ORCHID ISLAND CAPITAL INC (ORC) Stock Fundamental Analysis
NYSE:ORC - New York Stock Exchange, Inc. - US68571X3017 - REIT - Currency: USD
We assign a fundamental rating of 3 out of 10 to ORC. ORC was compared to 65 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. ORC may be in some trouble as it scores bad on both profitability and health. ORC is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
In the past year ORC was profitable.
ORC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ORC reported negative net income in multiple years.
ORC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ORC's Return On Assets of 0.48% is in line compared to the rest of the industry. ORC outperforms 58.46% of its industry peers.
ORC has a Return On Equity of 4.09%. This is comparable to the rest of the industry: ORC outperforms 58.46% of its industry peers.
With a Return On Invested Capital value of 0.38%, ORC perfoms like the industry average, outperforming 43.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 4.09% | ||
| ROIC | 0.38% |
ROA(3y)-2.32%
ROA(5y)-1.56%
ROE(3y)-20.54%
ROE(5y)-13.91%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ORC's Profit Margin of 11.73% is fine compared to the rest of the industry. ORC outperforms 73.85% of its industry peers.
ORC's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 11.73%, ORC perfoms like the industry average, outperforming 56.92% of the companies in the same industry.
ORC's Operating Margin has declined in the last couple of years.
ORC's Gross Margin of 14.17% is on the low side compared to the rest of the industry. ORC is outperformed by 75.38% of its industry peers.
In the last couple of years the Gross Margin of ORC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.73% | ||
| PM (TTM) | 11.73% | ||
| GM | 14.17% |
OM growth 3Y-56.07%
OM growth 5Y-8.8%
PM growth 3Y-56.07%
PM growth 5Y-8.8%
GM growth 3Y-51.53%
GM growth 5Y-8.82%
2. Health
2.1 Basic Checks
Compared to 1 year ago, ORC has more shares outstanding
Compared to 5 years ago, ORC has more shares outstanding
The debt/assets ratio for ORC is higher compared to a year ago.
2.2 Solvency
ORC has an Altman-Z score of -0.92. This is a bad value and indicates that ORC is not financially healthy and even has some risk of bankruptcy.
ORC's Altman-Z score of -0.92 is on the low side compared to the rest of the industry. ORC is outperformed by 81.54% of its industry peers.
ORC has a debt to FCF ratio of 134.39. This is a negative value and a sign of low solvency as ORC would need 134.39 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 134.39, ORC is in line with its industry, outperforming 43.08% of the companies in the same industry.
ORC has a Debt/Equity ratio of 7.50. This is a high value indicating a heavy dependency on external financing.
ORC has a worse Debt to Equity ratio (7.50) than 75.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.5 | ||
| Debt/FCF | 134.39 | ||
| Altman-Z | -0.92 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.07 indicates that ORC may have some problems paying its short term obligations.
ORC has a worse Current ratio (0.07) than 75.38% of its industry peers.
ORC has a Quick Ratio of 0.07. This is a bad value and indicates that ORC is not financially healthy enough and could expect problems in meeting its short term obligations.
ORC's Quick ratio of 0.07 is on the low side compared to the rest of the industry. ORC is outperformed by 75.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 |
3. Growth
3.1 Past
The earnings per share for ORC have decreased strongly by -80.95% in the last year.
ORC shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -23.17% yearly.
The Revenue has grown by 45.38% in the past year. This is a very strong growth!
ORC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.70% yearly.
EPS 1Y (TTM)-80.95%
EPS 3YN/A
EPS 5Y-23.17%
EPS Q2Q%233.33%
Revenue 1Y (TTM)45.38%
Revenue growth 3YN/A
Revenue growth 5Y19.7%
Sales Q2Q%891.69%
3.2 Future
The Earnings Per Share is expected to grow by 130.39% on average over the next years. This is a very strong growth
ORC is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 6031.19% yearly.
EPS Next Y365.13%
EPS Next 2Y130.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year297227%
Revenue Next 2Y6031.19%
Revenue Next 3YN/A
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
Based on the Price/Earnings ratio of 86.75, the valuation of ORC can be described as expensive.
66.15% of the companies in the same industry are cheaper than ORC, based on the Price/Earnings ratio.
ORC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.43.
A Price/Forward Earnings ratio of 10.49 indicates a reasonable valuation of ORC.
ORC's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of ORC to the average of the S&P500 Index (22.17), we can say ORC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 86.75 | ||
| Fwd PE | 10.49 |
4.2 Price Multiples
The rest of the industry has a similar Price/Free Cash Flow ratio as ORC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.87 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ORC's earnings are expected to grow with 130.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y130.39%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ORC has a Yearly Dividend Yield of 20.45%, which is a nice return.
Compared to an average industry Dividend Yield of 14.00, ORC pays a better dividend. On top of this ORC pays more dividend than 89.23% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, ORC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 20.45% |
5.2 History
The dividend of ORC decreases each year by -21.95%.
ORC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-21.95%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
304.55% of the earnings are spent on dividend by ORC. This is not a sustainable payout ratio.
DP304.55%
EPS Next 2Y130.39%
EPS Next 3YN/A
6.94
+0.04 (+0.58%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners30.54%
Inst Owner Change33.39%
Ins Owners0.22%
Ins Owner Change0.73%
Market Cap757.99M
Analysts75
Price Target8.16 (17.58%)
Short Float %4.15%
Short Ratio1.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 20.45% |
Yearly Dividend1.38
Dividend Growth(5Y)-21.95%
DP304.55%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)862.12%
Min EPS beat(2)137.61%
Max EPS beat(2)1586.64%
EPS beat(4)3
Avg EPS beat(4)436.07%
Min EPS beat(4)-9.25%
Max EPS beat(4)1586.64%
EPS beat(8)4
Avg EPS beat(8)-22.87%
EPS beat(12)4
Avg EPS beat(12)-46.66%
EPS beat(16)6
Avg EPS beat(16)-45.28%
Revenue beat(2)2
Avg Revenue beat(2)143.1%
Min Revenue beat(2)99.18%
Max Revenue beat(2)187.03%
Revenue beat(4)4
Avg Revenue beat(4)121.69%
Min Revenue beat(4)76.57%
Max Revenue beat(4)187.03%
Revenue beat(8)6
Avg Revenue beat(8)40.47%
Revenue beat(12)7
Avg Revenue beat(12)1.41%
Revenue beat(16)8
Avg Revenue beat(16)-49.64%
PT rev (1m)0%
PT rev (3m)-15.79%
EPS NQ rev (1m)2.85%
EPS NQ rev (3m)-7.69%
EPS NY rev (1m)32.35%
EPS NY rev (3m)20.23%
Revenue NQ rev (1m)2.01%
Revenue NQ rev (3m)52.04%
Revenue NY rev (1m)47.93%
Revenue NY rev (3m)78.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 86.75 | ||
| Fwd PE | 10.49 | ||
| P/S | 2.54 | ||
| P/FCF | 15.87 | ||
| P/OCF | 15.87 | ||
| P/B | 0.89 | ||
| P/tB | 0.89 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.08
EY1.15%
EPS(NY)0.66
Fwd EY9.53%
FCF(TTM)0.44
FCFY6.3%
OCF(TTM)0.44
OCFY6.3%
SpS2.73
BVpS7.84
TBVpS7.84
PEG (NY)0.24
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 4.09% | ||
| ROCE | 4.08% | ||
| ROIC | 0.38% | ||
| ROICexc | 0.4% | ||
| ROICexgc | 0.4% | ||
| OM | 11.73% | ||
| PM (TTM) | 11.73% | ||
| GM | 14.17% | ||
| FCFM | 16% |
ROA(3y)-2.32%
ROA(5y)-1.56%
ROE(3y)-20.54%
ROE(5y)-13.91%
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 5Y1.12%
ROICexc growth 3YN/A
ROICexc growth 5Y1.19%
OM growth 3Y-56.07%
OM growth 5Y-8.8%
PM growth 3Y-56.07%
PM growth 5Y-8.8%
GM growth 3Y-51.53%
GM growth 5Y-8.82%
F-Score7
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.5 | ||
| Debt/FCF | 134.39 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.14 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 136.43% | ||
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 | ||
| Altman-Z | -0.92 |
F-Score7
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)-80.95%
EPS 3YN/A
EPS 5Y-23.17%
EPS Q2Q%233.33%
EPS Next Y365.13%
EPS Next 2Y130.39%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)45.38%
Revenue growth 3YN/A
Revenue growth 5Y19.7%
Sales Q2Q%891.69%
Revenue Next Year297227%
Revenue Next 2Y6031.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y252.36%
EBIT growth 3YN/A
EBIT growth 5Y9.16%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-72.33%
FCF growth 3Y-11.42%
FCF growth 5Y6.81%
OCF growth 1Y-72.33%
OCF growth 3Y-11.42%
OCF growth 5Y6.81%