FEDERAL AGRIC MTG CORP-CL C (AGM) Stock Fundamental Analysis
NYSE:AGM - New York Stock Exchange, Inc. - US3131483063 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to AGM. AGM was compared to 101 industry peers in the Financial Services industry. AGM may be in some trouble as it scores bad on both profitability and health. AGM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AGM was profitable.
In the past year AGM had a positive cash flow from operations.
Each year in the past 5 years AGM has been profitable.
AGM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
AGM's Return On Assets of 0.56% is on the low side compared to the rest of the industry. AGM is outperformed by 62.38% of its industry peers.
AGM has a Return On Equity (11.63%) which is in line with its industry peers.
With a Return On Invested Capital value of 0.95%, AGM is not doing good in the industry: 60.40% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for AGM is significantly below the industry average of 11.84%.
The last Return On Invested Capital (0.95%) for AGM is above the 3 year average (0.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 11.63% | ||
| ROIC | 0.95% |
ROA(3y)0.57%
ROA(5y)0.51%
ROE(3y)12.08%
ROE(5y)10.99%
ROIC(3y)0.93%
ROIC(5y)0.88%
1.3 Margins
AGM's Profit Margin of 11.18% is in line compared to the rest of the industry. AGM outperforms 55.45% of its industry peers.
AGM's Profit Margin has declined in the last couple of years.
The Operating Margin of AGM (16.00%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of AGM has declined.
AGM has a Gross Margin of 23.53%. This is comparable to the rest of the industry: AGM outperforms 42.57% of its industry peers.
AGM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16% | ||
| PM (TTM) | 11.18% | ||
| GM | 23.53% |
OM growth 3Y-26.37%
OM growth 5Y-5.13%
PM growth 3Y-24.1%
PM growth 5Y-4.96%
GM growth 3Y-25.57%
GM growth 5Y-4.51%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AGM is destroying value.
AGM has more shares outstanding than it did 1 year ago.
AGM has less shares outstanding than it did 5 years ago.
AGM has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.18, we must say that AGM is in the distress zone and has some risk of bankruptcy.
AGM has a Altman-Z score of -0.18. This is in the lower half of the industry: AGM underperforms 68.32% of its industry peers.
The Debt to FCF ratio of AGM is 91.67, which is on the high side as it means it would take AGM, 91.67 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 91.67, AGM is in line with its industry, outperforming 41.58% of the companies in the same industry.
A Debt/Equity ratio of 12.95 is on the high side and indicates that AGM has dependencies on debt financing.
AGM's Debt to Equity ratio of 12.95 is on the low side compared to the rest of the industry. AGM is outperformed by 88.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 12.95 | ||
| Debt/FCF | 91.67 | ||
| Altman-Z | -0.18 |
ROIC/WACC0.3
WACC3.16%
2.3 Liquidity
AGM has a Current Ratio of 0.14. This is a bad value and indicates that AGM is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of AGM (0.14) is worse than 75.25% of its industry peers.
AGM has a Quick Ratio of 0.14. This is a bad value and indicates that AGM is not financially healthy enough and could expect problems in meeting its short term obligations.
AGM has a Quick ratio of 0.14. This is in the lower half of the industry: AGM underperforms 75.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 |
3. Growth
3.1 Past
The earnings per share for AGM have decreased by -1.00% in the last year.
Measured over the past years, AGM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.47% on average per year.
AGM shows a small growth in Revenue. In the last year, the Revenue has grown by 7.75%.
Measured over the past years, AGM shows a quite strong growth in Revenue. The Revenue has been growing by 19.96% on average per year.
EPS 1Y (TTM)-1%
EPS 3Y14.36%
EPS 5Y12.47%
EPS Q2Q%5.81%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y54.74%
Revenue growth 5Y19.96%
Sales Q2Q%3.96%
3.2 Future
The Earnings Per Share is expected to grow by 10.47% on average over the next years. This is quite good.
The Revenue is expected to grow by 8.12% on average over the next years. This is quite good.
EPS Next Y12.33%
EPS Next 2Y11.5%
EPS Next 3Y10.47%
EPS Next 5YN/A
Revenue Next Year7.99%
Revenue Next 2Y8.12%
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 stable.
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
The Price/Earnings ratio is 10.98, which indicates a very decent valuation of AGM.
Based on the Price/Earnings ratio, AGM is valued a bit cheaper than the industry average as 67.33% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.91, AGM is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.96, the valuation of AGM can be described as very reasonable.
Based on the Price/Forward Earnings ratio, AGM is valued a bit cheaper than the industry average as 63.37% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 37.11. AGM is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 8.96 |
4.2 Price Multiples
AGM's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AGM is cheaper than 93.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.85 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
AGM's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.89
PEG (5Y)0.88
EPS Next 2Y11.5%
EPS Next 3Y10.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.39%, AGM has a reasonable but not impressive dividend return.
AGM's Dividend Yield is a higher than the industry average which is at 4.23.
AGM's Dividend Yield is a higher than the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.39% |
5.2 History
On average, the dividend of AGM grows each year by 14.69%, which is quite nice.
AGM has been paying a dividend for at least 10 years, so it has a reliable track record.
AGM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)14.69%
Div Incr Years13
Div Non Decr Years15
5.3 Sustainability
48.51% of the earnings are spent on dividend by AGM. This is a bit on the high side, but may be sustainable.
The dividend of AGM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP48.51%
EPS Next 2Y11.5%
EPS Next 3Y10.47%
174.49
-0.62 (-0.35%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners82.09%
Inst Owner Change-0.6%
Ins Owners1.45%
Ins Owner Change-0.07%
Market Cap1.91B
Analysts76.67
Price Target226.44 (29.77%)
Short Float %2.29%
Short Ratio1.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.39% |
Yearly Dividend7.92
Dividend Growth(5Y)14.69%
DP48.51%
Div Incr Years13
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.82%
Min EPS beat(2)-5.81%
Max EPS beat(2)2.18%
EPS beat(4)1
Avg EPS beat(4)-4.21%
Min EPS beat(4)-11.91%
Max EPS beat(4)2.18%
EPS beat(8)4
Avg EPS beat(8)0.06%
EPS beat(12)7
Avg EPS beat(12)2.85%
EPS beat(16)9
Avg EPS beat(16)2%
Revenue beat(2)1
Avg Revenue beat(2)0.62%
Min Revenue beat(2)-2.77%
Max Revenue beat(2)4%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)4%
Revenue beat(8)3
Avg Revenue beat(8)0.44%
Revenue beat(12)7
Avg Revenue beat(12)49.96%
Revenue beat(16)11
Avg Revenue beat(16)56.79%
PT rev (1m)0%
PT rev (3m)-2.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.46%
EPS NY rev (1m)0%
EPS NY rev (3m)0.54%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 8.96 | ||
| P/S | 1.2 | ||
| P/FCF | 5.85 | ||
| P/OCF | 5.79 | ||
| P/B | 1.25 | ||
| P/tB | 1.25 | ||
| EV/EBITDA | N/A |
EPS(TTM)15.89
EY9.11%
EPS(NY)19.47
Fwd EY11.16%
FCF(TTM)29.81
FCFY17.09%
OCF(TTM)30.15
OCFY17.28%
SpS145.24
BVpS139.58
TBVpS139.58
PEG (NY)0.89
PEG (5Y)0.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.56% | ||
| ROE | 11.63% | ||
| ROCE | 1.19% | ||
| ROIC | 0.95% | ||
| ROICexc | 0.99% | ||
| ROICexgc | 1% | ||
| OM | 16% | ||
| PM (TTM) | 11.18% | ||
| GM | 23.53% | ||
| FCFM | 20.53% |
ROA(3y)0.57%
ROA(5y)0.51%
ROE(3y)12.08%
ROE(5y)10.99%
ROIC(3y)0.93%
ROIC(5y)0.88%
ROICexc(3y)0.97%
ROICexc(5y)0.92%
ROICexgc(3y)0.97%
ROICexgc(5y)0.93%
ROCE(3y)1.16%
ROCE(5y)1.1%
ROICexcg growth 3Y9.17%
ROICexcg growth 5Y1.46%
ROICexc growth 3Y9.13%
ROICexc growth 5Y1.45%
OM growth 3Y-26.37%
OM growth 5Y-5.13%
PM growth 3Y-24.1%
PM growth 5Y-4.96%
GM growth 3Y-25.57%
GM growth 5Y-4.51%
F-Score7
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 12.95 | ||
| Debt/FCF | 91.67 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 183.63% | ||
| Current Ratio | 0.14 | ||
| Quick Ratio | 0.14 | ||
| Altman-Z | -0.18 |
F-Score7
WACC3.16%
ROIC/WACC0.3
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)363.34%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1%
EPS 3Y14.36%
EPS 5Y12.47%
EPS Q2Q%5.81%
EPS Next Y12.33%
EPS Next 2Y11.5%
EPS Next 3Y10.47%
EPS Next 5YN/A
Revenue 1Y (TTM)7.75%
Revenue growth 3Y54.74%
Revenue growth 5Y19.96%
Sales Q2Q%3.96%
Revenue Next Year7.99%
Revenue Next 2Y8.12%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-1.03%
EBIT growth 3Y13.94%
EBIT growth 5Y13.8%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-45.74%
FCF growth 3Y11.65%
FCF growth 5YN/A
OCF growth 1Y-45.14%
OCF growth 3Y11.97%
OCF growth 5YN/A