Oportun sees third-quarter 2026 revenue of $235 million to $240 million.
The company raised its full-year 2026 adjusted EBITDA guidance to $160 million to $175 million.
Oportun expects full-year 2026 annualized net charge-off rate of 11.7% plus or minus 30 basis points.
Drivers behind the quarterly improvement
Lower interest expense — The company said improved profitability was driven by a $17.6 million decrease in interest expense due to balance sheet optimization and a favorable non-cash change in interest expense recognition.
Expense discipline — Operating expenses fell 5% year over year, mainly due to cost controls in technology, facilities, and general and administrative expenses.
Credit performance — The 30+ day delinquency rate fell to 4.0%, the lowest since Q4 2021, which the company said reinforces confidence in improving credit performance.
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell".
The average consensus recommendation for the consumer lending peer group is "buy".
Wall Street's median 12-month price target for Oportun Financial Corp is $9.00, about 49.8% above its August 4 closing price of $6.01.
The stock recently traded at 3 times the next 12-month earnings vs. a P/E of 4 three months ago.
Q2 results beat on lower interest expense and costs
Oportun's second-quarter revenue was flat year over year but beat analyst expectations. Adjusted EPS also beat analyst expectations, driven by lower interest expense and operating costs.
The company reported its lowest 30+ day delinquency rate since Q4 2021, which it said reflects improved credit performance.
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