Altisource Portfolio Solutions S.A.

The stable outlook on Altisource reflects S&P Global Ratings' view that it will continue to execute on its strategy to grow non-Ocwen-related revenues and that management will continue to look for ways to maintain leverage. We expect revenues will remain concentrated in products and services that are focused on the domestic mortgage and real estate industry, an industry that will limit our assessment of Altisource's business risk over the long term. Additionally, we expect that the firm will operate with a debt-to-EBITDA ratio of above 3.0x during the next 12 months. Although unlikely, we could raise the rating during the next 12 months if Altisource maintains stable leverage while growing EBITDA meaningfully. We could lower the rating during the next

...Altisource Portfolio Solutions S.A. has been able to generate enough cash to support operations and pay down debt. After refinancing its debt to ease its ability to make pay downs and to extend the term to April 2024, Altisource has been able to pay down debt to keep leverage consistent despite declines in EBITDA. We expect EBITDA declines to stop in the next two years. After years of EBITDA declines since 2014 due to declines in the Ocwen portfolio, we expect EBITDA to stabilize in the next two years as non-Ocwen revenues grow and the company benefits from expense decreases due to project catalyst....

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