goeasy

The business

goeasy lends to non-prime and near-prime Canadian consumers through three channels: easyfinancial (unsecured and secured personal loans), easyhome (lease-to-own merchandise), and LendCare (point-of-sale financing across auto, powersports, retail and healthcare).

It historically ran a consumer-loan book of roughly C$4–5 billion and was one of the TSX's longest-running dividend growers before a sharp 2025-2026 credit deterioration.

Revenue is still growing (~C$413M in Q1 2026, up ~2% YoY), but earnings have collapsed under elevated loan-loss provisions.

The moat

Scale leadership in an underserved non-prime niche that the big banks largely avoid, with proprietary credit-scoring models built on 20+ years of loan-performance data.

Omnichannel distribution (branches, online, and thousands of merchant partners via LendCare) and diversified funding.

That moat is currently being tested: the 2025-2026 credit event shows the model's cyclicality and sensitivity to consumer stress.

Financial snapshot

Most recent reported period : Q1 FY2026 (ended Mar 31, 2026). Figures reflect the review date — confirm current numbers before acting.

Free cash flow yield & sustainable growth

Earnings yield : ≈-33.4%Trailing-twelve-month diluted EPS of roughly -C$16.30 on a ~C$48.73 share price gives a negative earnings yield (~-33%); TTM net loss ~C$270M following a ~C$337M Q4 2025 charge. P/E is not meaningful.

For a balance-sheet lender, sustainable growth is governed by loan-book growth, net charge-off rates, and access to funding — all of which deteriorated sharply into 2026.

Historical earnings-per-share compounding (mid-teens for years) has reversed; a return to growth requires provisioning to normalize.

See the full earnings-yield ranking →

Valuation & what to watch

With a trailing net loss, the P/E is not meaningful and the trailing earnings yield is deeply negative (~ -33%).

The stock now trades far below prior levels; any bull case depends on whether the credit book stabilizes and earnings recover toward historical run-rates. Verify all figures against goeasy's actual filings before relying on them.

Dividend

goeasy raised its dividend for more than a decade (C$5.84 annualized in 2025). Following the Q4 2025 loss, market-data sources show a yield in roughly the 6–9% range on the depressed price, but the reported per-share figure varies by source and the payout's sustainability is now in question — treat any specific yield as unverified.

Risks & the bear case

• A severe, reported credit event (large Q4 2025 charge and Q1 2026 loss) that may not be fully worked through.
• Non-prime borrowers are highly sensitive to unemployment and rate stress; further consumer deterioration would compound losses.
• Funding-cost and covenant risk if losses continue, and possible pressure on the dividend.

Recent developments

Q4 2025 produced a net loss of ~C$337M (EPS -C$20.49), with market commentary citing elevated net charge-offs and weakness in merchant-originated lending.

Q1 2026 (reported ~May 2026) showed a smaller net loss of ~C$53M on revenue of ~C$413M — revenue still growing but earnings negative.

Shares trade near C$48.73 with a market cap around C$0.78B, down sharply from 2025.

Verdict

goeasy has gone from a decade-long compounding story to a distressed one almost overnight: a large reported credit charge in Q4 2025 wiped out a year of profits and cut the share price by roughly 70%. The revenue franchise is intact and the non-prime niche remains real, but the central question is whether the credit deterioration is a one-off cleanup or a structural problem in the loan book — and that cannot be answered from market data alone. This is a high-uncertainty situation where the reported numbers demand extra scrutiny. CoinCompass is a publisher, not an adviser; read goeasy's primary filings and press releases before drawing conclusions.