World Acceptance Corp

Finance
Finance: Consumer Services
www.loansbyworld.com

Earnings Score
Moat Score
Safety Score

Market Cap $760.81M
PE 9
Debt $561.25M
Cash $15.58M
EV $1.31B
FCF $242.69M

Earnings

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Sales & Net Margins

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Earnings	$80.52M
EBIT	$103.48M
ROE	19%
ROA	9%
FCF	$242.69M
Equity	$428.17M
Growth Stability	37%
PE	9.45
PEG	1.39
PB	1.78
P/FCF	3.13
P/S	1.36
Price/Cash	0.02
Debt/Equity	1.31
Debt/FCF	2.31
Net Margins	11%
Op. Margins	19%
Earnings CAGR	-2%
Sales Growth YoY	1%
Sales Growth QoQ	5%
Sales CAGR	1%
FCF CAGR	3%
Equity CAGR	-0%
Earnings Stability	0.01
Earnings Growth YoY	-20%

Earnings Growth QoQ	-39%
Earnings CAGR 5Y	7%
Sales CAGR 5Y	1%
FCF CAGR 5Y	5%
Equity CAGR 5Y	2%
Earnings CAGR 3Y	-4%
Sales CAGR 3Y	-4%
FCF CAGR 3Y	-7%
Equity CAGR 3Y	8%
Market Cap	$760.81M
Revenue	$558.83M
Assets	$1.11B
Total Debt	$561.25M
Cash	$15.58M
Shares Outstanding	5.44M
EV	1.31B
Earnings Score	6%
Moat Score	92%
Safety Score	62%
Final Score	53%
Shares Growth 3y	-3%
Equity Growth QoQ	3%
Equity Growth YoY	5%

Assets & ROA

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Stockholders Equity & ROE

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World Acceptance Corp operates a small-loan consumer finance business. The company offers short-term small installment loans, medium-term larger installment loans, related credit insurance and ancillary products and services to individuals. It also offers income tax return preparation services to its loan customers and other individuals.

SEC Filings

Direct access to World Acceptance Corp (WRLD) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-Q Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-K Mar 31
2023
- 10-Q Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-K Mar 31
2022
- 10-Q Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-K Mar 31

Sector Comparison

How does World Acceptance Corp compare to its competitors?

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Peter Lynch's Chart

This chart shows the current pricing of World Acceptance Corp compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR -2%

Stability 1%

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World Acceptance Corp Discounted Cash Flow

Fully customizable DCF calculator online for World Acceptance Corp.

Years

Calculation mode

= $3.1B

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$243M	$251M	$260M	$268M	$278M	$287M	$297M	$307M	$317M	$328M	$340M	$3.4B
DCF		$228M	$215M	$202M	$190M	$178M	$168M	$158M	$148M	$139M	$131M	$1.3B
Value	$3.1B

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years	03/2015	03/2016	03/2017	03/2018	03/2019	03/2020	03/2021	03/2022	03/2023	03/2024	TTM
Net Margins	18%	16%	14%	10%	7%	5%	17%	9%	3%	13%	11%
ROA	-	20%	17%	14%	13%	6%	14%	5%	2%	9%	9%
ROE	-	22%	16%	10%	7%	7%	22%	14%	6%	18%	19%

Good Net Margins (11.38%)

Net Margins are high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Safety and Stability

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years	03/2015	03/2016	03/2017	03/2018	03/2019	03/2020	03/2021	03/2022	03/2023	03/2024	TTM
Debt over FCF	-	1.9	1.39	1.17	1.07	1.83	2.16	2.53	2.1	1.92	2.31
Debt over Equity	1.59	0.96	0.64	0.45	0.46	1.1	1	1.87	1.55	1.17	1.31
Growth Stability	-	-	-	59%	52%	51%	100%	100%	37%	100%	37%

Neutral Debt/FCF ratio (2.31)

Net Margins are at a level that is not too high nor too low. They are not a competitive advantage but they are not a competitive disadvantage either.

Neutral Debt/Equity ratio (1.31)

The company has a balance between equity and debt that is not too good nor too bad.

Bad Graham’s Stability (37%)

The company has a bad stability in its earnings, which is a sign of a bad competitive advantage.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years	03/2015	03/2016	03/2017	03/2018	03/2019	03/2020	03/2021	03/2022	03/2023	03/2024	CAGR 5Y
Revenue YoY growth	-	-9%	-5%	3%	-1%	8%	-11%	11%	6%	-7%	1%
Earnings YoY growth	-	-21%	-16%	-27%	-31%	-24%	214%	-39%	-61%	264%	7%
Equity YoY growth	-	24%	18%	17%	2%	-25%	-2%	-8%	3%	10%	2%
FCF YoY growth	-	-15%	8%	-2%	12%	5%	-24%	47%	4%	-9%	5%