FS KKR CAPITAL CORP (FSK) Stock Fundamental Analysis
NYSE:FSK - New York Stock Exchange, Inc. - US3026352068 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to FSK. FSK was compared to 233 industry peers in the Capital Markets industry. FSK has a medium profitability rating, but doesn't score so well on its financial health evaluation. FSK has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year FSK was profitable.
In the past year FSK had a positive cash flow from operations.
Of the past 5 years FSK 4 years were profitable.
FSK had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.57%, FSK is doing good in the industry, outperforming 60.52% of the companies in the same industry.
FSK has a Return On Equity (8.13%) which is comparable to the rest of the industry.
The Return On Invested Capital of FSK (4.41%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for FSK is below the industry average of 7.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.57% | ||
| ROE | 8.13% | ||
| ROIC | 4.41% |
ROA(3y)3.06%
ROA(5y)2.48%
ROE(3y)6.77%
ROE(5y)5.37%
ROIC(3y)4.66%
ROIC(5y)4.11%
1.3 Margins
FSK has a Profit Margin of 31.54%. This is in the better half of the industry: FSK outperforms 76.39% of its industry peers.
FSK's Profit Margin has been stable in the last couple of years.
FSK's Operating Margin of 48.07% is amongst the best of the industry. FSK outperforms 80.69% of its industry peers.
FSK's Operating Margin has declined in the last couple of years.
FSK's Gross Margin of 50.33% is in line compared to the rest of the industry. FSK outperforms 56.22% of its industry peers.
In the last couple of years the Gross Margin of FSK has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 48.07% | ||
| PM (TTM) | 31.54% | ||
| GM | 50.33% |
OM growth 3Y-4.13%
OM growth 5Y-1.92%
PM growth 3Y-37.64%
PM growth 5Y1.48%
GM growth 3Y-2.96%
GM growth 5Y-1.99%
2. Health
2.1 Basic Checks
The number of shares outstanding for FSK remains at a similar level compared to 1 year ago.
The number of shares outstanding for FSK has been increased compared to 5 years ago.
The debt/assets ratio for FSK has been reduced compared to a year ago.
2.2 Solvency
FSK has an Altman-Z score of 0.48. This is a bad value and indicates that FSK is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of FSK (0.48) is worse than 65.24% of its industry peers.
FSK has a debt to FCF ratio of 7.86. This is a slightly negative value and a sign of low solvency as FSK would need 7.86 years to pay back of all of its debts.
FSK's Debt to FCF ratio of 7.86 is in line compared to the rest of the industry. FSK outperforms 56.65% of its industry peers.
FSK has a Debt/Equity ratio of 1.22. This is a high value indicating a heavy dependency on external financing.
FSK has a worse Debt to Equity ratio (1.22) than 60.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 7.86 | ||
| Altman-Z | 0.48 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
FSK has a Current Ratio of 1.57. This is a normal value and indicates that FSK is financially healthy and should not expect problems in meeting its short term obligations.
FSK has a Current ratio of 1.57. This is in the better half of the industry: FSK outperforms 63.52% of its industry peers.
A Quick Ratio of 1.57 indicates that FSK should not have too much problems paying its short term obligations.
FSK has a Quick ratio of 1.57. This is in the better half of the industry: FSK outperforms 63.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.57 |
3. Growth
3.1 Past
The earnings per share for FSK have decreased by -8.50% in the last year.
The Earnings Per Share has been decreasing by -2.09% on average over the past years.
The Revenue has decreased by -6.69% in the past year.
FSK shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.18% yearly.
EPS 1Y (TTM)-8.5%
EPS 3Y1.43%
EPS 5Y-2.09%
EPS Q2Q%-10.96%
Revenue 1Y (TTM)-6.69%
Revenue growth 3Y16.77%
Revenue growth 5Y17.18%
Sales Q2Q%-7.83%
3.2 Future
FSK is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.56% yearly.
FSK is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.72% yearly.
EPS Next Y-12.96%
EPS Next 2Y-7.63%
EPS Next 3Y-8.56%
EPS Next 5YN/A
Revenue Next Year-7.49%
Revenue Next 2Y-5.17%
Revenue Next 3Y-5.72%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.64, the valuation of FSK can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of FSK indicates a rather cheap valuation: FSK is cheaper than 86.27% of the companies listed in the same industry.
FSK is valuated cheaply when we compare the Price/Earnings ratio to 27.45, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.71, which indicates a very decent valuation of FSK.
81.12% of the companies in the same industry are more expensive than FSK, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 21.90. FSK is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.64 | ||
| Fwd PE | 8.71 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, FSK is valued cheaper than 81.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.89 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
FSK's earnings are expected to decrease with -8.56% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.63%
EPS Next 3Y-8.56%
5. Dividend
5.1 Amount
FSK has a Yearly Dividend Yield of 12.42%, which is a nice return.
Compared to an average industry Dividend Yield of 8.00, FSK pays a better dividend. On top of this FSK pays more dividend than 83.26% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, FSK pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.42% |
5.2 History
The dividend of FSK is nicely growing with an annual growth rate of 6.47%!
FSK has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.47%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
150.00% of the earnings are spent on dividend by FSK. This is not a sustainable payout ratio.
The Dividend Rate of FSK has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP150%
EPS Next 2Y-7.63%
EPS Next 3Y-8.56%
21.39
+0.08 (+0.38%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners29.21%
Inst Owner Change-1.33%
Ins Owners0.17%
Ins Owner Change0%
Market Cap5.99B
Analysts54.12
Price Target20.75 (-2.99%)
Short Float %2.31%
Short Ratio5.57
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.42% |
Yearly Dividend3.6
Dividend Growth(5Y)6.47%
DP150%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.01%
Min EPS beat(2)-2.07%
Max EPS beat(2)0.05%
EPS beat(4)3
Avg EPS beat(4)1.78%
Min EPS beat(4)-2.07%
Max EPS beat(4)5.03%
EPS beat(8)6
Avg EPS beat(8)1.6%
EPS beat(12)8
Avg EPS beat(12)2.13%
EPS beat(16)12
Avg EPS beat(16)4.85%
Revenue beat(2)1
Avg Revenue beat(2)-1.79%
Min Revenue beat(2)-3.91%
Max Revenue beat(2)0.33%
Revenue beat(4)3
Avg Revenue beat(4)0.32%
Min Revenue beat(4)-3.91%
Max Revenue beat(4)3.02%
Revenue beat(8)6
Avg Revenue beat(8)0.46%
Revenue beat(12)10
Avg Revenue beat(12)0.82%
Revenue beat(16)14
Avg Revenue beat(16)3.72%
PT rev (1m)-4.12%
PT rev (3m)-7.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.15%
EPS NY rev (1m)-1.99%
EPS NY rev (3m)-2.9%
Revenue NQ rev (1m)0.91%
Revenue NQ rev (3m)1.7%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.64 | ||
| Fwd PE | 8.71 | ||
| P/S | 3.55 | ||
| P/FCF | 5.89 | ||
| P/OCF | 5.89 | ||
| P/B | 0.92 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.8
EY13.09%
EPS(NY)2.46
Fwd EY11.49%
FCF(TTM)3.63
FCFY16.98%
OCF(TTM)3.63
OCFY16.98%
SpS6.02
BVpS23.37
TBVpS23.37
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.57% | ||
| ROE | 8.13% | ||
| ROCE | 5.58% | ||
| ROIC | 4.41% | ||
| ROICexc | 4.49% | ||
| ROICexgc | 4.49% | ||
| OM | 48.07% | ||
| PM (TTM) | 31.54% | ||
| GM | 50.33% | ||
| FCFM | 60.28% |
ROA(3y)3.06%
ROA(5y)2.48%
ROE(3y)6.77%
ROE(5y)5.37%
ROIC(3y)4.66%
ROIC(5y)4.11%
ROICexc(3y)4.74%
ROICexc(5y)4.19%
ROICexgc(3y)4.74%
ROICexgc(5y)4.19%
ROCE(3y)5.9%
ROCE(5y)5.21%
ROICexcg growth 3Y19.37%
ROICexcg growth 5Y3.07%
ROICexc growth 3Y19.39%
ROICexc growth 5Y3.07%
OM growth 3Y-4.13%
OM growth 5Y-1.92%
PM growth 3Y-37.64%
PM growth 5Y1.48%
GM growth 3Y-2.96%
GM growth 5Y-1.99%
F-Score3
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 7.86 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 191.17% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.57 | ||
| Altman-Z | 0.48 |
F-Score3
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)575.69%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.5%
EPS 3Y1.43%
EPS 5Y-2.09%
EPS Q2Q%-10.96%
EPS Next Y-12.96%
EPS Next 2Y-7.63%
EPS Next 3Y-8.56%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.69%
Revenue growth 3Y16.77%
Revenue growth 5Y17.18%
Sales Q2Q%-7.83%
Revenue Next Year-7.49%
Revenue Next 2Y-5.17%
Revenue Next 3Y-5.72%
Revenue Next 5YN/A
EBIT growth 1Y-9.59%
EBIT growth 3Y11.94%
EBIT growth 5Y14.92%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-45.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-45.73%
OCF growth 3YN/A
OCF growth 5YN/A