UPBOUND GROUP INC (UPBD) Stock Fundamental Analysis
NASDAQ:UPBD - Nasdaq - US76009N1000 - Common Stock
Overall UPBD gets a fundamental rating of 6 out of 10. We evaluated UPBD against 119 industry peers in the Specialty Retail industry. UPBD has only an average score on both its financial health and profitability. UPBD is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make UPBD suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year UPBD was profitable.
UPBD had a positive operating cash flow in the past year.
Of the past 5 years UPBD 4 years were profitable.
UPBD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.15%, UPBD is in the better half of the industry, outperforming 60.34% of the companies in the same industry.
The Return On Equity of UPBD (13.28%) is better than 70.69% of its industry peers.
UPBD has a better Return On Invested Capital (12.52%) than 81.03% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for UPBD is in line with the industry average of 12.38%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 13.28% | ||
| ROIC | 12.52% |
ROA(3y)1.59%
ROA(5y)5.52%
ROE(3y)9.24%
ROE(5y)20.13%
ROIC(3y)13.01%
ROIC(5y)18.02%
1.3 Margins
UPBD's Profit Margin of 1.91% is in line compared to the rest of the industry. UPBD outperforms 56.90% of its industry peers.
UPBD has a better Operating Margin (7.05%) than 75.00% of its industry peers.
UPBD's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 48.94%, UPBD is in the better half of the industry, outperforming 77.59% of the companies in the same industry.
UPBD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.05% | ||
| PM (TTM) | 1.91% | ||
| GM | 48.94% |
OM growth 3Y-7.35%
OM growth 5Y11.64%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.18%
GM growth 5Y-4.41%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UPBD is creating some value.
Compared to 1 year ago, UPBD has less shares outstanding
UPBD has more shares outstanding than it did 5 years ago.
UPBD has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.44 indicates that UPBD is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.44, UPBD is in the better half of the industry, outperforming 75.86% of the companies in the same industry.
The Debt to FCF ratio of UPBD is 14.42, which is on the high side as it means it would take UPBD, 14.42 years of fcf income to pay off all of its debts.
UPBD has a Debt to FCF ratio (14.42) which is in line with its industry peers.
A Debt/Equity ratio of 2.02 is on the high side and indicates that UPBD has dependencies on debt financing.
UPBD has a worse Debt to Equity ratio (2.02) than 70.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.02 | ||
| Debt/FCF | 14.42 | ||
| Altman-Z | 3.44 |
ROIC/WACC1.2
WACC10.44%
2.3 Liquidity
A Current Ratio of 2.08 indicates that UPBD has no problem at all paying its short term obligations.
With an excellent Current ratio value of 2.08, UPBD belongs to the best of the industry, outperforming 81.03% of the companies in the same industry.
UPBD has a Quick Ratio of 2.08. This is a bad value and indicates that UPBD is not financially healthy enough and could expect problems in meeting its short term obligations.
UPBD has a Quick ratio (0.41) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.00% over the past year.
Measured over the past years, UPBD shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.01% on average per year.
The Revenue has been growing slightly by 7.43% in the past year.
Measured over the past years, UPBD shows a quite strong growth in Revenue. The Revenue has been growing by 8.46% on average per year.
EPS 1Y (TTM)0%
EPS 3Y0%
EPS 5Y28.01%
EPS Q2Q%20.25%
Revenue 1Y (TTM)7.43%
Revenue growth 3Y12.36%
Revenue growth 5Y8.46%
Sales Q2Q%9.17%
3.2 Future
Based on estimates for the next years, UPBD will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.61% on average per year.
UPBD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.43% yearly.
EPS Next Y9.7%
EPS Next 2Y12.61%
EPS Next 3Y14.72%
EPS Next 5Y9.61%
Revenue Next Year8.35%
Revenue Next 2Y6.52%
Revenue Next 3Y6.39%
Revenue Next 5Y4.43%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.31 indicates a reasonable valuation of UPBD.
93.97% of the companies in the same industry are more expensive than UPBD, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of UPBD to the average of the S&P500 Index (28.29), we can say UPBD is valued rather cheaply.
The Price/Forward Earnings ratio is 6.65, which indicates a rather cheap valuation of UPBD.
Based on the Price/Forward Earnings ratio, UPBD is valued cheaper than 93.10% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of UPBD to the average of the S&P500 Index (24.44), we can say UPBD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.31 | ||
| Fwd PE | 6.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UPBD indicates a rather cheap valuation: UPBD is cheaper than 83.62% of the companies listed in the same industry.
UPBD's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. UPBD is cheaper than 74.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.06 | ||
| EV/EBITDA | 6.52 |
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.
UPBD has a very decent profitability rating, which may justify a higher PE ratio.
UPBD's earnings are expected to grow with 14.72% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.86
PEG (5Y)0.3
EPS Next 2Y12.61%
EPS Next 3Y14.72%
5. Dividend
5.1 Amount
UPBD has a Yearly Dividend Yield of 5.29%, which is a nice return.
UPBD's Dividend Yield is rather good when compared to the industry average which is at 3.27. UPBD pays more dividend than 94.83% of the companies in the same industry.
UPBD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
5.2 History
UPBD has been paying a dividend for at least 10 years, so it has a reliable track record.
UPBD has decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
UPBD pays out 99.30% of its income as dividend. This is not a sustainable payout ratio.
DP99.3%
EPS Next 2Y12.61%
EPS Next 3Y14.72%
UPBOUND GROUP INC
NASDAQ:UPBD (1/22/2025, 10:30:08 AM)
29.85
-0.14 (-0.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners92.76%
Inst Owner ChangeN/A
Ins Owners11.55%
Ins Owner Change-4.09%
Market Cap1.63B
Analysts82.67
Price Target41.93 (40.47%)
Short Float %3.66%
Short Ratio3.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.29% |
Yearly Dividend1.51
Dividend Growth(5Y)N/A
DP99.3%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.36%
Min EPS beat(2)-1.18%
Max EPS beat(2)0.46%
EPS beat(4)3
Avg EPS beat(4)0.67%
Min EPS beat(4)-1.18%
Max EPS beat(4)2.63%
EPS beat(8)7
Avg EPS beat(8)11.13%
EPS beat(12)10
Avg EPS beat(12)6.23%
EPS beat(16)12
Avg EPS beat(16)6.52%
Revenue beat(2)2
Avg Revenue beat(2)1.34%
Min Revenue beat(2)0.65%
Max Revenue beat(2)2.04%
Revenue beat(4)4
Avg Revenue beat(4)1.35%
Min Revenue beat(4)0.4%
Max Revenue beat(4)2.33%
Revenue beat(8)5
Avg Revenue beat(8)0.17%
Revenue beat(12)6
Avg Revenue beat(12)-0.16%
Revenue beat(16)8
Avg Revenue beat(16)0.25%
PT rev (1m)0.54%
PT rev (3m)-2.7%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.59%
EPS NY rev (1m)0%
EPS NY rev (3m)0.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.31 | ||
| Fwd PE | 6.65 | ||
| P/S | 0.38 | ||
| P/FCF | 19.06 | ||
| P/OCF | 11.1 | ||
| P/B | 2.67 | ||
| P/tB | 29.21 | ||
| EV/EBITDA | 6.52 |
EPS(TTM)3.59
EY12.03%
EPS(NY)4.49
Fwd EY15.04%
FCF(TTM)1.57
FCFY5.25%
OCF(TTM)2.69
OCFY9.01%
SpS77.87
BVpS11.19
TBVpS1.02
PEG (NY)0.86
PEG (5Y)0.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 13.28% | ||
| ROCE | 15.85% | ||
| ROIC | 12.52% | ||
| ROICexc | 13.11% | ||
| ROICexgc | 19.01% | ||
| OM | 7.05% | ||
| PM (TTM) | 1.91% | ||
| GM | 48.94% | ||
| FCFM | 2.01% |
ROA(3y)1.59%
ROA(5y)5.52%
ROE(3y)9.24%
ROE(5y)20.13%
ROIC(3y)13.01%
ROIC(5y)18.02%
ROICexc(3y)13.75%
ROICexc(5y)19.72%
ROICexgc(3y)20.5%
ROICexgc(5y)25.02%
ROCE(3y)16.47%
ROCE(5y)22.81%
ROICexcg growth 3Y-12.34%
ROICexcg growth 5Y9.44%
ROICexc growth 3Y-19.97%
ROICexc growth 5Y3.07%
OM growth 3Y-7.35%
OM growth 5Y11.64%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.18%
GM growth 5Y-4.41%
F-Score7
Asset Turnover1.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.02 | ||
| Debt/FCF | 14.42 | ||
| Debt/EBITDA | 2.89 | ||
| Cap/Depr | 48.14% | ||
| Cap/Sales | 1.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 34.37% | ||
| Profit Quality | 105.44% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 3.44 |
F-Score7
WACC10.44%
ROIC/WACC1.2
Cap/Depr(3y)40.89%
Cap/Depr(5y)43.62%
Cap/Sales(3y)1.38%
Cap/Sales(5y)1.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y0%
EPS 5Y28.01%
EPS Q2Q%20.25%
EPS Next Y9.7%
EPS Next 2Y12.61%
EPS Next 3Y14.72%
EPS Next 5Y9.61%
Revenue 1Y (TTM)7.43%
Revenue growth 3Y12.36%
Revenue growth 5Y8.46%
Sales Q2Q%9.17%
Revenue Next Year8.35%
Revenue Next 2Y6.52%
Revenue Next 3Y6.39%
Revenue Next 5Y4.43%
EBIT growth 1Y-2.8%
EBIT growth 3Y4.11%
EBIT growth 5Y21.09%
EBIT Next Year141.88%
EBIT Next 3Y42.54%
EBIT Next 5Y23.9%
FCF growth 1Y-79.22%
FCF growth 3Y-10.08%
FCF growth 5Y-5.94%
OCF growth 1Y-69.25%
OCF growth 3Y-5.39%
OCF growth 5Y-2.52%