Stonegate Capital Partners has updated its coverage on OppFi, Inc. (NYSE: OPFI) following the company's first-quarter 2026 results. While the quarter's financials were steady, the significant development was OppFi's strategic shift toward a bank-enabled, deposit-funded model through the pending acquisition of BNCC. This move is expected to expand OppFi's growth runway considerably.
Despite a 7.0% year-over-year decline in net originations to $176.0 million, OppFi's receivables grew 9.4% to $444.9 million, and revenue reached a record $151.9 million, an 8.3% increase. The decline in originations was attributed to tighter credit conditions, inflation, weaker consumer sentiment, and higher average tax refunds temporarily reducing loan demand. Higher charge-offs pressured adjusted earnings, but expense discipline remained intact as management invested across key initiatives including LOLA, Model 7, LOC, SMB lending, and BNC integration.
According to Stonegate, OppFi is prioritizing credit discipline and long-term platform expansion over near-term volume growth. The pending BNCC acquisition adds approximately $1.0 billion of low-cost deposits, supports national expansion, and is expected to drive 25%+ adjusted EPS accretion in the first year. Additional catalysts include the LOLA migration beginning in May, Model 7 expected in fall 2026, and LOC launching this summer. OppFi's full-year 2026 guidance remains unchanged, with revenue projected between $650 million and $675 million and adjusted EPS of $1.76 to $1.84.
For more details, the full announcement is available here.
