ATLANTICUS HOLDINGS CORP (ATLC) Stock Fundamental Analysis
NASDAQ:ATLC - Nasdaq - US04914Y1029 - Common Stock - Currency: USD
ATLC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 53 industry peers in the Consumer Finance industry. Both the profitability and the financial health of ATLC get a neutral evaluation. Nothing too spectacular is happening here. 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.
In the past year ATLC had a positive cash flow from operations.
In the past 5 years ATLC has always been profitable.
Each year in the past 5 years ATLC had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.92%, ATLC is in the better half of the industry, outperforming 62.26% of the companies in the same industry.
Looking at the Return On Equity, with a value of 16.66%, ATLC is in the better half of the industry, outperforming 66.04% of the companies in the same industry.
ATLC has a Return On Invested Capital (3.82%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for ATLC is significantly below the industry average of 10.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 16.66% | ||
| ROIC | 3.82% |
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 15.56%. This is in the better half of the industry: ATLC outperforms 71.70% of its industry peers.
ATLC's Profit Margin has improved in the last couple of years.
The Operating Margin of ATLC (23.91%) is better than 75.47% of its industry peers.
In the last couple of years the Operating Margin of ATLC has grown nicely.
With a Gross Margin value of 51.67%, ATLC perfoms like the industry average, outperforming 50.94% of the companies in the same industry.
In the last couple of years the Gross Margin of ATLC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.91% | ||
| PM (TTM) | 15.56% | ||
| GM | 51.67% |
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.
The number of shares outstanding for ATLC has been increased compared to 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 0.76, we must say that ATLC is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of ATLC (0.76) is comparable to the rest of the industry.
ATLC has a debt to FCF ratio of 5.18. This is a neutral value as ATLC would need 5.18 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.18, ATLC is in the better half of the industry, outperforming 66.04% of the companies in the same industry.
ATLC has a Debt/Equity ratio of 4.32. This is a high value indicating a heavy dependency on external financing.
ATLC has a worse Debt to Equity ratio (4.32) than 69.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.32 | ||
| Debt/FCF | 5.18 | ||
| Altman-Z | 0.76 |
ROIC/WACC0.48
WACC8.05%
2.3 Liquidity
ATLC has a Current Ratio of 1.68. This is a normal value and indicates that ATLC is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of ATLC (1.68) is better than 62.26% of its industry peers.
ATLC has a Quick Ratio of 1.68. This is a normal value and indicates that ATLC is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.68, ATLC is doing good in the industry, outperforming 62.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
ATLC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.10%, which is quite impressive.
The Earnings Per Share has been growing by 22.82% on average over the past years. This is a very strong growth
The Revenue has grown by 26.02% in the past year. This is a very strong growth!
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)23.1%
EPS 3Y-14.56%
EPS 5Y22.82%
EPS Q2Q%36.7%
Revenue 1Y (TTM)26.02%
Revenue growth 3Y2.98%
Revenue growth 5Y10.83%
Sales Q2Q%18.73%
3.2 Future
ATLC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 35.56% yearly.
Based on estimates for the next years, ATLC will show a quite strong growth in Revenue. The Revenue will grow by 18.37% on average per year.
EPS Next Y25.46%
EPS Next 2Y28.25%
EPS Next 3Y35.56%
EPS Next 5YN/A
Revenue Next Year11.5%
Revenue Next 2Y11.71%
Revenue Next 3Y18.37%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.41, the valuation of ATLC can be described as reasonable.
Based on the Price/Earnings ratio, ATLC is valued a bit cheaper than 60.38% of the companies in the same industry.
ATLC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.19.
ATLC is valuated cheaply with a Price/Forward Earnings ratio of 6.86.
77.36% of the companies in the same industry are more expensive than ATLC, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.33, ATLC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 6.86 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ATLC.
Based on the Price/Free Cash Flow ratio, ATLC is valued cheaper than 86.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.7 | ||
| EV/EBITDA | 19.47 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ATLC has a very decent profitability rating, which may justify a higher PE ratio.
ATLC's earnings are expected to grow with 35.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.41
PEG (5Y)0.46
EPS Next 2Y28.25%
EPS Next 3Y35.56%
5. Dividend
5.1 Amount
ATLC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
53.81
-1.59 (-2.87%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners20.21%
Inst Owner Change0%
Ins Owners37.61%
Ins Owner Change-0.74%
Market Cap814.15M
Analysts83.08
Price Target69.51 (29.18%)
Short Float %5.41%
Short Ratio4.46
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend1.74
Dividend Growth(5Y)29.87%
DP26.3%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.98%
Min EPS beat(2)-1.55%
Max EPS beat(2)9.5%
EPS beat(4)3
Avg EPS beat(4)3.88%
Min EPS beat(4)-1.55%
Max EPS beat(4)9.5%
EPS beat(8)6
Avg EPS beat(8)8.07%
EPS beat(12)8
Avg EPS beat(12)3.77%
EPS beat(16)10
Avg EPS beat(16)6.78%
Revenue beat(2)0
Avg Revenue beat(2)-2.46%
Min Revenue beat(2)-2.55%
Max Revenue beat(2)-2.38%
Revenue beat(4)1
Avg Revenue beat(4)0.01%
Min Revenue beat(4)-2.55%
Max Revenue beat(4)5.38%
Revenue beat(8)2
Avg Revenue beat(8)-0.99%
Revenue beat(12)2
Avg Revenue beat(12)-15.9%
Revenue beat(16)2
Avg Revenue beat(16)-19.68%
PT rev (1m)0%
PT rev (3m)4.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.56%
EPS NY rev (1m)-4.02%
EPS NY rev (3m)-4.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.22%
Revenue NY rev (1m)-0.86%
Revenue NY rev (3m)-0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 6.86 | ||
| P/S | 1.33 | ||
| P/FCF | 1.7 | ||
| P/OCF | 1.69 | ||
| P/B | 1.42 | ||
| P/tB | 1.42 | ||
| EV/EBITDA | 19.47 |
EPS(TTM)5.17
EY9.61%
EPS(NY)7.85
Fwd EY14.58%
FCF(TTM)31.58
FCFY58.68%
OCF(TTM)31.87
OCFY59.23%
SpS40.53
BVpS37.85
TBVpS37.85
PEG (NY)0.41
PEG (5Y)0.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 16.66% | ||
| ROCE | 4.82% | ||
| ROIC | 3.82% | ||
| ROICexc | 4.32% | ||
| ROICexgc | 4.32% | ||
| OM | 23.91% | ||
| PM (TTM) | 15.56% | ||
| GM | 51.67% | ||
| FCFM | 77.91% |
ROA(3y)3.39%
ROA(5y)4.91%
ROE(3y)17.73%
ROE(5y)25.03%
ROIC(3y)4.28%
ROIC(5y)6.32%
ROICexc(3y)5.02%
ROICexc(5y)7.67%
ROICexgc(3y)5.02%
ROICexgc(5y)7.67%
ROCE(3y)5.4%
ROCE(5y)7.96%
ROICexcg growth 3Y-33.18%
ROICexcg growth 5Y3.48%
ROICexc growth 3Y-33.18%
ROICexc growth 5Y3.48%
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%
F-Score6
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.32 | ||
| Debt/FCF | 5.18 | ||
| Debt/EBITDA | 16.26 | ||
| Cap/Depr | 79.55% | ||
| Cap/Sales | 0.72% | ||
| Interest Coverage | 0.94 | ||
| Cash Conversion | 316.89% | ||
| Profit Quality | 500.63% | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 0.76 |
F-Score6
WACC8.05%
ROIC/WACC0.48
Cap/Depr(3y)78.44%
Cap/Depr(5y)105.61%
Cap/Sales(3y)0.74%
Cap/Sales(5y)0.74%
Profit Quality(3y)476.8%
Profit Quality(5y)367.48%
High Growth Momentum
Growth
EPS 1Y (TTM)23.1%
EPS 3Y-14.56%
EPS 5Y22.82%
EPS Q2Q%36.7%
EPS Next Y25.46%
EPS Next 2Y28.25%
EPS Next 3Y35.56%
EPS Next 5YN/A
Revenue 1Y (TTM)26.02%
Revenue growth 3Y2.98%
Revenue growth 5Y10.83%
Sales Q2Q%18.73%
Revenue Next Year11.5%
Revenue Next 2Y11.71%
Revenue Next 3Y18.37%
Revenue Next 5YN/A
EBIT growth 1Y15.16%
EBIT growth 3Y-17.74%
EBIT growth 5Y34.23%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y32.9%
FCF growth 3Y31.57%
FCF growth 5Y36.22%
OCF growth 1Y31.35%
OCF growth 3Y30.26%
OCF growth 5Y36.24%