NASDAQ
WRLD
Last Price
US $195.87
KEY FIGURES
MKT CAP
$0.9B
EPS
TTM
$7.29
PEG
TTM
N/M
P/E
TTM
26.87x
P/S
TTM
1.59x
YIELD
0.00%
GROWTH
Revenue Y/Y
Cash Flow (DCF)
Fair Value
Market $195.87
140.14%
Default assumptions
EBITDA Multiple
Fair Value
Market $195.87
-35.25%
Default assumptions
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
World Acceptance Corporation cash flow to debt ratio of 39.23% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
World Acceptance Corporation's free cash flow has increased 1.99% from $250.48M last year to $255.48M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
World Acceptance Corporation's debt to equity ratio is 1.88, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial risk - Healthy debt to equity ratio development.
World Acceptance Corporation's debt has increased relative to shareholder equity from 1.20 last year to 1.88 today, signaling weakened financials
Financial risk - Net debt/EBITDA.
World Acceptance Corporation has a net debt to EBITDA ratio of 12.08x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
World Acceptance Corporation earns at least as much interest as it pays. Interest obligations are fully covered.
Financial risk - Profit margin growth.
World Acceptance Corporation's profit margin has decreased (-62.80%) in the last year from 15.89% to 5.91%, signaling decreasing performance
Financial risk - Short term assets vs short term liabilities.
World Acceptance Corporation's short-term liabilities of $38.00M exceed its short-term assets of $29.37M, signaling financial risk
Decreasing performance - ROA.
World Acceptance Corporation's return on assets of 3.28% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
World Acceptance Corporation's return on equity of 9.25%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
World Acceptance Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
World Acceptance Corporation had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
World Acceptance Corporation has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
World Acceptance Corporation has a free cash flow yield of 28.11%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
World Acceptance Corporation's yearly earnings has decreased -61.46% since last year from $89.74M to $34.59M, signaling decreasing performance
Increasing performance - Healthy revenue growth.
World Acceptance Corporation's yearly revenue has increased 3.70% since last year from $564.84M to $585.74M, signaling increasing performance
Decreasing performance - ROIC.
ROIC 3.40% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Decreasing performance - 3-year revenue CAGR.
World Acceptance Corporation's 3-year revenue CAGR of -1.73% is negative, indicating declining revenue over the past 3 years
Increasing performance - Revenue consistency.
World Acceptance Corporation had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
World Acceptance Corporation had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
World Acceptance Corporation is undervalued relative to its fair value price of 470.36 based on Discounted Cash Flow model
Overvalued - Earnings yield.
World Acceptance Corporation has an earnings yield of 3.72%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
World Acceptance Corporation is overvalued relative to its fair value price of 126.82 based on EBITDA multiple model
Overvalued - EV/EBITDA.
World Acceptance Corporation has an EV/EBITDA ratio of 28.84x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings
Overvalued - PEG ratio value.
World Acceptance Corporation has no meaningful EPS growth rate; PEG ratio cannot be computed.
Undervalued - P/B ratio.
World Acceptance Corporation has a price-to-book ratio of 2.65x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
World Acceptance Corporation has a price-to-sales ratio of 1.59x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
20.84%
Return on equity
ROIC: 13.15%
Valuation History
7.8X
Price to Earnings
EV/EBITDA: 7.4X
Cash flow
Profit margin
2.08%
(FY vs FY)
EBITDA Y/Y
-15.22%
(FY vs FY)
Cash flow Y/Y
3.48%
(FY vs FY)
Base valuations use default assumptions. Customize in the Valuator.