FINVOLUTION GROUP-ADR (FINV) Stock Fundamental Analysis
NYSE:FINV - New York Stock Exchange, Inc. - US31810T1016 - ADR - Currency: USD
Taking everything into account, FINV scores 8 out of 10 in our fundamental rating. FINV was compared to 52 industry peers in the Consumer Finance industry. FINV has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FINV may be a bit undervalued, certainly considering the very reasonable score on growth This makes FINV very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
FINV had positive earnings in the past year.
In the past year FINV had a positive cash flow from operations.
FINV had positive earnings in each of the past 5 years.
FINV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FINV has a better Return On Assets (10.10%) than 86.54% of its industry peers.
FINV has a better Return On Equity (15.67%) than 63.46% of its industry peers.
Looking at the Return On Invested Capital, with a value of 28.32%, FINV belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FINV is significantly above the industry average of 10.31%.
The 3 year average ROIC (27.17%) for FINV is below the current ROIC(28.32%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 15.67% | ||
| ROIC | 28.32% |
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
FINV has a Profit Margin of 18.24%. This is amongst the best in the industry. FINV outperforms 82.69% of its industry peers.
In the last couple of years the Profit Margin of FINV has declined.
Looking at the Operating Margin, with a value of 54.51%, FINV belongs to the top of the industry, outperforming 98.08% of the companies in the same industry.
In the last couple of years the Operating Margin of FINV has grown nicely.
FINV has a Gross Margin of 81.77%. This is in the better half of the industry: FINV outperforms 76.92% of its industry peers.
FINV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 54.51% | ||
| PM (TTM) | 18.24% | ||
| GM | 81.77% |
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.
FINV has less shares outstanding than it did 1 year ago.
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
An Altman-Z score of 3.87 indicates that FINV is not in any danger for bankruptcy at the moment.
FINV's Altman-Z score of 3.87 is amongst the best of the industry. FINV outperforms 92.31% of its industry peers.
FINV has a debt to FCF ratio of 0.00. This is a very positive value and a sign of high solvency as it would only need 0.00 years to pay back of all of its debts.
FINV's Debt to FCF ratio of 0.00 is amongst the best of the industry. FINV outperforms 96.15% of its industry peers.
FINV has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
FINV's Debt to Equity ratio of 0.00 is amongst the best of the industry. FINV outperforms 90.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.87 |
ROIC/WACC3.21
WACC8.83%
2.3 Liquidity
FINV has a Current Ratio of 4.40. This indicates that FINV is financially healthy and has no problem in meeting its short term obligations.
FINV's Current ratio of 4.40 is amongst the best of the industry. FINV outperforms 88.46% of its industry peers.
FINV has a Quick Ratio of 4.40. This indicates that FINV is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 4.40, FINV belongs to the best of the industry, outperforming 88.46% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.4 | ||
| Quick Ratio | 4.4 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.94% over the past year.
The Earnings Per Share has been growing slightly by 3.42% on average over the past years.
Looking at the last year, FINV shows a small growth in Revenue. The Revenue has grown by 5.69% 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)25.94%
EPS 3Y2.31%
EPS 5Y3.42%
EPS Q2Q%45.44%
Revenue 1Y (TTM)5.69%
Revenue growth 3Y11.33%
Revenue growth 5Y16.99%
Sales Q2Q%10%
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 15.70% yearly.
FINV is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.95% yearly.
EPS Next Y24.65%
EPS Next 2Y18.2%
EPS Next 3Y15.7%
EPS Next 5YN/A
Revenue Next Year10.78%
Revenue Next 2Y11.01%
Revenue Next 3Y9.95%
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.
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
Based on the Price/Earnings ratio of 6.83, the valuation of FINV can be described as very cheap.
FINV's Price/Earnings ratio is rather cheap when compared to the industry. FINV is cheaper than 80.77% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.69. FINV is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 5.12, which indicates a rather cheap valuation of FINV.
FINV's Price/Forward Earnings ratio is rather cheap when compared to the industry. FINV is cheaper than 84.62% of the companies in the same industry.
FINV is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.83 | ||
| Fwd PE | 5.12 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FINV indicates a rather cheap valuation: FINV is cheaper than 90.38% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as FINV.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.2 | ||
| EV/EBITDA | 1.83 |
4.3 Compensation for Growth
FINV's 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 15.70% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)2
EPS Next 2Y18.2%
EPS Next 3Y15.7%
5. Dividend
5.1 Amount
FINV has a Yearly Dividend Yield of 2.70%.
FINV's Dividend Yield is a higher than the industry average which is at 3.75.
Compared to an average S&P500 Dividend Yield of 2.43, FINV has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
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.
As FINV did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)5.61%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
18.52% of the earnings are spent on dividend by FINV. This is a low number and sustainable payout ratio.
The dividend of FINV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP18.52%
EPS Next 2Y18.2%
EPS Next 3Y15.7%
9.77
-0.03 (-0.31%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners57.12%
Inst Owner Change6.24%
Ins Owners8.74%
Ins Owner ChangeN/A
Market Cap2.48B
Analysts87.69
Price Target12.33 (26.2%)
Short Float %10.27%
Short Ratio2.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.7% |
Yearly Dividend0.25
Dividend Growth(5Y)5.61%
DP18.52%
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)1.32%
PT rev (3m)62.69%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)4.31%
EPS NY rev (3m)11.57%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.93%
Revenue NY rev (3m)2.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.83 | ||
| Fwd PE | 5.12 | ||
| P/S | 1.36 | ||
| P/FCF | 6.2 | ||
| P/OCF | 6.14 | ||
| P/B | 1.17 | ||
| P/tB | 1.18 | ||
| EV/EBITDA | 1.83 |
EPS(TTM)1.43
EY14.64%
EPS(NY)1.91
Fwd EY19.52%
FCF(TTM)1.58
FCFY16.13%
OCF(TTM)1.59
OCFY16.29%
SpS7.19
BVpS8.36
TBVpS8.26
PEG (NY)0.28
PEG (5Y)2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 15.67% | ||
| ROCE | 33.39% | ||
| ROIC | 28.32% | ||
| ROICexc | 36.27% | ||
| ROICexgc | 36.68% | ||
| OM | 54.51% | ||
| PM (TTM) | 18.24% | ||
| GM | 81.77% | ||
| FCFM | 21.93% |
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-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 39.94% | ||
| Cap/Sales | 0.21% | ||
| Interest Coverage | 185.91 | ||
| Cash Conversion | 40.23% | ||
| Profit Quality | 120.24% | ||
| Current Ratio | 4.4 | ||
| Quick Ratio | 4.4 | ||
| Altman-Z | 3.87 |
F-Score5
WACC8.83%
ROIC/WACC3.21
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)25.94%
EPS 3Y2.31%
EPS 5Y3.42%
EPS Q2Q%45.44%
EPS Next Y24.65%
EPS Next 2Y18.2%
EPS Next 3Y15.7%
EPS Next 5YN/A
Revenue 1Y (TTM)5.69%
Revenue growth 3Y11.33%
Revenue growth 5Y16.99%
Sales Q2Q%10%
Revenue Next Year10.78%
Revenue Next 2Y11.01%
Revenue Next 3Y9.95%
Revenue Next 5YN/A
EBIT growth 1Y4.64%
EBIT growth 3Y15.88%
EBIT growth 5Y21.9%
EBIT Next Year40.81%
EBIT Next 3Y20.08%
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