VIRTUS INVESTMENT PARTNERS (VRTS) Stock Fundamental Analysis
NYSE:VRTS - New York Stock Exchange, Inc. - US92828Q1094 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to VRTS. VRTS was compared to 231 industry peers in the Capital Markets industry. VRTS has an average financial health and profitability rating. VRTS has a decent growth rate and is not valued too expensively. Finally VRTS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
VRTS had positive earnings in the past year.
In the past year VRTS had a positive cash flow from operations.
Each year in the past 5 years VRTS has been profitable.
VRTS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
VRTS has a Return On Assets (3.27%) which is in line with its industry peers.
VRTS's Return On Equity of 13.49% is fine compared to the rest of the industry. VRTS outperforms 71.00% of its industry peers.
The Return On Invested Capital of VRTS (3.88%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for VRTS is below the industry average of 7.24%.
The last Return On Invested Capital (3.88%) for VRTS is above the 3 year average (3.76%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.27% | ||
| ROE | 13.49% | ||
| ROIC | 3.88% |
ROA(3y)3.19%
ROA(5y)3.43%
ROE(3y)14.36%
ROE(5y)15.89%
ROIC(3y)3.76%
ROIC(5y)4.34%
1.3 Margins
With a Profit Margin value of 13.35%, VRTS perfoms like the industry average, outperforming 47.19% of the companies in the same industry.
In the last couple of years the Profit Margin of VRTS has declined.
VRTS has a Operating Margin (20.14%) which is in line with its industry peers.
In the last couple of years the Operating Margin of VRTS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.14% | ||
| PM (TTM) | 13.35% | ||
| GM | N/A |
OM growth 3Y-17.09%
OM growth 5Y-2.7%
PM growth 3Y-14.2%
PM growth 5Y-2.84%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for VRTS has been reduced compared to 1 year ago.
The number of shares outstanding for VRTS has been increased compared to 5 years ago.
VRTS has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.83, we must say that VRTS is in the distress zone and has some risk of bankruptcy.
VRTS has a Altman-Z score (0.83) which is in line with its industry peers.
The Debt to FCF ratio of VRTS is 87.76, which is on the high side as it means it would take VRTS, 87.76 years of fcf income to pay off all of its debts.
VRTS has a Debt to FCF ratio (87.76) which is in line with its industry peers.
VRTS has a Debt/Equity ratio of 2.54. This is a high value indicating a heavy dependency on external financing.
VRTS has a Debt to Equity ratio of 2.54. This is amonst the worse of the industry: VRTS underperforms 80.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.54 | ||
| Debt/FCF | 87.76 | ||
| Altman-Z | 0.83 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 2.05 indicates that VRTS has no problem at all paying its short term obligations.
VRTS's Current ratio of 2.05 is fine compared to the rest of the industry. VRTS outperforms 70.13% of its industry peers.
A Quick Ratio of 2.05 indicates that VRTS has no problem at all paying its short term obligations.
VRTS's Quick ratio of 2.05 is fine compared to the rest of the industry. VRTS outperforms 70.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.05 | ||
| Quick Ratio | 2.05 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.20% over the past year.
Measured over the past years, VRTS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.37% on average per year.
The Revenue has been growing slightly by 3.84% in the past year.
Measured over the past years, VRTS shows a quite strong growth in Revenue. The Revenue has been growing by 10.00% on average per year.
EPS 1Y (TTM)15.2%
EPS 3Y-9.8%
EPS 5Y12.37%
EPS Q2Q%5.91%
Revenue 1Y (TTM)3.84%
Revenue growth 3Y-2.52%
Revenue growth 5Y10%
Sales Q2Q%-1.31%
3.2 Future
Based on estimates for the next years, VRTS will show a small growth in Earnings Per Share. The EPS will grow by 2.14% on average per year.
VRTS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.45% yearly.
EPS Next Y-4%
EPS Next 2Y-0.63%
EPS Next 3Y2.14%
EPS Next 5YN/A
Revenue Next Year-7.27%
Revenue Next 2Y-4%
Revenue Next 3Y-2.45%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 6.45, the valuation of VRTS can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of VRTS indicates a rather cheap valuation: VRTS is cheaper than 90.48% of the companies listed in the same industry.
VRTS is valuated cheaply when we compare the Price/Earnings ratio to 26.19, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 6.61, the valuation of VRTS can be described as very cheap.
VRTS's Price/Forward Earnings ratio is rather cheap when compared to the industry. VRTS is cheaper than 92.64% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.13. VRTS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.45 | ||
| Fwd PE | 6.61 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VRTS is valued cheaply inside the industry as 82.68% of the companies are valued more expensively.
The rest of the industry has a similar Price/Free Cash Flow ratio as VRTS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.98 | ||
| EV/EBITDA | 13.34 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.52
EPS Next 2Y-0.63%
EPS Next 3Y2.14%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.27%, VRTS is a good candidate for dividend investing.
VRTS's Dividend Yield is comparable with the industry average which is at 8.17.
Compared to an average S&P500 Dividend Yield of 2.40, VRTS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
5.2 History
On average, the dividend of VRTS grows each year by 17.66%, which is quite nice.
VRTS has paid a dividend for at least 10 years, which is a reliable track record.
VRTS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)17.66%
Div Incr Years7
Div Non Decr Years10
5.3 Sustainability
VRTS pays out 50.06% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of VRTS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP50.06%
EPS Next 2Y-0.63%
EPS Next 3Y2.14%
NYSE:VRTS (5/30/2025, 11:20:27 AM)
172.05
+0.62 (+0.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners83.2%
Inst Owner Change1.18%
Ins Owners6.07%
Ins Owner Change3.05%
Market Cap1.19B
Analysts46.67
Price Target171.87 (-0.1%)
Short Float %1.3%
Short Ratio1.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
Yearly Dividend8.27
Dividend Growth(5Y)17.66%
DP50.06%
Div Incr Years7
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.4%
Min EPS beat(2)-1%
Max EPS beat(2)3.8%
EPS beat(4)1
Avg EPS beat(4)-0.12%
Min EPS beat(4)-3.1%
Max EPS beat(4)3.8%
EPS beat(8)2
Avg EPS beat(8)-1.59%
EPS beat(12)4
Avg EPS beat(12)-1.43%
EPS beat(16)6
Avg EPS beat(16)-0.52%
Revenue beat(2)0
Avg Revenue beat(2)-2.88%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-1.95%
Revenue beat(4)0
Avg Revenue beat(4)-3.08%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.95%
Revenue beat(8)0
Avg Revenue beat(8)-3.65%
Revenue beat(12)3
Avg Revenue beat(12)0.58%
Revenue beat(16)7
Avg Revenue beat(16)3.89%
PT rev (1m)-22.53%
PT rev (3m)-22.53%
EPS NQ rev (1m)-4.77%
EPS NQ rev (3m)-10.61%
EPS NY rev (1m)-0.72%
EPS NY rev (3m)-10.53%
Revenue NQ rev (1m)-3.82%
Revenue NQ rev (3m)-7.27%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)-7.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.45 | ||
| Fwd PE | 6.61 | ||
| P/S | 1.32 | ||
| P/FCF | 45.98 | ||
| P/OCF | 36.58 | ||
| P/B | 1.33 | ||
| P/tB | 9.05 | ||
| EV/EBITDA | 13.34 |
EPS(TTM)26.68
EY15.51%
EPS(NY)26.03
Fwd EY15.13%
FCF(TTM)3.74
FCFY2.17%
OCF(TTM)4.7
OCFY2.73%
SpS130.66
BVpS129.34
TBVpS19.01
PEG (NY)N/A
PEG (5Y)0.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.27% | ||
| ROE | 13.49% | ||
| ROCE | 5.2% | ||
| ROIC | 3.88% | ||
| ROICexc | 4.03% | ||
| ROICexgc | 5.22% | ||
| OM | 20.14% | ||
| PM (TTM) | 13.35% | ||
| GM | N/A | ||
| FCFM | 2.86% |
ROA(3y)3.19%
ROA(5y)3.43%
ROE(3y)14.36%
ROE(5y)15.89%
ROIC(3y)3.76%
ROIC(5y)4.34%
ROICexc(3y)10.87%
ROICexc(5y)12.89%
ROICexgc(3y)110.04%
ROICexgc(5y)160.56%
ROCE(3y)5.04%
ROCE(5y)5.81%
ROICexcg growth 3Y-77.85%
ROICexcg growth 5Y3.06%
ROICexc growth 3Y-48.2%
ROICexc growth 5Y2.75%
OM growth 3Y-17.09%
OM growth 5Y-2.7%
PM growth 3Y-14.2%
PM growth 5Y-2.84%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.54 | ||
| Debt/FCF | 87.76 | ||
| Debt/EBITDA | 9.12 | ||
| Cap/Depr | 9.92% | ||
| Cap/Sales | 0.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 13.06% | ||
| Profit Quality | 21.45% | ||
| Current Ratio | 2.05 | ||
| Quick Ratio | 2.05 | ||
| Altman-Z | 0.83 |
F-Score4
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)10.41%
Cap/Depr(5y)9.08%
Cap/Sales(3y)0.8%
Cap/Sales(5y)0.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.2%
EPS 3Y-9.8%
EPS 5Y12.37%
EPS Q2Q%5.91%
EPS Next Y-4%
EPS Next 2Y-0.63%
EPS Next 3Y2.14%
EPS Next 5YN/A
Revenue 1Y (TTM)3.84%
Revenue growth 3Y-2.52%
Revenue growth 5Y10%
Sales Q2Q%-1.31%
Revenue Next Year-7.27%
Revenue Next 2Y-4%
Revenue Next 3Y-2.45%
Revenue Next 5YN/A
EBIT growth 1Y20.18%
EBIT growth 3Y-19.18%
EBIT growth 5Y7.03%
EBIT Next Year-4.96%
EBIT Next 3Y-0.99%
EBIT Next 5YN/A
FCF growth 1Y-84.42%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-81.05%
OCF growth 3Y-86.19%
OCF growth 5YN/A