8.36 USD
+0.12 (+1.46%)
Overall CPSS gets a fundamental rating of 3 out of 10. We evaluated CPSS against 54 industry peers in the Consumer Finance industry. Both the profitability and financial health of CPSS have multiple concerns. CPSS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- In the past year CPSS was profitable.
- CPSS had a positive operating cash flow in the past year.
- CPSS had positive earnings in each of the past 5 years.
- CPSS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of CPSS (0.51%) is worse than 72.22% of its industry peers.
- CPSS has a worse Return On Equity (6.34%) than 70.37% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 0.32%, CPSS is doing worse than 62.96% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for CPSS is significantly below the industry average of 12.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.51% | ||
| ROE | 6.34% | ||
| ROIC | 0.32% |
ROA(3y)1.75%
ROA(5y)1.69%
ROE(3y)20.24%
ROE(5y)20.98%
ROIC(3y)1.36%
ROIC(5y)1.73%
1.3 Margins
- With a Profit Margin value of 4.65%, CPSS is not doing good in the industry: 70.37% of the companies in the same industry are doing better.
- In the last couple of years the Profit Margin of CPSS has grown nicely.
- The Operating Margin of CPSS (3.97%) is worse than 62.96% of its industry peers.
- In the last couple of years the Operating Margin of CPSS has declined.
- CPSS has a Gross Margin (46.23%) which is comparable to the rest of the industry.
- CPSS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.97% | ||
| PM (TTM) | 4.65% | ||
| GM | 46.23% |
OM growth 3Y-59.4%
OM growth 5Y-8.29%
PM growth 3Y-33.4%
PM growth 5Y26.98%
GM growth 3Y-12.4%
GM growth 5Y-6.49%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CPSS is destroying value.
- The number of shares outstanding for CPSS has been increased compared to 1 year ago.
- Compared to 5 years ago, CPSS has less shares outstanding
- CPSS has a worse debt/assets ratio than last year.
2.2 Solvency
- CPSS has an Altman-Z score of 0.24. This is a bad value and indicates that CPSS is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of 0.24, CPSS perfoms like the industry average, outperforming 42.59% of the companies in the same industry.
- The Debt to FCF ratio of CPSS is 12.25, which is on the high side as it means it would take CPSS, 12.25 years of fcf income to pay off all of its debts.
- CPSS's Debt to FCF ratio of 12.25 is in line compared to the rest of the industry. CPSS outperforms 59.26% of its industry peers.
- CPSS has a Debt/Equity ratio of 11.17. This is a high value indicating a heavy dependency on external financing.
- CPSS has a Debt to Equity ratio of 11.17. This is amonst the worse of the industry: CPSS underperforms 85.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 11.17 | ||
| Debt/FCF | 12.25 | ||
| Altman-Z | 0.24 |
ROIC/WACC0.06
WACC5.19%
2.3 Liquidity
- A Current Ratio of 0.16 indicates that CPSS may have some problems paying its short term obligations.
- CPSS's Current ratio of 0.16 is on the low side compared to the rest of the industry. CPSS is outperformed by 72.22% of its industry peers.
- A Quick Ratio of 0.16 indicates that CPSS may have some problems paying its short term obligations.
- The Quick ratio of CPSS (0.16) is worse than 72.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.16 | ||
| Quick Ratio | 0.16 |
3. Growth
3.1 Past
- CPSS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.20%.
- Measured over the past years, CPSS shows a very strong growth in Earnings Per Share. The EPS has been growing by 29.11% on average per year.
- The Revenue has grown by 16.94% in the past year. This is quite good.
- The Revenue has been growing slightly by 1.50% on average over the past years.
EPS 1Y (TTM)-7.2%
EPS 3Y-24.58%
EPS 5Y29.11%
EPS Q2Q%0%
Revenue 1Y (TTM)16.94%
Revenue growth 3Y11.02%
Revenue growth 5Y1.5%
Sales Q2Q%7.8%
3.2 Future
- Based on estimates for the next years, CPSS will show a very strong growth in Earnings Per Share. The EPS will grow by 30.61% on average per year.
- Based on estimates for the next years, CPSS will show a quite strong growth in Revenue. The Revenue will grow by 11.06% on average per year.
EPS Next Y-3.53%
EPS Next 2Y30.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year11.55%
Revenue Next 2Y11.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- 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
- CPSS is valuated reasonably with a Price/Earnings ratio of 10.45.
- CPSS's Price/Earnings ratio is in line with the industry average.
- When comparing the Price/Earnings ratio of CPSS to the average of the S&P500 Index (27.30), we can say CPSS is valued rather cheaply.
- CPSS is valuated cheaply with a Price/Forward Earnings ratio of 5.65.
- Based on the Price/Forward Earnings ratio, CPSS is valued cheaper than 87.04% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, CPSS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 5.65 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CPSS is valued a bit more expensive than 64.81% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CPSS indicates a rather cheap valuation: CPSS is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.66 | ||
| EV/EBITDA | 205.58 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as CPSS's earnings are expected to grow with 30.61% in the coming years.
PEG (NY)N/A
PEG (5Y)0.36
EPS Next 2Y30.61%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- CPSS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
CONSUMER PORTFOLIO SERVICES / CPSS FAQ
What is the fundamental rating for CPSS stock?
ChartMill assigns a fundamental rating of 3 / 10 to CPSS.
What is the valuation status for CPSS stock?
ChartMill assigns a valuation rating of 6 / 10 to CONSUMER PORTFOLIO SERVICES (CPSS). This can be considered as Fairly Valued.
How profitable is CONSUMER PORTFOLIO SERVICES (CPSS) stock?
CONSUMER PORTFOLIO SERVICES (CPSS) has a profitability rating of 3 / 10.
What are the PE and PB ratios of CONSUMER PORTFOLIO SERVICES (CPSS) stock?
The Price/Earnings (PE) ratio for CONSUMER PORTFOLIO SERVICES (CPSS) is 10.45 and the Price/Book (PB) ratio is 0.6.
What is the expected EPS growth for CONSUMER PORTFOLIO SERVICES (CPSS) stock?
The Earnings per Share (EPS) of CONSUMER PORTFOLIO SERVICES (CPSS) is expected to decline by -3.53% in the next year.