NEWTEKONE INC - NEWT 8 09/01/28 (NEWTI) Stock Fundamental Analysis
NASDAQ:NEWTI - Nasdaq - US6525268073 - Currency: USD
Taking everything into account, NEWTI scores 4 out of 10 in our fundamental rating. NEWTI was compared to 101 industry peers in the Financial Services industry. NEWTI has a medium profitability rating, but doesn't score so well on its financial health evaluation. NEWTI is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year NEWTI was profitable.
In the past year NEWTI has reported a negative cash flow from operations.
In the past 5 years NEWTI has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: NEWTI reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of NEWTI (2.97%) is better than 60.40% of its industry peers.
NEWTI has a better Return On Equity (17.64%) than 78.22% of its industry peers.
NEWTI has a better Return On Invested Capital (4.58%) than 65.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NEWTI is in line with the industry average of 7.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.97% | ||
| ROE | 17.64% | ||
| ROIC | 4.58% |
ROA(3y)4.8%
ROA(5y)4.71%
ROE(3y)15.95%
ROE(5y)14.1%
ROIC(3y)6.24%
ROIC(5y)6.3%
1.3 Margins
NEWTI has a Profit Margin of 20.26%. This is in the better half of the industry: NEWTI outperforms 74.26% of its industry peers.
NEWTI's Profit Margin has declined in the last couple of years.
NEWTI's Operating Margin of 37.76% is amongst the best of the industry. NEWTI outperforms 83.17% of its industry peers.
NEWTI's Operating Margin has declined in the last couple of years.
NEWTI has a Gross Margin of 92.20%. This is amongst the best in the industry. NEWTI outperforms 97.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.76% | ||
| PM (TTM) | 20.26% | ||
| GM | 92.2% |
OM growth 3Y-21.9%
OM growth 5Y-13.16%
PM growth 3Y-11.4%
PM growth 5Y-10.15%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NEWTI 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, NEWTI has more shares outstanding
The number of shares outstanding for NEWTI has been increased compared to 5 years ago.
The debt/assets ratio for NEWTI is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.29, we must say that NEWTI is in the distress zone and has some risk of bankruptcy.
NEWTI has a Altman-Z score (0.29) which is comparable to the rest of the industry.
A Debt/Equity ratio of 4.63 is on the high side and indicates that NEWTI has dependencies on debt financing.
NEWTI has a Debt to Equity ratio of 4.63. This is amonst the worse of the industry: NEWTI underperforms 84.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.63 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.29 |
ROIC/WACC0.6
WACC7.63%
2.3 Liquidity
NEWTI has a Current Ratio of 0.31. This is a bad value and indicates that NEWTI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.31, NEWTI is not doing good in the industry: 69.31% of the companies in the same industry are doing better.
NEWTI has a Quick Ratio of 0.31. This is a bad value and indicates that NEWTI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of NEWTI (0.31) is worse than 69.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 57.02% over the past year.
Measured over the past years, NEWTI shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.76% on average per year.
NEWTI shows a strong growth in Revenue. In the last year, the Revenue has grown by 39.09%.
The Revenue has been growing by 17.02% on average over the past years. This is quite good.
EPS 1Y (TTM)57.02%
EPS 3Y-7.89%
EPS 5Y-3.76%
EPS Q2Q%21.62%
Revenue 1Y (TTM)39.09%
Revenue growth 3Y25.21%
Revenue growth 5Y17.02%
Sales Q2Q%23.26%
3.2 Future
NEWTI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.00% yearly.
Based on estimates for the next years, NEWTI will show a quite strong growth in Revenue. The Revenue will grow by 13.17% on average per year.
EPS Next Y21.73%
EPS Next 2Y16.15%
EPS Next 3Y15.35%
EPS Next 5Y17%
Revenue Next Year17.32%
Revenue Next 2Y12.83%
Revenue Next 3Y13.17%
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.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.06 indicates a correct valuation of NEWTI.
NEWTI's Price/Earnings ratio is in line with the industry average.
NEWTI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.63.
The Price/Forward Earnings ratio is 11.59, which indicates a very decent valuation of NEWTI.
NEWTI's Price/Forward Earnings is on the same level as the industry average.
NEWTI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 11.59 |
4.2 Price Multiples
68.32% of the companies in the same industry are more expensive than NEWTI, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.22 |
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.
A more expensive valuation may be justified as NEWTI's earnings are expected to grow with 15.35% in the coming years.
PEG (NY)0.65
PEG (5Y)N/A
EPS Next 2Y16.15%
EPS Next 3Y15.35%
5. Dividend
5.1 Amount
NEWTI has a Yearly Dividend Yield of 5.96%, which is a nice return.
NEWTI's Dividend Yield is rather good when compared to the industry average which is at 3.84. NEWTI pays more dividend than 93.07% of the companies in the same industry.
NEWTI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.96% |
5.2 History
The dividend of NEWTI decreases each year by -19.82%.
NEWTI has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)-19.82%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
NEWTI pays out 39.76% of its income as dividend. This is a sustainable payout ratio.
DP39.76%
EPS Next 2Y16.15%
EPS Next 3Y15.35%
NEWTEKONE INC - NEWT 8 09/01/28
NASDAQ:NEWTI (2/21/2025, 8:00:01 PM)
25.17
0 (0%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners38.78%
Inst Owner ChangeN/A
Ins Owners6.67%
Ins Owner ChangeN/A
Market Cap662.22M
Analysts72.31
Price Target28.06 (11.48%)
Short Float %0%
Short Ratio0.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.96% |
Yearly Dividend0.57
Dividend Growth(5Y)-19.82%
DP39.76%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.74%
Min EPS beat(2)1.58%
Max EPS beat(2)1.89%
EPS beat(4)3
Avg EPS beat(4)11.22%
Min EPS beat(4)-10.15%
Max EPS beat(4)51.55%
EPS beat(8)5
Avg EPS beat(8)-3.76%
EPS beat(12)8
Avg EPS beat(12)-0.46%
EPS beat(16)9
Avg EPS beat(16)1.11%
Revenue beat(2)2
Avg Revenue beat(2)21.54%
Min Revenue beat(2)0.33%
Max Revenue beat(2)42.76%
Revenue beat(4)3
Avg Revenue beat(4)12.5%
Min Revenue beat(4)-10.96%
Max Revenue beat(4)42.76%
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)0%
PT rev (3m)7.94%
EPS NQ rev (1m)0.67%
EPS NQ rev (3m)1.81%
EPS NY rev (1m)1.05%
EPS NY rev (3m)1.59%
Revenue NQ rev (1m)0.47%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 11.59 | ||
| P/S | 2.7 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.35 | ||
| P/tB | 2.48 | ||
| EV/EBITDA | 12.22 |
EPS(TTM)1.79
EY7.11%
EPS(NY)2.17
Fwd EY8.63%
FCF(TTM)-3.11
FCFYN/A
OCF(TTM)-3.09
OCFYN/A
SpS9.33
BVpS10.71
TBVpS10.15
PEG (NY)0.65
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.97% | ||
| ROE | 17.64% | ||
| ROCE | 9.78% | ||
| ROIC | 4.58% | ||
| ROICexc | 5.1% | ||
| ROICexgc | 5.6% | ||
| OM | 37.76% | ||
| PM (TTM) | 20.26% | ||
| GM | 92.2% | ||
| FCFM | N/A |
ROA(3y)4.8%
ROA(5y)4.71%
ROE(3y)15.95%
ROE(5y)14.1%
ROIC(3y)6.24%
ROIC(5y)6.3%
ROICexc(3y)6.52%
ROICexc(5y)6.47%
ROICexgc(3y)9.75%
ROICexgc(5y)9.8%
ROCE(3y)8.63%
ROCE(5y)8.41%
ROICexcg growth 3Y-23.81%
ROICexcg growth 5Y-15.83%
ROICexc growth 3Y-14.68%
ROICexc growth 5Y-10.86%
OM growth 3Y-21.9%
OM growth 5Y-13.16%
PM growth 3Y-11.4%
PM growth 5Y-10.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.63 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 13.8 | ||
| Cap/Depr | 27.28% | ||
| Cap/Sales | 0.22% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 0.29 |
F-Score5
WACC7.63%
ROIC/WACC0.6
Cap/Depr(3y)5.29%
Cap/Depr(5y)7.18%
Cap/Sales(3y)0.08%
Cap/Sales(5y)0.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)57.02%
EPS 3Y-7.89%
EPS 5Y-3.76%
EPS Q2Q%21.62%
EPS Next Y21.73%
EPS Next 2Y16.15%
EPS Next 3Y15.35%
EPS Next 5Y17%
Revenue 1Y (TTM)39.09%
Revenue growth 3Y25.21%
Revenue growth 5Y17.02%
Sales Q2Q%23.26%
Revenue Next Year17.32%
Revenue Next 2Y12.83%
Revenue Next 3Y13.17%
Revenue Next 5YN/A
EBIT growth 1Y115.91%
EBIT growth 3Y-2.22%
EBIT growth 5Y1.62%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y40.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y41.22%
OCF growth 3YN/A
OCF growth 5YN/A