Jeffrey T. Taylor, who serves as Executive Vice President, Capital Markets at Velocity Financial, Inc. (NYSE: VEL), completed a sale of common stock on January 26, 2026. The disposal consisted of 1,770 shares priced at $20.00 apiece, producing total proceeds of $35,400. After the trade, Taylor's direct ownership in Velocity Financial stands at 184,137 shares.
The share sale was executed near Velocity Financial's market quote at the time, which was trading around $20.41. The transaction size is modest relative to Taylor's remaining position.
Company fundamentals and market metrics
According to InvestingPro data, Velocity Financial carries a price-to-earnings ratio of 8.48 and reports a gross profit margin of 72%. InvestingPro's overall assessment of the company’s financial health is rated as "GOOD," and the platform notes that analysts expect the company to remain profitable through the current year. InvestingPro also provides a Pro Research Report covering the company as part of its suite of research on more than 1,400 U.S. equities.
Recent operational and capital-markets developments
Velocity Financial disclosed preliminary, unaudited fourth-quarter 2025 results that indicate a substantial year-over-year increase in profitability. Net income for the quarter rose by 70%, reaching at least $35 million. On a per-share basis, diluted earnings are expected to be at least $0.90 for the quarter, representing an increase of 56% versus the year-ago quarter.
Loan originations in the quarter totaled approximately $635 million, marking a 13% increase from the prior-year period.
On the funding front, Velocity Financial announced that its subsidiary, Velocity Commercial Capital, LLC, intends to offer up to $500 million in senior notes due 2031. The offering is directed to qualified institutional buyers and certain non-U.S. persons, and it will be made in a manner that is exempt from registration under the Securities Act of 1933.
In a separate balance-sheet action, Velocity Financial has agreed to sell $133.2 million of non-performing loans. The company said this move accompanies its first third-party servicing arrangement and is expected to create a new revenue stream without requiring additional capital investment.
Prior-quarter performance
Velocity also reported that it beat expectations in the third quarter of 2025, posting diluted earnings per share of $0.65 compared with analysts' consensus of $0.57 for that period.
Context and takeaways
The insider sale by Taylor was executed at a price close to the market quote and represents a relatively small cash realization compared with his remaining stake. Meanwhile, the company’s preliminary quarterly results, planned note issuance, and the sale of non-performing loans outline multiple active capital-markets and credit-management initiatives in recent weeks. The fourth-quarter figures are labeled as preliminary and unaudited.