UPBOUND GROUP INC (UPBD) Stock Fundamental Analysis
USA - NASDAQ:UPBD - US76009N1000 - Common Stock
16.15 USD
-0.31 (-1.88%)
16.15 USD
0 (0%)
Overall UPBD gets a fundamental rating of 5 out of 10. We evaluated UPBD against 122 industry peers in the Specialty Retail industry. UPBD has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on UPBD.
1. Profitability
1.1 Basic Checks
UPBD had positive earnings in the past year.
UPBD had a positive operating cash flow in the past year.
Of the past 5 years UPBD 4 years were profitable.
Each year in the past 5 years UPBD had a positive operating cash flow.
1.2 Ratios
UPBD's Return On Assets of 2.63% is in line compared to the rest of the industry. UPBD outperforms 58.20% of its industry peers.
Looking at the Return On Equity, with a value of 12.29%, UPBD is in the better half of the industry, outperforming 70.49% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.19%, UPBD is in the better half of the industry, outperforming 74.59% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for UPBD is in line with the industry average of 11.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.63% | ||
| ROE | 12.29% | ||
| ROIC | 10.19% |
ROA(3y)1.64%
ROA(5y)4.26%
ROE(3y)7.02%
ROE(5y)16.5%
ROIC(3y)11.93%
ROIC(5y)14.36%
1.3 Margins
The Profit Margin of UPBD (1.85%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of UPBD has declined.
UPBD's Operating Margin of 6.66% is fine compared to the rest of the industry. UPBD outperforms 73.77% of its industry peers.
UPBD's Operating Margin has declined in the last couple of years.
The Gross Margin of UPBD (47.91%) is better than 73.77% of its industry peers.
UPBD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.66% | ||
| PM (TTM) | 1.85% | ||
| GM | 47.91% |
OM growth 3Y-9.14%
OM growth 5Y-11.16%
PM growth 3Y-0.98%
PM growth 5Y-15.15%
GM growth 3Y-0.42%
GM growth 5Y-4.8%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so UPBD is still creating some value.
The number of shares outstanding for UPBD has been increased compared to 1 year ago.
The number of shares outstanding for UPBD remains at a similar level compared to 5 years ago.
UPBD has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.67 indicates that UPBD is not a great score, but indicates only limited risk for bankruptcy at the moment.
UPBD's Altman-Z score of 2.67 is fine compared to the rest of the industry. UPBD outperforms 60.66% of its industry peers.
The Debt to FCF ratio of UPBD is 10.99, which is on the high side as it means it would take UPBD, 10.99 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 10.99, UPBD is in line with its industry, outperforming 53.28% of the companies in the same industry.
UPBD has a Debt/Equity ratio of 2.25. This is a high value indicating a heavy dependency on external financing.
UPBD has a Debt to Equity ratio of 2.25. This is in the lower half of the industry: UPBD underperforms 72.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.25 | ||
| Debt/FCF | 10.99 | ||
| Altman-Z | 2.67 |
ROIC/WACC1.02
WACC10.01%
2.3 Liquidity
UPBD has a Current Ratio of 1.81. This is a normal value and indicates that UPBD is financially healthy and should not expect problems in meeting its short term obligations.
UPBD's Current ratio of 1.81 is fine compared to the rest of the industry. UPBD outperforms 78.69% of its industry peers.
A Quick Ratio of 0.37 indicates that UPBD may have some problems paying its short term obligations.
The Quick ratio of UPBD (0.37) is worse than 63.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.81 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
UPBD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.16%, which is quite good.
Measured over the past years, UPBD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.32% on average per year.
The Revenue has been growing slightly by 7.48% in the past year.
The Revenue has been growing by 10.11% on average over the past years. This is quite good.
EPS 1Y (TTM)16.16%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%5.26%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%8.97%
3.2 Future
Based on estimates for the next years, UPBD will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.46% on average per year.
UPBD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.79% yearly.
EPS Next Y3.07%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
EPS Next 5Y11.46%
Revenue Next Year8.62%
Revenue Next 2Y8.15%
Revenue Next 3Y7.85%
Revenue Next 5Y5.79%
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 stable.
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
With a Price/Earnings ratio of 3.87, the valuation of UPBD can be described as very cheap.
97.54% of the companies in the same industry are more expensive than UPBD, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.51, UPBD is valued rather cheaply.
UPBD is valuated cheaply with a Price/Forward Earnings ratio of 3.23.
UPBD's Price/Forward Earnings ratio is rather cheap when compared to the industry. UPBD is cheaper than 100.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of UPBD to the average of the S&P500 Index (34.98), we can say UPBD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.87 | ||
| Fwd PE | 3.23 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UPBD is valued a bit cheaper than 77.87% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UPBD is valued cheaper than 93.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.65 | ||
| EV/EBITDA | 5.55 |
4.3 Compensation for Growth
UPBD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
UPBD's earnings are expected to grow with 16.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.26
PEG (5Y)0.34
EPS Next 2Y14.29%
EPS Next 3Y16.9%
5. Dividend
5.1 Amount
UPBD has a Yearly Dividend Yield of 9.16%, which is a nice return.
In the last 3 months the price of UPBD has falen by -35.99%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
UPBD's Dividend Yield is rather good when compared to the industry average which is at 5.60. UPBD pays more dividend than 97.54% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, UPBD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.16% |
5.2 History
On average, the dividend of UPBD grows each year by 42.90%, which is quite nice.
UPBD has paid a dividend for at least 10 years, which is a reliable track record.
UPBD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)42.9%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
UPBD pays out 101.77% of its income as dividend. This is not a sustainable payout ratio.
UPBD's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP101.77%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
16.15
-0.31 (-1.88%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners85.89%
Inst Owner ChangeN/A
Ins Owners8.35%
Ins Owner Change-2.04%
Market Cap935.08M
Revenue(TTM)4.58B
Net Income(TTM)84.48M
Analysts84.29
Price Target37.1 (129.72%)
Short Float %8.65%
Short Ratio5.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.16% |
Yearly Dividend1.51
Dividend Growth(5Y)42.9%
DP101.77%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.86%
Min EPS beat(2)-2.28%
Max EPS beat(2)3.99%
EPS beat(4)2
Avg EPS beat(4)1.23%
Min EPS beat(4)-2.28%
Max EPS beat(4)3.99%
EPS beat(8)5
Avg EPS beat(8)0.95%
EPS beat(12)9
Avg EPS beat(12)7.83%
EPS beat(16)12
Avg EPS beat(16)4.98%
Revenue beat(2)0
Avg Revenue beat(2)-1.59%
Min Revenue beat(2)-2.37%
Max Revenue beat(2)-0.81%
Revenue beat(4)1
Avg Revenue beat(4)-0.24%
Min Revenue beat(4)-2.37%
Max Revenue beat(4)2.29%
Revenue beat(8)5
Avg Revenue beat(8)0.56%
Revenue beat(12)6
Avg Revenue beat(12)0.03%
Revenue beat(16)7
Avg Revenue beat(16)-0.18%
PT rev (1m)0%
PT rev (3m)5.43%
EPS NQ rev (1m)-12.75%
EPS NQ rev (3m)-12.17%
EPS NY rev (1m)-8.81%
EPS NY rev (3m)-8.03%
Revenue NQ rev (1m)-0.74%
Revenue NQ rev (3m)-0.41%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.87 | ||
| Fwd PE | 3.23 | ||
| P/S | 0.2 | ||
| P/FCF | 6.65 | ||
| P/OCF | 4.63 | ||
| P/B | 1.36 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.55 |
EPS(TTM)4.17
EY25.82%
EPS(NY)5
Fwd EY30.98%
FCF(TTM)2.43
FCFY15.04%
OCF(TTM)3.49
OCFY21.61%
SpS79.06
BVpS11.87
TBVpS-2.84
PEG (NY)1.26
PEG (5Y)0.34
Graham Number33.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.63% | ||
| ROE | 12.29% | ||
| ROCE | 12.89% | ||
| ROIC | 10.19% | ||
| ROICexc | 10.67% | ||
| ROICexgc | 17.2% | ||
| OM | 6.66% | ||
| PM (TTM) | 1.85% | ||
| GM | 47.91% | ||
| FCFM | 3.07% |
ROA(3y)1.64%
ROA(5y)4.26%
ROE(3y)7.02%
ROE(5y)16.5%
ROIC(3y)11.93%
ROIC(5y)14.36%
ROICexc(3y)12.54%
ROICexc(5y)15.63%
ROICexgc(3y)18.23%
ROICexgc(5y)21.19%
ROCE(3y)15.11%
ROCE(5y)18.18%
ROICexgc growth 3Y-10.3%
ROICexgc growth 5Y-13.65%
ROICexc growth 3Y-8%
ROICexc growth 5Y-17.42%
OM growth 3Y-9.14%
OM growth 5Y-11.16%
PM growth 3Y-0.98%
PM growth 5Y-15.15%
GM growth 3Y-0.42%
GM growth 5Y-4.8%
F-Score3
Asset Turnover1.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.25 | ||
| Debt/FCF | 10.99 | ||
| Debt/EBITDA | 3.59 | ||
| Cap/Depr | 48.61% | ||
| Cap/Sales | 1.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 46.85% | ||
| Profit Quality | 166.47% | ||
| Current Ratio | 1.81 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 2.67 |
F-Score3
WACC10.01%
ROIC/WACC1.02
Cap/Depr(3y)44.47%
Cap/Depr(5y)46.21%
Cap/Sales(3y)1.36%
Cap/Sales(5y)1.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.16%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%5.26%
EPS Next Y3.07%
EPS Next 2Y14.29%
EPS Next 3Y16.9%
EPS Next 5Y11.46%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%8.97%
Revenue Next Year8.62%
Revenue Next 2Y8.15%
Revenue Next 3Y7.85%
Revenue Next 5Y5.79%
EBIT growth 1Y1.51%
EBIT growth 3Y-10.91%
EBIT growth 5Y-2.19%
EBIT Next Year50.49%
EBIT Next 3Y25.59%
EBIT Next 5Y14.06%
FCF growth 1Y-38.35%
FCF growth 3Y-47.24%
FCF growth 5Y-24.25%
OCF growth 1Y-26.88%
OCF growth 3Y-35.61%
OCF growth 5Y-13.43%
UPBOUND GROUP INC / UPBD FAQ
What is the fundamental rating for UPBD stock?
ChartMill assigns a fundamental rating of 5 / 10 to UPBD.
What is the valuation status for UPBD stock?
ChartMill assigns a valuation rating of 8 / 10 to UPBOUND GROUP INC (UPBD). This can be considered as Undervalued.
How profitable is UPBOUND GROUP INC (UPBD) stock?
UPBOUND GROUP INC (UPBD) has a profitability rating of 5 / 10.
What is the valuation of UPBOUND GROUP INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for UPBOUND GROUP INC (UPBD) is 3.87 and the Price/Book (PB) ratio is 1.36.
Is the dividend of UPBOUND GROUP INC sustainable?
The dividend rating of UPBOUND GROUP INC (UPBD) is 6 / 10 and the dividend payout ratio is 101.77%.