ORCHID ISLAND CAPITAL INC (ORC) Stock Fundamental Analysis
NYSE:ORC - New York Stock Exchange, Inc. - US68571X3017 - REIT - Currency: USD
ORC gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 66 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. Both the profitability and financial health of ORC have multiple concerns. ORC is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
ORC had positive earnings in the past year.
ORC had a positive operating cash flow in the past year.
In multiple years ORC reported negative net income over the last 5 years.
In the past 5 years ORC always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 0.48%, ORC perfoms like the industry average, outperforming 57.58% of the companies in the same industry.
With a Return On Equity value of 4.09%, ORC perfoms like the industry average, outperforming 57.58% of the companies in the same industry.
ORC has a Return On Invested Capital (0.38%) which is in line with its industry peers.
| 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
The Profit Margin of ORC (11.73%) is better than 72.73% 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 56.06% of the companies in the same industry.
In the last couple of years the Operating Margin of ORC has declined.
ORC's Gross Margin of 14.17% is on the low side compared to the rest of the industry. ORC is outperformed by 66.67% of its industry peers.
ORC's Gross Margin has declined in the last couple of years.
| 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
The number of shares outstanding for ORC has been increased compared to 5 years ago.
The debt/assets ratio for ORC is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.91, we must say that ORC is in the distress zone and has some risk of bankruptcy.
ORC has a worse Altman-Z score (-0.91) than 81.82% of its industry peers.
The Debt to FCF ratio of ORC is 134.39, which is on the high side as it means it would take ORC, 134.39 years of fcf income to pay off all of its debts.
ORC has a Debt to FCF ratio (134.39) which is comparable to the rest of the industry.
A Debt/Equity ratio of 7.50 is on the high side and indicates that ORC has dependencies on debt financing.
The Debt to Equity ratio of ORC (7.50) is worse than 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 7.5 | ||
| Debt/FCF | 134.39 | ||
| Altman-Z | -0.91 |
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.
With a Current ratio value of 0.07, ORC is not doing good in the industry: 75.76% of the companies in the same industry are doing better.
A Quick Ratio of 0.07 indicates that ORC may have some problems paying its short term obligations.
ORC has a Quick ratio of 0.07. This is in the lower half of the industry: ORC underperforms 75.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.07 | ||
| Quick Ratio | 0.07 |
3. Growth
3.1 Past
ORC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -80.95%.
The earnings per share for ORC have been decreasing by -23.17% on average. This is quite bad
ORC shows a strong growth in Revenue. In the last year, the Revenue has grown by 45.38%.
The Revenue has been growing by 19.70% on average over the past years. This is quite good.
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
Based on estimates for the next years, ORC will show a very strong growth in Earnings Per Share. The EPS will grow by 130.39% on average per year.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 89.38, the valuation of ORC can be described as expensive.
ORC's Price/Earnings ratio is a bit more expensive when compared to the industry. ORC is more expensive than 66.67% of the companies in the same industry.
ORC's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.30.
Based on the Price/Forward Earnings ratio of 10.81, the valuation of ORC can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ORC is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 21.76. ORC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 89.38 | ||
| Fwd PE | 10.81 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ORC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.15 | ||
| 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.
A more expensive valuation may be justified as ORC's earnings are expected to grow with 130.39% in the coming years.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y130.39%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 20.00%, ORC is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 11.54, ORC pays a better dividend. On top of this ORC pays more dividend than 98.48% of the companies listed in the same industry.
ORC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 20% |
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
ORC pays out 304.55% of its income as dividend. This is not a sustainable payout ratio.
DP304.55%
EPS Next 2Y130.39%
EPS Next 3YN/A
7.15
-0.05 (-0.69%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners34.55%
Inst Owner Change0%
Ins Owners0.2%
Ins Owner Change0.85%
Market Cap866.65M
Analysts75
Price Target8.16 (14.13%)
Short Float %4.3%
Short Ratio1.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 20% |
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)-11.11%
EPS NQ rev (1m)0%
EPS NQ rev (3m)38.46%
EPS NY rev (1m)0%
EPS NY rev (3m)32.35%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)55.8%
Revenue NY rev (1m)0%
Revenue NY rev (3m)47.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 89.38 | ||
| Fwd PE | 10.81 | ||
| P/S | 2.9 | ||
| P/FCF | 18.15 | ||
| P/OCF | 18.15 | ||
| P/B | 1.01 | ||
| P/tB | 1.01 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.08
EY1.12%
EPS(NY)0.66
Fwd EY9.25%
FCF(TTM)0.39
FCFY5.51%
OCF(TTM)0.39
OCFY5.51%
SpS2.46
BVpS7.06
TBVpS7.06
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 | -0.91 |
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%