FINVOLUTION GROUP-ADR (FINV) Stock Fundamental Analysis
NYSE:FINV - New York Stock Exchange, Inc. - US31810T1016 - ADR - Currency: USD
FINV gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 53 industry peers in the Consumer Finance industry. Both the health and profitability get an excellent rating, making FINV a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on FINV. With these ratings, FINV could be worth investigating further 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.
Each year in the past 5 years FINV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.10%, FINV belongs to the top of the industry, outperforming 86.79% of the companies in the same industry.
The Return On Equity of FINV (15.67%) is better than 64.15% of its industry peers.
FINV's Return On Invested Capital of 28.32% is amongst the best of the industry. FINV outperforms 92.45% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FINV is significantly above the industry average of 10.47%.
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
With an excellent Profit Margin value of 18.24%, FINV belongs to the best of the industry, outperforming 81.13% of the companies in the same industry.
FINV's Profit Margin has declined in the last couple of years.
FINV has a Operating Margin of 54.51%. This is amongst the best in the industry. FINV outperforms 98.11% of its industry peers.
FINV's Operating Margin has improved in the last couple of years.
The Gross Margin of FINV (81.77%) is better than 75.47% 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so FINV is creating value.
The number of shares outstanding for FINV has been reduced compared to 1 year ago.
Compared to 5 years ago, FINV has less shares outstanding
The debt/assets ratio for FINV has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.80 indicates that FINV is not in any danger for bankruptcy at the moment.
FINV's Altman-Z score of 3.80 is amongst the best of the industry. FINV outperforms 90.57% of its industry peers.
The Debt to FCF ratio of FINV is 0.00, which is an excellent value as it means it would take FINV, only 0.00 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FINV (0.00) is better than 96.23% 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 has a Debt to Equity ratio of 0.00. This is amongst the best in the industry. FINV outperforms 90.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.8 |
ROIC/WACC3.13
WACC9.04%
2.3 Liquidity
A Current Ratio of 4.40 indicates that FINV has no problem at all paying its short term obligations.
With an excellent Current ratio value of 4.40, FINV belongs to the best of the industry, outperforming 88.68% of the companies in the same industry.
A Quick Ratio of 4.40 indicates that FINV has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 4.40, FINV belongs to the top of the industry, outperforming 88.68% 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.
Measured over the past years, FINV shows a quite strong growth in Revenue. The Revenue has been growing by 16.99% on average per year.
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
Based on estimates for the next years, FINV will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.90% on average per year.
The Revenue is expected to grow by 9.95% on average over the next years. This is quite good.
EPS Next Y24.82%
EPS Next 2Y18.44%
EPS Next 3Y15.9%
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.
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
The Price/Earnings ratio is 6.45, which indicates a rather cheap valuation of FINV.
75.47% of the companies in the same industry are more expensive than FINV, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.48, FINV is valued rather cheaply.
A Price/Forward Earnings ratio of 4.83 indicates a rather cheap valuation of FINV.
Based on the Price/Forward Earnings ratio, FINV is valued cheaper than 84.91% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.04. FINV is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.45 | ||
| Fwd PE | 4.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FINV is valued cheaply inside the industry as 90.57% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FINV indicates a somewhat cheap valuation: FINV is cheaper than 62.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.86 | ||
| EV/EBITDA | 1.69 |
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.
A more expensive valuation may be justified as FINV's earnings are expected to grow with 15.90% in the coming years.
PEG (NY)0.26
PEG (5Y)1.89
EPS Next 2Y18.44%
EPS Next 3Y15.9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.88%, FINV has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.12, FINV pays a bit more dividend than its industry peers.
FINV's Dividend Yield is a higher than the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
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
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 2Y18.44%
EPS Next 3Y15.9%
9.23
+0.3 (+3.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners56.01%
Inst Owner Change-1.76%
Ins Owners8.74%
Ins Owner ChangeN/A
Market Cap2.34B
Analysts87.69
Price Target12.33 (33.59%)
Short Float %32.75%
Short Ratio5.19
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
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)0%
PT rev (3m)1.32%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)4.45%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.45 | ||
| Fwd PE | 4.83 | ||
| P/S | 1.29 | ||
| P/FCF | 5.86 | ||
| P/OCF | 5.81 | ||
| P/B | 1.11 | ||
| P/tB | 1.12 | ||
| EV/EBITDA | 1.69 |
EPS(TTM)1.43
EY15.49%
EPS(NY)1.91
Fwd EY20.71%
FCF(TTM)1.57
FCFY17.05%
OCF(TTM)1.59
OCFY17.22%
SpS7.18
BVpS8.35
TBVpS8.25
PEG (NY)0.26
PEG (5Y)1.89
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 | 3.8 |
F-Score5
WACC9.04%
ROIC/WACC3.13
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 Y24.82%
EPS Next 2Y18.44%
EPS Next 3Y15.9%
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