6.92 USD
-0.07 (-1%)
We assign a fundamental rating of 3 out of 10 to WHF. WHF was compared to 237 industry peers in the Capital Markets industry. Both the profitability and financial health of WHF have multiple concerns. WHF is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year WHF was profitable.
- WHF had a positive operating cash flow in the past year.
- In the past 5 years WHF has always been profitable.
- In multiple years WHF reported negative operating cash flow during the last 5 years.
1.2 Ratios
- WHF has a worse Return On Assets (1.57%) than 62.18% of its industry peers.
- Looking at the Return On Equity, with a value of 3.72%, WHF is doing worse than 64.71% of the companies in the same industry.
- WHF has a Return On Invested Capital (3.69%) which is in line with its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for WHF is below the industry average of 7.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.57% | ||
| ROE | 3.72% | ||
| ROIC | 3.69% |
ROA(3y)2.12%
ROA(5y)2.86%
ROE(3y)4.98%
ROE(5y)6.74%
ROIC(3y)4.4%
ROIC(5y)3.74%
1.3 Margins
- WHF's Profit Margin of 12.91% is in line compared to the rest of the industry. WHF outperforms 43.28% of its industry peers.
- WHF's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 36.00%, WHF is in the better half of the industry, outperforming 66.39% of the companies in the same industry.
- WHF's Operating Margin has declined in the last couple of years.
- WHF has a Gross Margin of 43.86%. This is comparable to the rest of the industry: WHF outperforms 46.64% of its industry peers.
- In the last couple of years the Gross Margin of WHF has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36% | ||
| PM (TTM) | 12.91% | ||
| GM | 43.86% |
OM growth 3Y0.18%
OM growth 5Y-2.92%
PM growth 3Y-34.56%
PM growth 5Y-23.96%
GM growth 3Y-0.25%
GM growth 5Y-2.13%
2. Health
2.1 Basic Checks
- Compared to 1 year ago, WHF has about the same amount of shares outstanding.
- The number of shares outstanding for WHF has been increased compared to 5 years ago.
- The debt/assets ratio for WHF has been reduced compared to a year ago.
2.2 Solvency
- WHF has an Altman-Z score of 0.34. This is a bad value and indicates that WHF is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 0.34, WHF is doing worse than 67.23% of the companies in the same industry.
- The Debt to FCF ratio of WHF is 3.32, which is a good value as it means it would take WHF, 3.32 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of WHF (3.32) is better than 76.47% of its industry peers.
- A Debt/Equity ratio of 1.22 is on the high side and indicates that WHF has dependencies on debt financing.
- WHF has a worse Debt to Equity ratio (1.22) than 60.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 3.32 | ||
| Altman-Z | 0.34 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- WHF has a Current Ratio of 0.57. This is a bad value and indicates that WHF is not financially healthy enough and could expect problems in meeting its short term obligations.
- WHF has a Current ratio of 0.57. This is in the lower half of the industry: WHF underperforms 70.59% of its industry peers.
- A Quick Ratio of 0.57 indicates that WHF may have some problems paying its short term obligations.
- WHF has a worse Quick ratio (0.57) than 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
- The earnings per share for WHF have decreased strongly by -31.48% in the last year.
- The Earnings Per Share has been growing slightly by 1.13% on average over the past years.
- WHF shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -21.66%.
- Measured over the past years, WHF shows a small growth in Revenue. The Revenue has been growing by 6.71% on average per year.
EPS 1Y (TTM)-31.48%
EPS 3Y4.48%
EPS 5Y1.13%
EPS Q2Q%-35%
Revenue 1Y (TTM)-21.66%
Revenue growth 3Y8.76%
Revenue growth 5Y6.71%
Sales Q2Q%-51.71%
3.2 Future
- WHF is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -12.27% yearly.
- Based on estimates for the next years, WHF will show a decrease in Revenue. The Revenue will decrease by -9.52% on average per year.
EPS Next Y-30.12%
EPS Next 2Y-18.58%
EPS Next 3Y-12.27%
EPS Next 5YN/A
Revenue Next Year-22.55%
Revenue Next 2Y-14.75%
Revenue Next 3Y-9.52%
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
- Based on the Price/Earnings ratio of 5.86, the valuation of WHF can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of WHF indicates a rather cheap valuation: WHF is cheaper than 86.55% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.21. WHF is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 6.49, which indicates a rather cheap valuation of WHF.
- Based on the Price/Forward Earnings ratio, WHF is valued cheaply inside the industry as 91.60% of the companies are valued more expensively.
- WHF's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.86 | ||
| Fwd PE | 6.49 |
4.2 Price Multiples
- Based on the Price/Free Cash Flow ratio, WHF is valued cheaply inside the industry as 95.80% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.65 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- A cheap valuation may be justified as WHF's earnings are expected to decrease with -12.27% in the coming years.
PEG (NY)N/A
PEG (5Y)5.18
EPS Next 2Y-18.58%
EPS Next 3Y-12.27%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 7.74%, WHF is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 5.87, WHF pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.81, WHF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.74% |
5.2 History
- The dividend of WHF has a limited annual growth rate of 1.98%.
- WHF has paid a dividend for at least 10 years, which is a reliable track record.
- WHF has decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.98%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- WHF pays out 420.82% of its income as dividend. This is not a sustainable payout ratio.
- The Dividend Rate of WHF has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP420.82%
EPS Next 2Y-18.58%
EPS Next 3Y-12.27%
WHITEHORSE FINANCE INC / WHF FAQ
Can you provide the ChartMill fundamental rating for WHITEHORSE FINANCE INC?
ChartMill assigns a fundamental rating of 3 / 10 to WHF.
Can you provide the valuation status for WHITEHORSE FINANCE INC?
ChartMill assigns a valuation rating of 6 / 10 to WHITEHORSE FINANCE INC (WHF). This can be considered as Fairly Valued.
Can you provide the profitability details for WHITEHORSE FINANCE INC?
WHITEHORSE FINANCE INC (WHF) has a profitability rating of 3 / 10.
What is the financial health of WHITEHORSE FINANCE INC (WHF) stock?
The financial health rating of WHITEHORSE FINANCE INC (WHF) is 2 / 10.
Is the dividend of WHITEHORSE FINANCE INC sustainable?
The dividend rating of WHITEHORSE FINANCE INC (WHF) is 5 / 10 and the dividend payout ratio is 420.82%.