NEWTEKONE INC - NEWT 8 1/2 06/01/29 (NEWTG) Stock Fundamental Analysis
NASDAQ:NEWTG - Nasdaq - US6525268800 - Currency: USD
Overall NEWTG gets a fundamental rating of 4 out of 10. We evaluated NEWTG against 99 industry peers in the Financial Services industry. There are concerns on the financial health of NEWTG while its profitability can be described as average. NEWTG is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
NEWTG had positive earnings in the past year.
In the past year NEWTG has reported a negative cash flow from operations.
NEWTG had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: NEWTG reported negative operating cash flow in multiple years.
1.2 Ratios
NEWTG has a Return On Assets (2.29%) which is comparable to the rest of the industry.
With a decent Return On Equity value of 16.20%, NEWTG is doing good in the industry, outperforming 77.78% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.71%, NEWTG is in line with its industry, outperforming 59.60% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NEWTG is significantly below the industry average of 11.83%.
The last Return On Invested Capital (4.71%) for NEWTG is above the 3 year average (4.45%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 16.2% | ||
| ROIC | 4.71% |
ROA(3y)2.94%
ROA(5y)4.16%
ROE(3y)14.55%
ROE(5y)14.87%
ROIC(3y)4.45%
ROIC(5y)5.46%
1.3 Margins
NEWTG's Profit Margin of 16.71% is fine compared to the rest of the industry. NEWTG outperforms 71.72% of its industry peers.
In the last couple of years the Profit Margin of NEWTG has declined.
Looking at the Operating Margin, with a value of 44.47%, NEWTG belongs to the top of the industry, outperforming 83.84% of the companies in the same industry.
NEWTG's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 93.35%, NEWTG belongs to the top of the industry, outperforming 96.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.47% | ||
| PM (TTM) | 16.71% | ||
| GM | 93.35% |
OM growth 3Y-13.36%
OM growth 5Y-7.51%
PM growth 3Y-29.94%
PM growth 5Y-13.6%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NEWTG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, NEWTG has more shares outstanding
NEWTG has more shares outstanding than it did 5 years ago.
NEWTG has a worse debt/assets ratio than last year.
2.2 Solvency
NEWTG has an Altman-Z score of 0.15. This is a bad value and indicates that NEWTG is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of NEWTG (0.15) is worse than 62.63% of its industry peers.
A Debt/Equity ratio of 5.76 is on the high side and indicates that NEWTG has dependencies on debt financing.
NEWTG has a Debt to Equity ratio of 5.76. This is in the lower half of the industry: NEWTG underperforms 79.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.76 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.15 |
ROIC/WACC0.63
WACC7.48%
2.3 Liquidity
A Current Ratio of 0.26 indicates that NEWTG may have some problems paying its short term obligations.
NEWTG's Current ratio of 0.26 is on the low side compared to the rest of the industry. NEWTG is outperformed by 68.69% of its industry peers.
NEWTG has a Quick Ratio of 0.26. This is a bad value and indicates that NEWTG is not financially healthy enough and could expect problems in meeting its short term obligations.
NEWTG has a worse Quick ratio (0.26) than 68.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.26 | ||
| Quick Ratio | 0.26 |
3. Growth
3.1 Past
NEWTG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 25.97%, which is quite impressive.
NEWTG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.30% yearly.
The Revenue has grown by 34.91% in the past year. This is a very strong growth!
NEWTG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.01% yearly.
EPS 1Y (TTM)25.97%
EPS 3Y-17.2%
EPS 5Y-3.3%
EPS Q2Q%-7.89%
Revenue 1Y (TTM)34.91%
Revenue growth 3Y19.43%
Revenue growth 5Y20.01%
Sales Q2Q%29.1%
3.2 Future
Based on estimates for the next years, NEWTG will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.73% on average per year.
The Revenue is expected to grow by 17.43% on average over the next years. This is quite good.
EPS Next Y14.8%
EPS Next 2Y10.31%
EPS Next 3Y14.25%
EPS Next 5Y11.73%
Revenue Next Year21.48%
Revenue Next 2Y17.43%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NEWTG is valuated correctly with a Price/Earnings ratio of 12.73.
NEWTG's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of NEWTG to the average of the S&P500 Index (26.34), we can say NEWTG is valued rather cheaply.
NEWTG is valuated reasonably with a Price/Forward Earnings ratio of 10.30.
NEWTG's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.19. NEWTG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.73 | ||
| Fwd PE | 10.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NEWTG indicates a somewhat cheap valuation: NEWTG is cheaper than 73.74% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.75 |
4.3 Compensation for Growth
NEWTG's 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 NEWTG's earnings are expected to grow with 14.25% in the coming years.
PEG (NY)0.86
PEG (5Y)N/A
EPS Next 2Y10.31%
EPS Next 3Y14.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.69%, NEWTG is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.73, NEWTG pays a better dividend. On top of this NEWTG pays more dividend than 89.90% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, NEWTG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.69% |
5.2 History
The dividend of NEWTG decreases each year by -17.44%.
NEWTG does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)-17.44%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
42.30% of the earnings are spent on dividend by NEWTG. This is a bit on the high side, but may be sustainable.
DP42.3%
EPS Next 2Y10.31%
EPS Next 3Y14.25%
NEWTEKONE INC - NEWT 8 1/2 06/01/29
NASDAQ:NEWTG (6/18/2025, 4:30:02 PM)
24.6939
+0.05 (+0.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners42.12%
Inst Owner ChangeN/A
Ins Owners6.53%
Ins Owner ChangeN/A
Market Cap650.44M
Analysts72.31
Price Target30.88 (25.05%)
Short Float %0.01%
Short Ratio0.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.69% |
Yearly Dividend0.79
Dividend Growth(5Y)-17.44%
DP42.3%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.61%
Min EPS beat(2)-3.23%
Max EPS beat(2)2.01%
EPS beat(4)3
Avg EPS beat(4)1.74%
Min EPS beat(4)-3.23%
Max EPS beat(4)6.31%
EPS beat(8)5
Avg EPS beat(8)5.03%
EPS beat(12)7
Avg EPS beat(12)-2.92%
EPS beat(16)10
Avg EPS beat(16)3.08%
Revenue beat(2)2
Avg Revenue beat(2)13.05%
Min Revenue beat(2)9.43%
Max Revenue beat(2)16.67%
Revenue beat(4)4
Avg Revenue beat(4)7.32%
Min Revenue beat(4)0.33%
Max Revenue beat(4)16.67%
Revenue beat(8)5
Avg Revenue beat(8)3.56%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-16.88%
PT rev (3m)12.88%
EPS NQ rev (1m)-2.01%
EPS NQ rev (3m)-2.65%
EPS NY rev (1m)0%
EPS NY rev (3m)4.13%
Revenue NQ rev (1m)2.23%
Revenue NQ rev (3m)3.56%
Revenue NY rev (1m)2.93%
Revenue NY rev (3m)8.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.73 | ||
| Fwd PE | 10.3 | ||
| P/S | 2.22 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.15 | ||
| P/tB | 2.26 | ||
| EV/EBITDA | 8.75 |
EPS(TTM)1.94
EY7.86%
EPS(NY)2.4
Fwd EY9.71%
FCF(TTM)-6.72
FCFYN/A
OCF(TTM)-6.7
OCFYN/A
SpS11.13
BVpS11.48
TBVpS10.92
PEG (NY)0.86
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 16.2% | ||
| ROCE | 12.05% | ||
| ROIC | 4.71% | ||
| ROICexc | 5.43% | ||
| ROICexgc | 5.91% | ||
| OM | 44.47% | ||
| PM (TTM) | 16.71% | ||
| GM | 93.35% | ||
| FCFM | N/A |
ROA(3y)2.94%
ROA(5y)4.16%
ROE(3y)14.55%
ROE(5y)14.87%
ROIC(3y)4.45%
ROIC(5y)5.46%
ROICexc(3y)5%
ROICexc(5y)5.8%
ROICexgc(3y)6.64%
ROICexgc(5y)8.35%
ROCE(3y)8.52%
ROCE(5y)8.88%
ROICexcg growth 3Y-25.12%
ROICexcg growth 5Y-10.78%
ROICexc growth 3Y-15.59%
ROICexc growth 5Y-4.63%
OM growth 3Y-13.36%
OM growth 5Y-7.51%
PM growth 3Y-29.94%
PM growth 5Y-13.6%
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.76 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 13.21 | ||
| Cap/Depr | 29.97% | ||
| Cap/Sales | 0.14% | ||
| Interest Coverage | 1.53 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.26 | ||
| Quick Ratio | 0.26 | ||
| Altman-Z | 0.15 |
F-Score3
WACC7.48%
ROIC/WACC0.63
Cap/Depr(3y)13.5%
Cap/Depr(5y)8.1%
Cap/Sales(3y)0.13%
Cap/Sales(5y)0.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.97%
EPS 3Y-17.2%
EPS 5Y-3.3%
EPS Q2Q%-7.89%
EPS Next Y14.8%
EPS Next 2Y10.31%
EPS Next 3Y14.25%
EPS Next 5Y11.73%
Revenue 1Y (TTM)34.91%
Revenue growth 3Y19.43%
Revenue growth 5Y20.01%
Sales Q2Q%29.1%
Revenue Next Year21.48%
Revenue Next 2Y17.43%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y88.42%
EBIT growth 3Y3.47%
EBIT growth 5Y10.99%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y4.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y4.74%
OCF growth 3YN/A
OCF growth 5YN/A