Blend Labs (BLND)
NYSE:BLND
Want to see BLND full AI Analyst Report?
Top Page
Blend Labs
(NYSE:BLND)
Select Model
Select Model
Rating:46Neutral
Price Target:
$1.50
▼(-4.46% Downside)
Action:Reiterated
Date:05/09/26
The score is held back primarily by below-average financial quality (negative equity, still-unprofitable and negative FCF) and a weak technical setup (price below key moving averages with negative MACD). Partially offsetting this, the latest earnings call showed improving execution (Q1 outperformance and margin expansion) with Q2 guidance for continued growth and non-GAAP profitability, while valuation support is limited because losses make the negative P/E less informative and no dividend yield is provided.
Positive Factors
High gross margins & improving revenue
Sustained ~75–80% gross margins and recent 15% YoY revenue growth indicate strong unit economics and operating leverage. Durable high margins support margin expansion as scale increases, making profitability more achievable even if origination volumes ebb seasonally over the next 2–6 months.
Negative Factors
Negative stockholders' equity
Ongoing negative shareholders' equity is a structural balance-sheet weakness that can restrict financing alternatives and raise cost of capital. Over a multi-month horizon this can limit ability to fund growth initiatives or weather prolonged softness without dilutive or expensive capital raises.
Read all positive and negative factors
Positive Factors
Negative Factors
High gross margins & improving revenue
Sustained ~75–80% gross margins and recent 15% YoY revenue growth indicate strong unit economics and operating leverage. Durable high margins support margin expansion as scale increases, making profitability more achievable even if origination volumes ebb seasonally over the next 2–6 months.
Read all positive factors
Blend Labs (BLND) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$372.82M
Dividend YieldN/A
Average Volume (3M)4.83M
Price to Earnings (P/E)―
Beta (1Y)1.22
Revenue Growth-17.06%
EPS Growth54.45%
CountryUS
Employees540
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)-0.09
Shares Outstanding253,858,350
10 Day Avg. Volume3,785,709
30 Day Avg. Volume4,832,092
Financial Highlights & Ratios
PEG Ratio1.68
Price to Book (P/B)-25.77
Price to Sales (P/S)6.37
P/FCF Ratio-9.72K
Enterprise Value/Market Cap1.33
Enterprise Value/Revenue3.87
Enterprise Value/Gross Profit5.17
Enterprise Value/Ebitda91.38
Forecast
1Y Price Target
$3.32Price Target Upside111.25% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering7
EPS Forecast (FY)0.05
Revenue Forecast (FY)$131.77M
Blend Labs Business Overview & Revenue Model
Company Description
Blend Labs, Inc. provides cloud-based software platform solutions for financial services firms in the United States. It operates in two segments, Blend Platform and Title365. The company offers a suite of white-label products for mortgages, home e...
How the Company Makes Money
Blend primarily makes money by selling software to financial institutions through a SaaS-style model tied to use of its platform for loan origination and related workflow automation. Key revenue streams generally include: (1) Platform/software rev...
Blend Labs Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 06, 2026
Earnings Call Sentiment Positive
The call presents a mix of strong operational and product momentum — revenue up 15% YoY, mortgage volume up 29% YoY, meaningful early traction for Autopilot (65 activations, 22 live, >7k applications, $10M pipeline), margin expansion, and internal productivity gains — balanced against near-term macro and customer-specific headwinds (expected EVPFL step-down, a ~100bp market-share headwind from one large client), a material year-over-year decline in free cash flow (~55%), and some one-time accounting benefits that boosted gross margin. Management is cautious in the near term but optimistic on medium-term AI-driven upside (10%–15% potential incremental top-line growth by 2027) while keeping Autopilot out of guidance until pricing and adoption settle.Positive Updates
Revenue and Margin Outperformance
Total revenue of $30.8M in 2026 Q1, up 15% year-over-year, and non-GAAP operating income of $4.1M (non-GAAP operating margin ~13%), above the high end of guidance. Non-GAAP gross margin expanded to 80.3% (from 72.9% in 2025), reflecting operating leverage and revenue growth.
Negative Updates
Free Cash Flow Decline
Free cash flow for the quarter was $7.0M versus $15.5M in the prior year, a decline of roughly 55% year-over-year, reflecting seasonal patterns and timing of collections.
Read all updates
Q1-2026 Updates
Positive
Negative
Revenue and Margin Outperformance
Total revenue of $30.8M in 2026 Q1, up 15% year-over-year, and non-GAAP operating income of $4.1M (non-GAAP operating margin ~13%), above the high end of guidance. Non-GAAP gross margin expanded to 80.3% (from 72.9% in 2025), reflecting operating leverage and revenue growth.
Read all positive updates
Company Guidance
Blend guided Q2 revenue of $32M–$34M (≈1%–7% YoY growth), with Mortgage Suite revenue expected to grow 4%–10% YoY and Consumer Banking revenue to be between -2% and +4% YoY; they see economic value per funded loan (EVPFL) stepping down from $84 in Q1 to $79–$80 in Q2 (Q1: total revenue $30.8M, +15% YoY; Mortgage Suite $17.2M, +18% YoY; funded loans ≈187k, +29% YoY), and are guiding Q2 non‑GAAP operating income of $5M–$6.5M (implying ~18% margin at the midpoint). Management flagged a ~100 bp market‑share headwind in 2026, noted Q1 was above prior ranges, and cautioned Autopilot upside (~$10M pipeline; free trial in Q2) is not yet baked into guidance.Blend Labs Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
32
Negative
Cash Flow
40
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 127.66M | 123.58M | 162.02M | 156.85M | 235.20M | 234.50M |
| Gross Profit | 95.57M | 91.17M | 90.54M | 81.14M | 89.65M | 115.99M |
| EBITDA | 5.41M | 2.94M | -31.74M | -143.21M | -726.85M | -182.94M |
| Net Income | -5.62M | -8.05M | -49.60M | -185.32M | -768.61M | -171.34M |
Balance Sheet | ||||||
| Total Assets | 161.26M | 170.04M | 178.01M | 206.06M | 432.76M | 1.11B |
| Cash, Cash Equivalents and Short-Term Investments | 60.97M | 68.32M | 98.48M | 136.92M | 354.15M | 547.23M |
| Total Debt | 165.58M | 160.97M | 3.83M | 149.69M | 231.98M | 232.31M |
| Total Liabilities | 217.17M | 200.60M | 181.99M | 179.12M | 268.84M | 301.89M |
| Stockholders Equity | -55.91M | -30.55M | -56.36M | -19.24M | 123.17M | 774.64M |
Cash Flow | ||||||
| Free Cash Flow | -9.65M | -81.00K | -22.89M | -128.21M | -192.49M | -129.39M |
| Operating Cash Flow | -1.53M | 11.51M | -13.04M | -127.62M | -190.42M | -127.50M |
| Investing Cash Flow | 18.20M | 18.54M | 45.40M | 127.31M | 99.43M | -633.91M |
| Financing Cash Flow | -45.28M | -32.59M | -21.06M | -90.96M | 2.22M | 933.57M |
Blend Labs Technical Analysis
Negative
1.57
Price Trends
1.69
Negative
2.34
Negative
2.90
Negative
Market Momentum
-0.07
Positive
45.16
Neutral
33.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BLND, the sentiment is Negative. The current price of 1.57 is below the 20-day moving average (MA) of 1.66, below the 50-day MA of 1.69, and below the 200-day MA of 2.90, indicating a bearish trend. The MACD of -0.07 indicates Positive momentum. The RSI at 45.16 is Neutral, neither overbought nor oversold. The STOCH value of 33.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BLND.
Blend Labs Risk Analysis
Blend Labs disclosed 67 risk factors in its most recent earnings report. Blend Labs reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Blend Labs Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $735.53M | 1.82 | 134.28% | ― | 12.95% | ― | |
69 Neutral | $605.23M | 42.06 | 9.69% | ― | 8.25% | -99.84% | |
67 Neutral | $375.91M | -13.43 | -19.29% | ― | 12.27% | 37.41% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
46 Neutral | $372.82M | -13.50 | -12.24% | ― | -17.06% | 54.45% |
* Technology Sector Average
BLND
Blend Labs
1.45
-2.20
-60.27%
SPT
Sprout Social
6.25
-16.89
-72.99%
OPFI
OppFi
8.61
-3.28
-27.59%
VTEX
VTEX
3.55
-2.80
-44.09%
Blend Labs Corporate Events
Business Operations and StrategyStock BuybackFinancial Disclosures
Blend Labs Delivers Strong Q1 Results and Outlook
Positive
May 7, 2026
On May 7, 2026, Blend reported first-quarter 2026 results that exceeded guidance, with total revenue rising 15% year over year to $30.8 million and software platform revenue reaching $28 million. GAAP gross margin improved to 76% and non-GAAP gros...
Business Operations and StrategyStock BuybackFinancial Disclosures
Blend Labs Announces Strong 2025 Results, New Buyback Plan
Positive
Mar 10, 2026
On March 10, 2026, Blend Labs reported preliminary results showing a stronger fourth quarter and full year 2025, with revenue rising 7% to $123.5 million and software platform sales up 7%, while GAAP operating loss narrowed sharply and non-GAAP op...
Business Operations and StrategyM&A Transactions
Blend Labs divests Title365 to sharpen fintech focus
Positive
Mar 2, 2026
On March 1, 2026, Blend Labs, Inc. completed the sale of substantially all assets and liabilities of Title365 Company, its title insurance business, to Covius Services, LLC. The divestiture marks Blend’s exit from direct participation in tit...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.