210.79 USD
-6 (-2.77%)
213 USD
+2.21 (+1.05%)
COOP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 97 industry peers in the Financial Services industry. While COOP is still in line with the averages on profitability rating, there are concerns on its financial health. COOP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- COOP had positive earnings in the past year.
- In the past year COOP has reported a negative cash flow from operations.
- Each year in the past 5 years COOP has been profitable.
- COOP had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.08%, COOP is in the better half of the industry, outperforming 69.70% of the companies in the same industry.
- COOP has a Return On Equity (11.18%) which is comparable to the rest of the industry.
- The Return On Invested Capital of COOP (3.54%) is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for COOP is below the industry average of 8.46%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.08% | ||
| ROE | 11.18% | ||
| ROIC | 3.54% |
ROA(3y)4.76%
ROA(5y)5.1%
ROE(3y)16.11%
ROE(5y)20.5%
ROIC(3y)5.13%
ROIC(5y)5.62%
1.3 Margins
- COOP has a Profit Margin of 25.38%. This is in the better half of the industry: COOP outperforms 79.80% of its industry peers.
- In the last couple of years the Profit Margin of COOP has grown nicely.
- Looking at the Operating Margin, with a value of 36.91%, COOP is in the better half of the industry, outperforming 75.76% of the companies in the same industry.
- In the last couple of years the Operating Margin of COOP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.91% | ||
| PM (TTM) | 25.38% | ||
| GM | N/A |
OM growth 3Y-5.97%
OM growth 5Y30.89%
PM growth 3Y-11.06%
PM growth 5Y16.33%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- COOP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, COOP has less shares outstanding
- COOP has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, COOP has a worse debt to assets ratio.
2.2 Solvency
- COOP has an Altman-Z score of 1.20. This is a bad value and indicates that COOP is not financially healthy and even has some risk of bankruptcy.
- COOP has a better Altman-Z score (1.20) than 63.64% of its industry peers.
- COOP has a Debt/Equity ratio of 2.39. This is a high value indicating a heavy dependency on external financing.
- COOP has a Debt to Equity ratio of 2.39. This is in the lower half of the industry: COOP underperforms 67.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.2 |
ROIC/WACC0.47
WACC7.53%
2.3 Liquidity
- COOP has a Current Ratio of 0.40. This is a bad value and indicates that COOP is not financially healthy enough and could expect problems in meeting its short term obligations.
- COOP's Current ratio of 0.40 is on the low side compared to the rest of the industry. COOP is outperformed by 67.68% of its industry peers.
- COOP has a Quick Ratio of 0.40. This is a bad value and indicates that COOP is not financially healthy enough and could expect problems in meeting its short term obligations.
- COOP has a worse Quick ratio (0.40) than 67.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.4 | ||
| Quick Ratio | 0.4 |
3. Growth
3.1 Past
- COOP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.48%, which is quite impressive.
- The Earnings Per Share has been growing by 16.95% on average over the past years. This is quite good.
- COOP shows a small growth in Revenue. In the last year, the Revenue has grown by 5.69%.
- Measured over the past years, COOP shows a small growth in Revenue. The Revenue has been growing by 2.92% on average per year.
EPS 1Y (TTM)25.48%
EPS 3Y5.66%
EPS 5Y16.95%
EPS Q2Q%24.21%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y-12.47%
Revenue growth 5Y2.92%
Sales Q2Q%4.29%
3.2 Future
- COOP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.90% yearly.
- COOP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.20% yearly.
EPS Next Y23.08%
EPS Next 2Y21.16%
EPS Next 3Y17.9%
EPS Next 5YN/A
Revenue Next Year13.79%
Revenue Next 2Y12.3%
Revenue Next 3Y10.2%
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 stable.
- 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
- The Price/Earnings ratio is 18.06, which indicates a rather expensive current valuation of COOP.
- Compared to the rest of the industry, the Price/Earnings ratio of COOP is on the same level as its industry peers.
- COOP's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.82.
- COOP is valuated correctly with a Price/Forward Earnings ratio of 13.85.
- COOP's Price/Forward Earnings ratio is in line with the industry average.
- COOP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.95.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.06 | ||
| Fwd PE | 13.85 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as COOP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 26.83 |
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.
- COOP's earnings are expected to grow with 17.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.78
PEG (5Y)1.07
EPS Next 2Y21.16%
EPS Next 3Y17.9%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.95%, COOP is not a good candidate for dividend investing.
- COOP's Dividend Yield is comparable with the industry average which is at 2.09.
- Compared to an average S&P500 Dividend Yield of 1.82, COOP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
- COOP is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y21.16%
EPS Next 3Y17.9%
MR COOPER GROUP INC / COOP FAQ
Can you provide the ChartMill fundamental rating for MR COOPER GROUP INC?
ChartMill assigns a fundamental rating of 4 / 10 to COOP.
What is the valuation status of MR COOPER GROUP INC (COOP) stock?
ChartMill assigns a valuation rating of 4 / 10 to MR COOPER GROUP INC (COOP). This can be considered as Fairly Valued.
Can you provide the profitability details for MR COOPER GROUP INC?
MR COOPER GROUP INC (COOP) has a profitability rating of 5 / 10.
Can you provide the financial health for COOP stock?
The financial health rating of MR COOPER GROUP INC (COOP) is 1 / 10.
Can you provide the expected EPS growth for COOP stock?
The Earnings per Share (EPS) of MR COOPER GROUP INC (COOP) is expected to grow by 23.08% in the next year.