CREDIT ACCEPTANCE CORP (CACC) Fundamental Analysis & Valuation
NASDAQ:CACC • US2253101016
497.88 USD
-13.4 (-2.62%)
At close: Mar 6, 2026
497.88 USD
0 (0%)
After Hours: 3/6/2026, 8:04:04 PM
This CACC fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall CACC gets a fundamental rating of 4 out of 10. We evaluated CACC against 54 industry peers in the Consumer Finance industry. While CACC is still in line with the averages on profitability rating, there are concerns on its financial health. CACC has a correct valuation and a medium growth rate.
1. CACC Profitability Analysis
1.1 Basic Checks
- CACC had positive earnings in the past year.
- CACC had a positive operating cash flow in the past year.
- Each year in the past 5 years CACC has been profitable.
- CACC 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 5.25%, CACC is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- With an excellent Return On Equity value of 28.75%, CACC belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- CACC's Return On Invested Capital of 10.26% is fine compared to the rest of the industry. CACC outperforms 77.78% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for CACC is below the industry average of 12.33%.
- The last Return On Invested Capital (10.26%) for CACC is above the 3 year average (8.37%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.25% | ||
| ROE | 28.75% | ||
| ROIC | 10.26% |
ROA(3y)3.82%
ROA(5y)6.56%
ROE(3y)19.44%
ROE(5y)28.77%
ROIC(3y)8.37%
ROIC(5y)10.12%
1.3 Margins
- The Profit Margin of CACC (19.71%) is better than 72.22% of its industry peers.
- CACC's Profit Margin has declined in the last couple of years.
- CACC has a better Operating Margin (46.10%) than 96.30% of its industry peers.
- CACC's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 46.1% | ||
| PM (TTM) | 19.71% | ||
| GM | N/A |
OM growth 3Y-2.54%
OM growth 5Y-1.21%
PM growth 3Y-14.47%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
2. CACC Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CACC is still creating some value.
- Compared to 1 year ago, CACC has less shares outstanding
- CACC has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for CACC is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.21, we must say that CACC is in the distress zone and has some risk of bankruptcy.
- CACC's Altman-Z score of 1.21 is fine compared to the rest of the industry. CACC outperforms 68.52% of its industry peers.
- CACC has a debt to FCF ratio of 5.86. This is a neutral value as CACC would need 5.86 years to pay back of all of its debts.
- CACC's Debt to FCF ratio of 5.86 is fine compared to the rest of the industry. CACC outperforms 70.37% of its industry peers.
- A Debt/Equity ratio of 3.73 is on the high side and indicates that CACC has dependencies on debt financing.
- The Debt to Equity ratio of CACC (3.73) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.73 | ||
| Debt/FCF | 5.86 | ||
| Altman-Z | 1.21 |
ROIC/WACC1.36
WACC7.53%
2.3 Liquidity
- CACC has a Current Ratio of 0.03. This is a bad value and indicates that CACC is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.03, CACC is not doing good in the industry: 79.63% of the companies in the same industry are doing better.
- CACC has a Quick Ratio of 0.03. This is a bad value and indicates that CACC is not financially healthy enough and could expect problems in meeting its short term obligations.
- CACC has a Quick ratio of 0.03. This is in the lower half of the industry: CACC underperforms 79.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 |
3. CACC Growth Analysis
3.1 Past
- CACC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.23%.
- The Earnings Per Share has been growing by 8.73% on average over the past years. This is quite good.
- CACC shows a small growth in Revenue. In the last year, the Revenue has grown by 7.16%.
- Measured over the past years, CACC shows a small growth in Revenue. The Revenue has been growing by 6.78% on average per year.
EPS 1Y (TTM)-6.23%
EPS 3Y-2.47%
EPS 5Y8.73%
EPS Q2Q%-12.29%
Revenue 1Y (TTM)7.16%
Revenue growth 3Y8.14%
Revenue growth 5Y6.78%
Sales Q2Q%2.47%
3.2 Future
- The Earnings Per Share is expected to grow by 20.21% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 2.03% on average over the next years.
EPS Next Y26.24%
EPS Next 2Y20.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.51%
Revenue Next 2Y2.03%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. CACC Valuation Analysis
4.1 Price/Earnings Ratio
- CACC is valuated correctly with a Price/Earnings ratio of 13.78.
- CACC's Price/Earnings ratio is a bit more expensive when compared to the industry. CACC is more expensive than 61.11% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.29. CACC is valued slightly cheaper when compared to this.
- A Price/Forward Earnings ratio of 10.92 indicates a reasonable valuation of CACC.
- CACC's Price/Forward Earnings is on the same level as the industry average.
- CACC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.78 | ||
| Fwd PE | 10.92 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CACC indicates a somewhat cheap valuation: CACC is cheaper than 64.81% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, CACC is valued a bit cheaper than the industry average as 64.81% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.89 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
- CACC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- CACC has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as CACC's earnings are expected to grow with 20.21% in the coming years.
PEG (NY)0.53
PEG (5Y)1.58
EPS Next 2Y20.21%
EPS Next 3YN/A
5. CACC Dividend Analysis
5.1 Amount
- CACC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CACC Fundamentals: All Metrics, Ratios and Statistics
497.88
-13.4 (-2.62%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)01-29 2026-01-29/amc
Earnings (Next)04-28 2026-04-28/amc
Inst Owners78.38%
Inst Owner Change8.5%
Ins Owners19.88%
Ins Owner Change3.35%
Market Cap5.35B
Revenue(TTM)2.32B
Net Income(TTM)453.90M
Analysts47.5
Price Target476 (-4.39%)
Short Float %22.54%
Short Ratio6.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.41%
Min EPS beat(2)-13.27%
Max EPS beat(2)-3.54%
EPS beat(4)1
Avg EPS beat(4)0.95%
Min EPS beat(4)-13.27%
Max EPS beat(4)25.8%
EPS beat(8)4
Avg EPS beat(8)6.6%
EPS beat(12)5
Avg EPS beat(12)-1.48%
EPS beat(16)7
Avg EPS beat(16)-4.03%
Revenue beat(2)0
Avg Revenue beat(2)-2.78%
Min Revenue beat(2)-3.69%
Max Revenue beat(2)-1.88%
Revenue beat(4)1
Avg Revenue beat(4)-0.25%
Min Revenue beat(4)-3.69%
Max Revenue beat(4)6.16%
Revenue beat(8)3
Avg Revenue beat(8)1.96%
Revenue beat(12)4
Avg Revenue beat(12)0.79%
Revenue beat(16)5
Avg Revenue beat(16)0.37%
PT rev (1m)0.25%
PT rev (3m)1.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.64%
EPS NY rev (1m)2.66%
EPS NY rev (3m)6.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)-1.04%
Revenue NY rev (3m)-2.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.78 | ||
| Fwd PE | 10.92 | ||
| P/S | 2.31 | ||
| P/FCF | 4.89 | ||
| P/OCF | 4.88 | ||
| P/B | 3.37 | ||
| P/tB | 3.37 | ||
| EV/EBITDA | 10.85 |
EPS(TTM)36.13
EY7.26%
EPS(NY)45.61
Fwd EY9.16%
FCF(TTM)101.78
FCFY20.44%
OCF(TTM)101.96
OCFY20.48%
SpS215.66
BVpS147.81
TBVpS147.81
PEG (NY)0.53
PEG (5Y)1.58
Graham Number346.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.25% | ||
| ROE | 28.75% | ||
| ROCE | 13.67% | ||
| ROIC | 10.26% | ||
| ROICexc | 10.29% | ||
| ROICexgc | 10.33% | ||
| OM | 46.1% | ||
| PM (TTM) | 19.71% | ||
| GM | N/A | ||
| FCFM | 47.2% |
ROA(3y)3.82%
ROA(5y)6.56%
ROE(3y)19.44%
ROE(5y)28.77%
ROIC(3y)8.37%
ROIC(5y)10.12%
ROICexc(3y)8.52%
ROICexc(5y)10.22%
ROICexgc(3y)8.56%
ROICexgc(5y)10.29%
ROCE(3y)11.14%
ROCE(5y)13.48%
ROICexgc growth 3Y-1.97%
ROICexgc growth 5Y3%
ROICexc growth 3Y-1.83%
ROICexc growth 5Y3%
OM growth 3Y-2.54%
OM growth 5Y-1.21%
PM growth 3Y-14.47%
PM growth 5Y-6.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.73 | ||
| Debt/FCF | 5.86 | ||
| Debt/EBITDA | 5.41 | ||
| Cap/Depr | 6.93% | ||
| Cap/Sales | 0.08% | ||
| Interest Coverage | 2.43 | ||
| Cash Conversion | 99.98% | ||
| Profit Quality | 239.48% | ||
| Current Ratio | 0.03 | ||
| Quick Ratio | 0.03 | ||
| Altman-Z | 1.21 |
F-Score7
WACC7.53%
ROIC/WACC1.36
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.23%
EPS 3Y-2.47%
EPS 5Y8.73%
EPS Q2Q%-12.29%
EPS Next Y26.24%
EPS Next 2Y20.21%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.16%
Revenue growth 3Y8.14%
Revenue growth 5Y6.78%
Sales Q2Q%2.47%
Revenue Next Year0.51%
Revenue Next 2Y2.03%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y59.22%
EBIT growth 3Y5.4%
EBIT growth 5Y5.49%
EBIT Next Year-6.64%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-4.68%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-4.75%
OCF growth 3YN/A
OCF growth 5YN/A
CREDIT ACCEPTANCE CORP / CACC FAQ
Can you provide the ChartMill fundamental rating for CREDIT ACCEPTANCE CORP?
ChartMill assigns a fundamental rating of 4 / 10 to CACC.
What is the valuation status of CREDIT ACCEPTANCE CORP (CACC) stock?
ChartMill assigns a valuation rating of 6 / 10 to CREDIT ACCEPTANCE CORP (CACC). This can be considered as Fairly Valued.
What is the profitability of CACC stock?
CREDIT ACCEPTANCE CORP (CACC) has a profitability rating of 6 / 10.
Can you provide the financial health for CACC stock?
The financial health rating of CREDIT ACCEPTANCE CORP (CACC) is 3 / 10.