FINANCE OF AMERICA COS INC-A (FOA) Stock Fundamental Analysis
NYSE:FOA - US31738L2060 - Common Stock
25.8 USD
-0.98 (-3.68%)
Overall FOA gets a fundamental rating of 4 out of 10. We evaluated FOA against 101 industry peers in the Financial Services industry. There are concerns on the financial health of FOA while its profitability can be described as average. FOA is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FOA was profitable.
FOA had a negative operating cash flow in the past year.
In multiple years FOA reported negative net income over the last 5 years.
In the past 5 years FOA reported 4 times negative operating cash flow.
1.2 Ratios
FOA has a worse Return On Assets (0.30%) than 66.34% of its industry peers.
FOA's Return On Equity of 27.75% is amongst the best of the industry. FOA outperforms 91.09% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.22%, FOA is in the better half of the industry, outperforming 67.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.3% | ||
| ROE | 27.75% | ||
| ROIC | 5.22% |
ROA(3y)-0.39%
ROA(5y)0.07%
ROE(3y)-34.5%
ROE(5y)-17.17%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FOA has a Profit Margin (4.10%) which is comparable to the rest of the industry.
FOA's Profit Margin has declined in the last couple of years.
FOA has a better Operating Margin (84.47%) than 98.02% of its industry peers.
In the last couple of years the Operating Margin of FOA has grown nicely.
With an excellent Gross Margin value of 96.66%, FOA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 84.47% | ||
| PM (TTM) | 4.1% | ||
| GM | 96.66% |
OM growth 3Y32.26%
OM growth 5Y10.01%
PM growth 3YN/A
PM growth 5Y-28.15%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), FOA is creating value.
Compared to 1 year ago, FOA has more shares outstanding
Compared to 5 years ago, FOA has less shares outstanding
Compared to 1 year ago, FOA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.18, we must say that FOA is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.18, FOA perfoms like the industry average, outperforming 43.56% of the companies in the same industry.
FOA has a Debt/Equity ratio of 85.02. This is a high value indicating a heavy dependency on external financing.
FOA has a worse Debt to Equity ratio (85.02) than 93.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 85.02 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.18 |
ROIC/WACC3.76
WACC1.39%
2.3 Liquidity
A Current Ratio of 0.12 indicates that FOA may have some problems paying its short term obligations.
FOA's Current ratio of 0.12 is on the low side compared to the rest of the industry. FOA is outperformed by 78.22% of its industry peers.
A Quick Ratio of 0.12 indicates that FOA may have some problems paying its short term obligations.
With a Quick ratio value of 0.12, FOA is not doing good in the industry: 78.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 182.98% over the past year.
The Earnings Per Share has been growing slightly by 0.78% on average over the past years.
FOA shows a strong growth in Revenue. In the last year, the Revenue has grown by 123.99%.
Measured over the past years, FOA shows a quite strong growth in Revenue. The Revenue has been growing by 8.26% on average per year.
EPS 1Y (TTM)182.98%
EPS 3YN/A
EPS 5Y0.78%
EPS Q2Q%1200%
Revenue 1Y (TTM)123.99%
Revenue growth 3Y0.73%
Revenue growth 5Y8.26%
Sales Q2Q%124.42%
3.2 Future
The Earnings Per Share is expected to grow by 113.55% on average over the next years. This is a very strong growth
FOA is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.61% yearly.
EPS Next Y410.72%
EPS Next 2Y187.92%
EPS Next 3Y113.55%
EPS Next 5YN/A
Revenue Next Year-24.21%
Revenue Next 2Y-8.56%
Revenue Next 3Y-3.61%
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.
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
A Price/Earnings ratio of 13.23 indicates a correct valuation of FOA.
Compared to the rest of the industry, the Price/Earnings ratio of FOA is on the same level as its industry peers.
FOA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.07.
With a Price/Forward Earnings ratio of 5.87, the valuation of FOA can be described as very cheap.
Based on the Price/Forward Earnings ratio, FOA is valued cheaper than 87.13% of the companies in the same industry.
FOA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.23 | ||
| Fwd PE | 5.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FOA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.68 |
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.
A more expensive valuation may be justified as FOA's earnings are expected to grow with 113.55% in the coming years.
PEG (NY)0.03
PEG (5Y)16.91
EPS Next 2Y187.92%
EPS Next 3Y113.55%
5. Dividend
5.1 Amount
FOA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:FOA (9/9/2025, 8:04:01 PM)
25.8
-0.98 (-3.68%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners50.87%
Inst Owner Change6.44%
Ins Owners18.76%
Ins Owner Change20.75%
Market Cap285.86M
Analysts45
Price Target32.64 (26.51%)
Short Float %7.25%
Short Ratio5.48
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)1
Avg EPS beat(2)5.93%
Min EPS beat(2)-10.73%
Max EPS beat(2)22.58%
EPS beat(4)2
Avg EPS beat(4)138.83%
Min EPS beat(4)-54.8%
Max EPS beat(4)598.28%
EPS beat(8)4
Avg EPS beat(8)50.99%
EPS beat(12)4
Avg EPS beat(12)-45.16%
EPS beat(16)4
Avg EPS beat(16)-190.79%
Revenue beat(2)2
Avg Revenue beat(2)86.85%
Min Revenue beat(2)80.96%
Max Revenue beat(2)92.73%
Revenue beat(4)3
Avg Revenue beat(4)58.26%
Min Revenue beat(4)-229.72%
Max Revenue beat(4)289.08%
Revenue beat(8)6
Avg Revenue beat(8)54.83%
Revenue beat(12)7
Avg Revenue beat(12)29.97%
Revenue beat(16)9
Avg Revenue beat(16)19.29%
PT rev (1m)28%
PT rev (3m)42.22%
EPS NQ rev (1m)-15.19%
EPS NQ rev (3m)-21.64%
EPS NY rev (1m)-4.29%
EPS NY rev (3m)-2.55%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)12.77%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.23 | ||
| Fwd PE | 5.87 | ||
| P/S | 0.13 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.88 | ||
| P/tB | 2.25 | ||
| EV/EBITDA | 15.68 |
EPS(TTM)1.95
EY7.56%
EPS(NY)4.39
Fwd EY17.03%
FCF(TTM)-33.95
FCFYN/A
OCF(TTM)-33.95
OCFYN/A
SpS198.64
BVpS29.36
TBVpS11.47
PEG (NY)0.03
PEG (5Y)16.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.3% | ||
| ROE | 27.75% | ||
| ROCE | 6.61% | ||
| ROIC | 5.22% | ||
| ROICexc | 5.23% | ||
| ROICexgc | 5.27% | ||
| OM | 84.47% | ||
| PM (TTM) | 4.1% | ||
| GM | 96.66% | ||
| FCFM | N/A |
ROA(3y)-0.39%
ROA(5y)0.07%
ROE(3y)-34.5%
ROE(5y)-17.17%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y17.61%
ROICexcg growth 5Y7.9%
ROICexc growth 3Y18.58%
ROICexc growth 5Y7.91%
OM growth 3Y32.26%
OM growth 5Y10.01%
PM growth 3YN/A
PM growth 5Y-28.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 85.02 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 14.57 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 3.04 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 | ||
| Altman-Z | 0.18 |
F-Score4
WACC1.39%
ROIC/WACC3.76
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)182.98%
EPS 3YN/A
EPS 5Y0.78%
EPS Q2Q%1200%
EPS Next Y410.72%
EPS Next 2Y187.92%
EPS Next 3Y113.55%
EPS Next 5YN/A
Revenue 1Y (TTM)123.99%
Revenue growth 3Y0.73%
Revenue growth 5Y8.26%
Sales Q2Q%124.42%
Revenue Next Year-24.21%
Revenue Next 2Y-8.56%
Revenue Next 3Y-3.61%
Revenue Next 5YN/A
EBIT growth 1Y47.39%
EBIT growth 3Y33.23%
EBIT growth 5Y19.09%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-149.17%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-148.92%
OCF growth 3YN/A
OCF growth 5YN/A