70 normal · >70 overbought · <30 oversold
    Full explanation →     (14)    45.2NeutralMomentum is balanced — neither overbought nor oversold.
    MACD?MACD — Moving Average Convergence Divergence — compares a fast and a slow price trend to gauge momentum direction.
    Why it matters: When the fast line crosses above the slow line, short-term momentum is turning up; below, turning down. A timing cue, not a value signal.
    Reference: Line above signal = bullish momentum · below = bearish
    Full explanation →    BullishLine above signalThe fast trend is above the slow trend — short-term momentum is currently upward.
    50-Day Average$34.46Price below (-62.4%)Price below its 50-day average = near-term downtrend.
    200-Day Average$39.36Price belowThe 200-day line is the long-term trend divider — above it is generally considered a bull market for the stock.
    50 vs 200 CrossDeath50-day below 200-dayA "death cross" — the medium trend is below the long trend (often read as bearish).

    Technicals describe price, not the business. A great company can have a "bearish" tape (a buying chance) and a weak one a "bullish" tape (a trap). Pair these with the valuation and health sections above.

    QUALITY

    Data Quality & Risk Flags (5 notes — click to expand/collapse)
    Guardrail Notes (5)
    • FCF negative: revenue/margin growth model projects future cash flows from revenue trajectory.
    • Price is far above the model output - market may be pricing optionality, narrative catalysts, or margin expansion beyond what trailing cash flows support.
    • Illiquidity discount 7% applied (small/micro-cap — harder to exit, demand a margin).
    • Extreme valuation (P/IV withheld — see the note above); output dominated by data/units issue (often a multi-class share-count mismatch). Suppressed.
    • DATA UNAVAILABLE: per-share values suppressed due to missing/unreliable shares data.
    FINANCIALS

    Financial Statements (5-year tables — click to expand)

    From Better Home & Finance Holding Co's SEC filings (EDGAR).

    Income (5yr)

    YearRevenueNet IncomeEPS
    2025164.9M-165.9M$-10.80
    2024108.5M-206.3M$-13.65
    202316.1M-536.4M$-58.09
    202212.3M-877.1M$-3.01
    2021—-6.5M$-0.33

    Cash Flow (5yr)

    YearOperating CFCapEx− SBC & adj.Free Cash Flow
    2025 -166.6M 1.2M 20.4M -188.2M
    2024 -380.0M 3.4M 26.8M -410.1M
    2023 -159.7M 456,000 54.2M -214.3M
    2022 938.3M 11.7M 30.5M 896.0M
    2021 -3.2M — — -3.2M

    How we define FCF: operating cash flow − capital expenditure − stock-based compensation (owner-earnings basis — SBC is a real cost to shareholders even though it's non-cash). Latest year: -166.6M − 1.2M − 20.4M (SBC & adj.) = -188.2M. This is the same owner-earnings FCF definition the valuation model uses, though the DCF's starting value is a projected from revenue × terminal margin, not this single year.

    Balance Sheet

    Total Assets1.5B
    Total Liabilities1.5B
    Equity37.2M
    PG
    Methodology by Pouyan Golshani, MD — founder of Gighz. Savng was built by a physician for busy professionals: every number on this page comes from SEC filings (EDGAR) and FINRA data through transparent, rules-based models — no analyst opinions, no hidden inputs. How we calculate every number →
    ⚠️ Not investment advice. Automated model outputs, last refreshed May 30, 2026 (the analysis-refresh date, not the latest filing period). All models have blind spots. Full disclaimer →
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