UPBOUND GROUP INC (UPBD)
US76009N1000 - Common Stock
Overall UPBD gets a fundamental rating of 6 out of 10. We evaluated UPBD against 123 industry peers in the Specialty Retail industry. Both the profitability and the financial health of UPBD get a neutral evaluation. Nothing too spectacular is happening here. A decent growth rate in combination with a cheap valuation! Better keep an eye on UPBD. These ratings would make UPBD suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year UPBD was profitable.
In the past year UPBD had a positive cash flow from operations.
Of the past 5 years UPBD 4 years were profitable.
In the past 5 years UPBD always reported a positive cash flow from operatings.
1.2 Ratios
UPBD has a better Return On Assets (3.15%) than 60.33% of its industry peers.
UPBD has a better Return On Equity (13.28%) than 71.90% of its industry peers.
UPBD has a Return On Invested Capital of 12.52%. This is amongst the best in the industry. UPBD outperforms 80.99% of its industry peers.
UPBD had an Average Return On Invested Capital over the past 3 years of 13.01%. This is in line with the industry average of 12.28%.
| 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
Looking at the Profit Margin, with a value of 1.91%, UPBD is in line with its industry, outperforming 57.85% of the companies in the same industry.
Looking at the Operating Margin, with a value of 7.05%, UPBD is in the better half of the industry, outperforming 76.03% of the companies in the same industry.
UPBD's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 48.94%, UPBD is doing good in the industry, outperforming 77.69% 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so UPBD is still creating some value.
The number of shares outstanding for UPBD has been reduced compared to 1 year ago.
UPBD has more shares outstanding than it did 5 years ago.
UPBD has a better debt/assets ratio than last year.
2.2 Solvency
UPBD has an Altman-Z score of 3.49. This indicates that UPBD is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.49, UPBD is in the better half of the industry, outperforming 76.03% 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 comparable to the rest of the industry.
A Debt/Equity ratio of 2.02 is on the high side and indicates that UPBD has dependencies on debt financing.
The Debt to Equity ratio of UPBD (2.02) is worse than 71.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.02 | ||
| Debt/FCF | 14.42 | ||
| Altman-Z | 3.49 |
ROIC/WACC1.27
WACC9.88%
2.3 Liquidity
A Current Ratio of 2.08 indicates that UPBD has no problem at all paying its short term obligations.
The Current ratio of UPBD (2.08) is better than 79.34% of its industry peers.
A Quick Ratio of 0.41 indicates that UPBD may have some problems paying its short term obligations.
The Quick ratio of UPBD (0.41) 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.
UPBD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 28.01% yearly.
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
UPBD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.96% yearly.
Based on estimates for the next years, UPBD will show a small growth in Revenue. The Revenue will grow by 3.86% on average per year.
EPS Next Y9.66%
EPS Next 2Y11.58%
EPS Next 3Y14.18%
EPS Next 5Y8.96%
Revenue Next Year8.35%
Revenue Next 2Y6.22%
Revenue Next 3Y5.46%
Revenue Next 5Y3.86%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
UPBD is valuated reasonably with a Price/Earnings ratio of 9.09.
Compared to the rest of the industry, the Price/Earnings ratio of UPBD indicates a rather cheap valuation: UPBD is cheaper than 92.56% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of UPBD to the average of the S&P500 Index (29.10), we can say UPBD is valued rather cheaply.
UPBD is valuated cheaply with a Price/Forward Earnings ratio of 7.40.
Based on the Price/Forward Earnings ratio, UPBD is valued cheaper than 91.74% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of UPBD to the average of the S&P500 Index (23.79), we can say UPBD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.09 | ||
| Fwd PE | 7.4 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UPBD is valued a bit cheaper than the industry average as 78.51% of the companies are valued more expensively.
67.77% of the companies in the same industry are more expensive than UPBD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.83 | ||
| EV/EBITDA | 6.92 |
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.
The decent profitability rating of UPBD may justify a higher PE ratio.
UPBD's earnings are expected to grow with 14.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.94
PEG (5Y)0.32
EPS Next 2Y11.58%
EPS Next 3Y14.18%
5. Dividend
5.1 Amount
UPBD has a Yearly Dividend Yield of 4.51%, which is a nice return.
Compared to an average industry Dividend Yield of 3.01, UPBD pays a better dividend. On top of this UPBD pays more dividend than 94.21% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.21, UPBD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
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
99.30% of the earnings are spent on dividend by UPBD. This is not a sustainable payout ratio.
DP99.3%
EPS Next 2Y11.58%
EPS Next 3Y14.18%
UPBOUND GROUP INC
NASDAQ:UPBD (11/14/2024, 2:03:37 PM)
32.62
-0.47 (-1.42%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.78B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.51% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.09 | ||
| Fwd PE | 7.4 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.94
PEG (5Y)0.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 13.28% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.05% | ||
| PM (TTM) | 1.91% | ||
| GM | 48.94% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.02 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.08 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y0%
EPS 5Y
EPS Q2Q%
EPS Next Y9.66%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.43%
Revenue growth 3Y12.36%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y