PORTMAN RIDGE FINANCE CORP (PTMN) Stock Fundamental Analysis
NASDAQ:PTMN - Nasdaq - US73688F2011 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to PTMN. PTMN was compared to 227 industry peers in the Capital Markets industry. The financial health of PTMN is average, but there are quite some concerns on its profitability. PTMN 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 PTMN was profitable.
In the past year PTMN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PTMN reported negative net income in multiple years.
Of the past 5 years PTMN 4 years had a positive operating cash flow.
1.2 Ratios
PTMN has a worse Return On Assets (-1.31%) than 80.18% of its industry peers.
The Return On Equity of PTMN (-3.33%) is worse than 78.85% of its industry peers.
The Return On Invested Capital of PTMN (4.28%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for PTMN is below the industry average of 7.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.31% | ||
| ROE | -3.33% | ||
| ROIC | 4.28% |
ROA(3y)-0.88%
ROA(5y)1.33%
ROE(3y)-2.35%
ROE(5y)3.37%
ROIC(3y)4.39%
ROIC(5y)4.14%
1.3 Margins
PTMN has a better Operating Margin (38.51%) than 67.84% of its industry peers.
PTMN's Operating Margin has improved in the last couple of years.
PTMN has a Gross Margin (48.18%) which is in line with its industry peers.
PTMN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.51% | ||
| PM (TTM) | N/A | ||
| GM | 48.18% |
OM growth 3Y-9.79%
OM growth 5Y17.74%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-9.14%
GM growth 5Y-3.3%
2. Health
2.1 Basic Checks
Compared to 1 year ago, PTMN has less shares outstanding
PTMN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for PTMN has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -1.07, we must say that PTMN is in the distress zone and has some risk of bankruptcy.
PTMN has a worse Altman-Z score (-1.07) than 89.43% of its industry peers.
The Debt to FCF ratio of PTMN is 4.68, which is a neutral value as it means it would take PTMN, 4.68 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.68, PTMN is in the better half of the industry, outperforming 66.96% of the companies in the same industry.
A Debt/Equity ratio of 1.49 is on the high side and indicates that PTMN has dependencies on debt financing.
With a Debt to Equity ratio value of 1.49, PTMN is not doing good in the industry: 70.93% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 4.68 | ||
| Altman-Z | -1.07 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
PTMN has a Current Ratio of 1.89. This is a normal value and indicates that PTMN is financially healthy and should not expect problems in meeting its short term obligations.
PTMN has a Current ratio of 1.89. This is in the better half of the industry: PTMN outperforms 67.84% of its industry peers.
PTMN has a Quick Ratio of 1.89. This is a normal value and indicates that PTMN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.89, PTMN is in the better half of the industry, outperforming 67.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
The earnings per share for PTMN have decreased strongly by -28.96% in the last year.
Measured over the past years, PTMN shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.58% on average per year.
PTMN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -18.19%.
Measured over the past years, PTMN shows a quite strong growth in Revenue. The Revenue has been growing by 18.69% on average per year.
EPS 1Y (TTM)-28.96%
EPS 3Y-15.64%
EPS 5Y26.58%
EPS Q2Q%-49.58%
Revenue 1Y (TTM)-18.19%
Revenue growth 3Y-7.97%
Revenue growth 5Y18.69%
Sales Q2Q%-19.09%
3.2 Future
PTMN is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -3.39% yearly.
Based on estimates for the next years, PTMN will show a decrease in Revenue. The Revenue will decrease by -0.47% on average per year.
EPS Next Y-4.84%
EPS Next 2Y-3.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-4.87%
Revenue Next 2Y-0.47%
Revenue Next 3YN/A
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
A Price/Earnings ratio of 4.68 indicates a rather cheap valuation of PTMN.
94.27% of the companies in the same industry are more expensive than PTMN, based on the Price/Earnings ratio.
PTMN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.33.
With a Price/Forward Earnings ratio of 4.92, the valuation of PTMN can be described as very cheap.
95.15% of the companies in the same industry are more expensive than PTMN, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of PTMN to the average of the S&P500 Index (21.37), we can say PTMN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.68 | ||
| Fwd PE | 4.92 |
4.2 Price Multiples
90.31% of the companies in the same industry are more expensive than PTMN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.98 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PTMN's earnings are expected to decrease with -3.39% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y-3.39%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 15.63%, PTMN is a good candidate for dividend investing.
In the last 3 months the price of PTMN has falen by -26.56%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
PTMN's Dividend Yield is rather good when compared to the industry average which is at 8.41. PTMN pays more dividend than 92.07% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.51, PTMN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.63% |
5.2 History
The dividend of PTMN decreases each year by -0.97%.
PTMN has been paying a dividend for at least 10 years, so it has a reliable track record.
PTMN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.97%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
PTMN has negative earnings and hence a negative payout ratio. The dividend may be in danger.
PTMN's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-425.58%
EPS Next 2Y-3.39%
EPS Next 3YN/A
NASDAQ:PTMN (4/23/2025, 11:28:59 AM)
12.18
-0.07 (-0.57%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners18.97%
Inst Owner Change0.9%
Ins Owners2.32%
Ins Owner Change0%
Market Cap112.06M
Analysts80
Price Target17.72 (45.48%)
Short Float %1.32%
Short Ratio3.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 15.63% |
Yearly Dividend2.72
Dividend Growth(5Y)-0.97%
DP-425.58%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.01%
Min EPS beat(2)-9.15%
Max EPS beat(2)-8.86%
EPS beat(4)0
Avg EPS beat(4)-6.57%
Min EPS beat(4)-9.15%
Max EPS beat(4)-0.06%
EPS beat(8)3
Avg EPS beat(8)4.38%
EPS beat(12)4
Avg EPS beat(12)-16.22%
EPS beat(16)7
Avg EPS beat(16)-2.35%
Revenue beat(2)0
Avg Revenue beat(2)-7.52%
Min Revenue beat(2)-8.47%
Max Revenue beat(2)-6.57%
Revenue beat(4)0
Avg Revenue beat(4)-7.65%
Min Revenue beat(4)-8.54%
Max Revenue beat(4)-6.57%
Revenue beat(8)2
Avg Revenue beat(8)-4.32%
Revenue beat(12)4
Avg Revenue beat(12)-2.44%
Revenue beat(16)8
Avg Revenue beat(16)4.52%
PT rev (1m)-2.8%
PT rev (3m)-5.23%
EPS NQ rev (1m)-5.79%
EPS NQ rev (3m)-6.51%
EPS NY rev (1m)-7.68%
EPS NY rev (3m)-7.18%
Revenue NQ rev (1m)-6.91%
Revenue NQ rev (3m)-7.92%
Revenue NY rev (1m)-7.79%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.68 | ||
| Fwd PE | 4.92 | ||
| P/S | 1.79 | ||
| P/FCF | 1.98 | ||
| P/OCF | 1.98 | ||
| P/B | 0.63 | ||
| P/tB | 0.63 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.6
EY21.35%
EPS(NY)2.47
Fwd EY20.31%
FCF(TTM)6.16
FCFY50.54%
OCF(TTM)6.16
OCFY50.54%
SpS6.79
BVpS19.4
TBVpS19.4
PEG (NY)N/A
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.31% | ||
| ROE | -3.33% | ||
| ROCE | 5.42% | ||
| ROIC | 4.28% | ||
| ROICexc | 4.46% | ||
| ROICexgc | 4.47% | ||
| OM | 38.51% | ||
| PM (TTM) | N/A | ||
| GM | 48.18% | ||
| FCFM | 90.71% |
ROA(3y)-0.88%
ROA(5y)1.33%
ROE(3y)-2.35%
ROE(5y)3.37%
ROIC(3y)4.39%
ROIC(5y)4.14%
ROICexc(3y)4.55%
ROICexc(5y)4.3%
ROICexgc(3y)4.57%
ROICexgc(5y)4.32%
ROCE(3y)5.56%
ROCE(5y)5.25%
ROICexcg growth 3Y-7%
ROICexcg growth 5Y30.78%
ROICexc growth 3Y-6.89%
ROICexc growth 5Y30.8%
OM growth 3Y-9.79%
OM growth 5Y17.74%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-9.14%
GM growth 5Y-3.3%
F-Score4
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.49 | ||
| Debt/FCF | 4.68 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.21 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.89 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | -1.07 |
F-Score4
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)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-28.96%
EPS 3Y-15.64%
EPS 5Y26.58%
EPS Q2Q%-49.58%
EPS Next Y-4.84%
EPS Next 2Y-3.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-18.19%
Revenue growth 3Y-7.97%
Revenue growth 5Y18.69%
Sales Q2Q%-19.09%
Revenue Next Year-4.87%
Revenue Next 2Y-0.47%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-30.87%
EBIT growth 3Y-16.97%
EBIT growth 5Y39.75%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-53.16%
FCF growth 3Y-2.5%
FCF growth 5YN/A
OCF growth 1Y-53.16%
OCF growth 3Y-2.5%
OCF growth 5YN/A