VICTORY CAPITAL HOLDING - A (VCTR) Stock Fundamental Analysis
USA - NASDAQ:VCTR - US92645B1035 - Common Stock
66.08 USD
-0.97 (-1.45%)
66.08 USD
0 (0%)
Taking everything into account, VCTR scores 7 out of 10 in our fundamental rating. VCTR was compared to 236 industry peers in the Capital Markets industry. VCTR has an excellent profitability rating, but there are some minor concerns on its financial health. VCTR is growing strongly while it also seems undervalued. This is an interesting combination These ratings would make VCTR suitable for value and growth investing!
1. Profitability
1.1 Basic Checks
VCTR had positive earnings in the past year.
VCTR had a positive operating cash flow in the past year.
In the past 5 years VCTR has always been profitable.
VCTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VCTR's Return On Assets of 6.28% is fine compared to the rest of the industry. VCTR outperforms 77.12% of its industry peers.
VCTR's Return On Equity of 10.83% is fine compared to the rest of the industry. VCTR outperforms 61.86% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.26%, VCTR belongs to the top of the industry, outperforming 84.32% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for VCTR is significantly above the industry average of 7.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.28% | ||
| ROE | 10.83% | ||
| ROIC | 9.26% |
ROA(3y)10.19%
ROA(5y)10.73%
ROE(3y)23.95%
ROE(5y)26.37%
ROIC(3y)12.96%
ROIC(5y)14.03%
1.3 Margins
With a decent Profit Margin value of 25.95%, VCTR is doing good in the industry, outperforming 69.49% of the companies in the same industry.
In the last couple of years the Profit Margin of VCTR has grown nicely.
VCTR has a better Operating Margin (46.16%) than 79.66% of its industry peers.
VCTR's Operating Margin has improved in the last couple of years.
The Gross Margin of VCTR (83.35%) is better than 88.56% of its industry peers.
In the last couple of years the Gross Margin of VCTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 46.16% | ||
| PM (TTM) | 25.95% | ||
| GM | 83.35% |
OM growth 3Y1.51%
OM growth 5Y6.29%
PM growth 3Y1.12%
PM growth 5Y16.44%
GM growth 3Y1.4%
GM growth 5Y1.91%
2. Health
2.1 Basic Checks
Compared to 1 year ago, VCTR has less shares outstanding
VCTR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for VCTR has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.45 indicates that VCTR is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.45, VCTR is in the better half of the industry, outperforming 73.73% of the companies in the same industry.
The Debt to FCF ratio of VCTR is 3.67, which is a good value as it means it would take VCTR, 3.67 years of fcf income to pay off all of its debts.
VCTR has a better Debt to FCF ratio (3.67) than 75.42% of its industry peers.
A Debt/Equity ratio of 0.39 indicates that VCTR is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.39, VCTR is doing good in the industry, outperforming 69.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 3.67 | ||
| Altman-Z | 2.45 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
VCTR has a Current Ratio of 1.14. This is a normal value and indicates that VCTR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.14, VCTR is in line with its industry, outperforming 52.54% of the companies in the same industry.
A Quick Ratio of 1.14 indicates that VCTR should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.14, VCTR perfoms like the industry average, outperforming 53.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.51% over the past year.
VCTR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.55% yearly.
The Revenue has grown by 20.90% in the past year. This is a very strong growth!
Measured over the past years, VCTR shows a small growth in Revenue. The Revenue has been growing by 7.85% on average per year.
EPS 1Y (TTM)15.51%
EPS 3Y-0.56%
EPS 5Y12.55%
EPS Q2Q%25%
Revenue 1Y (TTM)20.9%
Revenue growth 3Y0.12%
Revenue growth 5Y7.85%
Sales Q2Q%59.92%
3.2 Future
The Earnings Per Share is expected to grow by 16.06% on average over the next years. This is quite good.
VCTR is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 21.43% yearly.
EPS Next Y31.32%
EPS Next 2Y20.94%
EPS Next 3Y16.06%
EPS Next 5YN/A
Revenue Next Year44.59%
Revenue Next 2Y29.46%
Revenue Next 3Y21.43%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 12.86 indicates a correct valuation of VCTR.
Compared to the rest of the industry, the Price/Earnings ratio of VCTR indicates a somewhat cheap valuation: VCTR is cheaper than 60.59% of the companies listed in the same industry.
VCTR is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.51, the valuation of VCTR can be described as reasonable.
Based on the Price/Forward Earnings ratio, VCTR is valued a bit cheaper than 74.15% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.87, VCTR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.86 | ||
| Fwd PE | 9.51 |
4.2 Price Multiples
VCTR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. VCTR is cheaper than 87.71% of the companies in the same industry.
63.14% of the companies in the same industry are more expensive than VCTR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.75 | ||
| EV/EBITDA | 10.27 |
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 excellent profitability rating of VCTR may justify a higher PE ratio.
A more expensive valuation may be justified as VCTR's earnings are expected to grow with 16.06% in the coming years.
PEG (NY)0.41
PEG (5Y)1.02
EPS Next 2Y20.94%
EPS Next 3Y16.06%
5. Dividend
5.1 Amount
VCTR has a Yearly Dividend Yield of 2.75%. Purely for dividend investing, there may be better candidates out there.
VCTR's Dividend Yield is comparable with the industry average which is at 8.21.
Compared to an average S&P500 Dividend Yield of 2.38, VCTR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.75% |
5.2 History
On average, the dividend of VCTR grows each year by 70.60%, which is quite nice.
VCTR has been paying a dividend for over 5 years, so it has already some track record.
VCTR has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)70.6%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
48.22% of the earnings are spent on dividend by VCTR. This is a bit on the high side, but may be sustainable.
VCTR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP48.22%
EPS Next 2Y20.94%
EPS Next 3Y16.06%
66.08
-0.97 (-1.45%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners67.37%
Inst Owner Change7.34%
Ins Owners9.41%
Ins Owner Change1.01%
Market Cap4.41B
Analysts76
Price Target76.65 (16%)
Short Float %7.68%
Short Ratio5.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.75% |
Yearly Dividend1.58
Dividend Growth(5Y)70.6%
DP48.22%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.08%
Min EPS beat(2)-13.03%
Max EPS beat(2)-1.14%
EPS beat(4)0
Avg EPS beat(4)-7.22%
Min EPS beat(4)-13.03%
Max EPS beat(4)-1.14%
EPS beat(8)1
Avg EPS beat(8)-7.49%
EPS beat(12)2
Avg EPS beat(12)-5.44%
EPS beat(16)4
Avg EPS beat(16)-4.08%
Revenue beat(2)1
Avg Revenue beat(2)-0.86%
Min Revenue beat(2)-3.97%
Max Revenue beat(2)2.25%
Revenue beat(4)1
Avg Revenue beat(4)-1%
Min Revenue beat(4)-3.97%
Max Revenue beat(4)2.25%
Revenue beat(8)1
Avg Revenue beat(8)-1.27%
Revenue beat(12)1
Avg Revenue beat(12)-1.31%
Revenue beat(16)1
Avg Revenue beat(16)-1.95%
PT rev (1m)5.04%
PT rev (3m)3.54%
EPS NQ rev (1m)-1.61%
EPS NQ rev (3m)0.19%
EPS NY rev (1m)0%
EPS NY rev (3m)2.96%
Revenue NQ rev (1m)-0.44%
Revenue NQ rev (3m)3.74%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)3.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.86 | ||
| Fwd PE | 9.51 | ||
| P/S | 4.29 | ||
| P/FCF | 16.75 | ||
| P/OCF | 16.56 | ||
| P/B | 1.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.27 |
EPS(TTM)5.14
EY7.78%
EPS(NY)6.95
Fwd EY10.51%
FCF(TTM)3.95
FCFY5.97%
OCF(TTM)3.99
OCFY6.04%
SpS15.41
BVpS36.91
TBVpS-19.21
PEG (NY)0.41
PEG (5Y)1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.28% | ||
| ROE | 10.83% | ||
| ROCE | 11.98% | ||
| ROIC | 9.26% | ||
| ROICexc | 9.52% | ||
| ROICexgc | 340.99% | ||
| OM | 46.16% | ||
| PM (TTM) | 25.95% | ||
| GM | 83.35% | ||
| FCFM | 25.61% |
ROA(3y)10.19%
ROA(5y)10.73%
ROE(3y)23.95%
ROE(5y)26.37%
ROIC(3y)12.96%
ROIC(5y)14.03%
ROICexc(3y)13.55%
ROICexc(5y)14.54%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)16.77%
ROCE(5y)18.16%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y0.58%
ROICexc growth 5Y5.99%
OM growth 3Y1.51%
OM growth 5Y6.29%
PM growth 3Y1.12%
PM growth 5Y16.44%
GM growth 3Y1.4%
GM growth 5Y1.91%
F-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 3.67 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | 6.82% | ||
| Cap/Sales | 0.29% | ||
| Interest Coverage | 6.59 | ||
| Cash Conversion | 51.32% | ||
| Profit Quality | 98.68% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 2.45 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)9.56%
Cap/Depr(5y)29.13%
Cap/Sales(3y)0.46%
Cap/Sales(5y)0.77%
Profit Quality(3y)129.85%
Profit Quality(5y)126.85%
High Growth Momentum
Growth
EPS 1Y (TTM)15.51%
EPS 3Y-0.56%
EPS 5Y12.55%
EPS Q2Q%25%
EPS Next Y31.32%
EPS Next 2Y20.94%
EPS Next 3Y16.06%
EPS Next 5YN/A
Revenue 1Y (TTM)20.9%
Revenue growth 3Y0.12%
Revenue growth 5Y7.85%
Sales Q2Q%59.92%
Revenue Next Year44.59%
Revenue Next 2Y29.46%
Revenue Next 3Y21.43%
Revenue Next 5YN/A
EBIT growth 1Y25.4%
EBIT growth 3Y1.63%
EBIT growth 5Y14.63%
EBIT Next Year41.82%
EBIT Next 3Y21.24%
EBIT Next 5YN/A
FCF growth 1Y-14.38%
FCF growth 3Y-2.33%
FCF growth 5Y8.8%
OCF growth 1Y-14.51%
OCF growth 3Y-3.32%
OCF growth 5Y8.38%