ScoreComparison
Why is Credit Acceptance Corp. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 29.22%
2
Poor long term growth as Net Sales has grown by an annual rate of 6.85% and Operating profit at 3.59%
3
Flat results in Mar 26
- OPERATING CASH FLOW(Y) Lowest at USD 1,055.2 MM
- INTEREST COVERAGE RATIO(Q) Lowest at 267.44
- RAW MATERIAL COST(Y) Grown by 101.02% (YoY)
4
With ROE of 29.71%, it has a expensive valuation with a 2.96 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 15.03%, its profits have risen by 82.6% ; the PEG ratio of the company is 0.1
5
High Institutional Holdings at 87.14%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
6
Underperformed the market in the last 1 year
- The stock has generated a return of 15.03% in the last 1 year, much lower than market (S&P 500) returns of 25.41%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Credit Acceptance Corp. should be less than 10%
- Overall Portfolio exposure to Finance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Credit Acceptance Corp. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Credit Acceptance Corp.
15.03%
0.55
40.71%
S&P 500
25.41%
1.92
13.25%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
6.85%
EBIT Growth (5y)
3.59%
EBIT to Interest (avg)
6.40
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
24.66%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
87.14%
ROCE (avg)
144.72%
ROE (avg)
29.22%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
Price to Book Value
2.96
EV to EBIT
2.58
EV to EBITDA
2.53
EV to Capital Employed
3.95
EV to Sales
1.73
PEG Ratio
0.10
Dividend Yield
NA
ROCE (Latest)
153.14%
ROE (Latest)
29.71%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
EPS(Q)
Highest at USD 12.4
-7What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 1,055.2 MM
INTEREST COVERAGE RATIO(Q)
Lowest at 267.44
RAW MATERIAL COST(Y)
Grown by 101.02% (YoY
DEBT-EQUITY RATIO
(HY)
Highest at 386.39 %
Here's what is working for Credit Acceptance Corp.
EPS
Highest at USD 12.4
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Here's what is not working for Credit Acceptance Corp.
Operating Cash Flow
Lowest at USD 1,055.2 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Lowest at 267.44
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at 386.39 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Raw Material Cost
Grown by 101.02% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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