UPBOUND GROUP INC (UPBD) Stock Fundamental Analysis
USA - NASDAQ:UPBD - US76009N1000 - Common Stock
23.6 USD
+0.32 (+1.37%)
23.6 USD
0 (0%)
UPBD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. UPBD has a medium profitability rating, but doesn't score so well on its financial health evaluation. UPBD may be a bit undervalued, certainly considering the very reasonable score on growth Finally UPBD also has an excellent dividend rating.
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.
In the past 5 years UPBD always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.30%, UPBD is in the better half of the industry, outperforming 61.16% of the companies in the same industry.
The Return On Equity of UPBD (14.90%) is better than 73.55% of its industry peers.
UPBD's Return On Invested Capital of 10.72% is fine compared to the rest of the industry. UPBD outperforms 74.38% of its industry peers.
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 | 3.3% | ||
| ROE | 14.9% | ||
| ROIC | 10.72% |
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
UPBD has a Profit Margin of 2.28%. This is in the better half of the industry: UPBD outperforms 62.81% of its industry peers.
UPBD's Profit Margin has declined in the last couple of years.
UPBD's Operating Margin of 6.93% is fine compared to the rest of the industry. UPBD outperforms 74.38% of its industry peers.
In the last couple of years the Operating Margin of UPBD has declined.
With a decent Gross Margin value of 47.78%, UPBD is doing good in the industry, outperforming 74.38% of the companies in the same industry.
In the last couple of years the Gross Margin of UPBD has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.93% | ||
| PM (TTM) | 2.28% | ||
| GM | 47.78% |
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.
Compared to 5 years ago, UPBD has about the same amount of shares outstanding.
Compared to 1 year ago, UPBD has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.85 indicates that UPBD is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of UPBD (2.85) is better than 63.64% of its industry peers.
UPBD has a debt to FCF ratio of 11.96. This is a negative value and a sign of low solvency as UPBD would need 11.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.96, UPBD is in line with its industry, outperforming 53.72% of the companies in the same industry.
A Debt/Equity ratio of 2.29 is on the high side and indicates that UPBD has dependencies on debt financing.
With a Debt to Equity ratio value of 2.29, UPBD is not doing good in the industry: 71.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | 11.96 | ||
| Altman-Z | 2.85 |
ROIC/WACC1.07
WACC9.99%
2.3 Liquidity
A Current Ratio of 1.85 indicates that UPBD should not have too much problems paying its short term obligations.
UPBD has a Current ratio of 1.85. This is amongst the best in the industry. UPBD outperforms 81.82% 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 66.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.85 | ||
| 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 20.12%, which is quite impressive.
UPBD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.32% yearly.
UPBD shows a small growth in Revenue. In the last year, the Revenue has grown by 7.49%.
UPBD shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.11% yearly.
EPS 1Y (TTM)20.12%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%7.69%
Revenue 1Y (TTM)7.49%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%7.53%
3.2 Future
The Earnings Per Share is expected to grow by 12.31% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.64% on average over the next years.
EPS Next Y12.86%
EPS Next 2Y17.34%
EPS Next 3Y19.33%
EPS Next 5Y12.31%
Revenue Next Year8.48%
Revenue Next 2Y8.54%
Revenue Next 3Y8.24%
Revenue Next 5Y5.64%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 5.73, the valuation of UPBD can be described as very cheap.
Based on the Price/Earnings ratio, UPBD is valued cheaper than 96.69% of the companies in the same industry.
UPBD is valuated cheaply when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 4.48, the valuation of UPBD can be described as very cheap.
Based on the Price/Forward Earnings ratio, UPBD is valued cheaper than 99.17% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of UPBD to the average of the S&P500 Index (22.87), we can say UPBD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.73 | ||
| Fwd PE | 4.48 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UPBD is valued a bit cheaper than 74.38% of the companies in the same industry.
85.12% of the companies in the same industry are more expensive than UPBD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.43 | ||
| EV/EBITDA | 6.56 |
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 UPBD's earnings are expected to grow with 19.33% in the coming years.
PEG (NY)0.45
PEG (5Y)0.51
EPS Next 2Y17.34%
EPS Next 3Y19.33%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.86%, UPBD is a good candidate for dividend investing.
UPBD's Dividend Yield is rather good when compared to the industry average which is at 5.22. UPBD pays more dividend than 96.69% of the companies in the same industry.
UPBD's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.86% |
5.2 History
On average, the dividend of UPBD grows each year by 42.90%, which is quite nice.
UPBD has been paying a dividend for at least 10 years, so it has 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 82.29% of its income as dividend. This is not a sustainable payout ratio.
The dividend of UPBD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP82.29%
EPS Next 2Y17.34%
EPS Next 3Y19.33%
23.6
+0.32 (+1.37%)
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-1%
Market Cap1.37B
Revenue(TTM)4.48B
Net Income(TTM)102.12M
Analysts84.29
Price Target37.1 (57.2%)
Short Float %7.44%
Short Ratio5.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.86% |
Yearly Dividend1.51
Dividend Growth(5Y)42.9%
DP82.29%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.66%
Min EPS beat(2)3.33%
Max EPS beat(2)3.99%
EPS beat(4)3
Avg EPS beat(4)1.92%
Min EPS beat(4)-0.12%
Max EPS beat(4)3.99%
EPS beat(8)6
Avg EPS beat(8)1.62%
EPS beat(12)10
Avg EPS beat(12)8.31%
EPS beat(16)12
Avg EPS beat(16)4.93%
Revenue beat(2)1
Avg Revenue beat(2)0.74%
Min Revenue beat(2)-0.81%
Max Revenue beat(2)2.29%
Revenue beat(4)2
Avg Revenue beat(4)0.51%
Min Revenue beat(4)-0.81%
Max Revenue beat(4)2.29%
Revenue beat(8)5
Avg Revenue beat(8)0.74%
Revenue beat(12)6
Avg Revenue beat(12)0.18%
Revenue beat(16)7
Avg Revenue beat(16)-0.14%
PT rev (1m)5.43%
PT rev (3m)0.34%
EPS NQ rev (1m)-0.13%
EPS NQ rev (3m)-5.92%
EPS NY rev (1m)-0.15%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0.26%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.73 | ||
| Fwd PE | 4.48 | ||
| P/S | 0.3 | ||
| P/FCF | 10.43 | ||
| P/OCF | 7.2 | ||
| P/B | 1.99 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.56 |
EPS(TTM)4.12
EY17.46%
EPS(NY)5.27
Fwd EY22.34%
FCF(TTM)2.26
FCFY9.58%
OCF(TTM)3.28
OCFY13.89%
SpS77.41
BVpS11.84
TBVpS-3.11
PEG (NY)0.45
PEG (5Y)0.51
Graham Number33.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.3% | ||
| ROE | 14.9% | ||
| ROCE | 13.57% | ||
| ROIC | 10.72% | ||
| ROICexc | 11.25% | ||
| ROICexgc | 18.72% | ||
| OM | 6.93% | ||
| PM (TTM) | 2.28% | ||
| GM | 47.78% | ||
| FCFM | 2.92% |
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-Score4
Asset Turnover1.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.29 | ||
| Debt/FCF | 11.96 | ||
| Debt/EBITDA | 3.64 | ||
| Cap/Depr | 49.05% | ||
| Cap/Sales | 1.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 44.09% | ||
| Profit Quality | 128.24% | ||
| Current Ratio | 1.85 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 2.85 |
F-Score4
WACC9.99%
ROIC/WACC1.07
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)20.12%
EPS 3Y-11.63%
EPS 5Y11.32%
EPS Q2Q%7.69%
EPS Next Y12.86%
EPS Next 2Y17.34%
EPS Next 3Y19.33%
EPS Next 5Y12.31%
Revenue 1Y (TTM)7.49%
Revenue growth 3Y-1.95%
Revenue growth 5Y10.11%
Sales Q2Q%7.53%
Revenue Next Year8.48%
Revenue Next 2Y8.54%
Revenue Next 3Y8.24%
Revenue Next 5Y5.64%
EBIT growth 1Y8.26%
EBIT growth 3Y-10.91%
EBIT growth 5Y-2.19%
EBIT Next Year50.49%
EBIT Next 3Y25.59%
EBIT Next 5Y15.07%
FCF growth 1Y-51.77%
FCF growth 3Y-47.24%
FCF growth 5Y-24.25%
OCF growth 1Y-41.31%
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 5.73 and the Price/Book (PB) ratio is 1.99.
Is the dividend of UPBOUND GROUP INC sustainable?
The dividend rating of UPBOUND GROUP INC (UPBD) is 7 / 10 and the dividend payout ratio is 82.29%.