The after-hours decline in OppFi Inc. (OPFI) stock can be attributed to recent insider selling activity. On December 2, 2024, David Vennettilli, a Director at OppFi, sold 22,301 shares of the company. This transaction is part of a broader trend, as Vennettilli has sold a total of 161,187 shares over the past year without making any purchases. The insider transaction history for OppFi indicates a pattern of selling, with zero insider buys and five insider sells over the same period. Such insider selling can often be perceived negatively by investors, potentially leading to a decline in stock price.
Additionally, the digital lending sector, in which OppFi operates, is facing challenges that may be impacting investor sentiment. The sector is experiencing a slowdown in growth and an increase in bad loans due to heightened regulatory scrutiny. The Reserve Bank of India has indicated a preference for limiting growth in unsecured lending, which could affect companies like OppFi that are involved in fintech lending. This regulatory environment may be contributing to concerns about the future performance of companies in this sector.
OppFi's stock fell 0.9% to $7.66 in after-hours trading, following a close at $7.73 on December 4, 2024.