Aurora Acquisition (BETR) AI Stock Analysis

• Market Cap: $254.31M
• Dividend Yield: N/A
• Average Volume (3M): 41.15K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: 74.97%
• EPS Growth: 70.19%
• Country: US
• Employees: 1,250
• Sector: Financial
• Sector Strength: 72
• Industry: Financial - Mortgages
• EPS (TTM): -1.99
• Shares Outstanding: 9,716,145
• 10 Day Avg. Volume: 57,453
• 30 Day Avg. Volume: 41,154
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.10
• Enterprise Value/Revenue: 4.18
• Enterprise Value/Gross Profit: -14.92
• Enterprise Value/Ebitda: -3.69
• 1Y Price Target: $17.50
• Price Target Upside: 5.29% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 50 Neutral
• Price Target: $17.50 ▲(5.29% Upside)

Aurora Acquisition's overall stock score is primarily impacted by its weak financial performance, characterized by negative profitability and cash flow issues. While technical indicators suggest bullish momentum, overbought conditions could pose risks. The earnings call provided some positive insights, particularly in revenue growth and technological advancements, but significant financial challenges remain.

Aurora Acquisition Business Overview & Revenue Model

Company Description

Aurora Acquisition Corp (BETR) is a blank check company, also known as a special purpose acquisition company (SPAC), formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses. The company does not have any operations or revenues until it completes a business combination.

How the Company Makes Money

Aurora Acquisition Corp makes money through the successful completion of a business combination. This involves identifying a private company to merge with or acquire, thereby taking the private company public through the SPAC's existing stock market listing. The SPAC raises funds through its initial public offering (IPO) and holds these funds in a trust account until a suitable target company is identified. Once a merger is completed, the SPAC may earn money through the appreciation of its stock and the acquisition target's future performance. Additionally, sponsors of the SPAC may receive a portion of equity in the merged entity as compensation for their efforts in facilitating the business combination.

Aurora Acquisition Financial Statement Overview

Summary

Aurora Acquisition is facing severe financial challenges across all key financial statements. The company is experiencing declining revenues, negative profitability margins, and high leverage, leading to negative equity. Cash flow issues further exacerbate the situation, with negative operating and free cash flows. Overall, the financial health of the company is weak, with significant risks and uncertainties ahead.

Income Statement

Aurora Acquisition has experienced a significant decline in revenue, with a negative revenue growth rate over the past years. The gross profit margin is negative, indicating that the cost of goods sold exceeds revenue. Additionally, both EBIT and EBITDA margins are negative, reflecting operational inefficiencies and high operating expenses relative to revenue. The net profit margin is also negative, highlighting substantial losses.

Balance Sheet

The company's balance sheet reveals a concerning financial structure, with a negative stockholders' equity indicating insolvency. The debt-to-equity ratio is not meaningful due to negative equity, but the high level of total debt compared to assets suggests significant leverage. The equity ratio is negative, further emphasizing financial instability and potential risks associated with high liabilities.

Cash Flow

Aurora Acquisition's cash flow statement shows negative operating and free cash flows, indicating challenges in generating cash from operations. The free cash flow has deteriorated significantly, reflecting increased capital expenditures and operational cash outflows. The operating cash flow to net income ratio is negative, suggesting inefficiencies in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2016
Income Statement
Total Revenue	127.74M	120.05M	88.50M	395.08M	1.31B	270.81M
Gross Profit	-35.77M	-42.52M	-61.31M	-295.97M	342.30M	130.11M
EBITDA	-144.52M	-154.79M	-459.94M	-523.38M	-175.32M	75.05M
Net Income	-205.35M	-206.29M	-536.42M	8.74M	-301.13M	27.29M
Balance Sheet
Total Assets	1.00B	913.06M	905.55M	1.09B	3.30B	838.24M
Cash, Cash Equivalents and Short-Term Investments	227.98M	264.88M	529.19M	317.96M	938.32M	10.32M
Total Debt	764.87M	767.90M	672.06M	1.10B	2.37B	7.67M
Total Liabilities	1.11B	971.23M	782.95M	1.26B	2.62B	786.51M
Stockholders Equity	-102.14M	-58.17M	122.60M	-167.90M	676.44M	51.73M
Cash Flow
Free Cash Flow	-243.97M	-390.05M	-169.50M	902.94M	292.57M	-6.74M
Operating Cash Flow	-232.21M	-379.97M	-159.72M	938.22M	361.21M	-803.00K
Investing Cash Flow	-314.97M	-143.81M	-38.59M	-34.66M	-68.70M	-388.08M
Financing Cash Flow	358.02M	239.13M	381.40M	-1.54B	304.54M	380.97M

Aurora Acquisition Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.62
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BETR, the sentiment is Positive. The current price of 16.62 is above the 20-day moving average (MA) of 14.31, above the 50-day MA of 13.55, and above the 200-day MA of 12.47, indicating a bullish trend. The MACD of 0.69 indicates Negative momentum. The RSI at 63.95 is Neutral, neither overbought nor oversold. The STOCH value of 84.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BETR.

Aurora Acquisition Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VEL	68 Neutral	$729.95M	8.68	15.02%	―	35.12%	25.28%
Sector *	68 Neutral	$17.53B	11.78	10.43%	3.83%	9.94%	1.31%
IOR	64 Neutral	$74.53M	17.36	3.52%	―	―	-32.51%
ONIT	60 Neutral	$334.29M	10.17	7.55%	―	-2.84%	2420.57%
SNFCA	58 Neutral	$226.28M	9.64	6.65%	―	5.49%	4.30%
LDI	51 Neutral	$658.54M	―	-23.67%	―	6.60%	44.77%
BETR	50 Neutral	$254.31M	―	-286.59%	―	74.97%	70.19%

Aurora Acquisition Corporate Events

Aurora Acquisition Appoints New Independent Directors

On July 30, 2025, Better Home & Finance Holding Company announced the election of David Barse and Bhaskar Menon as directors, effective August 1, 2025. Both individuals meet the Nasdaq Stock Market’s independence requirements, and their committee assignments will be determined later. The new directors will receive compensation according to the company’s policy, including annual cash and equity retainers. There are no personal or financial conflicts of interest involving the new directors.

Aurora Acquisition’s Key Decisions at Annual Meeting

On June 10, 2025, Better Home & Finance Holding Company held its 2025 Annual Meeting of Stockholders, where key decisions were made regarding the company’s leadership and financial oversight. The meeting resulted in the election of directors for the upcoming term and the ratification of Deloitte & Touche LLP as the independent registered public accounting firm for 2025, reflecting shareholder confidence in the company’s governance and financial management.