OFS CAPITAL CORP (OFS) Stock Fundamental Analysis
NASDAQ:OFS - Nasdaq - US67103B1008 - Common Stock - Currency: USD
Overall OFS gets a fundamental rating of 4 out of 10. We evaluated OFS against 233 industry peers in the Capital Markets industry. Both the profitability and the financial health of OFS get a neutral evaluation. Nothing too spectacular is happening here. OFS has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
OFS had positive earnings in the past year.
In the past year OFS had a positive cash flow from operations.
In multiple years OFS reported negative net income over the last 5 years.
OFS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.33%, OFS belongs to the top of the industry, outperforming 85.41% of the companies in the same industry.
OFS has a Return On Equity of 18.83%. This is amongst the best in the industry. OFS outperforms 86.27% of its industry peers.
With a Return On Invested Capital value of 2.82%, OFS is not doing good in the industry: 64.38% of the companies in the same industry are doing better.
OFS had an Average Return On Invested Capital over the past 3 years of 3.14%. This is below the industry average of 7.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.33% | ||
| ROE | 18.83% | ||
| ROIC | 2.82% |
ROA(3y)1.7%
ROA(5y)3.17%
ROE(3y)4.01%
ROE(5y)8.45%
ROIC(3y)3.14%
ROIC(5y)2.69%
1.3 Margins
OFS's Profit Margin of 68.60% is amongst the best of the industry. OFS outperforms 97.00% of its industry peers.
OFS's Profit Margin has improved in the last couple of years.
OFS's Operating Margin of 33.12% is in line compared to the rest of the industry. OFS outperforms 57.94% of its industry peers.
OFS's Operating Margin has been stable in the last couple of years.
OFS's Gross Margin of 43.07% is on the low side compared to the rest of the industry. OFS is outperformed by 60.52% of its industry peers.
In the last couple of years the Gross Margin of OFS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.12% | ||
| PM (TTM) | 68.6% | ||
| GM | 43.07% |
OM growth 3Y7.35%
OM growth 5Y-0.85%
PM growth 3Y-20.73%
PM growth 5Y26.67%
GM growth 3Y1.34%
GM growth 5Y-0.43%
2. Health
2.1 Basic Checks
The number of shares outstanding for OFS remains at a similar level compared to 1 year ago.
OFS has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for OFS has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.43, we must say that OFS is in the distress zone and has some risk of bankruptcy.
OFS has a Altman-Z score of 0.43. This is in the lower half of the industry: OFS underperforms 67.81% of its industry peers.
The Debt to FCF ratio of OFS is 9.26, which is on the high side as it means it would take OFS, 9.26 years of fcf income to pay off all of its debts.
OFS has a Debt to FCF ratio of 9.26. This is comparable to the rest of the industry: OFS outperforms 54.51% of its industry peers.
OFS has a Debt/Equity ratio of 1.54. This is a high value indicating a heavy dependency on external financing.
OFS has a Debt to Equity ratio of 1.54. This is in the lower half of the industry: OFS underperforms 73.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 9.26 | ||
| Altman-Z | 0.43 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
OFS has a Current Ratio of 2.23. This indicates that OFS is financially healthy and has no problem in meeting its short term obligations.
OFS has a Current ratio of 2.23. This is in the better half of the industry: OFS outperforms 73.39% of its industry peers.
A Quick Ratio of 2.23 indicates that OFS has no problem at all paying its short term obligations.
OFS has a better Quick ratio (2.23) than 73.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 |
3. Growth
3.1 Past
The earnings per share for OFS have decreased strongly by -29.68% in the last year.
The Earnings Per Share has been decreasing by -2.52% on average over the past years.
Looking at the last year, OFS shows a very negative growth in Revenue. The Revenue has decreased by -22.62% in the last year.
OFS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.80% yearly.
EPS 1Y (TTM)-29.68%
EPS 3Y7.72%
EPS 5Y-2.52%
EPS Q2Q%-38.1%
Revenue 1Y (TTM)-22.62%
Revenue growth 3Y0.14%
Revenue growth 5Y-1.8%
Sales Q2Q%-27.67%
3.2 Future
OFS is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -20.61% yearly.
OFS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -7.58% yearly.
EPS Next Y-17.58%
EPS Next 2Y-20.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-11.59%
Revenue Next 2Y-7.58%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
OFS is valuated cheaply with a Price/Earnings ratio of 7.75.
Compared to the rest of the industry, the Price/Earnings ratio of OFS indicates a rather cheap valuation: OFS is cheaper than 84.55% of the companies listed in the same industry.
OFS is valuated cheaply when we compare the Price/Earnings ratio to 27.28, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 10.73, which indicates a very decent valuation of OFS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OFS indicates a somewhat cheap valuation: OFS is cheaper than 68.67% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of OFS to the average of the S&P500 Index (21.76), we can say OFS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.75 | ||
| Fwd PE | 10.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OFS indicates a somewhat cheap valuation: OFS is cheaper than 67.38% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, OFS is valued cheaply inside the industry as 85.41% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.25 | ||
| EV/EBITDA | 24.48 |
4.3 Compensation for Growth
OFS's earnings are expected to decrease with -20.61% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-20.61%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 16.08%, OFS is a good candidate for dividend investing.
OFS's Dividend Yield is rather good when compared to the industry average which is at 8.00. OFS pays more dividend than 94.42% of the companies in the same industry.
OFS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.08% |
5.2 History
The dividend of OFS has a limited annual growth rate of 0.30%.
OFS has been paying a dividend for at least 10 years, so it has a reliable track record.
OFS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.3%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
60.33% of the earnings are spent on dividend by OFS. This is not a sustainable payout ratio.
OFS's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP60.33%
EPS Next 2Y-20.61%
EPS Next 3YN/A
8.45
-0.08 (-0.94%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners10.99%
Inst Owner Change12.09%
Ins Owners0.59%
Ins Owner Change0%
Market Cap113.23M
Analysts45
Price Target9.18 (8.64%)
Short Float %0.63%
Short Ratio1.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 16.08% |
Yearly Dividend1.36
Dividend Growth(5Y)0.3%
DP60.33%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.58%
Min EPS beat(2)-21.99%
Max EPS beat(2)29.14%
EPS beat(4)2
Avg EPS beat(4)0.19%
Min EPS beat(4)-21.99%
Max EPS beat(4)29.14%
EPS beat(8)5
Avg EPS beat(8)1.78%
EPS beat(12)8
Avg EPS beat(12)9.61%
EPS beat(16)10
Avg EPS beat(16)7.64%
Revenue beat(2)1
Avg Revenue beat(2)-1.19%
Min Revenue beat(2)-14.34%
Max Revenue beat(2)11.97%
Revenue beat(4)1
Avg Revenue beat(4)-2.55%
Min Revenue beat(4)-14.34%
Max Revenue beat(4)11.97%
Revenue beat(8)3
Avg Revenue beat(8)-1.21%
Revenue beat(12)5
Avg Revenue beat(12)-1.13%
Revenue beat(16)7
Avg Revenue beat(16)1.36%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)9.09%
EPS NQ rev (3m)9.09%
EPS NY rev (1m)-1.92%
EPS NY rev (3m)-1.92%
Revenue NQ rev (1m)7.53%
Revenue NQ rev (3m)7.53%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)1.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.75 | ||
| Fwd PE | 10.73 | ||
| P/S | 2.57 | ||
| P/FCF | 4.25 | ||
| P/OCF | 4.25 | ||
| P/B | 0.71 | ||
| P/tB | 0.71 | ||
| EV/EBITDA | 24.48 |
EPS(TTM)1.09
EY12.9%
EPS(NY)0.79
Fwd EY9.32%
FCF(TTM)1.99
FCFY23.52%
OCF(TTM)1.99
OCFY23.52%
SpS3.29
BVpS11.97
TBVpS11.97
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.33% | ||
| ROE | 18.83% | ||
| ROCE | 3.57% | ||
| ROIC | 2.82% | ||
| ROICexc | 2.85% | ||
| ROICexgc | 2.85% | ||
| OM | 33.12% | ||
| PM (TTM) | 68.6% | ||
| GM | 43.07% | ||
| FCFM | 60.49% |
ROA(3y)1.7%
ROA(5y)3.17%
ROE(3y)4.01%
ROE(5y)8.45%
ROIC(3y)3.14%
ROIC(5y)2.69%
ROICexc(3y)3.31%
ROICexc(5y)2.86%
ROICexgc(3y)3.31%
ROICexgc(5y)2.86%
ROCE(3y)3.97%
ROCE(5y)3.4%
ROICexcg growth 3Y15.02%
ROICexcg growth 5Y1.32%
ROICexc growth 3Y15.02%
ROICexc growth 5Y1.37%
OM growth 3Y7.35%
OM growth 5Y-0.85%
PM growth 3Y-20.73%
PM growth 5Y26.67%
GM growth 3Y1.34%
GM growth 5Y-0.43%
F-Score5
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 9.26 | ||
| Debt/EBITDA | 16.91 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.99 | ||
| Cash Conversion | 182.66% | ||
| Profit Quality | 88.18% | ||
| Current Ratio | 2.23 | ||
| Quick Ratio | 2.23 | ||
| Altman-Z | 0.43 |
F-Score5
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-29.68%
EPS 3Y7.72%
EPS 5Y-2.52%
EPS Q2Q%-38.1%
EPS Next Y-17.58%
EPS Next 2Y-20.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-22.62%
Revenue growth 3Y0.14%
Revenue growth 5Y-1.8%
Sales Q2Q%-27.67%
Revenue Next Year-11.59%
Revenue Next 2Y-7.58%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-29.91%
EBIT growth 3Y7.51%
EBIT growth 5Y-2.64%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-14.88%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-14.88%
OCF growth 3YN/A
OCF growth 5YN/A