Oportun Financial Corp Stock Price, News & Analysis

Findell Capital Management, owning 9.5% of Oportun Financial Corporation (NASDAQ: OPRT), has issued a letter to stockholders ahead of the 2025 Annual Meeting. The activist investor is nominating Warren Wilcox, an independent director with extensive consumer finance experience, to challenge the company's current board structure. Findell criticizes CEO Raul Vazquez and the legacy board for value destruction, citing a 72.67% stock decline since IPO and a 40% shareholder dilution. The investor highlights operational inefficiencies, including a 109% increase in operating expenses per loan from 2019-2023, and the questionable $211 million Hello Digit acquisition. Despite some improvements following the 2024 appointment of directors Scott Parker and Richard Tambor, Findell argues that further board changes are needed to improve governance and refocus on core lending operations.

Oportun (OPRT), a mission-driven financial services company, has scheduled its first quarter 2025 financial results release for Thursday, May 8, 2025, after market close. The company will host a conference call and earnings webcast on the same day at 5:00 pm ET / 2:00 pm PT.

Investors can access the live webcast through Oportun's investor relations website at investor.oportun.com, with a replay available for one year. For those joining via phone, the dial-in numbers are 1-888-396-8049 (toll-free) or 1-416-764-8646 (international). Participants are advised to join 10 minutes before the scheduled start time.

Additionally, the company has set Tuesday, May 27, 2025, as the record date for stockholder voting eligibility at its 2025 annual meeting.

Oportun (Nasdaq: OPRT) has successfully closed a new $187.5 million warehouse facility, increasing its total committed warehouse capacity to $954 million. The facility features a two-year revolving period and will be collateralized by Oportun's unsecured and secured personal loan originations.

The new facility is structured with Natixis Corporate & Investment Banking as the senior lender and Neuberger Berman, representing client funds, as the mezzanine lender. According to Paul Appleton, Interim CFO, this financing will support Oportun's responsible growth strategy. The company maintains diverse capital sources, including committed warehouse facilities, asset-backed securitizations, corporate-level debt financing, and whole loan sales.

Oportun (OPRT) has acknowledged receiving a notice from Findell Capital Management nominating two directors for election to the company's Board at the 2025 Annual Meeting of Shareholders. The Board highlighted its achievements over the past three years, including improved credit performance and high-quality originations.

The company emphasized its recent Board refreshment process, which included input from Findell and resulted in the appointment of four new independent directors in the last 14 months. The current Board members possess expertise in critical areas such as credit and risk management, finance, mobile technologies, software, marketing, and regulatory matters.

The Nominating and Governance Committee will evaluate Findell's nominees and make recommendations to shareholders. The company has retained Wilson Sonsini Goodrich & Rosati as legal advisor and FGS Global as strategic communications advisor.

Findell Capital Management, owning 9.2% of Oportun Financial (NASDAQ: OPRT), has nominated Sandra Bell and Warren Wilcox as independent director candidates to address governance issues at the company. Findell criticizes the current Board's performance, highlighting OPRT's stock price decline from $27.95 in November 2021 to below $3 in early 2023, before recovering to approximately $6.00 following Findell's involvement.

The activist investor disputes the Board's claims of success, noting that while operating expenses were reduced to $400 million, origination volume declined from $3 billion in 2022 to $1.8 billion in 2024, with income-producing assets falling by 10%. Findell argues that Oportun's $3 billion loan book, generating $1 billion in interest revenue, should produce over $250 million in pre-tax income if operated efficiently.

Oportun (OPRT) has responded to a public letter from Findell Capital Management, highlighting significant improvements in company performance. Key achievements include:

- Return to GAAP profitability in Q4
- 40% reduction in operating expenses, eliminating $240M in annualized costs
- Reduction of operating expenditures to $410M in 2024
- Nearly 200 basis points increase in portfolio yield
- Up to 500 basis points lower losses on front book vs. back-book
- Successful refinancing of corporate financing facility
- Divestment of non-core segments, including credit card portfolio

The company reported a 121% total shareholder return over the past 12 months. For 2025, Oportun projects a year-over-year net income increase of $102M-$112M and expects to achieve Adjusted ROE in the teens, up from 8% in 2024. The company has also appointed four independent directors since 2024.

Findell Capital Management, owning 9.1% of Oportun Financial (NASDAQ: OPRT), has issued an open letter demanding leadership changes and announcing plans to nominate two director candidates to replace CEO Raul Vasquez and Lead Director R. Neil Williams.

The activist investor criticizes the current board's lack of lending experience and poor performance, noting a 64% decline in share price under Williams' tenure. Findell highlights that OPRT trades at 0.75x tangible book value compared to peers at 1.5-2x, suggesting significant undervaluation.

The letter outlines specific operational improvements including:

• Reducing operating expenses by 20% to align with industry benchmarks
• Removing the voluntary 36% APR cap to increase finance charge revenue
• Using cashflows to reduce leverage

Oportun (Nasdaq: OPRT), a mission-driven financial services company, has announced its participation in the upcoming Sidoti March Virtual Investor Conference. The company's presentation is scheduled for March 20th at 4:00 pm ET.

Key executives participating in the event include:

• Raul Vazquez - Chief Executive Officer
• Jonathan Coblentz - Chief Financial Officer & Chief Administrative Officer

The presentation will be accessible live through a dedicated link and the company's Investor Relations website at investor.oportun.com. A replay will remain available for 90 days following the conference.