CACC Valuation

Credit Acceptance Corp

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519.700

+7.58(1.480%)1D

Overview
Forecast
Valuation
Earnings

CACC Relative Valuation

CACC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, CACC is overvalued; if below, it's undervalued.

Historical Valuation

Credit Acceptance Corp (CACC) is now in the Fair zone, suggesting that its current forward PE ratio of 12.62 is considered Fairly compared with the five-year average of 11.87. The fair price of Credit Acceptance Corp (CACC) is between 448.72 to 563.05 according to relative valuation methord.

Relative Value

Fair Zone

448.72-563.05

Current Price：512.12

Fair

12.62

Trailing

Forward

0.00

EV/EBITDA

Credit Acceptance Corp. (CACC) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward EV/EBITDA of 0.00 falls within the Strongly Undervalued range.

NaN

EV/EBIT

Credit Acceptance Corp. (CACC) has a current EV/EBIT of NaN. The 5-year average EV/EBIT is NaN. The thresholds are as follows: Strongly Undervalued below NaN, Undervalued between NaN and NaN, Fairly Valued between NaN and NaN, Overvalued between NaN and NaN, and Strongly Overvalued above NaN. The current Forward EV/EBIT of NaN falls within the range.

2.42

Credit Acceptance Corp. (CACC) has a current PS of 2.42. The 5-year average PS is 3.38. The thresholds are as follows: Strongly Undervalued below 1.72, Undervalued between 1.72 and 2.55, Fairly Valued between 4.21 and 2.55, Overvalued between 4.21 and 5.04, and Strongly Overvalued above 5.04. The current Forward PS of 2.42 falls within the Undervalued range.

0.00

P/OCF

Credit Acceptance Corp. (CACC) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.

0.00

P/FCF

Credit Acceptance Corp. (CACC) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/FCF of 0.00 falls within the Strongly Undervalued range.

Credit Acceptance Corp (CACC) has a current Price-to-Book (P/B) ratio of 3.70. Compared to its 3-year average P/B ratio of 3.61 , the current P/B ratio is approximately 2.68% higher. Relative to its 5-year average P/B ratio of 3.67, the current P/B ratio is about 0.89% higher. Credit Acceptance Corp (CACC) has a Forward Free Cash Flow (FCF) yield of approximately 19.16%. Compared to its 3-year average FCF yield of 19.20%, the current FCF yield is approximately -0.22% lower. Relative to its 5-year average FCF yield of 17.28% , the current FCF yield is about 10.88% lower.

3.70

P/B

Median3y

3.61

Median5y

3.67

19.16

FCF Yield

Median3y

19.20

Median5y

17.28

Competitors Valuation Multiple

The average P/S ratio for CACC's competitors is 2.25, providing a benchmark for relative valuation. Credit Acceptance Corp Corp (CACC) exhibits a P/S ratio of 2.42, which is 7.54% above the industry average. Given its robust revenue growth of 8.47%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

CACC.O

Credit Acceptance Corp

PennyMac Financial Services Inc

Avis Budget Group Inc

Firstcash Holdings Inc

Performance Decomposition

Market capitalization of CACC increased by 15.49% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 3.90 to 14.74.

The secondary factor is the Revenue Growth, contributed 8.47%to the performance.

Overall, the performance of CACC in the past 1 year is driven by P/E Change. Which is more unsustainable.

8.47%

538.20M → 583.80M

Revenue Growth

-271.09%

-8.75 → 14.97

Margin Expansion

278.11%

3.90 → 14.74

P/E Change

15.49%