World Acceptance Corp

Find Ratings Reports
WRLD : NASDAQ : Financial
$59.18 up 0.69 | 1.2%
Today's Range: 58.58 - 59.85
Avg. Daily Volume: 108600.0
01/20/17 - 3:59 PM ET

Financial Analysis


WORLD ACCEPTANCE CORP/DE's gross profit margin for the second quarter of its fiscal year 2016 has decreased when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its industry.

During the same period, stockholders' equity ("net worth") has increased by 20.46% from the same quarter last year.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q2 FY16 Q2 FY15
Net Sales ($mil)129.27136.41
EBITDA ($mil)31.7937.16
EBIT ($mil)29.9435.42
Net Income ($mil)15.4919.19


Balance Sheet Q2 FY16 Q2 FY15
Cash & Equiv. ($mil)16.2612.56
Total Assets ($mil)817.4863.58
Total Debt ($mil)360.59489.59
Equity ($mil)417.82346.84


Profitability Q2 FY16 Q2 FY15
Gross Profit Margin24.5927.24
EBITDA Margin24.5927.24
Operating Margin23.1625.96
Sales Turnover0.660.66
Return on Assets9.3812.71
Return on Equity18.3531.66
Debt Q2 FY16 Q2 FY15
Current Ratio0.00.0
Debt/Capital0.460.59
Interest Expense5.527.27
Interest Coverage5.434.87


Share Data Q2 FY16 Q2 FY15
Shares outstanding (mil)8.798.86
Div / share0.00.0
EPS1.762.22
Book value / share47.5239.13
Institutional Own % n/a n/a
Avg Daily Volume104166.0142509.0

Valuation


HOLD. This stock's P/E ratio indicates a discount compared to an average of 13.28 for the Consumer Finance industry and a significant discount compared to the S&P 500 average of 25.49. Conducting a second comparison, its price-to-book ratio of 1.23 indicates a significant discount versus the S&P 500 average of 2.84 and a discount versus the industry average of 2.19. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount. Upon assessment of these and other key valuation criteria, WORLD ACCEPTANCE CORP/DE proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
WRLD 6.67 Peers 13.28   WRLD 2.29 Peers 7.89

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

WRLD is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

WRLD is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
WRLD 7.71 Peers 12.70   WRLD NM Peers 5.57

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

WRLD is trading at a significant discount to its peers.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

WRLD's negative PEG ratio makes this valuation measure meaningless.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
WRLD 1.23 Peers 2.19   WRLD -28.59 Peers 2.20

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

WRLD is trading at a significant discount to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, WRLD is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
WRLD 0.95 Peers 2.03   WRLD -5.85 Peers 6.11

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

WRLD is trading at a significant discount to its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

WRLD significantly trails its peers on the basis of sales growth

 

 

Latest Stock Upgrades/Downgrades