Why Did OppFi Drop 7.52% Despite Strong Q4 Earnings?

OppFi's stock price dropped 7.52% in pre-market trading on April 7, 2025, following a series of positive developments and strategic moves by the company.

OppFi's Q4 results were strong, with earnings per share (EPS) and revenue beating estimates. The company also provided positive future earnings and revenue growth projections, which contributed to the overall positive sentiment. Additionally, OppFi announced a $0.25 per share special dividend, further boosting investor confidence.

In March, OppFi was named "Best Personal Finance Company" in the Annual Fintech Breakthrough Awards, highlighting its leadership in the fintech industry. The company also reported record third-quarter net income and revenue, raising its full-year earnings outlook. This positive momentum continued into the fourth quarter, with OppFi reporting record profitability and revenue, and raising its full-year earnings outlook by more than 20%.

OppFi has also made strategic moves to strengthen its financial position. The company upsized its revolving credit facility with affiliates of Blue Owl Capital to $300 million, providing additional financial flexibility. Additionally, OppFi acquired an equity interest in Bitty, entering the small business financing market and expanding its product offerings.

Despite these positive developments, the recent drop in stock price may be attributed to market volatility and investor caution. However, the company's strong financial performance and strategic initiatives position it well for future growth.