FINANCE OF AMERICA COS INC-A (FOA)
US31738L1070 - Common Stock
Taking everything into account, FOA scores 3 out of 10 in our fundamental rating. FOA was compared to 102 industry peers in the Financial Services industry. FOA has a bad profitability rating. Also its financial health evaluation is rather negative. FOA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
FOA had negative earnings in the past year.
In the past year FOA has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: FOA reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: FOA reported negative operating cash flow in multiple years.
1.2 Ratios
FOA has a worse Return On Assets (-0.30%) than 68.63% of its industry peers.
FOA has a worse Return On Equity (-34.45%) than 86.27% of its industry peers.
FOA has a Return On Invested Capital (2.48%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.3% | ||
| ROE | -34.45% | ||
| ROIC | 2.48% |
ROA(3y)-0.79%
ROA(5y)0.12%
ROE(3y)-58.16%
ROE(5y)-16.13%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FOA's Operating Margin of 131.27% is amongst the best of the industry. FOA outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of FOA has grown nicely.
FOA has a Gross Margin of 275.41%. This is amongst the best in the industry. FOA outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 131.27% | ||
| PM (TTM) | N/A | ||
| GM | 275.41% |
OM growth 3Y17.59%
OM growth 5Y9.41%
PM growth 3YN/A
PM growth 5YN/A
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
FOA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, FOA has a worse debt to assets ratio.
2.2 Solvency
FOA has an Altman-Z score of 0.07. This is a bad value and indicates that FOA is not financially healthy and even has some risk of bankruptcy.
FOA has a Altman-Z score of 0.07. This is in the lower half of the industry: FOA underperforms 64.71% of its industry peers.
FOA has a Debt/Equity ratio of 112.39. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 112.39, FOA is not doing good in the industry: 98.04% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 112.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.07 |
ROIC/WACC2.3
WACC1.08%
2.3 Liquidity
FOA has a Current Ratio of 0.45. 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 has a Current ratio of 0.45. This is in the lower half of the industry: FOA underperforms 67.65% of its industry peers.
A Quick Ratio of 0.45 indicates that FOA may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.45, FOA is doing worse than 65.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
The earnings per share for FOA have decreased strongly by -25.00% in the last year.
FOA shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -34.81%.
Measured over the past years, FOA shows a quite strong growth in Revenue. The Revenue has been growing by 9.24% on average per year.
EPS 1Y (TTM)-25%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q70%
Revenue 1Y (TTM)-34.81%
Revenue growth 3Y-8.12%
Revenue growth 5Y9.24%
Revenue growth Q2Q-265%
3.2 Future
The Earnings Per Share is expected to grow by 46.77% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 13.23% on average over the next years. This is quite good.
EPS Next Y119.36%
EPS Next 2Y66.82%
EPS Next 3Y46.77%
EPS Next 5YN/A
Revenue Next Year34.05%
Revenue Next 2Y10.25%
Revenue Next 3Y13.23%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
FOA reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
FOA is valuated reasonably with a Price/Forward Earnings ratio of 8.22.
FOA's Price/Forward Earnings ratio is rather cheap when compared to the industry. FOA is cheaper than 84.31% 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 20.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.22 |
4.2 Price Multiples
FOA's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 30.33 |
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.
FOA's earnings are expected to grow with 46.77% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y66.82%
EPS Next 3Y46.77%
5. Dividend
5.1 Amount
No dividends for FOA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FINANCE OF AMERICA COS INC-A
NYSE:FOA (5/15/2024, 5:30:00 PM)
After market: 0.6685 +0.03 (+4.98%)0.6368
+0.04 (+6.13%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap61.49M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 8.22 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.3% | ||
| ROE | -34.45% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 131.27% | ||
| PM (TTM) | N/A | ||
| GM | 275.41% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 112.39 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.45 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-25%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y119.36%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-34.81%
Revenue growth 3Y-8.12%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y