NETCAPITAL INC (NCPL)
US64113L1035 - Common Stock
Overall NCPL gets a fundamental rating of 2 out of 10. We evaluated NCPL against 212 industry peers in the Capital Markets industry. While NCPL seems to be doing ok healthwise, there are quite some concerns on its profitability. NCPL does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
NCPL had negative earnings in the past year.
In the past year NCPL has reported a negative cash flow from operations.
In the past 5 years NCPL has always been profitable.
NCPL had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
NCPL has a Return On Assets of -3.10%. This is amonst the worse of the industry: NCPL underperforms 90.48% of its industry peers.
The Return On Equity of NCPL (-3.39%) is worse than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.1% | ||
| ROE | -3.39% | ||
| ROIC | N/A |
ROA(3y)7.93%
ROA(5y)26.3%
ROE(3y)10.8%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Profit Margin of NCPL has declined.
In the last couple of years the Operating Margin of NCPL has declined.
With an excellent Gross Margin value of 98.46%, NCPL belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
In the last couple of years the Gross Margin of NCPL has grown nicely.
The Profit Margin and Operating Margin are not available for NCPL so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 98.46% |
OM growth 3Y-26.89%
OM growth 5YN/A
PM growth 3Y0.45%
PM growth 5Y-21.72%
GM growth 3Y-0.12%
GM growth 5Y3.9%
2. Health
2.1 Basic Checks
The number of shares outstanding for NCPL has been increased compared to 1 year ago.
Compared to 5 years ago, NCPL has more shares outstanding
The debt/assets ratio for NCPL has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.70, we must say that NCPL is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.70, NCPL perfoms like the industry average, outperforming 40.48% of the companies in the same industry.
A Debt/Equity ratio of 0.01 indicates that NCPL is not too dependend on debt financing.
The Debt to Equity ratio of NCPL (0.01) is better than 84.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.7 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.82 indicates that NCPL should not have too much problems paying its short term obligations.
NCPL's Current ratio of 1.82 is fine compared to the rest of the industry. NCPL outperforms 68.10% of its industry peers.
A Quick Ratio of 1.82 indicates that NCPL should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.82, NCPL is doing good in the industry, outperforming 68.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
The earnings per share for NCPL have decreased strongly by -110.59% in the last year.
Measured over the past years, NCPL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.97% on average per year.
NCPL shows a small growth in Revenue. In the last year, the Revenue has grown by 6.85%.
Measured over the past years, NCPL shows a very strong growth in Revenue. The Revenue has been growing by 138.51% on average per year.
EPS 1Y (TTM)-110.59%
EPS 3Y-25.11%
EPS 5Y8.97%
EPS growth Q2Q-157.58%
Revenue 1Y (TTM)6.85%
Revenue growth 3Y69.29%
Revenue growth 5Y138.51%
Revenue growth Q2Q-53.86%
3.2 Future
The Earnings Per Share is expected to decrease by -21.39% on average over the next years. This is quite bad
Based on estimates for the next years, NCPL will show a decrease in Revenue. The Revenue will decrease by -1.48% on average per year.
EPS Next Y-90.29%
EPS Next 2Y-45.93%
EPS Next 3Y-21.39%
EPS Next 5YN/A
Revenue Next Year-31.47%
Revenue Next 2Y-17.25%
Revenue Next 3Y-1.48%
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.
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
The Price/Earnings Ratio is negative for NCPL. In the last year negative earnings were reported.
Also next year NCPL is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as NCPL's earnings are expected to decrease with -21.39% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-45.93%
EPS Next 3Y-21.39%
5. Dividend
5.1 Amount
No dividends for NCPL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NETCAPITAL INC
NASDAQ:NCPL (5/16/2024, 7:06:44 PM)
After market: 0.19 +0.01 (+2.7%)0.185
+0.06 (+44.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.70M
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 | N/A | ||
| 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 | -3.1% | ||
| ROE | -3.39% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 98.46% | ||
| 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 Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.82 | ||
| Quick Ratio | 1.82 | ||
| 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)-110.59%
EPS 3Y-25.11%
EPS 5Y
EPS growth Q2Q
EPS Next Y-90.29%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.85%
Revenue growth 3Y69.29%
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