Hoist Finance (OM:HOFI) Stock Q2 Net Margin Strengthens Bearish Earnings Quality Narratives

Hoist Finance (OM:HOFI) has reported a strong Q2 2026, with revenue of SEK1.3b and basic EPS of SEK5.42, setting a clear marker for the quarter. The company has seen revenue move from SEK1,016m and EPS of SEK2.43 in Q2 2025 to SEK1.3b and SEK5.42 respectively in Q2 2026, alongside trailing 12 month EPS of SEK15.84, which frames the latest results against a much higher earnings base. With trailing net profit margins running at 28.4% versus 20.2% a year earlier, this set of numbers points to a quarter where profitability contributed more to performance for Hoist Finance than simple top line expansion.

See our full analysis for Hoist Finance.

The next step is to look at how these results align with the key Hoist Finance narratives, setting the reported growth and margins against what the market has been expecting and discussing over the past year.

See what the community is saying about Hoist Finance

Hoist Finance margins hold at 28.4%

• Over the last 12 months, Hoist Finance generated net income of SEK1,385 million on SEK4,878 million of revenue, which works out to a 28.4% net profit margin compared with 20.2% a year earlier.
• Consensus narrative suggests higher efficiency and a larger non performing loan portfolio can support margins. The recent 61.4% earnings growth year on year together with trailing EPS of SEK15.84 gives numbers that
  • align with the view that cost control and automation are feeding through to profitability, given net income moved from SEK858 million to SEK1,385 million on a similar revenue base of a little over SEK4.8b, and
  • challenge the concern that rising funding costs will immediately squeeze returns, because the reported margin is higher even with net funding costs flagged as 4.4% of book value in earlier periods.

Curious how that 28.4% margin and SEK1,385 million of net income shape the long term story for Hoist Finance, and how other investors are interpreting it right now, check out the 📊 Read the what the Community is saying about Hoist Finance.

Hoist Finance EPS trend and bearish worries

• Quarterly EPS moved from SEK2.32 in Q1 2025 to SEK5.42 in Q2 2026, and on a trailing basis EPS of SEK15.84 compares with SEK9.84 a year earlier, alongside trailing revenue that moved from SEK4,255 million to SEK4,878 million.
• Bears argue that a larger secured non performing loan book and sensitivity to collateral values could weigh on future earnings quality. At the same time, the current 28.4% net margin and 5 year average earnings growth of 49.2% per year present a backdrop that
  • highlights how recent collection performance and portfolio growth have supported earnings so far, with net income rising from SEK858 million to SEK1,385 million on the trailing view, and
  • leaves their caution focused on whether outcomes like 105% to 108% collection performance on older periods can be repeated, given those figures supported earnings of SEK1.1b previously against the SEK1.5b target some bearish analysts expect by 2029.

Skeptics point to leverage and NPL exposure, but the current profitability profile means their case depends heavily on future collection and funding trends, not on Q2 2026 figures alone. 🐻 Hoist Finance Bear Case

Hoist Finance valuation versus growth profile

• At a share price of SEK207.60, Hoist Finance is trading below both a DCF fair value of SEK241.41 and an analyst price target of SEK211.00, while its trailing P/E of 13.1x sits under the 16.9x peer average but above the 9.8x broader European consumer finance industry level.
• Supporters of the bullish angle point to forecast revenue growth of about 10.9% per year and earnings growth of about 7.69% per year, both ahead of the Swedish market figures of revenue falling 1.5% per year and earnings growing 7%. That view
  • leans on the combination of a 61.4% trailing earnings growth rate and a P/E below peers as evidence that current pricing does not fully reflect recent profitability, and
  • has to balance that with the high debt flag, which means part of the valuation gap to the DCF fair value of SEK241.41 may also be tied to leverage risk rather than only to growth expectations.

If you want to see how those growth forecasts and valuation metrics are feeding into the optimistic case on Hoist Finance in more depth, including how other investors frame the upside versus the debt risk, take a look at the 🐂 Hoist Finance Bull Case

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Hoist Finance on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

If the mixed tone around Hoist Finance has you weighing both the risks and the upside, check the data yourself and decide where you stand, then round out your view with the 3 key rewards and 1 important warning sign

See What Else Is Out There

Hoist Finance carries a high debt flag, and some investors question whether earnings quality and collection performance can keep supporting its 28.4% net margin.

If that leverage and earnings quality debate makes you cautious, compare Hoist Finance with companies screened for stronger financial resilience using the solid balance sheet and fundamentals stocks screener (418 results).

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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