OPPFI INC (OPFI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OPFI - US68386H1032 - Common Stock
9.63 USD
-0.01 (-0.1%)
Overall OPFI gets a fundamental rating of 6 out of 10. We evaluated OPFI against 53 industry peers in the Consumer Finance industry. OPFI has only an average score on both its financial health and profitability. OPFI is growing strongly while it also seems undervalued. This is an interesting combination This makes OPFI very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
- OPFI had positive earnings in the past year.
- OPFI had a positive operating cash flow in the past year.
- OPFI had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years OPFI had a positive operating cash flow.
1.2 Ratios
- OPFI has a Return On Assets of 0.54%. This is in the lower half of the industry: OPFI underperforms 71.70% of its industry peers.
- The Return On Equity of OPFI (7.84%) is worse than 66.04% of its industry peers.
- With an excellent Return On Invested Capital value of 23.43%, OPFI belongs to the best of the industry, outperforming 90.57% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for OPFI is in line with the industry average of 12.42%.
- The 3 year average ROIC (12.63%) for OPFI is below the current ROIC(23.43%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 7.84% | ||
| ROIC | 23.43% |
ROA(3y)0.73%
ROA(5y)6.88%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.63%
ROIC(5y)19.21%
1.3 Margins
- Looking at the Profit Margin, with a value of 0.68%, OPFI is doing worse than 79.25% of the companies in the same industry.
- OPFI's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 34.91%, OPFI belongs to the best of the industry, outperforming 86.79% of the companies in the same industry.
- OPFI's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 98.87%, OPFI belongs to the best of the industry, outperforming 96.23% of the companies in the same industry.
- OPFI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.91% | ||
| PM (TTM) | 0.68% | ||
| GM | 98.87% |
OM growth 3Y-17.28%
OM growth 5Y2.26%
PM growth 3Y-42.61%
PM growth 5Y-37.44%
GM growth 3Y0.27%
GM growth 5Y-0.04%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so OPFI is creating value.
- The number of shares outstanding for OPFI has been reduced compared to 1 year ago.
- Compared to 5 years ago, OPFI has less shares outstanding
- The debt/assets ratio for OPFI has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.36 indicates that OPFI is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With an excellent Altman-Z score value of 2.36, OPFI belongs to the best of the industry, outperforming 81.13% of the companies in the same industry.
- The Debt to FCF ratio of OPFI is 0.89, which is an excellent value as it means it would take OPFI, only 0.89 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of OPFI (0.89) is better than 92.45% of its industry peers.
- OPFI has a Debt/Equity ratio of 6.49. This is a high value indicating a heavy dependency on external financing.
- OPFI's Debt to Equity ratio of 6.49 is on the low side compared to the rest of the industry. OPFI is outperformed by 73.58% of its industry peers.
- Although OPFI does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.49 | ||
| Debt/FCF | 0.89 | ||
| Altman-Z | 2.36 |
ROIC/WACC2.51
WACC9.33%
2.3 Liquidity
- A Current Ratio of 1.00 indicates that OPFI may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.00, OPFI is in line with its industry, outperforming 45.28% of the companies in the same industry.
- OPFI has a Quick Ratio of 1.00. This is a bad value and indicates that OPFI is not financially healthy enough and could expect problems in meeting its short term obligations.
- OPFI's Quick ratio of 1.00 is in line compared to the rest of the industry. OPFI outperforms 45.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 85.37% over the past year.
- Measured over the past 5 years, OPFI shows a small growth in Earnings Per Share. The EPS has been growing by 3.73% on average per year.
- Looking at the last year, OPFI shows a quite strong growth in Revenue. The Revenue has grown by 9.63% in the last year.
- OPFI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.08% yearly.
EPS 1Y (TTM)85.37%
EPS 3Y-42.85%
EPS 5Y3.73%
EPS Q2Q%39.39%
Revenue 1Y (TTM)9.63%
Revenue growth 3Y14.48%
Revenue growth 5Y18.08%
Sales Q2Q%13.54%
3.2 Future
- The Earnings Per Share is expected to grow by 26.38% on average over the next years. This is a very strong growth
- OPFI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.81% yearly.
EPS Next Y68.93%
EPS Next 2Y35.89%
EPS Next 3Y26.38%
EPS Next 5YN/A
Revenue Next Year14.14%
Revenue Next 2Y12.49%
Revenue Next 3Y11.81%
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 accelerating.
- 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
- With a Price/Earnings ratio of 6.34, the valuation of OPFI can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of OPFI indicates a somewhat cheap valuation: OPFI is cheaper than 71.70% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 28.60, OPFI is valued rather cheaply.
- The Price/Forward Earnings ratio is 5.49, which indicates a rather cheap valuation of OPFI.
- Based on the Price/Forward Earnings ratio, OPFI is valued cheaply inside the industry as 86.79% of the companies are valued more expensively.
- OPFI is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.34 | ||
| Fwd PE | 5.49 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, OPFI is valued a bit cheaper than 79.25% of the companies in the same industry.
- OPFI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. OPFI is cheaper than 77.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.31 | ||
| EV/EBITDA | 5.22 |
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.
- OPFI has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as OPFI's earnings are expected to grow with 26.38% in the coming years.
PEG (NY)0.09
PEG (5Y)1.7
EPS Next 2Y35.89%
EPS Next 3Y26.38%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.52%, OPFI has a reasonable but not impressive dividend return.
- OPFI's Dividend Yield is a higher than the industry average which is at 2.63.
- OPFI's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.52% |
5.2 History
- OPFI does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- OPFI pays out 165.57% of its income as dividend. This is not a sustainable payout ratio.
DP165.57%
EPS Next 2Y35.89%
EPS Next 3Y26.38%
OPPFI INC / OPFI FAQ
What is the fundamental rating for OPFI stock?
ChartMill assigns a fundamental rating of 6 / 10 to OPFI.
What is the valuation status of OPPFI INC (OPFI) stock?
ChartMill assigns a valuation rating of 8 / 10 to OPPFI INC (OPFI). This can be considered as Undervalued.
How profitable is OPPFI INC (OPFI) stock?
OPPFI INC (OPFI) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for OPFI stock?
The Price/Earnings (PE) ratio for OPPFI INC (OPFI) is 6.34 and the Price/Book (PB) ratio is 16.83.
How sustainable is the dividend of OPPFI INC (OPFI) stock?
The dividend rating of OPPFI INC (OPFI) is 2 / 10 and the dividend payout ratio is 165.57%.