FINVOLUTION GROUP-ADR (FINV) Stock Fundamental Analysis
USA - NYSE:FINV - US31810T1016 - ADR
7.09 USD
-0.26 (-3.54%)
7.1 USD
+0.01 (+0.14%)
We assign a fundamental rating of 7 out of 10 to FINV. FINV was compared to 55 industry peers in the Consumer Finance industry. FINV scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FINV is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make FINV a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
FINV had positive earnings in the past year.
Each year in the past 5 years FINV has been profitable.
Each year in the past 5 years FINV had a positive operating cash flow.
1.2 Ratios
FINV has a better Return On Assets (10.91%) than 89.09% of its industry peers.
FINV has a Return On Equity of 17.71%. This is in the better half of the industry: FINV outperforms 72.73% of its industry peers.
The Return On Invested Capital of FINV (22.71%) is better than 89.09% of its industry peers.
FINV had an Average Return On Invested Capital over the past 3 years of 27.17%. This is significantly above the industry average of 10.98%.
The last Return On Invested Capital (22.71%) for FINV is well below the 3 year average (27.17%), which needs to be investigated, but indicates that FINV had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.91% | ||
| ROE | 17.71% | ||
| ROIC | 22.71% |
ROA(3y)10.56%
ROA(5y)11.75%
ROE(3y)17.01%
ROE(5y)19.63%
ROIC(3y)27.17%
ROIC(5y)26.14%
1.3 Margins
The Profit Margin of FINV (20.29%) is better than 81.82% of its industry peers.
In the last couple of years the Profit Margin of FINV has declined.
FINV's Operating Margin of 45.73% is amongst the best of the industry. FINV outperforms 98.18% of its industry peers.
FINV's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 81.42%, FINV is doing good in the industry, outperforming 76.36% of the companies in the same industry.
In the last couple of years the Gross Margin of FINV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 45.73% | ||
| PM (TTM) | 20.29% | ||
| GM | 81.42% |
OM growth 3Y4.09%
OM growth 5Y4.2%
PM growth 3Y-11.7%
PM growth 5Y-14.45%
GM growth 3Y0.5%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
FINV has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, FINV has less shares outstanding
Compared to 5 years ago, FINV has less shares outstanding
Compared to 1 year ago, FINV has an improved debt to assets ratio.
2.2 Solvency
FINV has an Altman-Z score of 3.20. This indicates that FINV is financially healthy and has little risk of bankruptcy at the moment.
FINV's Altman-Z score of 3.20 is amongst the best of the industry. FINV outperforms 89.09% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that FINV is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.07, FINV belongs to the top of the industry, outperforming 89.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.2 |
ROIC/WACC2.01
WACC11.31%
2.3 Liquidity
A Current Ratio of 5.07 indicates that FINV has no problem at all paying its short term obligations.
With an excellent Current ratio value of 5.07, FINV belongs to the best of the industry, outperforming 87.27% of the companies in the same industry.
FINV has a Quick Ratio of 5.07. This indicates that FINV is financially healthy and has no problem in meeting its short term obligations.
FINV's Quick ratio of 5.07 is amongst the best of the industry. FINV outperforms 89.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.07 | ||
| Quick Ratio | 5.07 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 34.08% over the past year.
Measured over the past 5 years, FINV shows a small growth in Earnings Per Share. The EPS has been growing by 3.42% on average per year.
Looking at the last year, FINV shows a quite strong growth in Revenue. The Revenue has grown by 8.13% in the last year.
The Revenue has been growing by 16.99% on average over the past years. This is quite good.
EPS 1Y (TTM)34.08%
EPS 3Y2.31%
EPS 5Y3.42%
EPS Q2Q%37.73%
Revenue 1Y (TTM)8.13%
Revenue growth 3Y11.33%
Revenue growth 5Y16.99%
Sales Q2Q%13.14%
3.2 Future
FINV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.44% yearly.
FINV is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.61% yearly.
EPS Next Y19.05%
EPS Next 2Y16.9%
EPS Next 3Y14.44%
EPS Next 5YN/A
Revenue Next Year8.67%
Revenue Next 2Y8.37%
Revenue Next 3Y8.61%
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 accelerating.
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
With a Price/Earnings ratio of 4.54, the valuation of FINV can be described as very cheap.
Based on the Price/Earnings ratio, FINV is valued cheaply inside the industry as 83.64% of the companies are valued more expensively.
FINV's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.76.
A Price/Forward Earnings ratio of 3.77 indicates a rather cheap valuation of FINV.
Based on the Price/Forward Earnings ratio, FINV is valued cheaper than 89.09% of the companies in the same industry.
FINV's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.21.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.54 | ||
| Fwd PE | 3.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FINV is valued cheaper than 92.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 1.34 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FINV has an outstanding profitability rating, which may justify a higher PE ratio.
FINV's earnings are expected to grow with 14.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)1.33
EPS Next 2Y16.9%
EPS Next 3Y14.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.37%, FINV has a reasonable but not impressive dividend return.
In the last 3 months the price of FINV has falen by -33.11%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 4.39, FINV pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, FINV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
The dividend of FINV has a limited annual growth rate of 5.61%.
FINV has been paying a dividend for over 5 years, so it has already some track record.
FINV has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)5.61%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
FINV's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DPN/A
EPS Next 2Y16.9%
EPS Next 3Y14.44%
7.09
-0.26 (-3.54%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners57.08%
Inst Owner Change0%
Ins Owners8.74%
Ins Owner ChangeN/A
Market Cap1.80B
Analysts87.69
Price Target11.83 (66.85%)
Short Float %28.59%
Short Ratio3.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Yearly Dividend0.25
Dividend Growth(5Y)5.61%
DPN/A
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
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)-1.93%
PT rev (3m)-4.02%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.62%
EPS NY rev (3m)-4.49%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-1.66%
Revenue NY rev (3m)-1.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.54 | ||
| Fwd PE | 3.77 | ||
| P/S | 0.93 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.81 | ||
| P/tB | 0.82 | ||
| EV/EBITDA | 1.34 |
EPS(TTM)1.56
EY22%
EPS(NY)1.88
Fwd EY26.5%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS7.64
BVpS8.76
TBVpS8.67
PEG (NY)0.24
PEG (5Y)1.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.91% | ||
| ROE | 17.71% | ||
| ROCE | 26.85% | ||
| ROIC | 22.71% | ||
| ROICexc | 29.3% | ||
| ROICexgc | 29.54% | ||
| OM | 45.73% | ||
| PM (TTM) | 20.29% | ||
| GM | 81.42% | ||
| FCFM | N/A |
ROA(3y)10.56%
ROA(5y)11.75%
ROE(3y)17.01%
ROE(5y)19.63%
ROIC(3y)27.17%
ROIC(5y)26.14%
ROICexc(3y)34.82%
ROICexc(5y)33.56%
ROICexgc(3y)35.17%
ROICexgc(5y)33.94%
ROCE(3y)32.03%
ROCE(5y)30.81%
ROICexcg growth 3Y5.31%
ROICexcg growth 5Y9.71%
ROICexc growth 3Y5.34%
ROICexc growth 5Y9.72%
OM growth 3Y4.09%
OM growth 5Y4.2%
PM growth 3Y-11.7%
PM growth 5Y-14.45%
GM growth 3Y0.5%
GM growth 5Y0.5%
F-ScoreN/A
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.17 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 5.07 | ||
| Quick Ratio | 5.07 | ||
| Altman-Z | 3.2 |
F-ScoreN/A
WACC11.31%
ROIC/WACC2.01
Cap/Depr(3y)883.8%
Cap/Depr(5y)572.3%
Cap/Sales(3y)1.66%
Cap/Sales(5y)1.2%
Profit Quality(3y)55.72%
Profit Quality(5y)60.07%
High Growth Momentum
Growth
EPS 1Y (TTM)34.08%
EPS 3Y2.31%
EPS 5Y3.42%
EPS Q2Q%37.73%
EPS Next Y19.05%
EPS Next 2Y16.9%
EPS Next 3Y14.44%
EPS Next 5YN/A
Revenue 1Y (TTM)8.13%
Revenue growth 3Y11.33%
Revenue growth 5Y16.99%
Sales Q2Q%13.14%
Revenue Next Year8.67%
Revenue Next 2Y8.37%
Revenue Next 3Y8.61%
Revenue Next 5YN/A
EBIT growth 1Y-10.03%
EBIT growth 3Y15.88%
EBIT growth 5Y21.9%
EBIT Next Year30.1%
EBIT Next 3Y15.84%
EBIT Next 5YN/A
FCF growth 1Y227.35%
FCF growth 3Y70.81%
FCF growth 5YN/A
OCF growth 1Y104.69%
OCF growth 3Y66.2%
OCF growth 5YN/A