FINVOLUTION GROUP-ADR (FINV) Stock Fundamental Analysis
NYSE:FINV - New York Stock Exchange, Inc. - US31810T1016 - ADR - Currency: USD
FINV gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 53 industry peers in the Consumer Finance industry. FINV gets an excellent profitability rating and is at the same time showing great financial health properties. FINV has a decent growth rate and is not valued too expensively. These ratings would make FINV suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year FINV was profitable.
In the past year FINV had a positive cash flow from operations.
In the past 5 years FINV has always been profitable.
FINV had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 9.88%, FINV belongs to the best of the industry, outperforming 86.54% of the companies in the same industry.
FINV has a Return On Equity of 15.48%. This is in the better half of the industry: FINV outperforms 71.15% of its industry peers.
The Return On Invested Capital of FINV (29.61%) is better than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FINV is significantly above the industry average of 7.30%.
The last Return On Invested Capital (29.61%) for FINV is above the 3 year average (25.30%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.88% | ||
| ROE | 15.48% | ||
| ROIC | 29.61% |
ROA(3y)11.81%
ROA(5y)12.33%
ROE(3y)19.63%
ROE(5y)22.47%
ROIC(3y)25.3%
ROIC(5y)24.09%
1.3 Margins
FINV has a better Profit Margin (17.01%) than 78.85% of its industry peers.
In the last couple of years the Profit Margin of FINV has declined.
With an excellent Operating Margin value of 54.97%, FINV belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
FINV's Operating Margin has improved in the last couple of years.
The Gross Margin of FINV (82.77%) is better than 78.85% of its industry peers.
FINV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 54.97% | ||
| PM (TTM) | 17.01% | ||
| GM | 82.77% |
OM growth 3Y-1.67%
OM growth 5Y5.03%
PM growth 3Y-10.57%
PM growth 5Y-19.95%
GM growth 3Y0.28%
GM growth 5Y1.46%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so FINV is creating value.
The number of shares outstanding for FINV has been reduced compared to 1 year ago.
The number of shares outstanding for FINV has been reduced compared to 5 years ago.
Compared to 1 year ago, FINV has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.02 indicates that FINV is not in any danger for bankruptcy at the moment.
The Altman-Z score of FINV (4.02) is better than 92.31% of its industry peers.
The Debt to FCF ratio of FINV is 0.00, which is an excellent value as it means it would take FINV, only 0.00 years of fcf income to pay off all of its debts.
FINV has a better Debt to FCF ratio (0.00) than 94.23% of its industry peers.
FINV has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
FINV has a Debt to Equity ratio of 0.00. This is amongst the best in the industry. FINV outperforms 88.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.02 |
ROIC/WACC3.7
WACC8%
2.3 Liquidity
A Current Ratio of 6.15 indicates that FINV has no problem at all paying its short term obligations.
FINV has a better Current ratio (6.15) than 88.46% of its industry peers.
FINV has a Quick Ratio of 6.15. This indicates that FINV is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of FINV (6.15) is better than 88.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.15 | ||
| Quick Ratio | 6.15 |
3. Growth
3.1 Past
FINV shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.50%.
Looking at the last year, FINV shows a small growth in Revenue. The Revenue has grown by 3.71% in the last year.
The Revenue has been growing by 69.89% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)0.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%21.05%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y69.89%
Revenue growth 5YN/A
Sales Q2Q%7.45%
3.2 Future
FINV is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.26% yearly.
The Revenue is expected to grow by 18.38% on average over the next years. This is quite good.
EPS Next Y-14.36%
EPS Next 2Y6%
EPS Next 3Y2.84%
EPS Next 5Y5.26%
Revenue Next Year34.34%
Revenue Next 2Y29.09%
Revenue Next 3Y25.24%
Revenue Next 5Y18.38%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.19, which indicates a very decent valuation of FINV.
Based on the Price/Earnings ratio, FINV is valued a bit cheaper than the industry average as 78.85% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of FINV to the average of the S&P500 Index (29.63), we can say FINV is valued rather cheaply.
A Price/Forward Earnings ratio of 7.26 indicates a rather cheap valuation of FINV.
Based on the Price/Forward Earnings ratio, FINV is valued cheaper than 80.77% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.68, FINV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.19 | ||
| Fwd PE | 7.26 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FINV indicates a rather cheap valuation: FINV is cheaper than 90.38% of the companies listed in the same industry.
FINV's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.52 | ||
| EV/EBITDA | 1.47 |
4.3 Compensation for Growth
FINV has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y6%
EPS Next 3Y2.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.52%, FINV has a reasonable but not impressive dividend return.
FINV's Dividend Yield is a higher than the industry average which is at 4.03.
FINV's Dividend Yield is comparable with the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
5.2 History
FINV has been paying a dividend for over 5 years, so it has already some track record.
FINV has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
DPN/A
EPS Next 2Y6%
EPS Next 3Y2.84%
8.52
-0.1 (-1.16%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners51.99%
Inst Owner Change-95.05%
Ins Owners8.39%
Ins Owner ChangeN/A
Market Cap2.21B
Analysts84.62
Price Target7.58 (-11.03%)
Short Float %8%
Short Ratio2.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
Yearly Dividend0.31
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)1.56%
PT rev (3m)6.25%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)2.18%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.19 | ||
| Fwd PE | 7.26 | ||
| P/S | 1.26 | ||
| P/FCF | 11.52 | ||
| P/OCF | 11.52 | ||
| P/B | 1.15 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 1.47 |
EPS(TTM)1.04
EY12.21%
EPS(NY)1.17
Fwd EY13.77%
FCF(TTM)0.74
FCFY8.68%
OCF(TTM)0.74
OCFY8.68%
SpS6.76
BVpS7.43
TBVpS7.33
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.88% | ||
| ROE | 15.48% | ||
| ROCE | 35.02% | ||
| ROIC | 29.61% | ||
| ROICexc | 41.41% | ||
| ROICexgc | 41.96% | ||
| OM | 54.97% | ||
| PM (TTM) | 17.01% | ||
| GM | 82.77% | ||
| FCFM | 10.93% |
ROA(3y)11.81%
ROA(5y)12.33%
ROE(3y)19.63%
ROE(5y)22.47%
ROIC(3y)25.3%
ROIC(5y)24.09%
ROICexc(3y)32.97%
ROICexc(5y)30.78%
ROICexgc(3y)33.31%
ROICexgc(5y)31.13%
ROCE(3y)29.92%
ROCE(5y)28.58%
ROICexcg growth 3Y5.82%
ROICexcg growth 5Y8.36%
ROICexc growth 3Y5.93%
ROICexc growth 5Y8.84%
OM growth 3Y-1.67%
OM growth 5Y5.03%
PM growth 3Y-10.57%
PM growth 5Y-19.95%
GM growth 3Y0.28%
GM growth 5Y1.46%
F-Score4
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 19.83% | ||
| Profit Quality | 64.27% | ||
| Current Ratio | 6.15 | ||
| Quick Ratio | 6.15 | ||
| Altman-Z | 4.02 |
F-Score4
WACC8%
ROIC/WACC3.7
Cap/Depr(3y)920.02%
Cap/Depr(5y)581.25%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.32%
Profit Quality(3y)23.28%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%21.05%
EPS Next Y-14.36%
EPS Next 2Y6%
EPS Next 3Y2.84%
EPS Next 5Y5.26%
Revenue 1Y (TTM)3.71%
Revenue growth 3Y69.89%
Revenue growth 5YN/A
Sales Q2Q%7.45%
Revenue Next Year34.34%
Revenue Next 2Y29.09%
Revenue Next 3Y25.24%
Revenue Next 5Y18.38%
EBIT growth 1Y9.58%
EBIT growth 3Y16.4%
EBIT growth 5Y29.81%
EBIT Next Year6.07%
EBIT Next 3Y9.72%
EBIT Next 5YN/A
FCF growth 1Y53727%
FCF growth 3Y-26.17%
FCF growth 5Y-13.39%
OCF growth 1Y53727%
OCF growth 3Y-13.8%
OCF growth 5Y-5.6%