Frontdoor
FTDRNASDAQUSD
- Source valuation snapshot. Not a live recalculation.
- Latest filed annual earnings; price snapshot date unavailable. Not forward P/E.
- Diluted earnings per share from the latest filed annual.
- $98.50 Prior regular-session close from the quote source.
- $95.67–$98.69 Regular-session low and high so far today.
- 531.7K Regular-session shares traded · Nov 11, 4:00 PM ET.
- Not yet confirmed The company has not confirmed its next report date. Reported quarters are available in the chart’s Earnings view.
- $48.90–$103.07 52-week trading low and high returned by the quote source.
Understand the Business
Why the Stock Moved
Period-matched expectations history is not yet available. Current metrics are not a substitute for a historical explanation.
The core investment thesis
Own FTDR if Frontdoor is a scaled, brand-led home-warranty platform whose value depends on converting homeowners’ and builders’ desire to outsource repair risk into recurring revenue while keeping contractor and claims costs under control.
FTDR price history
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Investment thesis
What must happen next
Frontdoor’s multi-brand leadership in home warranties and new-home-builder warranties remains a real customer-acquisition advantage, so homeowners and builders keep routing repair-risk spending through its platform rather than self-insuring or choosing smaller alternatives.StrengtheningMateriality: High
Item 1/profile description identifies Frontdoor as the leading provider of home warranties and new home builder warranties in the United States, as measured by revenue. If this holds, Frontdoor can keep converting its category position into contract revenue; if it breaks, scale becomes less valuable and growth must be bought with price cuts or marketing spend.
Watch: Real-estate brokers, homebuilders or digital home-services platforms shift warranty placements away from American Home Shield, HSA, OneGuard, Landmark or 2-10 HBW to competing warranty providers.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Item 1/profile description identifies Frontdoor as the leading provider of home warranties and new home builder warranties in the United.
Open source ↗Frontdoor’s economic engine depends on pricing and coverage design staying ahead of appliance, HVAC, plumbing, electrical and contractor-labor claim costs, so scale must translate into a better claims-cost spread rather than just more contracts.StrengtheningMateriality: High
GAAP annual gross profit increased from $710 million in FY2022 to $1.157 billion in FY2025. This is the core margin claim: revenue growth creates value only if Frontdoor preserves the spread between warranty premiums and service costs.
Watch: HVAC, appliance, plumbing or electrical repair inflation accelerates faster than Frontdoor can reprice contracts.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
GAAP annual gross profit increased from $710 million in FY2022 to $1.157 billion in FY2025.
Open source ↗The warranty model continues to convert accounting earnings into cash because customers pay for protection before or around the period in which repair claims are serviced, and because the business does not appear to require heavy owned physical infrastructure to.StrengtheningMateriality: Medium
GAAP annual operating cash flow increased from $142 million in FY2022 to $416 million in FY2025. If cash conversion holds, Frontdoor can fund technology, marketing, service-network improvements, acquisitions or buybacks internally; if it fails, reported earnings become a weaker indicator of owner value.
Watch: Claims payments accelerate because repair frequency or severity rises before renewal pricing can catch up.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
GAAP annual operating cash flow increased from $142 million in FY2022 to $416 million in FY2025.
Open source ↗Frontdoor can create per-share value if scale, pricing and claims management produce operating leverage rather than requiring proportionate increases in overhead, service subsidies or dilution.StrengtheningMateriality: Medium
GAAP diluted EPS increased from $0.87 in FY2022 to $3.42 in FY2025. Owners ultimately need the platform advantage to show up in per-share earnings power, not only in larger revenue or gross profit dollars.
Watch: Frontdoor must raise service spending, contractor incentives or marketing materially to maintain customer satisfaction and renewal rates.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
GAAP diluted EPS increased from $0.87 in FY2022 to $3.42 in FY2025.
Open source ↗Frontdoor’s growing cash balance gives it strategic flexibility to absorb claims volatility, invest in service quality and customer acquisition, or pursue capital returns without immediately weakening the operating model.StrengtheningMateriality: Medium
Cash and cash equivalents increased from $262 million at FY2021 year-end to $566 million at FY2025 year-end. A liquid balance sheet can turn cash generation into resilience and optionality; if cash is consumed defensively, the equity story becomes more fragile.
Watch: A spike in claims, litigation or regulatory remediation consumes cash that would otherwise support growth or capital returns.
Supporting sources
Source notes are factual paraphrases; read the original disclosures below.
Cash and cash equivalents increased from $262 million at FY2021 year-end to $566 million at FY2025 year-end.
Open source ↗
Full investment case & evidence
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Original research
Frontdoor’s multi-brand leadership in home warranties and new-home-builder warranties remains a real customer-acquisition advantage, so homeowners and builders keep routing repair-risk spending through its platform rather than self-insuring or choosing smaller alternatives. If this holds, Frontdoor can keep converting its category position into contract revenue; if it breaks, scale becomes less valuable and growth must be bought with price cuts or marketing spend.
Frontdoor’s economic engine depends on pricing and coverage design staying ahead of appliance, HVAC, plumbing, electrical and contractor-labor claim costs, so scale must translate into a better claims-cost spread rather than just more contracts. This is the core margin claim: revenue growth creates value only if Frontdoor preserves the spread between warranty premiums and service costs.
The warranty model continues to convert accounting earnings into cash because customers pay for protection before or around the period in which repair claims are serviced, and because the business does not appear to require heavy owned physical infrastructure to. If cash conversion holds, Frontdoor can fund technology, marketing, service-network improvements, acquisitions or buybacks internally; if it fails, reported earnings become a weaker indicator of owner value.
Frontdoor can create per-share value if scale, pricing and claims management produce operating leverage rather than requiring proportionate increases in overhead, service subsidies or dilution. Owners ultimately need the platform advantage to show up in per-share earnings power, not only in larger revenue or gross profit dollars.
Frontdoor’s growing cash balance gives it strategic flexibility to absorb claims volatility, invest in service quality and customer acquisition, or pursue capital returns without immediately weakening the operating model. A liquid balance sheet can turn cash generation into resilience and optionality; if cash is consumed defensively, the equity story becomes more fragile.
All standing thesis claims
Original report summary
Frontdoor is a scaled, brand-led home-warranty platform whose value depends on converting homeowners’ and builders’ desire to outsource repair risk into recurring revenue while keeping contractor and claims costs under control.
Bull case and bear case
Bull case and bear case for Frontdoor
Where the evidence on Frontdoor stands: Strengthening on the latest evidence (Oct 12, 2026). Of its 5 thesis points, 5 strengthening.
Bull case: what the evidence supports
Frontdoor’s multi-brand leadership in home warranties and new-home-builder warranties remains a real customer-acquisition advantage, so homeowners and builders keep routing repair-risk spending through its platform rather than self-insuring or choosing smaller alternatives.
Frontdoor’s economic engine depends on pricing and coverage design staying ahead of appliance, HVAC, plumbing, electrical and contractor-labor claim costs, so scale must translate into a better claims-cost spread rather than just more contracts.
The warranty model continues to convert accounting earnings into cash because customers pay for protection before or around the period in which repair claims are serviced, and because the business does not appear to require heavy owned physical infrastructure to.
Frontdoor can create per-share value if scale, pricing and claims management produce operating leverage rather than requiring proportionate increases in overhead, service subsidies or dilution.
Frontdoor’s growing cash balance gives it strategic flexibility to absorb claims volatility, invest in service quality and customer acquisition, or pursue capital returns without immediately weakening the operating model.
Bear case: what would count against it
Real-estate brokers, homebuilders or digital home-services platforms shift warranty placements away from American Home Shield, HSA, OneGuard, Landmark or 2-10 HBW to competing warranty providers.
HVAC, appliance, plumbing or electrical repair inflation accelerates faster than Frontdoor can reprice contracts.
Claims payments accelerate because repair frequency or severity rises before renewal pricing can catch up.
Thesis-Break Engine
Thesis-break watch · Frontdoor
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MARKET + FINANCIAL SNAPSHOT
The numbers behind the thesis
What Changed
- MixedDirector or principal officer change.
Frontdoor filed an SEC 8-K on 2026-09-03: Director or principal officer change. It is a dated development that tests the current thesis.
- MixedReported results of operations (earnings release).
Frontdoor filed an SEC 8-K on 2026-08-06: Reported results of operations (earnings release). It is a dated development that tests the current thesis.
- MixedDirector or principal officer change.
Frontdoor filed an SEC 8-K on 2026-06-29: Director or principal officer change. It is a dated development that tests the current thesis.
Risks / falsifiers
What could break the thesis
- Real-estate brokers, homebuilders or digital home-services platforms shift warranty placements away from American Home Shield, HSA, OneGuard, Landmark or 2-10 HBW to competing warranty providers.
- HVAC, appliance, plumbing or electrical repair inflation accelerates faster than Frontdoor can reprice contracts.
- Claims payments accelerate because repair frequency or severity rises before renewal pricing can catch up.
- Frontdoor must raise service spending, contractor incentives or marketing materially to maintain customer satisfaction and renewal rates.
- A spike in claims, litigation or regulatory remediation consumes cash that would otherwise support growth or capital returns.
FTDR news
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Financial statements
FTDR income statement
Annual filed results · USD · Oldest to newest. Margins are calculated from the reported figures.
FTDR: quick answers
- Which well-known investors own FTDR?
- 1 of the 37 well-known funds tracked here reported FTDR shares in their latest 13F filing. By share of the fund's portfolio: Bridgewater Associates (Ray Dalio), 0.0%. Fund portfolios
FTDR in well-known investors’ portfolios
1 of 37 funds reported FTDR shares in their latest 13F filing. A 13F shows quarter-end positions and arrives up to 45 days later.
| Fund | Of its portfolio | Value | Change | Quarter |
|---|---|---|---|---|
| Ray DalioBridgewater Associates | 0.02% | $4.4M | −9.3% | Q2 2026 |