NAVIENT CORP (NAVI)
US63938C1080 - Common Stock
Overall NAVI gets a fundamental rating of 3 out of 10. We evaluated NAVI against 51 industry peers in the Consumer Finance industry. There are concerns on the financial health of NAVI while its profitability can be described as average. NAVI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
NAVI had positive earnings in the past year.
In the past year NAVI had a positive cash flow from operations.
Each year in the past 5 years NAVI has been profitable.
NAVI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.37%, NAVI is doing worse than 60.78% of the companies in the same industry.
The Return On Equity of NAVI (8.26%) is comparable to the rest of the industry.
NAVI's Return On Invested Capital of 0.43% is in line compared to the rest of the industry. NAVI outperforms 47.06% of its industry peers.
NAVI had an Average Return On Invested Capital over the past 3 years of 0.67%. This is significantly below the industry average of 6.30%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.37% | ||
| ROE | 8.26% | ||
| ROIC | 0.43% |
ROA(3y)0.72%
ROA(5y)0.65%
ROE(3y)19.18%
ROE(5y)18.47%
ROIC(3y)0.67%
ROIC(5y)0.68%
1.3 Margins
The Profit Margin of NAVI (19.26%) is better than 84.31% of its industry peers.
NAVI's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 29.31%, NAVI belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
In the last couple of years the Operating Margin of NAVI has declined.
NAVI has a Gross Margin of 105.41%. This is amongst the best in the industry. NAVI outperforms 100.00% of its industry peers.
NAVI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.31% | ||
| PM (TTM) | 19.26% | ||
| GM | 105.41% |
OM growth 3Y-20.59%
OM growth 5Y-4.87%
PM growth 3Y-7.17%
PM growth 5Y-4.01%
GM growth 3Y-2.15%
GM growth 5Y-1.97%
2. Health
2.1 Basic Checks
NAVI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for NAVI has been reduced compared to 5 years ago.
The debt/assets ratio for NAVI has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.14, we must say that NAVI is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.14, NAVI is not doing good in the industry: 60.78% of the companies in the same industry are doing better.
NAVI has a debt to FCF ratio of 85.25. This is a negative value and a sign of low solvency as NAVI would need 85.25 years to pay back of all of its debts.
With a Debt to FCF ratio value of 85.25, NAVI is not doing good in the industry: 60.78% of the companies in the same industry are doing better.
NAVI has a Debt/Equity ratio of 20.88. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 20.88, NAVI is not doing good in the industry: 90.20% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 20.88 | ||
| Debt/FCF | 85.25 | ||
| Altman-Z | 0.14 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.71 indicates that NAVI may have some problems paying its short term obligations.
NAVI has a Current ratio (0.71) which is comparable to the rest of the industry.
NAVI has a Quick Ratio of 0.71. This is a bad value and indicates that NAVI is not financially healthy enough and could expect problems in meeting its short term obligations.
NAVI's Quick ratio of 0.71 is in line compared to the rest of the industry. NAVI outperforms 41.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for NAVI have decreased strongly by -24.29% in the last year.
The Earnings Per Share has been growing slightly by 3.41% on average over the past years.
The Revenue for NAVI has decreased by -18.79% in the past year. This is quite bad
Measured over the past years, NAVI shows a decrease in Revenue. The Revenue has been decreasing by -6.66% on average per year.
EPS 1Y (TTM)-24.29%
EPS 3Y-10.79%
EPS 5Y3.41%
EPS growth Q2Q-72.37%
Revenue 1Y (TTM)-18.79%
Revenue growth 3Y-11.56%
Revenue growth 5Y-6.66%
Revenue growth Q2Q-18.31%
3.2 Future
NAVI is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.48% yearly.
The Revenue is expected to decrease by -21.45% on average over the next years. This is quite bad
EPS Next Y-7.69%
EPS Next 2Y-4.02%
EPS Next 3Y-1.48%
EPS Next 5YN/A
Revenue Next Year-29.05%
Revenue Next 2Y-21.45%
Revenue Next 3YN/A
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 decreasing.
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
NAVI is valuated cheaply with a Price/Earnings ratio of 6.70.
NAVI's Price/Earnings ratio is a bit cheaper when compared to the industry. NAVI is cheaper than 70.59% of the companies in the same industry.
NAVI is valuated cheaply when we compare the Price/Earnings ratio to 25.25, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.26 indicates a rather cheap valuation of NAVI.
NAVI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. NAVI is cheaper than 74.51% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.67, NAVI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.7 | ||
| Fwd PE | 7.26 |
4.2 Price Multiples
70.59% of the companies in the same industry are more expensive than NAVI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.68 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.97
EPS Next 2Y-4.02%
EPS Next 3Y-1.48%
5. Dividend
5.1 Amount
NAVI has a Yearly Dividend Yield of 3.86%.
Compared to an average industry Dividend Yield of 4.32, NAVI pays a bit more dividend than its industry peers.
NAVI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
5.2 History
The dividend of NAVI decreases each year by -0.36%.
NAVI has paid a dividend for at least 10 years, which is a reliable track record.
NAVI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)-0.36%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
34.21% of the earnings are spent on dividend by NAVI. This is a low number and sustainable payout ratio.
The Dividend Rate of NAVI has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP34.21%
EPS Next 2Y-4.02%
EPS Next 3Y-1.48%
NAVIENT CORP
NASDAQ:NAVI (4/24/2024, 7:18:44 PM)
After market: 16.17 +0.08 (+0.5%)16.09
-0.51 (-3.07%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.81B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.86% |
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 | 6.7 | ||
| Fwd PE | 7.26 | ||
| 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)1.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.37% | ||
| ROE | 8.26% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 29.31% | ||
| PM (TTM) | 19.26% | ||
| GM | 105.41% | ||
| 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 | 20.88 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 | ||
| 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)-24.29%
EPS 3Y-10.79%
EPS 5Y
EPS growth Q2Q
EPS Next Y-7.69%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-18.79%
Revenue growth 3Y-11.56%
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