Eric Jackson Backs Better Home & Finance, Shares Skyrocket
Eric Jackson, renowned hedge fund manager and founder of EMJ Capital, publicly endorsed Better Home & Finance Holding Co. on Monday, describing the company as “the Shopify of mortgages.” Following his recommendation, Better Home’s shares surged 46.6%, at one point more than doubling in value during the trading session. The New York-based mortgage lender had already gained over 36% in the previous week, bringing its market capitalization to slightly above $500 million by Friday’s close, according to FactSet data.AI-Driven Mortgage Lending: A $15 Trillion Opportunity
Jackson emphasized Better Home’s innovative approach, leveraging artificial intelligence to transform the traditional mortgage industry, which he estimates to be a $15 trillion market. He highlighted that the company is effectively rebuilding this sector from the ground up.“Better Home is rebuilding a $15 trillion industry from scratch using artificial intelligence,” Jackson stated, underscoring the firm’s growth potential.
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Valuation Comparison: Better Home vs. Figure Technology
Jackson contrasted Better Home’s valuation with that of Figure Technology Solutions, a recently public blockchain lender. While Figure trades at 19 times projected 2026 sales, Better Home is valued at a modest 1 times sales despite faster growth.“$FIGR just IPO’ed & trades at 19× 2026 sales. BETR trades at just 1× — but is growing faster than FIGR,” Jackson noted.
He further expressed a bullish outlook, suggesting Better Home could experience exponential growth akin to other high-profile stocks.“I believe BETR is a potential 350-bagger in 2 years. They laugh at BETR now at $34 like they laughed at CVNA at $3.50 and OPEN at 51¢. But this is no meme.”
FinOracleAI — Market View
Better Home & Finance’s recent surge highlights growing investor interest in AI-driven mortgage solutions amid a traditionally slow-evolving industry. Jackson’s endorsement adds credibility, though the stock’s volatility warrants caution.- Opportunities: Rapid adoption of AI in mortgage processing could drive significant market share gains.
- Valuation Upside: Substantially lower multiples compared to peers suggest room for re-rating.
- Sector Disruption: Potential to redefine mortgage origination and servicing with technology.
- Risks: Execution challenges in scaling AI solutions and regulatory scrutiny in the mortgage sector.
- Market Sentiment: Elevated volatility driven by social media-driven hype and speculative trading.
