Live Oak Bancshares, Inc. (LOB) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does Live Oak Bancshares, Inc. Do?
Live Oak Bancshares, Inc. operates as the bank holding company for Live Oak Banking Company that provides various commercial banking products and services to individuals, small businesses, and professionals in North Carolina, the United States. The company accepts various deposit products, including noninterest-bearing demand, as well as interest-bearing checking, money market, savings, and time deposits. It also offers commercial and industrial loans; construction and development loans; owner occupied and non-owner occupied collateral commercial real estate loans; and commercial land loans. In addition, the company provides settlement, accounting, and securitization services for government guaranteed loans; wealth and investment management services to high-net-worth individuals and families; investment advisory services to a series of funds focused on providing venture capital to new and emerging financial technology companies; and an on-site restaurant location to company employees and business visitors. Live Oak Bancshares, Inc. was incorporated in 2008 and is headquartered in Wilmington, North Carolina. Live Oak Bancshares, Inc. (LOB) is classified as a small-cap stock in the Financials sector, specifically within the Banking industry. The company is led by CEO James S. Mahan and employs approximately 960 people, headquartered in WILMINGTON, North Carolina. With a market capitalization of $1.5B, LOB is one of the notable companies in the Financials sector.
Live Oak Bancshares, Inc. (LOB) Stock Rating — Reduce (April 2026)
As of April 2026, Live Oak Bancshares, Inc. receives a Reduce rating with a composite score of 48.0/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.LOB ranks #2,541 out of 4,446 stocks in our coverage universe. Within the Financials sector, Live Oak Bancshares, Inc. ranks #665 of 891 stocks, placing it in the lower half of its Financials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
LOB Stock Price and 52-Week Range
Live Oak Bancshares, Inc. (LOB) currently trades at $35.71. The stock lost $0.88 (2.4%) in the most recent trading session. The 52-week high for LOB is $42.89, which means the stock is currently trading -16.7% from its annual peak. The 52-week low is $22.68, putting the stock 57.5% above its annual trough. Recent trading volume was 189K shares, suggesting relatively thin trading activity.
Is LOB Overvalued or Undervalued? — Valuation Analysis
Live Oak Bancshares, Inc. (LOB) carries a value factor score of 71/100 in the Blank Capital model, suggesting the stock trades at a meaningful discount to its fundamental earning power. The trailing price-to-earnings ratio is 21.69x, compared to the Financials sector average of 14.88x — a premium of 46%. The price-to-book ratio stands at 1.25x, versus the sector average of 1.22x. The price-to-sales ratio is 1.79x, compared to 0.90x for the average Financials stock. On an enterprise value basis, LOB trades at 12.54x EV/EBITDA, versus 3.26x for the sector.
Based on these multiples, Live Oak Bancshares, Inc. appears attractively valued relative to both its sector peers and the broader market. Value-oriented investors may find the current entry point compelling, particularly if the company's fundamental quality metrics also score well.
Live Oak Bancshares, Inc. Profitability — ROE, Margins, and Quality Score
Live Oak Bancshares, Inc. (LOB) earns a quality factor score of 51/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 5.8%, compared to the Financials sector average of 8.5%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 0.5% versus the sector average of 1.2%.
On a margin basis, Live Oak Bancshares, Inc. reports gross margins of 0.0%. The operating margin is 11.1% (sector: 21.8%). Net profit margin stands at 8.2%, versus 17.7% for the average Financials stock. Revenue growth is running at 16.6% on a trailing basis, compared to 9.4% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
LOB Debt, Balance Sheet, and Financial Health
Live Oak Bancshares, Inc. has a debt-to-equity ratio of 1107.0%, compared to the Financials sector average of 121.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 1.09x, suggesting adequate working capital coverage. Total debt on the balance sheet is $105M. Cash and equivalents stand at $892M.
LOB has a beta of 1.21, meaning it is more volatile than the broader market — a $10,000 investment in LOB would be expected to move 20.8% more than the S&P 500 on any given day. The stability factor score for Live Oak Bancshares, Inc. is 60/100, reflecting average volatility within the normal range for its sector.
Live Oak Bancshares, Inc. Revenue and Earnings History — Quarterly Trend
In TTM 2026, Live Oak Bancshares, Inc. reported revenue of $878M and earnings per share (EPS) of $2.25. Net income for the quarter was $73M. Gross margin was 0.0%. Operating income came in at $99M.
In FY 2025, Live Oak Bancshares, Inc. reported revenue of $908M and earnings per share (EPS) of $2.25. Net income for the quarter was $106M. Revenue grew 11.8% year-over-year compared to FY 2024. Operating income came in at $143M.
In Q3 2025, Live Oak Bancshares, Inc. reported revenue of $231M and earnings per share (EPS) of $0.56. Net income for the quarter was $26M. Revenue grew 10.8% year-over-year compared to Q3 2024. Operating income came in at $37M.
In Q2 2025, Live Oak Bancshares, Inc. reported revenue of $224M and earnings per share (EPS) of $0.51. Net income for the quarter was $23M. Revenue grew 13.0% year-over-year compared to Q2 2024. Operating income came in at $31M.
Over the past 8 quarters, Live Oak Bancshares, Inc. has demonstrated a growth trajectory, with revenue expanding from $198M to $878M. Investors analyzing LOB stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
LOB Dividend Yield and Income Analysis
Live Oak Bancshares, Inc. (LOB) currently pays a dividend yield of 0.3%. At this yield, a $10,000 investment in LOB stock would generate approximately $$34.00 in annual dividend income. This compares to the Financials sector average dividend yield of 2.5%, meaning LOB yields less than the typical sector peer. The net margin of 8.2% provides reasonable coverage for the dividend, though investors should monitor payout sustainability.
LOB Momentum and Technical Analysis Profile
Live Oak Bancshares, Inc. (LOB) has a momentum factor score of 51/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 27/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 7/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
LOB vs Competitors — Financials Sector Ranking and Peer Comparison
Within the Financials sector, Live Oak Bancshares, Inc. (LOB) ranks #665 out of 891 stocks based on the Blank Capital composite score. This places LOB in the lower half of all Financials stocks in our coverage universe. Key competitors and sector peers include WHITE MOUNTAINS INSURANCE GROUP LTD (WTM) with a score of 62.9/100, OPPENHEIMER HOLDINGS INC (OPY) with a score of 62.6/100, Enact Holdings, Inc. (ACT) with a score of 61.6/100, International General Insurance Holdings Ltd. (IGIC) with a score of 61.3/100, and PARKE BANCORP, INC. (PKBK) with a score of 60.4/100.
Comparing LOB against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full LOB vs S&P 500 (SPY) comparison to assess how Live Oak Bancshares, Inc. stacks up against the broader market across all factor dimensions.
LOB Next Earnings Date
No upcoming earnings date has been announced for Live Oak Bancshares, Inc. (LOB) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy LOB? — Investment Thesis Summary
The quantitative profile for Live Oak Bancshares, Inc. suggests caution. The value score of 71/100 suggests attractive pricing relative to fundamentals. Low volatility (stability score 60/100) reduces downside risk.
In summary, Live Oak Bancshares, Inc. (LOB) earns a Reduce rating with a composite score of 48.0/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on LOB stock.
Related Resources for LOB Investors
Explore more research and tools: LOB vs S&P 500 comparison, top Financials stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare LOB head-to-head with peers: LOB vs WTM, LOB vs OPY, LOB vs ACT.