CONSUMER PORTFOLIO SERVICES (CPSS) Stock Fundamental Analysis
NASDAQ:CPSS - Nasdaq - US2105021008 - Common Stock - Currency: USD
CPSS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 53 industry peers in the Consumer Finance industry. CPSS may be in some trouble as it scores bad on both profitability and health. CPSS is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year CPSS was profitable.
CPSS had a positive operating cash flow in the past year.
In the past 5 years CPSS has always been profitable.
CPSS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CPSS has a Return On Assets of 0.53%. This is in the lower half of the industry: CPSS underperforms 64.15% of its industry peers.
Looking at the Return On Equity, with a value of 6.47%, CPSS is doing worse than 60.38% of the companies in the same industry.
CPSS has a Return On Invested Capital of 0.16%. This is comparable to the rest of the industry: CPSS outperforms 41.51% of its industry peers.
CPSS had an Average Return On Invested Capital over the past 3 years of 1.36%. This is significantly below the industry average of 10.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 6.47% | ||
| ROIC | 0.16% |
ROA(3y)1.75%
ROA(5y)1.69%
ROE(3y)20.24%
ROE(5y)20.98%
ROIC(3y)1.36%
ROIC(5y)1.73%
1.3 Margins
CPSS has a worse Profit Margin (4.96%) than 67.92% of its industry peers.
CPSS's Profit Margin has improved in the last couple of years.
CPSS has a Operating Margin of 2.10%. This is in the lower half of the industry: CPSS underperforms 62.26% of its industry peers.
CPSS's Operating Margin has declined in the last couple of years.
CPSS has a Gross Margin (47.52%) which is in line with its industry peers.
CPSS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.1% | ||
| PM (TTM) | 4.96% | ||
| GM | 47.52% |
OM growth 3Y-59.4%
OM growth 5Y-8.29%
PM growth 3Y-33.4%
PM growth 5Y26.98%
GM growth 3Y-12.4%
GM growth 5Y-6.49%
2. Health
2.1 Basic Checks
CPSS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for CPSS has been increased compared to 1 year ago.
CPSS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, CPSS has a worse debt to assets ratio.
2.2 Solvency
CPSS has an Altman-Z score of 0.23. This is a bad value and indicates that CPSS is not financially healthy and even has some risk of bankruptcy.
CPSS has a Altman-Z score of 0.23. This is in the lower half of the industry: CPSS underperforms 60.38% of its industry peers.
The Debt to FCF ratio of CPSS is 12.99, which is on the high side as it means it would take CPSS, 12.99 years of fcf income to pay off all of its debts.
CPSS's Debt to FCF ratio of 12.99 is in line compared to the rest of the industry. CPSS outperforms 45.28% of its industry peers.
CPSS has a Debt/Equity ratio of 11.06. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of CPSS (11.06) is worse than 84.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 11.06 | ||
| Debt/FCF | 12.99 | ||
| Altman-Z | 0.23 |
ROIC/WACC0.03
WACC5.16%
2.3 Liquidity
A Current Ratio of 0.44 indicates that CPSS may have some problems paying its short term obligations.
With a Current ratio value of 0.44, CPSS is not doing good in the industry: 66.04% of the companies in the same industry are doing better.
CPSS has a Quick Ratio of 0.44. This is a bad value and indicates that CPSS is not financially healthy enough and could expect problems in meeting its short term obligations.
CPSS's Quick ratio of 0.44 is on the low side compared to the rest of the industry. CPSS is outperformed by 66.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.44 | ||
| Quick Ratio | 0.44 |
3. Growth
3.1 Past
CPSS shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -44.54%.
The Earnings Per Share has been growing by 29.11% on average over the past years. This is a very strong growth
CPSS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.21%.
The Revenue has been growing slightly by 1.50% on average over the past years.
EPS 1Y (TTM)-44.54%
EPS 3Y-24.58%
EPS 5Y29.11%
EPS Q2Q%3.43%
Revenue 1Y (TTM)13.21%
Revenue growth 3Y11.02%
Revenue growth 5Y1.5%
Sales Q2Q%23.21%
3.2 Future
The Earnings Per Share is expected to grow by 69.77% on average over the next years. This is a very strong growth
CPSS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.56% yearly.
EPS Next Y37.65%
EPS Next 2Y69.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year14.91%
Revenue Next 2Y16.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.02, the valuation of CPSS can be described as reasonable.
CPSS's Price/Earnings is on the same level as the industry average.
CPSS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.48.
Based on the Price/Forward Earnings ratio of 3.21, the valuation of CPSS can be described as very cheap.
CPSS's Price/Forward Earnings ratio is rather cheap when compared to the industry. CPSS is cheaper than 94.34% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CPSS to the average of the S&P500 Index (34.04), we can say CPSS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.02 | ||
| Fwd PE | 3.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CPSS is valued a bit more expensive than the industry average as 62.26% of the companies are valued more cheaply.
98.11% of the companies in the same industry are more expensive than CPSS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.68 | ||
| EV/EBITDA | 379.48 |
4.3 Compensation for Growth
CPSS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as CPSS's earnings are expected to grow with 69.77% in the coming years.
PEG (NY)0.27
PEG (5Y)0.34
EPS Next 2Y69.77%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CPSS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.02
+0.04 (+0.5%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners24.89%
Inst Owner Change0%
Ins Owners31.91%
Ins Owner Change4.84%
Market Cap172.91M
Analysts85.71
Price Target15.3 (90.77%)
Short Float %2.82%
Short Ratio13.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-30.83%
Min EPS beat(2)-37.91%
Max EPS beat(2)-23.75%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.95%
Min Revenue beat(2)-4.74%
Max Revenue beat(2)0.85%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-16.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-33.33%
EPS NY rev (1m)0%
EPS NY rev (3m)-35.36%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.33%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.02 | ||
| Fwd PE | 3.21 | ||
| P/S | 0.44 | ||
| P/FCF | 0.68 | ||
| P/OCF | 0.68 | ||
| P/B | 0.58 | ||
| P/tB | 0.58 | ||
| EV/EBITDA | 379.48 |
EPS(TTM)0.8
EY9.98%
EPS(NY)2.5
Fwd EY31.16%
FCF(TTM)11.79
FCFY146.97%
OCF(TTM)11.82
OCFY147.43%
SpS18.05
BVpS13.84
TBVpS13.84
PEG (NY)0.27
PEG (5Y)0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.53% | ||
| ROE | 6.47% | ||
| ROCE | 0.23% | ||
| ROIC | 0.16% | ||
| ROICexc | 0.17% | ||
| ROICexgc | 0.17% | ||
| OM | 2.1% | ||
| PM (TTM) | 4.96% | ||
| GM | 47.52% | ||
| FCFM | 65.3% |
ROA(3y)1.75%
ROA(5y)1.69%
ROE(3y)20.24%
ROE(5y)20.98%
ROIC(3y)1.36%
ROIC(5y)1.73%
ROICexc(3y)1.37%
ROICexc(5y)1.74%
ROICexgc(3y)1.38%
ROICexgc(5y)1.76%
ROCE(3y)1.89%
ROCE(5y)2.4%
ROICexcg growth 3Y-61.84%
ROICexcg growth 5Y-12.69%
ROICexc growth 3Y-61.73%
ROICexc growth 5Y-12.61%
OM growth 3Y-59.4%
OM growth 5Y-8.29%
PM growth 3Y-33.4%
PM growth 5Y26.98%
GM growth 3Y-12.4%
GM growth 5Y-6.49%
F-Score5
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 11.06 | ||
| Debt/FCF | 12.99 | ||
| Debt/EBITDA | 363.8 | ||
| Cap/Depr | 88.5% | ||
| Cap/Sales | 0.2% | ||
| Interest Coverage | 0.04 | ||
| Cash Conversion | 2809.94% | ||
| Profit Quality | 1316.23% | ||
| Current Ratio | 0.44 | ||
| Quick Ratio | 0.44 | ||
| Altman-Z | 0.23 |
F-Score5
WACC5.16%
ROIC/WACC0.03
Cap/Depr(3y)82.49%
Cap/Depr(5y)73.03%
Cap/Sales(3y)0.32%
Cap/Sales(5y)0.34%
Profit Quality(3y)662.42%
Profit Quality(5y)700.15%
High Growth Momentum
Growth
EPS 1Y (TTM)-44.54%
EPS 3Y-24.58%
EPS 5Y29.11%
EPS Q2Q%3.43%
EPS Next Y37.65%
EPS Next 2Y69.77%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)13.21%
Revenue growth 3Y11.02%
Revenue growth 5Y1.5%
Sales Q2Q%23.21%
Revenue Next Year14.91%
Revenue Next 2Y16.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-74.61%
EBIT growth 3Y-54.92%
EBIT growth 5Y-6.91%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.5%
FCF growth 3Y5.95%
FCF growth 5Y1.55%
OCF growth 1Y19.85%
OCF growth 3Y5.65%
OCF growth 5Y1.52%