NERDWALLET INC-CL A (NRDS) Stock Fundamental Analysis
NASDAQ:NRDS - Nasdaq - US64082B1026 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to NRDS. NRDS was compared to 53 industry peers in the Consumer Finance industry. While NRDS has a great health rating, its profitability is only average at the moment. NRDS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NRDS had positive earnings in the past year.
In the past year NRDS had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: NRDS reported negative net income in multiple years.
In the past 5 years NRDS always reported a positive cash flow from operatings.
1.2 Ratios
NRDS's Return On Assets of 6.95% is amongst the best of the industry. NRDS outperforms 83.02% of its industry peers.
NRDS's Return On Equity of 8.35% is in line compared to the rest of the industry. NRDS outperforms 45.28% of its industry peers.
NRDS has a Return On Invested Capital of 1.97%. This is comparable to the rest of the industry: NRDS outperforms 49.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.95% | ||
| ROE | 8.35% | ||
| ROIC | 1.97% |
ROA(3y)0.58%
ROA(5y)-1.57%
ROE(3y)0.72%
ROE(5y)-2.17%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
NRDS's Profit Margin of 4.42% is on the low side compared to the rest of the industry. NRDS is outperformed by 71.70% of its industry peers.
NRDS's Profit Margin has declined in the last couple of years.
NRDS's Operating Margin of 1.37% is on the low side compared to the rest of the industry. NRDS is outperformed by 62.26% of its industry peers.
In the last couple of years the Operating Margin of NRDS has declined.
NRDS's Gross Margin of 90.77% is amongst the best of the industry. NRDS outperforms 84.91% of its industry peers.
NRDS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.37% | ||
| PM (TTM) | 4.42% | ||
| GM | 90.77% |
OM growth 3YN/A
OM growth 5Y-35.7%
PM growth 3YN/A
PM growth 5Y-16.05%
GM growth 3Y-0.63%
GM growth 5Y-0.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NRDS is destroying value.
NRDS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, NRDS has more shares outstanding
Compared to 1 year ago, NRDS has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.61 indicates that NRDS is not in any danger for bankruptcy at the moment.
NRDS's Altman-Z score of 6.61 is amongst the best of the industry. NRDS outperforms 96.23% of its industry peers.
There is no outstanding debt for NRDS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.61 |
ROIC/WACC0.22
WACC9%
2.3 Liquidity
NRDS has a Current Ratio of 3.27. This indicates that NRDS is financially healthy and has no problem in meeting its short term obligations.
NRDS's Current ratio of 3.27 is fine compared to the rest of the industry. NRDS outperforms 79.25% of its industry peers.
NRDS has a Quick Ratio of 3.27. This indicates that NRDS is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 3.27, NRDS belongs to the best of the industry, outperforming 81.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.27 | ||
| Quick Ratio | 3.27 |
3. Growth
3.1 Past
NRDS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 450.00%, which is quite impressive.
NRDS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.81% yearly.
Looking at the last year, NRDS shows a quite strong growth in Revenue. The Revenue has grown by 14.71% in the last year.
The Revenue has been growing by 24.67% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)450%
EPS 3YN/A
EPS 5Y0.81%
EPS Q2Q%5200%
Revenue 1Y (TTM)14.71%
Revenue growth 3Y21.9%
Revenue growth 5Y24.67%
Sales Q2Q%37.47%
3.2 Future
NRDS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.52% yearly.
Based on estimates for the next years, NRDS will show a small growth in Revenue. The Revenue will grow by 6.39% on average per year.
EPS Next Y-35.95%
EPS Next 2Y16.47%
EPS Next 3Y16.52%
EPS Next 5YN/A
Revenue Next Year12.92%
Revenue Next 2Y10.62%
Revenue Next 3Y8.29%
Revenue Next 5Y6.39%
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 accelerating.
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
The Price/Earnings ratio is 17.18, which indicates a rather expensive current valuation of NRDS.
66.04% of the companies in the same industry are cheaper than NRDS, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of NRDS to the average of the S&P500 Index (27.63), we can say NRDS is valued slightly cheaper.
The Price/Forward Earnings ratio is 26.83, which means the current valuation is very expensive for NRDS.
NRDS's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. NRDS is more expensive than 69.81% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.85. NRDS is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.18 | ||
| Fwd PE | 26.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NRDS is valued a bit cheaper than 79.25% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NRDS indicates a slightly more expensive valuation: NRDS is more expensive than 60.38% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.42 | ||
| EV/EBITDA | 9.63 |
4.3 Compensation for Growth
A more expensive valuation may be justified as NRDS's earnings are expected to grow with 16.52% in the coming years.
PEG (NY)N/A
PEG (5Y)21.12
EPS Next 2Y16.47%
EPS Next 3Y16.52%
5. Dividend
5.1 Amount
No dividends for NRDS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.42
-0.12 (-1.41%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners83.22%
Inst Owner Change-0.02%
Ins Owners6.28%
Ins Owner Change1.42%
Market Cap627.21M
Analysts81.54
Price Target16.83 (99.88%)
Short Float %5.73%
Short Ratio3.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2342.78%
Min EPS beat(2)168.76%
Max EPS beat(2)4516.81%
EPS beat(4)3
Avg EPS beat(4)1142.77%
Min EPS beat(4)-125.51%
Max EPS beat(4)4516.81%
EPS beat(8)5
Avg EPS beat(8)546.69%
EPS beat(12)7
Avg EPS beat(12)374.71%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)8.73%
Min Revenue beat(2)6.9%
Max Revenue beat(2)10.57%
Revenue beat(4)3
Avg Revenue beat(4)4.23%
Min Revenue beat(4)-1.64%
Max Revenue beat(4)10.57%
Revenue beat(8)5
Avg Revenue beat(8)2.16%
Revenue beat(12)8
Avg Revenue beat(12)2.12%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-2.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-227.32%
EPS NY rev (1m)-17.22%
EPS NY rev (3m)-30.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.18 | ||
| Fwd PE | 26.83 | ||
| P/S | 0.91 | ||
| P/FCF | 12.42 | ||
| P/OCF | 8.74 | ||
| P/B | 1.72 | ||
| P/tB | 2.87 | ||
| EV/EBITDA | 9.63 |
EPS(TTM)0.49
EY5.82%
EPS(NY)0.31
Fwd EY3.73%
FCF(TTM)0.68
FCFY8.05%
OCF(TTM)0.96
OCFY11.45%
SpS9.23
BVpS4.89
TBVpS2.93
PEG (NY)N/A
PEG (5Y)21.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.95% | ||
| ROE | 8.35% | ||
| ROCE | 2.49% | ||
| ROIC | 1.97% | ||
| ROICexc | 2.4% | ||
| ROICexgc | 4.55% | ||
| OM | 1.37% | ||
| PM (TTM) | 4.42% | ||
| GM | 90.77% | ||
| FCFM | 7.34% |
ROA(3y)0.58%
ROA(5y)-1.57%
ROE(3y)0.72%
ROE(5y)-2.17%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-36.98%
ROICexc growth 3YN/A
ROICexc growth 5Y-44.38%
OM growth 3YN/A
OM growth 5Y-35.7%
PM growth 3YN/A
PM growth 5Y-16.05%
GM growth 3Y-0.63%
GM growth 5Y-0.47%
F-Score7
Asset Turnover1.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 44.01% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 31.33 | ||
| Cash Conversion | 124.22% | ||
| Profit Quality | 166.12% | ||
| Current Ratio | 3.27 | ||
| Quick Ratio | 3.27 | ||
| Altman-Z | 6.61 |
F-Score7
WACC9%
ROIC/WACC0.22
Cap/Depr(3y)64.08%
Cap/Depr(5y)80.19%
Cap/Sales(3y)4.66%
Cap/Sales(5y)5.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)450%
EPS 3YN/A
EPS 5Y0.81%
EPS Q2Q%5200%
EPS Next Y-35.95%
EPS Next 2Y16.47%
EPS Next 3Y16.52%
EPS Next 5YN/A
Revenue 1Y (TTM)14.71%
Revenue growth 3Y21.9%
Revenue growth 5Y24.67%
Sales Q2Q%37.47%
Revenue Next Year12.92%
Revenue Next 2Y10.62%
Revenue Next 3Y8.29%
Revenue Next 5Y6.39%
EBIT growth 1Y88%
EBIT growth 3YN/A
EBIT growth 5Y-19.84%
EBIT Next Year3573.72%
EBIT Next 3Y287.17%
EBIT Next 5Y132.81%
FCF growth 1Y18.54%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-0.42%
OCF growth 3Y115.24%
OCF growth 5Y17.99%