NewtekOne came into this earnings print with the stock already under pressure, down over the past month and quarter, and it slipped another 1.2% today to US$12.73. That cool reaction sits against a quarter where the headline story is earnings power holding up as the bank centric model scales. Basic earnings per share for Q2 landed at about US$0.48 on revenue a little above US$100m, and trailing twelve month earnings from continuing operations remained solid. For a stock that trades on a low single digit P/E, that gap between price and profit will be the debate from here.

Is NewtekOne trading at a genuine value level on a mid single digit P/E, or is the low share price a warning about earnings quality and interest costs? See how that…