UPBOUND GROUP INC (UPBD) Stock Fundamental Analysis
USA - NASDAQ:UPBD - US76009N1000 - Common Stock
19.84 USD
+0.07 (+0.35%)
19.84 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to UPBD. UPBD was compared to 121 industry peers in the Specialty Retail industry. There are concerns on the financial health of UPBD while its profitability can be described as average. A decent growth rate in combination with a cheap valuation! Better keep an eye on UPBD. Finally UPBD also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UPBD had positive earnings in the past year.
In the past year UPBD had a positive cash flow from operations.
UPBD had positive earnings in 4 of the past 5 years.
Each year in the past 5 years UPBD had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 3.30%, UPBD is doing good in the industry, outperforming 61.16% of the companies in the same industry.
The Return On Equity of UPBD (14.90%) is better than 74.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.72%, UPBD is in the better half of the industry, outperforming 74.38% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for UPBD is in line with the industry average of 11.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.3% | ||
| ROE | 14.9% | ||
| ROIC | 10.72% |
ROA(3y)1.64%
ROA(5y)4.26%
ROE(3y)7.02%
ROE(5y)16.5%
ROIC(3y)11.93%
ROIC(5y)14.36%
1.3 Margins
The Profit Margin of UPBD (2.28%) is better than 62.81% of its industry peers.
In the last couple of years the Profit Margin of UPBD has declined.
The Operating Margin of UPBD (6.93%) is better than 74.38% of its industry peers.
In the last couple of years the Operating Margin of UPBD has declined.
UPBD has a better Gross Margin (47.78%) than 74.38% of its industry peers.
In the last couple of years the Gross Margin of UPBD has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.93% | ||
| PM (TTM) | 2.28% | ||
| GM | 47.78% |
OM growth 3Y-9.14%
OM growth 5Y-11.16%
PM growth 3Y-0.98%
PM growth 5Y-15.15%
GM growth 3Y-0.42%
GM growth 5Y-4.8%
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 increased compared to 1 year ago.
The number of shares outstanding for UPBD remains at a similar level compared to 5 years ago.
UPBD has a worse debt/assets ratio than last year.
2.2 Solvency
UPBD has an Altman-Z score of 2.80. This is not the best score and indicates that UPBD is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of UPBD (2.80) is better than 64.46% of its industry peers.
UPBD has a debt to FCF ratio of 11.96. This is a negative value and a sign of low solvency as UPBD would need 11.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.96, UPBD is in line with its industry, outperforming 52.89% of the companies in the same industry.
A Debt/Equity ratio of 2.29 is on the high side and indicates that UPBD has dependencies on debt financing.
With a Debt to Equity ratio value of 2.29, UPBD is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | 11.96 | ||
| Altman-Z | 2.8 |
ROIC/WACC1.07
WACC9.98%
2.3 Liquidity
UPBD has a Current Ratio of 1.85. This is a normal value and indicates that UPBD is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of UPBD (1.85) is better than 81.82% of its industry peers.
A Quick Ratio of 0.37 indicates that UPBD may have some problems paying its short term obligations.
With a Quick ratio value of 0.37, UPBD is not doing good in the industry: 64.46% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.85 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
UPBD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.16%, which is quite good.
UPBD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.32% yearly.
The Revenue has grown by 8.22% in the past year. This is quite good.
Measured over the past years, UPBD shows a quite strong growth in Revenue. The Revenue has been growing by 10.11% on average per year.
EPS 1Y (TTM)16.16%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%5.26%
Revenue 1Y (TTM)8.22%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%8.97%
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 11.46% yearly.
UPBD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.79% yearly.
EPS Next Y3.07%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
EPS Next 5Y11.46%
Revenue Next Year8.62%
Revenue Next 2Y8.15%
Revenue Next 3Y7.85%
Revenue Next 5Y5.79%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
The Price/Earnings ratio is 4.76, which indicates a rather cheap valuation of UPBD.
Compared to the rest of the industry, the Price/Earnings ratio of UPBD indicates a rather cheap valuation: UPBD is cheaper than 97.52% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.13. UPBD is valued rather cheaply when compared to this.
UPBD is valuated cheaply with a Price/Forward Earnings ratio of 3.97.
UPBD's Price/Forward Earnings ratio is rather cheap when compared to the industry. UPBD is cheaper than 99.17% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.35. UPBD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.76 | ||
| Fwd PE | 3.97 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UPBD is valued a bit cheaper than the industry average as 77.69% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UPBD indicates a rather cheap valuation: UPBD is cheaper than 89.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.77 | ||
| EV/EBITDA | 6.06 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
UPBD's earnings are expected to grow with 16.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.55
PEG (5Y)0.42
EPS Next 2Y14.29%
EPS Next 3Y16.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 7.86%, UPBD is a good candidate for dividend investing.
UPBD's Dividend Yield is rather good when compared to the industry average which is at 5.49. UPBD pays more dividend than 96.69% of the companies in the same industry.
UPBD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
5.2 History
The dividend of UPBD is nicely growing with an annual growth rate of 42.90%!
UPBD has been paying a dividend for at least 10 years, so it has a reliable track record.
UPBD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)42.9%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
UPBD pays out 82.29% of its income as dividend. This is not a sustainable payout ratio.
The dividend of UPBD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP82.29%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
19.84
+0.07 (+0.35%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners85.89%
Inst Owner ChangeN/A
Ins Owners8.35%
Ins Owner Change-1%
Market Cap1.15B
Revenue(TTM)4.32B
Net Income(TTM)102.12M
Analysts84.29
Price Target37.1 (87%)
Short Float %7.44%
Short Ratio5.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
Yearly Dividend1.51
Dividend Growth(5Y)42.9%
DP82.29%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.66%
Min EPS beat(2)3.33%
Max EPS beat(2)3.99%
EPS beat(4)3
Avg EPS beat(4)1.92%
Min EPS beat(4)-0.12%
Max EPS beat(4)3.99%
EPS beat(8)6
Avg EPS beat(8)1.62%
EPS beat(12)10
Avg EPS beat(12)8.31%
EPS beat(16)12
Avg EPS beat(16)4.93%
Revenue beat(2)1
Avg Revenue beat(2)0.74%
Min Revenue beat(2)-0.81%
Max Revenue beat(2)2.29%
Revenue beat(4)2
Avg Revenue beat(4)0.51%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)2.29%
Revenue beat(8)5
Avg Revenue beat(8)0.74%
Revenue beat(12)6
Avg Revenue beat(12)0.18%
Revenue beat(16)7
Avg Revenue beat(16)-0.14%
PT rev (1m)5.43%
PT rev (3m)0.34%
EPS NQ rev (1m)-0.76%
EPS NQ rev (3m)-5.92%
EPS NY rev (1m)-0.15%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.76 | ||
| Fwd PE | 3.97 | ||
| P/S | 0.26 | ||
| P/FCF | 8.77 | ||
| P/OCF | 6.05 | ||
| P/B | 1.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.06 |
EPS(TTM)4.17
EY21.02%
EPS(NY)5
Fwd EY25.21%
FCF(TTM)2.26
FCFY11.4%
OCF(TTM)3.28
OCFY16.52%
SpS77.41
BVpS11.84
TBVpS-3.11
PEG (NY)1.55
PEG (5Y)0.42
Graham Number33.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.3% | ||
| ROE | 14.9% | ||
| ROCE | 13.57% | ||
| ROIC | 10.72% | ||
| ROICexc | 11.25% | ||
| ROICexgc | 18.72% | ||
| OM | 6.93% | ||
| PM (TTM) | 2.28% | ||
| GM | 47.78% | ||
| FCFM | 2.92% |
ROA(3y)1.64%
ROA(5y)4.26%
ROE(3y)7.02%
ROE(5y)16.5%
ROIC(3y)11.93%
ROIC(5y)14.36%
ROICexc(3y)12.54%
ROICexc(5y)15.63%
ROICexgc(3y)18.23%
ROICexgc(5y)21.19%
ROCE(3y)15.11%
ROCE(5y)18.18%
ROICexgc growth 3Y-10.3%
ROICexgc growth 5Y-13.65%
ROICexc growth 3Y-8%
ROICexc growth 5Y-17.42%
OM growth 3Y-9.14%
OM growth 5Y-11.16%
PM growth 3Y-0.98%
PM growth 5Y-15.15%
GM growth 3Y-0.42%
GM growth 5Y-4.8%
F-Score4
Asset Turnover1.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | 11.96 | ||
| Debt/EBITDA | 3.64 | ||
| Cap/Depr | 49.05% | ||
| Cap/Sales | 1.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 44.09% | ||
| Profit Quality | 128.24% | ||
| Current Ratio | 1.85 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 2.8 |
F-Score4
WACC9.98%
ROIC/WACC1.07
Cap/Depr(3y)44.47%
Cap/Depr(5y)46.21%
Cap/Sales(3y)1.36%
Cap/Sales(5y)1.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.16%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%5.26%
EPS Next Y3.07%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
EPS Next 5Y11.46%
Revenue 1Y (TTM)8.22%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%8.97%
Revenue Next Year8.62%
Revenue Next 2Y8.15%
Revenue Next 3Y7.85%
Revenue Next 5Y5.79%
EBIT growth 1Y8.26%
EBIT growth 3Y-10.91%
EBIT growth 5Y-2.19%
EBIT Next Year50.49%
EBIT Next 3Y25.59%
EBIT Next 5Y14.06%
FCF growth 1Y-51.77%
FCF growth 3Y-47.24%
FCF growth 5Y-24.25%
OCF growth 1Y-41.31%
OCF growth 3Y-35.61%
OCF growth 5Y-13.43%
UPBOUND GROUP INC / UPBD FAQ
What is the fundamental rating for UPBD stock?
ChartMill assigns a fundamental rating of 5 / 10 to UPBD.
What is the valuation status for UPBD stock?
ChartMill assigns a valuation rating of 8 / 10 to UPBOUND GROUP INC (UPBD). This can be considered as Undervalued.
How profitable is UPBOUND GROUP INC (UPBD) stock?
UPBOUND GROUP INC (UPBD) has a profitability rating of 5 / 10.
What is the valuation of UPBOUND GROUP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for UPBOUND GROUP INC (UPBD) is 4.76 and the Price/Book (PB) ratio is 1.68.
Is the dividend of UPBOUND GROUP INC sustainable?
The dividend rating of UPBOUND GROUP INC (UPBD) is 7 / 10 and the dividend payout ratio is 82.29%.