SLR INVESTMENT CORP (SLRC) Stock Fundamental Analysis
NASDAQ:SLRC - US83413U1007 - Common Stock
16.62 USD
+0.09 (+0.54%)
16.62 USD
0 (0%)
Taking everything into account, SLRC scores 4 out of 10 in our fundamental rating. SLRC was compared to 238 industry peers in the Capital Markets industry. While SLRC is still in line with the averages on profitability rating, there are concerns on its financial health. SLRC is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SLRC was profitable.
SLRC had a positive operating cash flow in the past year.
SLRC had positive earnings in each of the past 5 years.
In multiple years SLRC reported negative operating cash flow during the last 5 years.
1.2 Ratios
With a Return On Assets value of 3.50%, SLRC perfoms like the industry average, outperforming 57.56% of the companies in the same industry.
SLRC has a Return On Equity (8.95%) which is in line with its industry peers.
SLRC has a Return On Invested Capital of 3.35%. This is comparable to the rest of the industry: SLRC outperforms 43.70% of its industry peers.
SLRC had an Average Return On Invested Capital over the past 3 years of 3.33%. This is below the industry average of 7.60%.
The last Return On Invested Capital (3.35%) for SLRC is above the 3 year average (3.33%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.5% | ||
| ROE | 8.95% | ||
| ROIC | 3.35% |
ROA(3y)2.55%
ROA(5y)2.28%
ROE(3y)6.41%
ROE(5y)5.62%
ROIC(3y)3.33%
ROIC(5y)3.19%
1.3 Margins
With an excellent Profit Margin value of 39.93%, SLRC belongs to the best of the industry, outperforming 83.61% of the companies in the same industry.
In the last couple of years the Profit Margin of SLRC has grown nicely.
Looking at the Operating Margin, with a value of 41.29%, SLRC is in the better half of the industry, outperforming 71.85% of the companies in the same industry.
In the last couple of years the Operating Margin of SLRC has declined.
SLRC has a Gross Margin (45.41%) which is in line with its industry peers.
SLRC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 41.29% | ||
| PM (TTM) | 39.93% | ||
| GM | 45.41% |
OM growth 3Y-1.77%
OM growth 5Y-2.43%
PM growth 3Y-1.22%
PM growth 5Y2.62%
GM growth 3Y-3.67%
GM growth 5Y-2.76%
2. Health
2.1 Basic Checks
SLRC has about the same amout of shares outstanding than it did 1 year ago.
SLRC has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, SLRC has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.50, we must say that SLRC is in the distress zone and has some risk of bankruptcy.
SLRC has a Altman-Z score of 0.50. This is in the lower half of the industry: SLRC underperforms 61.76% of its industry peers.
The Debt to FCF ratio of SLRC is 7.23, which is on the high side as it means it would take SLRC, 7.23 years of fcf income to pay off all of its debts.
SLRC has a Debt to FCF ratio (7.23) which is in line with its industry peers.
A Debt/Equity ratio of 1.18 is on the high side and indicates that SLRC has dependencies on debt financing.
SLRC has a Debt to Equity ratio of 1.18. This is comparable to the rest of the industry: SLRC outperforms 40.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 7.23 | ||
| Altman-Z | 0.5 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
SLRC has a Current Ratio of 1.09. This is a normal value and indicates that SLRC is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of SLRC (1.09) is comparable to the rest of the industry.
A Quick Ratio of 1.09 indicates that SLRC should not have too much problems paying its short term obligations.
SLRC has a Quick ratio (1.09) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
SLRC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.86%.
SLRC shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.57% yearly.
SLRC shows a decrease in Revenue. In the last year, the revenue decreased by -5.94%.
Measured over the past years, SLRC shows a quite strong growth in Revenue. The Revenue has been growing by 8.48% on average per year.
EPS 1Y (TTM)-2.86%
EPS 3Y7.07%
EPS 5Y0.57%
EPS Q2Q%-11.11%
Revenue 1Y (TTM)-5.94%
Revenue growth 3Y18.59%
Revenue growth 5Y8.48%
Sales Q2Q%-8.59%
3.2 Future
The Earnings Per Share is expected to decrease by -4.60% on average over the next years.
The Revenue is expected to decrease by -3.19% on average over the next years.
EPS Next Y-7.17%
EPS Next 2Y-3.45%
EPS Next 3Y-4.6%
EPS Next 5YN/A
Revenue Next Year-7.4%
Revenue Next 2Y-3.59%
Revenue Next 3Y-3.19%
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 decreasing.
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
Based on the Price/Earnings ratio of 9.78, the valuation of SLRC can be described as reasonable.
Based on the Price/Earnings ratio, SLRC is valued a bit cheaper than the industry average as 76.05% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.08, SLRC is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.02, the valuation of SLRC can be described as reasonable.
SLRC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. SLRC is cheaper than 73.11% of the companies in the same industry.
SLRC is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 10.02 |
4.2 Price Multiples
SLRC's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SLRC is cheaper than 81.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.58 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A cheap valuation may be justified as SLRC's earnings are expected to decrease with -4.60% in the coming years.
PEG (NY)N/A
PEG (5Y)17.11
EPS Next 2Y-3.45%
EPS Next 3Y-4.6%
5. Dividend
5.1 Amount
SLRC has a Yearly Dividend Yield of 9.95%, which is a nice return.
Compared to an average industry Dividend Yield of 7.99, SLRC pays a bit more dividend than its industry peers.
SLRC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.95% |
5.2 History
The dividend of SLRC has a limited annual growth rate of 0.02%.
SLRC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)0.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
100.74% of the earnings are spent on dividend by SLRC. This is not a sustainable payout ratio.
The Dividend Rate of SLRC has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP100.74%
EPS Next 2Y-3.45%
EPS Next 3Y-4.6%
16.62
+0.09 (+0.54%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners36.18%
Inst Owner Change2.43%
Ins Owners2.72%
Ins Owner Change0%
Market Cap906.62M
Analysts73.75
Price Target17.24 (3.73%)
Short Float %0.29%
Short Ratio0.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.95% |
Yearly Dividend1.64
Dividend Growth(5Y)0.02%
DP100.74%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.76%
Min EPS beat(2)-3.04%
Max EPS beat(2)-2.49%
EPS beat(4)2
Avg EPS beat(4)-0.48%
Min EPS beat(4)-3.04%
Max EPS beat(4)3.35%
EPS beat(8)5
Avg EPS beat(8)-0.22%
EPS beat(12)6
Avg EPS beat(12)-1.19%
EPS beat(16)7
Avg EPS beat(16)-2.33%
Revenue beat(2)0
Avg Revenue beat(2)-1.75%
Min Revenue beat(2)-2.49%
Max Revenue beat(2)-1.02%
Revenue beat(4)1
Avg Revenue beat(4)-1.38%
Min Revenue beat(4)-3.07%
Max Revenue beat(4)1.07%
Revenue beat(8)1
Avg Revenue beat(8)-1.29%
Revenue beat(12)2
Avg Revenue beat(12)-1.32%
Revenue beat(16)2
Avg Revenue beat(16)-2.94%
PT rev (1m)0.93%
PT rev (3m)0.74%
EPS NQ rev (1m)0.36%
EPS NQ rev (3m)-0.38%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)-0.68%
Revenue NQ rev (1m)2.15%
Revenue NQ rev (3m)0.64%
Revenue NY rev (1m)1.08%
Revenue NY rev (3m)1.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.78 | ||
| Fwd PE | 10.02 | ||
| P/S | 4.08 | ||
| P/FCF | 5.58 | ||
| P/OCF | 5.58 | ||
| P/B | 0.91 | ||
| P/tB | 0.91 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.7
EY10.23%
EPS(NY)1.66
Fwd EY9.98%
FCF(TTM)2.98
FCFY17.91%
OCF(TTM)2.98
OCFY17.91%
SpS4.08
BVpS18.19
TBVpS18.19
PEG (NY)N/A
PEG (5Y)17.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.5% | ||
| ROE | 8.95% | ||
| ROCE | 4.24% | ||
| ROIC | 3.35% | ||
| ROICexc | 4.04% | ||
| ROICexgc | 4.04% | ||
| OM | 41.29% | ||
| PM (TTM) | 39.93% | ||
| GM | 45.41% | ||
| FCFM | 72.98% |
ROA(3y)2.55%
ROA(5y)2.28%
ROE(3y)6.41%
ROE(5y)5.62%
ROIC(3y)3.33%
ROIC(5y)3.19%
ROICexc(3y)4.11%
ROICexc(5y)4.01%
ROICexgc(3y)4.11%
ROICexgc(5y)4.01%
ROCE(3y)4.22%
ROCE(5y)4.04%
ROICexcg growth 3Y9.35%
ROICexcg growth 5Y-2.7%
ROICexc growth 3Y9.35%
ROICexc growth 5Y-2.7%
OM growth 3Y-1.77%
OM growth 5Y-2.43%
PM growth 3Y-1.22%
PM growth 5Y2.62%
GM growth 3Y-3.67%
GM growth 5Y-2.76%
F-Score6
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 7.23 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 1.44 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 182.78% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 0.5 |
F-Score6
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)-2.86%
EPS 3Y7.07%
EPS 5Y0.57%
EPS Q2Q%-11.11%
EPS Next Y-7.17%
EPS Next 2Y-3.45%
EPS Next 3Y-4.6%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.94%
Revenue growth 3Y18.59%
Revenue growth 5Y8.48%
Sales Q2Q%-8.59%
Revenue Next Year-7.4%
Revenue Next 2Y-3.59%
Revenue Next 3Y-3.19%
Revenue Next 5YN/A
EBIT growth 1Y-3.76%
EBIT growth 3Y16.49%
EBIT growth 5Y5.84%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y213.84%
FCF growth 3YN/A
FCF growth 5Y10.62%
OCF growth 1Y213.84%
OCF growth 3YN/A
OCF growth 5Y10.62%