2024-05-10 07:00:00 ET
Summary
- NewtekOne, Inc.'s stock price has experienced significant fluctuations due to its transition from a BDC to a bank holding company.
- The company primarily originates Small business Administration loans and has a unique business model compared to traditional banks.
- NewtekOne's performance metrics, such as return on equity and net interest margin, outperform those of J.P. Morgan, indicating its potential as an undervalued stock.
This article was co-produced with Williams Equity Research ("WER").
We’ve covered NewtekOne, Inc. (NEWT) on here and in our Investing Group many times , and this article’s purpose isn’t to explain the entire backstory. Suffice it to say, NewtekOne Inc. went from an unknown C-corp to one of the best performing business development companies aka BDCs to an underperforming bank holding company.
To be fair, the company had its doubters when it transitioned to a BDC, and it took time for the market to appreciate the company's unique business model. It wasn’t like other BDCs. And it outperformed almost every peer (all peers over certain timelines)....
Read the full article on Seeking Alpha
For further details see:
NewtekOne Stock: 10%+ Higher On Q1 Earnings, But Still Cheap?