FINANCE OF AMERICA COS INC-A (FOA) Stock Fundamental Analysis
USA - NYSE:FOA - US31738L2060 - Common Stock
22.62 USD
+0.1 (+0.44%)
FOA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 99 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
FOA had positive earnings in the past year.
FOA had a negative operating cash flow in the past year.
In multiple years FOA reported negative net income over the last 5 years.
FOA had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of FOA (0.30%) is worse than 65.66% of its industry peers.
With an excellent Return On Equity value of 27.75%, FOA belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
FOA's Return On Invested Capital of 5.22% is fine compared to the rest of the industry. FOA outperforms 66.67% of its industry peers.
| 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 of 4.10%. This is comparable to the rest of the industry: FOA outperforms 43.43% of its industry peers.
In the last couple of years the Profit Margin of FOA has declined.
Looking at the Operating Margin, with a value of 84.47%, FOA belongs to the top of the industry, outperforming 98.99% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so FOA is creating value.
The number of shares outstanding for FOA has been increased compared to 1 year ago.
Compared to 5 years ago, FOA has less shares outstanding
FOA has a worse debt/assets ratio than last year.
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.
FOA has a Altman-Z score (0.18) which is comparable to the rest of the industry.
FOA has a Debt/Equity ratio of 85.02. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 85.02, FOA is doing worse than 92.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 85.02 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.18 |
ROIC/WACC3.81
WACC1.37%
2.3 Liquidity
FOA has a Current Ratio of 0.12. This is a bad value and indicates that FOA is not financially healthy enough and could expect problems in meeting 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 79.80% of its industry peers.
FOA has a Quick Ratio of 0.12. This is a bad value and indicates that FOA is not financially healthy enough and could expect problems in meeting its short term obligations.
FOA's Quick ratio of 0.12 is on the low side compared to the rest of the industry. FOA is outperformed by 79.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.12 | ||
| Quick Ratio | 0.12 |
3. Growth
3.1 Past
FOA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 182.98%, which is quite impressive.
Measured over the past 5 years, FOA shows a small growth in Earnings Per Share. The EPS has been growing by 0.78% on average per year.
The Revenue has grown by 123.99% in the past year. This is a very strong growth!
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
Based on estimates for the next years, FOA will show a very strong growth in Earnings Per Share. The EPS will grow by 113.55% on average per year.
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-24.64%
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 11.60 indicates a reasonable valuation of FOA.
61.62% of the companies in the same industry are more expensive than FOA, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 26.89. FOA is valued rather cheaply when compared to this.
FOA is valuated cheaply with a Price/Forward Earnings ratio of 5.15.
Based on the Price/Forward Earnings ratio, FOA is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of FOA to the average of the S&P500 Index (22.99), we can say FOA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 5.15 |
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 | 15.67 |
4.3 Compensation for Growth
FOA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FOA's earnings are expected to grow with 113.55% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.03
PEG (5Y)14.83
EPS Next 2Y187.92%
EPS Next 3Y113.55%
5. Dividend
5.1 Amount
No dividends for FOA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:FOA (10/24/2025, 8:26:25 PM)
22.62
+0.1 (+0.44%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners53.83%
Inst Owner Change-5.12%
Ins Owners18.75%
Ins Owner Change3.23%
Market Cap250.63M
Revenue(TTM)2.20B
Net Income(TTM)90.25M
Analysts45
Price Target32.64 (44.3%)
Short Float %7.78%
Short Ratio4.89
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)0%
PT rev (3m)28%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-15.19%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 5.15 | ||
| P/S | 0.11 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.77 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 15.67 |
EPS(TTM)1.95
EY8.62%
EPS(NY)4.39
Fwd EY19.42%
FCF(TTM)-33.95
FCFYN/A
OCF(TTM)-33.95
OCFYN/A
SpS198.64
BVpS29.36
TBVpS11.47
PEG (NY)0.03
PEG (5Y)14.83
Graham Number35.89
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
ROICexgc growth 3Y17.61%
ROICexgc 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
WACC1.37%
ROIC/WACC3.81
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-24.64%
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
FINANCE OF AMERICA COS INC-A / FOA FAQ
Can you provide the ChartMill fundamental rating for FINANCE OF AMERICA COS INC-A?
ChartMill assigns a fundamental rating of 4 / 10 to FOA.
What is the valuation status of FINANCE OF AMERICA COS INC-A (FOA) stock?
ChartMill assigns a valuation rating of 6 / 10 to FINANCE OF AMERICA COS INC-A (FOA). This can be considered as Fairly Valued.
What is the profitability of FOA stock?
FINANCE OF AMERICA COS INC-A (FOA) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for FOA stock?
The Price/Earnings (PE) ratio for FINANCE OF AMERICA COS INC-A (FOA) is 11.6 and the Price/Book (PB) ratio is 0.77.
Can you provide the expected EPS growth for FOA stock?
The Earnings per Share (EPS) of FINANCE OF AMERICA COS INC-A (FOA) is expected to grow by 410.72% in the next year.