NEWTEKONE INC (NEWT) Stock Fundamental Analysis
USA - NASDAQ:NEWT - US6525262035 - Common Stock
10.5 USD
+0.01 (+0.1%)
10.5 USD
0 (0%)
Taking everything into account, NEWT scores 4 out of 10 in our fundamental rating. NEWT was compared to 98 industry peers in the Financial Services industry. There are concerns on the financial health of NEWT while its profitability can be described as average. NEWT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year NEWT was profitable.
In the past year NEWT has reported a negative cash flow from operations.
NEWT had positive earnings in each of the past 5 years.
In multiple years NEWT reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.43%, NEWT is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
Looking at the Return On Equity, with a value of 16.57%, NEWT belongs to the top of the industry, outperforming 83.67% of the companies in the same industry.
NEWT has a Return On Invested Capital (4.13%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for NEWT is below the industry average of 7.85%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.43% | ||
| ROE | 16.57% | ||
| ROIC | 4.13% |
ROA(3y)2.94%
ROA(5y)4.16%
ROE(3y)14.55%
ROE(5y)14.87%
ROIC(3y)4.45%
ROIC(5y)5.46%
1.3 Margins
NEWT has a Profit Margin of 18.54%. This is in the better half of the industry: NEWT outperforms 76.53% of its industry peers.
NEWT's Profit Margin has declined in the last couple of years.
NEWT has a better Operating Margin (41.07%) than 81.63% of its industry peers.
NEWT's Operating Margin has declined in the last couple of years.
NEWT has a Gross Margin of 93.47%. This is amongst the best in the industry. NEWT outperforms 97.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.07% | ||
| PM (TTM) | 18.54% | ||
| GM | 93.47% |
OM growth 3Y-13.36%
OM growth 5Y-7.51%
PM growth 3Y-29.94%
PM growth 5Y-13.6%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NEWT is destroying value.
NEWT has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NEWT has been increased compared to 5 years ago.
The debt/assets ratio for NEWT is higher compared to a year ago.
2.2 Solvency
NEWT has an Altman-Z score of -0.08. This is a bad value and indicates that NEWT is not financially healthy and even has some risk of bankruptcy.
NEWT has a worse Altman-Z score (-0.08) than 66.33% of its industry peers.
NEWT has a Debt/Equity ratio of 5.58. This is a high value indicating a heavy dependency on external financing.
NEWT's Debt to Equity ratio of 5.58 is on the low side compared to the rest of the industry. NEWT is outperformed by 79.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.58 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.08 |
ROIC/WACC0.75
WACC5.5%
2.3 Liquidity
NEWT has a Current Ratio of 0.18. This is a bad value and indicates that NEWT is not financially healthy enough and could expect problems in meeting its short term obligations.
NEWT has a Current ratio of 0.18. This is in the lower half of the industry: NEWT underperforms 72.45% of its industry peers.
NEWT has a Quick Ratio of 0.18. This is a bad value and indicates that NEWT is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of NEWT (0.18) is worse than 72.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
NEWT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -43.58%.
Measured over the past years, NEWT shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.50% on average per year.
NEWT shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.63%.
Measured over the past years, NEWT shows a very strong growth in Revenue. The Revenue has been growing by 20.01% on average per year.
EPS 1Y (TTM)-43.58%
EPS 3Y-17.48%
EPS 5Y-3.5%
EPS Q2Q%48.89%
Revenue 1Y (TTM)22.63%
Revenue growth 3Y19.43%
Revenue growth 5Y20.01%
Sales Q2Q%19.27%
3.2 Future
NEWT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.02% yearly.
NEWT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.61% yearly.
EPS Next Y16.21%
EPS Next 2Y9.49%
EPS Next 3Y7.84%
EPS Next 5Y12.02%
Revenue Next Year15.78%
Revenue Next 2Y14.16%
Revenue Next 3Y13.61%
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 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
NEWT is valuated reasonably with a Price/Earnings ratio of 10.40.
61.22% of the companies in the same industry are more expensive than NEWT, based on the Price/Earnings ratio.
NEWT is valuated cheaply when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 4.49, which indicates a rather cheap valuation of NEWT.
Based on the Price/Forward Earnings ratio, NEWT is valued cheaper than 91.84% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of NEWT to the average of the S&P500 Index (22.35), we can say NEWT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.4 | ||
| Fwd PE | 4.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NEWT is valued cheaply inside the industry as 87.76% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.6 |
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.
PEG (NY)0.64
PEG (5Y)N/A
EPS Next 2Y9.49%
EPS Next 3Y7.84%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.24%, NEWT is a good candidate for dividend investing.
NEWT's Dividend Yield is rather good when compared to the industry average which is at 4.91. NEWT pays more dividend than 85.71% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, NEWT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.24% |
5.2 History
The dividend of NEWT decreases each year by -17.44%.
NEWT has paid a dividend for at least 10 years, which is a reliable track record.
NEWT has decreased its dividend recently.
Dividend Growth(5Y)-17.44%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
40.47% of the earnings are spent on dividend by NEWT. This is a bit on the high side, but may be sustainable.
DP40.47%
EPS Next 2Y9.49%
EPS Next 3Y7.84%
10.5
+0.01 (+0.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners47.38%
Inst Owner Change-1.09%
Ins Owners6.58%
Ins Owner Change2.88%
Market Cap297.36M
Revenue(TTM)300.92M
Net Income(TTM)51.73M
Analysts73.85
Price Target15.4 (46.67%)
Short Float %10.91%
Short Ratio11.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.24% |
Yearly Dividend0.79
Dividend Growth(5Y)-17.44%
DP40.47%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-117%
Min EPS beat(2)-230.76%
Max EPS beat(2)-3.23%
EPS beat(4)2
Avg EPS beat(4)-57.52%
Min EPS beat(4)-230.76%
Max EPS beat(4)2.01%
EPS beat(8)5
Avg EPS beat(8)-23.36%
EPS beat(12)6
Avg EPS beat(12)-22.68%
EPS beat(16)9
Avg EPS beat(16)-15.28%
Revenue beat(2)1
Avg Revenue beat(2)4.91%
Min Revenue beat(2)-6.85%
Max Revenue beat(2)16.67%
Revenue beat(4)3
Avg Revenue beat(4)4.89%
Min Revenue beat(4)-6.85%
Max Revenue beat(4)16.67%
Revenue beat(8)5
Avg Revenue beat(8)2.78%
Revenue beat(12)8
Avg Revenue beat(12)11.76%
Revenue beat(16)12
Avg Revenue beat(16)41.25%
PT rev (1m)7.28%
PT rev (3m)8.24%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.72%
EPS NY rev (1m)0%
EPS NY rev (3m)0.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.69%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.4 | ||
| Fwd PE | 4.49 | ||
| P/S | 1.07 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.95 | ||
| P/tB | 1 | ||
| EV/EBITDA | 6.6 |
EPS(TTM)1.01
EY9.62%
EPS(NY)2.34
Fwd EY22.26%
FCF(TTM)-13.41
FCFYN/A
OCF(TTM)-13.39
OCFYN/A
SpS9.85
BVpS11.02
TBVpS10.51
PEG (NY)0.64
PEG (5Y)N/A
Graham Number15.83
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.43% | ||
| ROE | 16.57% | ||
| ROCE | 11.82% | ||
| ROIC | 4.13% | ||
| ROICexc | 4.55% | ||
| ROICexgc | 5.13% | ||
| OM | 41.07% | ||
| PM (TTM) | 18.54% | ||
| GM | 93.47% | ||
| FCFM | N/A |
ROA(3y)2.94%
ROA(5y)4.16%
ROE(3y)14.55%
ROE(5y)14.87%
ROIC(3y)4.45%
ROIC(5y)5.46%
ROICexc(3y)5%
ROICexc(5y)5.8%
ROICexgc(3y)6.64%
ROICexgc(5y)8.35%
ROCE(3y)8.52%
ROCE(5y)8.88%
ROICexgc growth 3Y-25.12%
ROICexgc growth 5Y-10.78%
ROICexc growth 3Y-15.59%
ROICexc growth 5Y-4.63%
OM growth 3Y-13.36%
OM growth 5Y-7.51%
PM growth 3Y-29.94%
PM growth 5Y-13.6%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.58 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 15.04 | ||
| Cap/Depr | 34.93% | ||
| Cap/Sales | 0.14% | ||
| Interest Coverage | 1.3 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | -0.08 |
F-Score4
WACC5.5%
ROIC/WACC0.75
Cap/Depr(3y)13.5%
Cap/Depr(5y)8.1%
Cap/Sales(3y)0.13%
Cap/Sales(5y)0.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-43.58%
EPS 3Y-17.48%
EPS 5Y-3.5%
EPS Q2Q%48.89%
EPS Next Y16.21%
EPS Next 2Y9.49%
EPS Next 3Y7.84%
EPS Next 5Y12.02%
Revenue 1Y (TTM)22.63%
Revenue growth 3Y19.43%
Revenue growth 5Y20.01%
Sales Q2Q%19.27%
Revenue Next Year15.78%
Revenue Next 2Y14.16%
Revenue Next 3Y13.61%
Revenue Next 5YN/A
EBIT growth 1Y40%
EBIT growth 3Y3.47%
EBIT growth 5Y10.99%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-87.76%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-87.65%
OCF growth 3YN/A
OCF growth 5YN/A
NEWTEKONE INC / NEWT FAQ
Can you provide the ChartMill fundamental rating for NEWTEKONE INC?
ChartMill assigns a fundamental rating of 4 / 10 to NEWT.
What is the valuation status of NEWTEKONE INC (NEWT) stock?
ChartMill assigns a valuation rating of 6 / 10 to NEWTEKONE INC (NEWT). This can be considered as Fairly Valued.
Can you provide the profitability details for NEWTEKONE INC?
NEWTEKONE INC (NEWT) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for NEWT stock?
The Price/Earnings (PE) ratio for NEWTEKONE INC (NEWT) is 10.4 and the Price/Book (PB) ratio is 0.95.
Can you provide the expected EPS growth for NEWT stock?
The Earnings per Share (EPS) of NEWTEKONE INC (NEWT) is expected to grow by 16.21% in the next year.