52.03 USD
-1.3 (-2.44%)
Overall ATLC gets a fundamental rating of 5 out of 10. We evaluated ATLC against 53 industry peers in the Consumer Finance industry. There are concerns on the financial health of ATLC while its profitability can be described as average. ATLC has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
1. Profitability
1.1 Basic Checks
- In the past year ATLC was profitable.
- ATLC had a positive operating cash flow in the past year.
- ATLC had positive earnings in each of the past 5 years.
- ATLC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 1.49%, ATLC is doing worse than 62.26% of the companies in the same industry.
- ATLC has a better Return On Equity (16.73%) than 60.38% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 1.83%, ATLC is in line with its industry, outperforming 45.28% of the companies in the same industry.
- ATLC had an Average Return On Invested Capital over the past 3 years of 4.28%. This is significantly below the industry average of 12.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 16.73% | ||
| ROIC | 1.83% |
ROA(3y)3.39%
ROA(5y)4.91%
ROE(3y)17.73%
ROE(5y)25.03%
ROIC(3y)4.28%
ROIC(5y)6.32%
1.3 Margins
- ATLC has a Profit Margin of 14.39%. This is comparable to the rest of the industry: ATLC outperforms 56.60% of its industry peers.
- ATLC's Profit Margin has improved in the last couple of years.
- The Operating Margin of ATLC (20.97%) is better than 66.04% of its industry peers.
- ATLC's Operating Margin has improved in the last couple of years.
- ATLC has a Gross Margin (50.44%) which is in line with its industry peers.
- ATLC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.97% | ||
| PM (TTM) | 14.39% | ||
| GM | 50.44% |
OM growth 3Y-20.12%
OM growth 5Y21.12%
PM growth 3Y-19.87%
PM growth 5Y15.61%
GM growth 3Y-11.81%
GM growth 5Y-6.11%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ATLC is destroying value.
- ATLC has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ATLC has less shares outstanding
- The debt/assets ratio for ATLC is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 0.35, we must say that ATLC is in the distress zone and has some risk of bankruptcy.
- ATLC has a Altman-Z score (0.35) which is comparable to the rest of the industry.
- The Debt to FCF ratio of ATLC is 12.37, which is on the high side as it means it would take ATLC, 12.37 years of fcf income to pay off all of its debts.
- ATLC's Debt to FCF ratio of 12.37 is in line compared to the rest of the industry. ATLC outperforms 50.94% of its industry peers.
- ATLC has a Debt/Equity ratio of 9.59. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of ATLC (9.59) is worse than 84.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 9.59 | ||
| Debt/FCF | 12.37 | ||
| Altman-Z | 0.35 |
ROIC/WACC0.23
WACC7.97%
2.3 Liquidity
- A Current Ratio of 1.15 indicates that ATLC should not have too much problems paying its short term obligations.
- ATLC has a Current ratio (1.15) which is in line with its industry peers.
- ATLC has a Quick Ratio of 1.15. This is a normal value and indicates that ATLC is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.15, ATLC is in line with its industry, outperforming 49.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.15 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 27.66% over the past year.
- Measured over the past years, ATLC shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.82% on average per year.
- Looking at the last year, ATLC shows a very strong growth in Revenue. The Revenue has grown by 36.98%.
- Measured over the past years, ATLC shows a quite strong growth in Revenue. The Revenue has been growing by 10.83% on average per year.
EPS 1Y (TTM)27.66%
EPS 3Y-14.56%
EPS 5Y22.82%
EPS Q2Q%-4.72%
Revenue 1Y (TTM)36.98%
Revenue growth 3Y2.98%
Revenue growth 5Y10.83%
Sales Q2Q%40.84%
3.2 Future
- The Earnings Per Share is expected to grow by 33.96% on average over the next years. This is a very strong growth
- Based on estimates for the next years, ATLC will show a very strong growth in Revenue. The Revenue will grow by 36.35% on average per year.
EPS Next Y25.5%
EPS Next 2Y36.83%
EPS Next 3Y33.96%
EPS Next 5YN/A
Revenue Next Year50.56%
Revenue Next 2Y55.6%
Revenue Next 3Y36.35%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 9.24 indicates a reasonable valuation of ATLC.
- Compared to the rest of the industry, the Price/Earnings ratio of ATLC is on the same level as its industry peers.
- When comparing the Price/Earnings ratio of ATLC to the average of the S&P500 Index (28.82), we can say ATLC is valued rather cheaply.
- A Price/Forward Earnings ratio of 5.83 indicates a rather cheap valuation of ATLC.
- 79.25% of the companies in the same industry are more expensive than ATLC, based on the Price/Forward Earnings ratio.
- ATLC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.95.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.24 | ||
| Fwd PE | 5.83 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ATLC indicates a slightly more expensive valuation: ATLC is more expensive than 62.26% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ATLC indicates a rather cheap valuation: ATLC is cheaper than 84.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.61 | ||
| EV/EBITDA | 39.97 |
4.3 Compensation for Growth
- ATLC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ATLC's earnings are expected to grow with 33.96% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)0.4
EPS Next 2Y36.83%
EPS Next 3Y33.96%
5. Dividend
5.1 Amount
- ATLC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ATLANTICUS HOLDINGS CORP / ATLC FAQ
What is the fundamental rating for ATLC stock?
ChartMill assigns a fundamental rating of 5 / 10 to ATLC.
What is the valuation status for ATLC stock?
ChartMill assigns a valuation rating of 7 / 10 to ATLANTICUS HOLDINGS CORP (ATLC). This can be considered as Undervalued.
How profitable is ATLANTICUS HOLDINGS CORP (ATLC) stock?
ATLANTICUS HOLDINGS CORP (ATLC) has a profitability rating of 5 / 10.
What is the earnings growth outlook for ATLANTICUS HOLDINGS CORP?
The Earnings per Share (EPS) of ATLANTICUS HOLDINGS CORP (ATLC) is expected to grow by 25.5% in the next year.
How sustainable is the dividend of ATLANTICUS HOLDINGS CORP (ATLC) stock?
The dividend rating of ATLANTICUS HOLDINGS CORP (ATLC) is 0 / 10 and the dividend payout ratio is 15.33%.