NERDWALLET INC-CL A (NRDS) Stock Fundamental Analysis
NASDAQ:NRDS - Nasdaq - US64082B1026 - Common Stock - Currency: USD
Taking everything into account, NRDS scores 5 out of 10 in our fundamental rating. NRDS was compared to 52 industry peers in the Consumer Finance industry. NRDS is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. NRDS is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NRDS was profitable.
NRDS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: NRDS reported negative net income in multiple years.
NRDS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NRDS has a Return On Assets of 6.95%. This is amongst the best in the industry. NRDS outperforms 82.69% of its industry peers.
NRDS has a Return On Equity (8.35%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 1.97%, NRDS perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.95% | ||
| ROE | 8.35% | ||
| ROIC | 1.97% |
ROA(3y)0.58%
ROA(5y)-1.57%
ROE(3y)0.72%
ROE(5y)-2.17%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
NRDS's Profit Margin of 4.42% is on the low side compared to the rest of the industry. NRDS is outperformed by 73.08% of its industry peers.
In the last couple of years the Profit Margin of NRDS has declined.
NRDS's Operating Margin of 1.37% is on the low side compared to the rest of the industry. NRDS is outperformed by 61.54% of its industry peers.
NRDS's Operating Margin has declined in the last couple of years.
NRDS has a Gross Margin of 90.77%. This is amongst the best in the industry. NRDS outperforms 82.69% of its industry peers.
NRDS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.37% | ||
| PM (TTM) | 4.42% | ||
| GM | 90.77% |
OM growth 3YN/A
OM growth 5Y-35.7%
PM growth 3YN/A
PM growth 5Y-16.05%
GM growth 3Y-0.63%
GM growth 5Y-0.47%
2. Health
2.1 Basic Checks
NRDS 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, NRDS has less shares outstanding
NRDS has more shares outstanding than it did 5 years ago.
NRDS has a worse debt/assets ratio than last year.
2.2 Solvency
NRDS has an Altman-Z score of 6.94. This indicates that NRDS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.94, NRDS belongs to the top of the industry, outperforming 96.15% of the companies in the same industry.
NRDS has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.94 |
ROIC/WACC0.22
WACC8.85%
2.3 Liquidity
A Current Ratio of 3.27 indicates that NRDS has no problem at all paying its short term obligations.
NRDS has a better Current ratio (3.27) than 80.77% of its industry peers.
A Quick Ratio of 3.27 indicates that NRDS has no problem at all paying its short term obligations.
NRDS has a better Quick ratio (3.27) than 82.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.27 | ||
| Quick Ratio | 3.27 |
3. Growth
3.1 Past
NRDS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 450.00%, which is quite impressive.
Measured over the past 5 years, NRDS shows a small growth in Earnings Per Share. The EPS has been growing by 0.81% on average per year.
NRDS shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.71%.
Measured over the past years, NRDS shows a very strong growth in Revenue. The Revenue has been growing by 24.67% on average per year.
EPS 1Y (TTM)450%
EPS 3YN/A
EPS 5Y0.81%
EPS Q2Q%5200%
Revenue 1Y (TTM)14.71%
Revenue growth 3Y21.9%
Revenue growth 5Y24.67%
Sales Q2Q%37.47%
3.2 Future
NRDS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.52% yearly.
NRDS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.39% yearly.
EPS Next Y-35.95%
EPS Next 2Y16.47%
EPS Next 3Y16.52%
EPS Next 5YN/A
Revenue Next Year12.92%
Revenue Next 2Y10.62%
Revenue Next 3Y8.29%
Revenue Next 5Y6.39%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 18.43, which indicates a rather expensive current valuation of NRDS.
NRDS's Price/Earnings ratio is a bit more expensive when compared to the industry. NRDS is more expensive than 67.31% of the companies in the same industry.
NRDS is valuated rather cheaply when we compare the Price/Earnings ratio to 27.85, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 28.77, NRDS can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NRDS indicates a slightly more expensive valuation: NRDS is more expensive than 71.15% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of NRDS to the average of the S&P500 Index (20.77), we can say NRDS is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.43 | ||
| Fwd PE | 28.77 |
4.2 Price Multiples
78.85% of the companies in the same industry are more expensive than NRDS, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as NRDS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.32 | ||
| EV/EBITDA | 10.32 |
4.3 Compensation for Growth
A more expensive valuation may be justified as NRDS's earnings are expected to grow with 16.52% in the coming years.
PEG (NY)N/A
PEG (5Y)22.65
EPS Next 2Y16.47%
EPS Next 3Y16.52%
5. Dividend
5.1 Amount
No dividends for NRDS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
9.03
+0.07 (+0.78%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners83.22%
Inst Owner Change-0.02%
Ins Owners6.28%
Ins Owner Change1.42%
Market Cap672.64M
Analysts81.54
Price Target16.83 (86.38%)
Short Float %6.58%
Short Ratio3.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2342.78%
Min EPS beat(2)168.76%
Max EPS beat(2)4516.81%
EPS beat(4)3
Avg EPS beat(4)1142.77%
Min EPS beat(4)-125.51%
Max EPS beat(4)4516.81%
EPS beat(8)5
Avg EPS beat(8)546.69%
EPS beat(12)7
Avg EPS beat(12)374.71%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)8.73%
Min Revenue beat(2)6.9%
Max Revenue beat(2)10.57%
Revenue beat(4)3
Avg Revenue beat(4)4.23%
Min Revenue beat(4)-1.64%
Max Revenue beat(4)10.57%
Revenue beat(8)5
Avg Revenue beat(8)2.16%
Revenue beat(12)8
Avg Revenue beat(12)2.12%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-2.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-227.32%
EPS NY rev (1m)0%
EPS NY rev (3m)-30.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)5.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.43 | ||
| Fwd PE | 28.77 | ||
| P/S | 0.98 | ||
| P/FCF | 13.32 | ||
| P/OCF | 9.37 | ||
| P/B | 1.85 | ||
| P/tB | 3.08 | ||
| EV/EBITDA | 10.32 |
EPS(TTM)0.49
EY5.43%
EPS(NY)0.31
Fwd EY3.48%
FCF(TTM)0.68
FCFY7.51%
OCF(TTM)0.96
OCFY10.67%
SpS9.23
BVpS4.89
TBVpS2.93
PEG (NY)N/A
PEG (5Y)22.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.95% | ||
| ROE | 8.35% | ||
| ROCE | 2.49% | ||
| ROIC | 1.97% | ||
| ROICexc | 2.4% | ||
| ROICexgc | 4.55% | ||
| OM | 1.37% | ||
| PM (TTM) | 4.42% | ||
| GM | 90.77% | ||
| FCFM | 7.34% |
ROA(3y)0.58%
ROA(5y)-1.57%
ROE(3y)0.72%
ROE(5y)-2.17%
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
ROICexcg growth 3YN/A
ROICexcg growth 5Y-36.98%
ROICexc growth 3YN/A
ROICexc growth 5Y-44.38%
OM growth 3YN/A
OM growth 5Y-35.7%
PM growth 3YN/A
PM growth 5Y-16.05%
GM growth 3Y-0.63%
GM growth 5Y-0.47%
F-Score7
Asset Turnover1.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 44.01% | ||
| Cap/Sales | 3.1% | ||
| Interest Coverage | 31.33 | ||
| Cash Conversion | 124.22% | ||
| Profit Quality | 166.12% | ||
| Current Ratio | 3.27 | ||
| Quick Ratio | 3.27 | ||
| Altman-Z | 6.94 |
F-Score7
WACC8.85%
ROIC/WACC0.22
Cap/Depr(3y)64.08%
Cap/Depr(5y)80.19%
Cap/Sales(3y)4.66%
Cap/Sales(5y)5.54%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)450%
EPS 3YN/A
EPS 5Y0.81%
EPS Q2Q%5200%
EPS Next Y-35.95%
EPS Next 2Y16.47%
EPS Next 3Y16.52%
EPS Next 5YN/A
Revenue 1Y (TTM)14.71%
Revenue growth 3Y21.9%
Revenue growth 5Y24.67%
Sales Q2Q%37.47%
Revenue Next Year12.92%
Revenue Next 2Y10.62%
Revenue Next 3Y8.29%
Revenue Next 5Y6.39%
EBIT growth 1Y88%
EBIT growth 3YN/A
EBIT growth 5Y-19.84%
EBIT Next Year3573.72%
EBIT Next 3Y287.17%
EBIT Next 5Y132.81%
FCF growth 1Y18.54%
FCF growth 3YN/A
FCF growth 5Y24.92%
OCF growth 1Y-0.42%
OCF growth 3Y115.24%
OCF growth 5Y17.99%