ONITY GROUP INC (ONIT) Stock Fundamental Analysis
NYSE:ONIT - US6757466064 - Common Stock
41.37 USD
-0.76 (-1.8%)
41.37 USD
0 (0%)
Overall ONIT gets a fundamental rating of 4 out of 10. We evaluated ONIT against 100 industry peers in the Financial Services industry. While ONIT is still in line with the averages on profitability rating, there are concerns on its financial health. ONIT has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ONIT was profitable.
In the past year ONIT has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: ONIT reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: ONIT reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.21%, ONIT is doing worse than 67.00% of the companies in the same industry.
The Return On Equity of ONIT (6.47%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 2.18%, ONIT perfoms like the industry average, outperforming 47.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ONIT is below the industry average of 7.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.21% | ||
| ROE | 6.47% | ||
| ROIC | 2.18% |
ROA(3y)-0.03%
ROA(5y)N/A
ROE(3y)-1.15%
ROE(5y)N/A
ROIC(3y)2.76%
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 3.49%, ONIT perfoms like the industry average, outperforming 42.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ONIT has grown nicely.
ONIT's Operating Margin of 41.69% is amongst the best of the industry. ONIT outperforms 83.00% of its industry peers.
ONIT's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 94.99%, ONIT belongs to the top of the industry, outperforming 99.00% of the companies in the same industry.
In the last couple of years the Gross Margin of ONIT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.69% | ||
| PM (TTM) | 3.49% | ||
| GM | 94.99% |
OM growth 3Y12.97%
OM growth 5YN/A
PM growth 3Y25.74%
PM growth 5YN/A
GM growth 3Y6.34%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ONIT is still creating some value.
Compared to 1 year ago, ONIT has more shares outstanding
ONIT has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.16, we must say that ONIT is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.16, ONIT perfoms like the industry average, outperforming 43.00% of the companies in the same industry.
ONIT has a Debt/Equity ratio of 28.80. This is a high value indicating a heavy dependency on external financing.
ONIT has a worse Debt to Equity ratio (28.80) than 91.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 28.8 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.16 |
ROIC/WACC1.1
WACC1.98%
2.3 Liquidity
A Current Ratio of 1.92 indicates that ONIT should not have too much problems paying its short term obligations.
ONIT has a Current ratio of 1.92. This is in the better half of the industry: ONIT outperforms 74.00% of its industry peers.
ONIT has a Quick Ratio of 1.92. This is a normal value and indicates that ONIT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.92, ONIT is in the better half of the industry, outperforming 77.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.92 |
3. Growth
3.1 Past
ONIT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 3183.33%, which is quite impressive.
The Earnings Per Share has been growing by 28.88% on average over the past years. This is a very strong growth
ONIT shows a decrease in Revenue. In the last year, the revenue decreased by -3.08%.
The Revenue has been decreasing by -2.41% on average over the past years.
EPS 1Y (TTM)3183.33%
EPS 3Y28.88%
EPS 5YN/A
EPS Q2Q%80.45%
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y-2.41%
Revenue growth 5YN/A
Sales Q2Q%0.08%
3.2 Future
ONIT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 41.19% yearly.
The Revenue is expected to grow by 6.97% on average over the next years.
EPS Next Y107.1%
EPS Next 2Y51.96%
EPS Next 3Y41.19%
EPS Next 5YN/A
Revenue Next Year1.57%
Revenue Next 2Y6.68%
Revenue Next 3Y6.97%
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.50, which indicates a very decent valuation of ONIT.
Compared to the rest of the industry, the Price/Earnings ratio of ONIT indicates a somewhat cheap valuation: ONIT is cheaper than 69.00% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.08. ONIT is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 4.36, which indicates a rather cheap valuation of ONIT.
ONIT's Price/Forward Earnings ratio is rather cheap when compared to the industry. ONIT is cheaper than 94.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ONIT to the average of the S&P500 Index (22.72), we can say ONIT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.5 | ||
| Fwd PE | 4.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ONIT is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 36.99 |
4.3 Compensation for Growth
ONIT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ONIT's earnings are expected to grow with 41.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.1
PEG (5Y)N/A
EPS Next 2Y51.96%
EPS Next 3Y41.19%
5. Dividend
5.1 Amount
No dividends for ONIT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
41.37
-0.76 (-1.8%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners54.9%
Inst Owner ChangeN/A
Ins Owners18.64%
Ins Owner Change26.19%
Market Cap333.44M
Analysts84.44
Price Target54.4 (31.5%)
Short Float %1.59%
Short Ratio2.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.06
Dividend Growth(5Y)N/A
DP7.56%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)35.96%
Min EPS beat(2)25.38%
Max EPS beat(2)46.55%
EPS beat(4)3
Avg EPS beat(4)-21.65%
Min EPS beat(4)-263.1%
Max EPS beat(4)104.57%
EPS beat(8)4
Avg EPS beat(8)-77.71%
EPS beat(12)6
Avg EPS beat(12)-2751.37%
EPS beat(16)8
Avg EPS beat(16)-2021.67%
Revenue beat(2)0
Avg Revenue beat(2)-2.69%
Min Revenue beat(2)-4.4%
Max Revenue beat(2)-0.98%
Revenue beat(4)1
Avg Revenue beat(4)-3.82%
Min Revenue beat(4)-12.08%
Max Revenue beat(4)2.19%
Revenue beat(8)2
Avg Revenue beat(8)-5.16%
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)8.29%
PT rev (3m)14.08%
EPS NQ rev (1m)-1.02%
EPS NQ rev (3m)-8.31%
EPS NY rev (1m)-3.27%
EPS NY rev (3m)-6.81%
Revenue NQ rev (1m)-3.42%
Revenue NQ rev (3m)-2.04%
Revenue NY rev (1m)-1.33%
Revenue NY rev (3m)-1.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.5 | ||
| Fwd PE | 4.36 | ||
| P/S | 0.34 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 36.99 |
EPS(TTM)3.94
EY9.52%
EPS(NY)9.49
Fwd EY22.94%
FCF(TTM)-157.34
FCFYN/A
OCF(TTM)-117.33
OCFYN/A
SpS122.44
BVpS65.98
TBVpS-261
PEG (NY)0.1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.21% | ||
| ROE | 6.47% | ||
| ROCE | 2.52% | ||
| ROIC | 2.18% | ||
| ROICexc | 2.21% | ||
| ROICexgc | 2.8% | ||
| OM | 41.69% | ||
| PM (TTM) | 3.49% | ||
| GM | 94.99% | ||
| FCFM | N/A |
ROA(3y)-0.03%
ROA(5y)N/A
ROE(3y)-1.15%
ROE(5y)N/A
ROIC(3y)2.76%
ROIC(5y)N/A
ROICexc(3y)2.8%
ROICexc(5y)N/A
ROICexgc(3y)3.78%
ROICexgc(5y)N/A
ROCE(3y)3.18%
ROCE(5y)N/A
ROICexcg growth 3Y-3.72%
ROICexcg growth 5YN/A
ROICexc growth 3Y-0.77%
ROICexc growth 5YN/A
OM growth 3Y12.97%
OM growth 5YN/A
PM growth 3Y25.74%
PM growth 5YN/A
GM growth 3Y6.34%
GM growth 5YN/A
F-Score3
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 28.8 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 36.64 | ||
| Cap/Depr | 4886.36% | ||
| Cap/Sales | 32.68% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.92 | ||
| Altman-Z | 0.16 |
F-Score3
WACC1.98%
ROIC/WACC1.1
Cap/Depr(3y)1734.67%
Cap/Depr(5y)N/A
Cap/Sales(3y)18.94%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3183.33%
EPS 3Y28.88%
EPS 5YN/A
EPS Q2Q%80.45%
EPS Next Y107.1%
EPS Next 2Y51.96%
EPS Next 3Y41.19%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.08%
Revenue growth 3Y-2.41%
Revenue growth 5YN/A
Sales Q2Q%0.08%
Revenue Next Year1.57%
Revenue Next 2Y6.68%
Revenue Next 3Y6.97%
Revenue Next 5YN/A
EBIT growth 1Y-6.14%
EBIT growth 3Y10.25%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-621.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-5617.31%
OCF growth 3YN/A
OCF growth 5YN/A