VIRTUS INVESTMENT PARTNERS (VRTS) Stock Fundamental Analysis
USA - NYSE:VRTS - US92828Q1094 - Common Stock
190.67 USD
-3.89 (-2%)
190.671 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to VRTS. VRTS was compared to 237 industry peers in the Capital Markets industry. Both the profitability and the financial health of VRTS get a neutral evaluation. Nothing too spectacular is happening here. VRTS has a decent growth rate and is not valued too expensively. VRTS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year VRTS was profitable.
In the past year VRTS had a positive cash flow from operations.
Each year in the past 5 years VRTS has been profitable.
Of the past 5 years VRTS 4 years had a positive operating cash flow.
1.2 Ratios
VRTS's Return On Assets of 3.93% is in line compared to the rest of the industry. VRTS outperforms 59.49% of its industry peers.
The Return On Equity of VRTS (16.21%) is better than 80.59% of its industry peers.
VRTS's Return On Invested Capital of 3.90% is in line compared to the rest of the industry. VRTS outperforms 51.90% of its industry peers.
VRTS had an Average Return On Invested Capital over the past 3 years of 3.76%. This is below the industry average of 7.61%.
The 3 year average ROIC (3.76%) for VRTS is below the current ROIC(3.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.93% | ||
| ROE | 16.21% | ||
| ROIC | 3.9% |
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
VRTS has a Profit Margin (16.34%) which is in line with its industry peers.
VRTS's Profit Margin has declined in the last couple of years.
VRTS has a Operating Margin (20.52%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of VRTS has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.52% | ||
| PM (TTM) | 16.34% | ||
| 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
VRTS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, VRTS has more shares outstanding
Compared to 1 year ago, VRTS has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.87, we must say that VRTS is in the distress zone and has some risk of bankruptcy.
VRTS has a Altman-Z score (0.87) which is comparable to the rest of the industry.
VRTS has a debt to FCF ratio of 71.66. This is a negative value and a sign of low solvency as VRTS would need 71.66 years to pay back of all of its debts.
VRTS has a Debt to FCF ratio (71.66) which is in line with its industry peers.
VRTS has a Debt/Equity ratio of 2.51. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of VRTS (2.51) is worse than 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.51 | ||
| Debt/FCF | 71.66 | ||
| Altman-Z | 0.87 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
VRTS has a Current Ratio of 2.01. This indicates that VRTS is financially healthy and has no problem in meeting its short term obligations.
VRTS has a better Current ratio (2.01) than 71.73% of its industry peers.
A Quick Ratio of 2.01 indicates that VRTS has no problem at all paying its short term obligations.
VRTS has a Quick ratio of 2.01. This is in the better half of the industry: VRTS outperforms 72.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
VRTS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.82%, which is quite good.
The Earnings Per Share has been growing by 12.37% on average over the past years. This is quite good.
VRTS shows a small growth in Revenue. In the last year, the Revenue has grown by 0.99%.
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)8.82%
EPS 3Y-9.8%
EPS 5Y12.37%
EPS Q2Q%-4.29%
Revenue 1Y (TTM)0.99%
Revenue growth 3Y-2.52%
Revenue growth 5Y10%
Sales Q2Q%-5.91%
3.2 Future
VRTS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.53% yearly.
VRTS is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.96% yearly.
EPS Next Y-0.52%
EPS Next 2Y2.05%
EPS Next 3Y3.53%
EPS Next 5YN/A
Revenue Next Year-4.57%
Revenue Next 2Y-1.65%
Revenue Next 3Y-0.96%
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 decreasing.
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
With a Price/Earnings ratio of 7.22, the valuation of VRTS can be described as very cheap.
Based on the Price/Earnings ratio, VRTS is valued cheaper than 88.61% of the companies in the same industry.
VRTS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
A Price/Forward Earnings ratio of 6.95 indicates a rather cheap valuation of VRTS.
VRTS's Price/Forward Earnings ratio is rather cheap when compared to the industry. VRTS is cheaper than 91.98% of the companies in the same industry.
VRTS is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.22 | ||
| Fwd PE | 6.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VRTS indicates a rather cheap valuation: VRTS is cheaper than 83.54% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VRTS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.94 | ||
| EV/EBITDA | 13.75 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.58
EPS Next 2Y2.05%
EPS Next 3Y3.53%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.76%, VRTS is a good candidate for dividend investing.
VRTS's Dividend Yield is comparable with the industry average which is at 7.96.
Compared to an average S&P500 Dividend Yield of 2.38, VRTS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.76% |
5.2 History
The dividend of VRTS is nicely growing with an annual growth rate of 17.66%!
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 43.01% of its income as dividend. This is a bit on the high side, but may be sustainable.
VRTS's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.01%
EPS Next 2Y2.05%
EPS Next 3Y3.53%
190.67
-3.89 (-2%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners83.91%
Inst Owner Change-0.51%
Ins Owners5.69%
Ins Owner Change0.74%
Market Cap1.29B
Analysts46.67
Price Target198.65 (4.19%)
Short Float %1.98%
Short Ratio1.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.76% |
Yearly Dividend8.27
Dividend Growth(5Y)17.66%
DP43.01%
Div Incr Years7
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.23%
Min EPS beat(2)-1.33%
Max EPS beat(2)3.8%
EPS beat(4)1
Avg EPS beat(4)0.32%
Min EPS beat(4)-1.33%
Max EPS beat(4)3.8%
EPS beat(8)2
Avg EPS beat(8)-0.56%
EPS beat(12)4
Avg EPS beat(12)-1.14%
EPS beat(16)5
Avg EPS beat(16)-1.21%
Revenue beat(2)0
Avg Revenue beat(2)-3.44%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-3.08%
Revenue beat(4)0
Avg Revenue beat(4)-3.05%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.95%
Revenue beat(8)0
Avg Revenue beat(8)-3.36%
Revenue beat(12)2
Avg Revenue beat(12)-0.54%
Revenue beat(16)6
Avg Revenue beat(16)2.59%
PT rev (1m)0%
PT rev (3m)15.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.71%
EPS NY rev (1m)1.52%
EPS NY rev (3m)3.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.51%
Revenue NY rev (1m)1.1%
Revenue NY rev (3m)2.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.22 | ||
| Fwd PE | 6.95 | ||
| P/S | 1.45 | ||
| P/FCF | 40.94 | ||
| P/OCF | 33.61 | ||
| P/B | 1.44 | ||
| P/tB | 8.76 | ||
| EV/EBITDA | 13.75 |
EPS(TTM)26.4
EY13.85%
EPS(NY)27.45
Fwd EY14.4%
FCF(TTM)4.66
FCFY2.44%
OCF(TTM)5.67
OCFY2.98%
SpS131.7
BVpS132.8
TBVpS21.77
PEG (NY)N/A
PEG (5Y)0.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.93% | ||
| ROE | 16.21% | ||
| ROCE | 5.23% | ||
| ROIC | 3.9% | ||
| ROICexc | 4.1% | ||
| ROICexgc | 5.3% | ||
| OM | 20.52% | ||
| PM (TTM) | 16.34% | ||
| GM | N/A | ||
| FCFM | 3.54% |
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-Score6
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.51 | ||
| Debt/FCF | 71.66 | ||
| Debt/EBITDA | 9.13 | ||
| Cap/Depr | 10.66% | ||
| Cap/Sales | 0.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 15.52% | ||
| Profit Quality | 21.64% | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 0.87 |
F-Score6
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)8.82%
EPS 3Y-9.8%
EPS 5Y12.37%
EPS Q2Q%-4.29%
EPS Next Y-0.52%
EPS Next 2Y2.05%
EPS Next 3Y3.53%
EPS Next 5YN/A
Revenue 1Y (TTM)0.99%
Revenue growth 3Y-2.52%
Revenue growth 5Y10%
Sales Q2Q%-5.91%
Revenue Next Year-4.57%
Revenue Next 2Y-1.65%
Revenue Next 3Y-0.96%
Revenue Next 5YN/A
EBIT growth 1Y13.56%
EBIT growth 3Y-19.18%
EBIT growth 5Y7.03%
EBIT Next Year-2.18%
EBIT Next 3Y-0.19%
EBIT Next 5YN/A
FCF growth 1Y-83.66%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-80.57%
OCF growth 3Y-86.19%
OCF growth 5YN/A