ENOVA INTERNATIONAL INC (ENVA) Stock Fundamental Analysis
NYSE:ENVA - New York Stock Exchange, Inc. - US29357K1034 - Common Stock - Currency: USD
Overall ENVA gets a fundamental rating of 7 out of 10. We evaluated ENVA against 53 industry peers in the Consumer Finance industry. ENVA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ENVA is evaluated to be cheap and growing strongly. This does not happen too often! These ratings could make ENVA a good candidate for value and growth and quality investing.
1. Profitability
1.1 Basic Checks
ENVA had positive earnings in the past year.
In the past year ENVA had a positive cash flow from operations.
Each year in the past 5 years ENVA has been profitable.
Each year in the past 5 years ENVA had a positive operating cash flow.
1.2 Ratios
ENVA's Return On Assets of 4.29% is fine compared to the rest of the industry. ENVA outperforms 75.47% of its industry peers.
The Return On Equity of ENVA (19.55%) is better than 81.13% of its industry peers.
ENVA has a better Return On Invested Capital (9.25%) than 79.25% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ENVA is below the industry average of 10.31%.
The last Return On Invested Capital (9.25%) for ENVA is above the 3 year average (8.27%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.29% | ||
| ROE | 19.55% | ||
| ROIC | 9.25% |
ROA(3y)4.43%
ROA(5y)8.1%
ROE(3y)16.37%
ROE(5y)22.75%
ROIC(3y)8.27%
ROIC(5y)10.19%
1.3 Margins
The Profit Margin of ENVA (14.53%) is better than 67.92% of its industry peers.
ENVA's Profit Margin has improved in the last couple of years.
The Operating Margin of ENVA (38.88%) is better than 94.34% of its industry peers.
ENVA's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 38.88% | ||
| PM (TTM) | 14.53% | ||
| GM | N/A |
OM growth 3Y-1.76%
OM growth 5Y12.6%
PM growth 3Y-18.2%
PM growth 5Y34.46%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
ENVA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ENVA has less shares outstanding
The number of shares outstanding for ENVA has been reduced compared to 5 years ago.
Compared to 1 year ago, ENVA has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.58 indicates that ENVA is not a great score, but indicates only limited risk for bankruptcy at the moment.
ENVA's Altman-Z score of 2.58 is fine compared to the rest of the industry. ENVA outperforms 77.36% of its industry peers.
ENVA has a debt to FCF ratio of 2.45. This is a good value and a sign of high solvency as ENVA would need 2.45 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.45, ENVA is in the better half of the industry, outperforming 79.25% of the companies in the same industry.
A Debt/Equity ratio of 3.14 is on the high side and indicates that ENVA has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 3.14, ENVA is in line with its industry, outperforming 43.40% of the companies in the same industry.
Although ENVA does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.14 | ||
| Debt/FCF | 2.45 | ||
| Altman-Z | 2.58 |
ROIC/WACC0.99
WACC9.38%
2.3 Liquidity
ENVA has a Current Ratio of 21.07. This indicates that ENVA is financially healthy and has no problem in meeting its short term obligations.
ENVA's Current ratio of 21.07 is amongst the best of the industry. ENVA outperforms 98.11% of its industry peers.
A Quick Ratio of 21.07 indicates that ENVA has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 21.07, ENVA belongs to the top of the industry, outperforming 98.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 21.07 | ||
| Quick Ratio | 21.07 |
3. Growth
3.1 Past
ENVA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 47.27%, which is quite impressive.
ENVA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.61% yearly.
The Revenue has grown by 24.80% in the past year. This is a very strong growth!
Measured over the past years, ENVA shows a small growth in Revenue. The Revenue has been growing by 5.42% on average per year.
EPS 1Y (TTM)47.27%
EPS 3Y6.64%
EPS 5Y19.61%
EPS Q2Q%56.02%
Revenue 1Y (TTM)24.8%
Revenue growth 3Y14.3%
Revenue growth 5Y5.42%
Sales Q2Q%22.24%
3.2 Future
The Earnings Per Share is expected to grow by 19.89% on average over the next years. This is quite good.
The Revenue is expected to grow by 16.55% on average over the next years. This is quite good.
EPS Next Y30.76%
EPS Next 2Y23.71%
EPS Next 3Y19.89%
EPS Next 5YN/A
Revenue Next Year18.15%
Revenue Next 2Y15.52%
Revenue Next 3Y16.55%
Revenue Next 5YN/A
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.09, the valuation of ENVA can be described as very reasonable.
ENVA's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of ENVA to the average of the S&P500 Index (27.54), we can say ENVA is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.09, the valuation of ENVA can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ENVA indicates a somewhat cheap valuation: ENVA is cheaper than 62.26% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ENVA to the average of the S&P500 Index (36.44), we can say ENVA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 8.09 |
4.2 Price Multiples
ENVA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ENVA is cheaper than 73.58% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ENVA is valued cheaply inside the industry as 83.02% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.88 | ||
| EV/EBITDA | 9.89 |
4.3 Compensation for Growth
ENVA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ENVA has a very decent profitability rating, which may justify a higher PE ratio.
ENVA's earnings are expected to grow with 19.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.36
PEG (5Y)0.57
EPS Next 2Y23.71%
EPS Next 3Y19.89%
5. Dividend
5.1 Amount
ENVA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
113.63
-1.26 (-1.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners95.17%
Inst Owner Change-0.24%
Ins Owners4.47%
Ins Owner Change0.23%
Market Cap2.88B
Analysts84.29
Price Target132.47 (16.58%)
Short Float %9.64%
Short Ratio8.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.43%
Min EPS beat(2)5.92%
Max EPS beat(2)12.95%
EPS beat(4)4
Avg EPS beat(4)6.83%
Min EPS beat(4)3.97%
Max EPS beat(4)12.95%
EPS beat(8)7
Avg EPS beat(8)2.33%
EPS beat(12)11
Avg EPS beat(12)3.67%
EPS beat(16)15
Avg EPS beat(16)11.21%
Revenue beat(2)0
Avg Revenue beat(2)-1.23%
Min Revenue beat(2)-2.03%
Max Revenue beat(2)-0.44%
Revenue beat(4)1
Avg Revenue beat(4)-0.51%
Min Revenue beat(4)-2.03%
Max Revenue beat(4)1.51%
Revenue beat(8)4
Avg Revenue beat(8)-0.04%
Revenue beat(12)4
Avg Revenue beat(12)-12.93%
Revenue beat(16)4
Avg Revenue beat(16)-14.26%
PT rev (1m)2.67%
PT rev (3m)0.23%
EPS NQ rev (1m)-0.45%
EPS NQ rev (3m)-1.32%
EPS NY rev (1m)0.01%
EPS NY rev (3m)2.29%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)1.85%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 8.09 | ||
| P/S | 1.79 | ||
| P/FCF | 1.88 | ||
| P/OCF | 1.82 | ||
| P/B | 2.41 | ||
| P/tB | 3.17 | ||
| EV/EBITDA | 9.89 |
EPS(TTM)10.25
EY9.02%
EPS(NY)14.05
Fwd EY12.36%
FCF(TTM)60.55
FCFY53.28%
OCF(TTM)62.32
OCFY54.85%
SpS63.45
BVpS47.17
TBVpS35.81
PEG (NY)0.36
PEG (5Y)0.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.29% | ||
| ROE | 19.55% | ||
| ROCE | 11.99% | ||
| ROIC | 9.25% | ||
| ROICexc | 9.35% | ||
| ROICexgc | 9.9% | ||
| OM | 38.88% | ||
| PM (TTM) | 14.53% | ||
| GM | N/A | ||
| FCFM | 95.42% |
ROA(3y)4.43%
ROA(5y)8.1%
ROE(3y)16.37%
ROE(5y)22.75%
ROIC(3y)8.27%
ROIC(5y)10.19%
ROICexc(3y)8.42%
ROICexc(5y)10.94%
ROICexgc(3y)9.08%
ROICexgc(5y)12.42%
ROCE(3y)10.71%
ROCE(5y)13.21%
ROICexcg growth 3Y-13.52%
ROICexcg growth 5Y-10.29%
ROICexc growth 3Y-11.26%
ROICexc growth 5Y-7.56%
OM growth 3Y-1.76%
OM growth 5Y12.6%
PM growth 3Y-18.2%
PM growth 5Y34.46%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.14 | ||
| Debt/FCF | 2.45 | ||
| Debt/EBITDA | 5.64 | ||
| Cap/Depr | 112.67% | ||
| Cap/Sales | 2.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 237.46% | ||
| Profit Quality | 656.55% | ||
| Current Ratio | 21.07 | ||
| Quick Ratio | 21.07 | ||
| Altman-Z | 2.58 |
F-Score8
WACC9.38%
ROIC/WACC0.99
Cap/Depr(3y)114.91%
Cap/Depr(5y)115.67%
Cap/Sales(3y)3.47%
Cap/Sales(5y)3.53%
Profit Quality(3y)588.12%
Profit Quality(5y)425.04%
High Growth Momentum
Growth
EPS 1Y (TTM)47.27%
EPS 3Y6.64%
EPS 5Y19.61%
EPS Q2Q%56.02%
EPS Next Y30.76%
EPS Next 2Y23.71%
EPS Next 3Y19.89%
EPS Next 5YN/A
Revenue 1Y (TTM)24.8%
Revenue growth 3Y14.3%
Revenue growth 5Y5.42%
Sales Q2Q%22.24%
Revenue Next Year18.15%
Revenue Next 2Y15.52%
Revenue Next 3Y16.55%
Revenue Next 5YN/A
EBIT growth 1Y41.08%
EBIT growth 3Y12.28%
EBIT growth 5Y18.7%
EBIT Next Year33.05%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y56.97%
FCF growth 3Y50.09%
FCF growth 5Y11.81%
OCF growth 1Y54.64%
OCF growth 3Y48.28%
OCF growth 5Y11.93%