SWK HOLDINGS CORP (SWKH) Stock Fundamental Analysis
USA - NASDAQ:SWKH - US78501P2039 - Common Stock
16.5 USD
-0.02 (-0.12%)
Overall SWKH gets a fundamental rating of 6 out of 10. We evaluated SWKH against 98 industry peers in the Financial Services industry. SWKH has an excellent financial health rating, but there are some minor concerns on its profitability. SWKH is cheap, but on the other hand it scores bad on growth. With these ratings, SWKH could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year SWKH was profitable.
In the past year SWKH had a positive cash flow from operations.
In the past 5 years SWKH has always been profitable.
Each year in the past 5 years SWKH had a positive operating cash flow.
1.2 Ratios
SWKH has a Return On Assets of 6.10%. This is amongst the best in the industry. SWKH outperforms 80.81% of its industry peers.
SWKH has a Return On Equity (7.07%) which is in line with its industry peers.
Looking at the Return On Invested Capital, with a value of 7.09%, SWKH is in the better half of the industry, outperforming 73.74% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SWKH is below the industry average of 7.79%.
The 3 year average ROIC (3.95%) for SWKH is below the current ROIC(7.09%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.1% | ||
| ROE | 7.07% | ||
| ROIC | 7.09% |
ROA(3y)4.44%
ROA(5y)4.88%
ROE(3y)5.05%
ROE(5y)5.4%
ROIC(3y)3.95%
ROIC(5y)4.55%
1.3 Margins
SWKH has a Profit Margin of 38.99%. This is amongst the best in the industry. SWKH outperforms 87.88% of its industry peers.
In the last couple of years the Profit Margin of SWKH has declined.
The Operating Margin of SWKH (60.33%) is better than 89.90% of its industry peers.
In the last couple of years the Operating Margin of SWKH has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 60.33% | ||
| PM (TTM) | 38.99% | ||
| GM | N/A |
OM growth 3Y-11.7%
OM growth 5Y-4.72%
PM growth 3Y-13.35%
PM growth 5Y-17.3%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SWKH is destroying value.
The number of shares outstanding for SWKH has been reduced compared to 1 year ago.
SWKH has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, SWKH has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -16.85, we must say that SWKH is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -16.85, SWKH is doing worse than 78.79% of the companies in the same industry.
SWKH has a debt to FCF ratio of 1.10. This is a very positive value and a sign of high solvency as it would only need 1.10 years to pay back of all of its debts.
SWKH's Debt to FCF ratio of 1.10 is amongst the best of the industry. SWKH outperforms 81.82% of its industry peers.
A Debt/Equity ratio of 0.13 indicates that SWKH is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.13, SWKH is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.1 | ||
| Altman-Z | -16.85 |
ROIC/WACC0.87
WACC8.15%
2.3 Liquidity
A Current Ratio of 3.17 indicates that SWKH has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.17, SWKH belongs to the top of the industry, outperforming 84.85% of the companies in the same industry.
SWKH has a Quick Ratio of 3.17. This indicates that SWKH is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.17, SWKH belongs to the top of the industry, outperforming 85.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.17 | ||
| Quick Ratio | 3.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 89.11% over the past year.
Measured over the past years, SWKH shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.15% on average per year.
The Revenue for SWKH has decreased by -14.27% in the past year. This is quite bad
Measured over the past years, SWKH shows a small growth in Revenue. The Revenue has been growing by 7.94% on average per year.
EPS 1Y (TTM)89.11%
EPS 3Y-22.58%
EPS 5Y-10.15%
EPS Q2Q%8.57%
Revenue 1Y (TTM)-14.27%
Revenue growth 3Y-7.15%
Revenue growth 5Y7.94%
Sales Q2Q%-12.92%
3.2 Future
SWKH is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.70% yearly.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y36.79%
EPS Next 2Y3.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.17%
Revenue Next 2YN/A
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.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.64, the valuation of SWKH can be described as very reasonable.
76.77% of the companies in the same industry are more expensive than SWKH, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of SWKH to the average of the S&P500 Index (27.40), we can say SWKH is valued rather cheaply.
SWKH is valuated reasonably with a Price/Forward Earnings ratio of 11.89.
SWKH's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.94. SWKH is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 11.89 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SWKH is valued a bit cheaper than the industry average as 79.80% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SWKH is valued cheaper than 83.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.91 | ||
| EV/EBITDA | 8.03 |
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.
The decent profitability rating of SWKH may justify a higher PE ratio.
PEG (NY)0.23
PEG (5Y)N/A
EPS Next 2Y3.7%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 24.01%, SWKH is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.82, SWKH pays a better dividend. On top of this SWKH pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, SWKH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 24.01% |
5.2 History
SWKH is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y3.7%
EPS Next 3YN/A
NASDAQ:SWKH (10/17/2025, 8:00:01 PM)
16.5
-0.02 (-0.12%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners87.36%
Inst Owner Change-0.01%
Ins Owners5.25%
Ins Owner Change0.94%
Market Cap200.47M
Analysts82.86
Price Target18.87 (14.36%)
Short Float %0.43%
Short Ratio4.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 24.01% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)115.05%
Min EPS beat(2)106.97%
Max EPS beat(2)123.12%
EPS beat(4)2
Avg EPS beat(4)37.16%
Min EPS beat(4)-43.68%
Max EPS beat(4)123.12%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0%
PT rev (3m)2.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)30.77%
EPS NY rev (1m)26.28%
EPS NY rev (3m)26.28%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 11.89 | ||
| P/S | 4.49 | ||
| P/FCF | 6.91 | ||
| P/OCF | 6.85 | ||
| P/B | 0.81 | ||
| P/tB | 0.81 | ||
| EV/EBITDA | 8.03 |
EPS(TTM)1.91
EY11.58%
EPS(NY)1.39
Fwd EY8.41%
FCF(TTM)2.39
FCFY14.47%
OCF(TTM)2.41
OCFY14.61%
SpS3.68
BVpS20.29
TBVpS20.29
PEG (NY)0.23
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.1% | ||
| ROE | 7.07% | ||
| ROCE | 9.66% | ||
| ROIC | 7.09% | ||
| ROICexc | 7.3% | ||
| ROICexgc | 7.3% | ||
| OM | 60.33% | ||
| PM (TTM) | 38.99% | ||
| GM | N/A | ||
| FCFM | 64.94% |
ROA(3y)4.44%
ROA(5y)4.88%
ROE(3y)5.05%
ROE(5y)5.4%
ROIC(3y)3.95%
ROIC(5y)4.55%
ROICexc(3y)4.02%
ROICexc(5y)4.91%
ROICexgc(3y)4.12%
ROICexgc(5y)5.19%
ROCE(3y)5.39%
ROCE(5y)6.24%
ROICexcg growth 3Y-28.21%
ROICexcg growth 5Y-5.98%
ROICexc growth 3Y-26.22%
ROICexc growth 5Y-3.09%
OM growth 3Y-11.7%
OM growth 5Y-4.72%
PM growth 3Y-13.35%
PM growth 5Y-17.3%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 1.1 | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 27.21% | ||
| Cap/Sales | 0.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.69% | ||
| Profit Quality | 166.56% | ||
| Current Ratio | 3.17 | ||
| Quick Ratio | 3.17 | ||
| Altman-Z | -16.85 |
F-Score7
WACC8.15%
ROIC/WACC0.87
Cap/Depr(3y)12.06%
Cap/Depr(5y)19.08%
Cap/Sales(3y)0.78%
Cap/Sales(5y)3%
Profit Quality(3y)106.32%
Profit Quality(5y)148.41%
High Growth Momentum
Growth
EPS 1Y (TTM)89.11%
EPS 3Y-22.58%
EPS 5Y-10.15%
EPS Q2Q%8.57%
EPS Next Y36.79%
EPS Next 2Y3.7%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-14.27%
Revenue growth 3Y-7.15%
Revenue growth 5Y7.94%
Sales Q2Q%-12.92%
Revenue Next Year6.17%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y76.27%
EBIT growth 3Y-18.01%
EBIT growth 5Y2.84%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y195.69%
FCF growth 3Y-11.65%
FCF growth 5Y4.32%
OCF growth 1Y187.41%
OCF growth 3Y-12.41%
OCF growth 5Y4.45%