Open Lending (LPRO) AI Stock Analysis

• Market Cap: $253.95M
• Dividend Yield: N/A
• Average Volume (3M): 939.73K
• Price to Earnings (P/E): 72.9
• Beta (1Y): 2.57
• Revenue Growth: -83.91%
• EPS Growth: -1062.77%
• Country: US
• Employees: 205
• Sector: Financial
• Sector Strength: 64
• Industry: Financial - Credit Services
• EPS (TTM): 0.01
• Shares Outstanding: 119,786,420
• 10 Day Avg. Volume: 775,714
• 30 Day Avg. Volume: 939,732
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 2.37
• Enterprise Value/Revenue: 34.08
• Enterprise Value/Gross Profit: -92.41
• Enterprise Value/Ebitda: -9.32
• 1Y Price Target: $2.87
• Price Target Upside: 35.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 42 Neutral
• Price Target: $2.00 ▼(-5.66% Downside)

Open Lending's overall stock score reflects significant financial challenges, poor valuation, and weak technical indicators. While there are some positive operational changes and leadership adjustments, the company's current financial distress and market conditions weigh heavily on its potential.

Positive Factors

Financial Performance

LPRO's 1Q results beat Street expectations on the top and bottom line, providing a refreshing change after a challenging previous quarter.

Leadership

Investors are encouraged by the appointment of new CEO Jessica Buss, who brings decades of insurance industry experience to Open Lending.

Strategic Decisions

The board's approval of a $25 million share repurchase authorization is seen as a smart use of capital, boosting investor confidence.

Negative Factors

Auto Lending Trends

Open Lending hasn't caught up to real-time trends in auto lending, which has been showing credit deterioration broadly.

Profitability Concerns

It is challenging to assign a valuation to Open Lending due to expectations of negative earnings extending through 2026.

Underwriting and Pricing

There is no clear timeline for when Open Lending can return to historical profit-share revenue levels due to the need to overhaul its underwriting and pricing models.

Open Lending Business Overview & Revenue Model

Company Description

Open Lending Corporation (LPRO) is a financial technology company that provides automated lending services to financial institutions. The company specializes in providing loan analytics, risk-based pricing, risk modeling, and automated decision technology to automotive lenders throughout the United States. Open Lending's core product, the Lenders Protection Program, is designed to help lenders increase their auto loan volumes and profits while mitigating risk.

How the Company Makes Money

Open Lending makes money primarily through the fees it charges financial institutions for using its Lenders Protection Program. This program allows lenders to make more informed lending decisions by utilizing Open Lending's advanced analytics and risk-based pricing models. The company generates revenue through program fees, which are typically based on a percentage of the loan volume facilitated through its platform. Additionally, Open Lending benefits from partnerships with insurance companies that provide default insurance coverage for the loans, further supporting its revenue model by reducing risk and enabling more favorable lending terms.

Open Lending Financial Statement Overview

Summary

Overall financial performance is severely challenged with declining revenue, profitability, and cash flow. The company is experiencing financial distress with increased leverage and liquidity concerns.

Income Statement

The income statement shows a concerning trend with declining revenue and profitability. The recent TTM period reports a negative gross profit margin and a substantial net loss, indicating severe cost management issues and an inability to generate sufficient revenue. The company transitioned from profitability in 2021 to significant losses in 2024 and 2025, highlighting a deteriorating financial condition. Revenue has sharply decreased over the past few years, reflecting negative growth.

Balance Sheet

The balance sheet reveals a moderate financial position with some strengths and weaknesses. The debt-to-equity ratio has increased significantly, indicating higher leverage and potential financial risk. However, the company maintains a positive equity ratio due to a relatively stable stockholders' equity. Despite the increase in total liabilities, cash and cash equivalents remain robust, providing some liquidity buffer.

Cash Flow

The cash flow statement shows declining free cash flow and operating cash flow over recent periods, suggesting cash management challenges. The operating cash flow to net income ratio indicates inefficiencies, as operating cash flow has decreased substantially. The negative trajectory in free cash flow growth further emphasizes potential liquidity issues.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.02M	117.46M	179.59M	215.66M	108.89M
Gross Profit	169.00K	95.18M	159.63M	197.03M	99.11M
EBITDA	-51.61M	41.30M	100.87M	198.69M	-77.62M
Net Income	-135.01M	22.07M	66.62M	146.08M	-97.56M
Balance Sheet
Total Assets	296.37M	374.04M	379.63M	318.82M	294.01M
Cash, Cash Equivalents and Short-Term Investments	243.16M	240.21M	204.45M	116.45M	101.51M
Total Debt	10.77M	148.13M	151.51M	150.90M	163.25M
Total Liabilities	218.28M	168.46M	166.81M	159.84M	267.39M
Stockholders Equity	78.09M	205.58M	212.82M	158.98M	26.62M
Cash Flow
Free Cash Flow	17.43M	80.48M	106.81M	93.17M	23.44M
Operating Cash Flow	17.60M	82.66M	107.43M	95.16M	24.64M
Investing Cash Flow	-3.90M	-2.18M	-624.00K	-1.99M	-1.20M
Financing Cash Flow	-6.45M	-42.33M	-17.80M	-77.81M	70.81M

Open Lending Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.12
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LPRO, the sentiment is Negative. The current price of 2.12 is below the 20-day moving average (MA) of 2.43, below the 50-day MA of 2.19, and below the 200-day MA of 3.89, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 39.44 is Neutral, neither overbought nor oversold. The STOCH value of 14.45 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LPRO.

Open Lending Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MFIN	81 Outperform	$240.96M	5.90	11.25%	4.15%	15.88%	-1.83%
YRD	73 Outperform	$496.84M	2.72	14.69%	6.78%	12.45%	-36.64%
CPSS	66 Neutral	$173.34M	9.89	6.69%	―	13.23%	-47.36%
FOA	64 Neutral	$555.74M	30.20	21.28%	―	276.86%	―
Sector *	62 Neutral	C$15.25B	6.94	19.04%	5.61%	33.32%	-34.51%
OPRT	51 Neutral	$277.70M	―	-11.37%	―	-5.79%	59.24%
LPRO	42 Neutral	$253.95M	72.92	-95.74%	―	-83.91%	-1062.77%

Open Lending Corporate Events

Open Lending Terminates Chief Revenue Officer

On July 29, 2025, Open Lending terminated the employment of its Chief Revenue Officer, Matthew R. Roe. This decision may impact the company’s operations and leadership dynamics.

The most recent analyst rating on (LPRO) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on Open Lending stock, see the LPRO Stock Forecast page.

Open Lending Appoints New Chief Financial Officer

On July 24, 2025, Open Lending Corporation announced the appointment of Massimo Monaco as Chief Financial Officer, effective August 18, 2025. Mr. Monaco, with over 20 years of experience in the residential mortgage lending and financial services industries, is expected to drive the next phase of growth for Open Lending. His extensive background and proven financial leadership are anticipated to strengthen the company’s operations and further its mission to serve underserved financial institutions.

The most recent analyst rating on (LPRO) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on Open Lending stock, see the LPRO Stock Forecast page.

Open Lending Appoints CEO as Interim Financial Officer

On June 29, 2025, Open Lending Corporation announced changes in its executive team. Charles Jehl’s role as interim Chief Financial Officer ended, and Jessica Buss, the company’s CEO, was appointed as the interim principal financial officer and principal accounting officer. Buss will not receive additional compensation for these roles and has no familial or material connections influencing her appointment. The board is actively searching for a permanent CFO, while Buss continues her duties as CEO and executive chairman.

The most recent analyst rating on (LPRO) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on Open Lending stock, see the LPRO Stock Forecast page.

Open Lending Holds Annual Stockholders Meeting

On May 21, 2025, Open Lending Corporation held its Annual Meeting of Stockholders, where three proposals were voted on. The stockholders elected two Class II directors, ratified Ernst & Young LLP as the independent accounting firm for 2025, and approved the compensation of named executive officers, indicating continued support for the company’s leadership and operational strategies.

The most recent analyst rating on (LPRO) stock is a Buy with a $2.50 price target. To see the full list of analyst forecasts on Open Lending stock, see the LPRO Stock Forecast page.