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CCP

Credit Corp GroupASX:CCP Stock Report

Market Cap

AU$2.2b

7D

7.6%

1Y

54.3%

Updated

20 Oct, 2021

Data

Company Financials +
CCP fundamental analysis
Snowflake Score
Valuation0/6
Future Growth2/6
Past Performance4/6
Financial Health5/6
Dividends3/6

CCP Overview

Credit Corp Group Limited provides debt purchase and collection, and consumer lending services in Australia and the United States.

Rewards

Earnings are forecast to grow 10.15% per year

Earnings grew by 470.3% over the past year

Risk Analysis

No risks detected for CCP from our risk checks.

Credit Corp Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Credit Corp Group
Historical stock prices
Current Share PriceAU$32.43
52 Week HighAU$17.62
52 Week LowAU$34.48
Beta1.67
1 Month Change7.74%
3 Month Change13.67%
1 Year Change54.28%
3 Year Change73.05%
5 Year Change81.68%
Change since IPO6,386.00%

Recent News & Updates

Feb 24
Dividend Investors: Don't Be Too Quick To Buy Credit Corp Group Limited (ASX:CCP) For Its Upcoming Dividend

Dividend Investors: Don't Be Too Quick To Buy Credit Corp Group Limited (ASX:CCP) For Its Upcoming Dividend

Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Credit Corp...

Shareholder Returns

CCPAU Consumer FinanceAU Market
7D7.6%4.1%1.7%
1Y54.3%12.5%20.2%

Return vs Industry: CCP exceeded the Australian Consumer Finance industry which returned 12.5% over the past year.

Return vs Market: CCP exceeded the Australian Market which returned 20.2% over the past year.

Price Volatility

Is CCP's price volatile compared to industry and market?
CCP volatility
CCP Beta1.67
Industry Beta1.97
Market Beta1

Stable Share Price: CCP is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CCP's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19921,733Thomas Beregihttps://www.creditcorp.com.au

Credit Corp Group Limited provides debt purchase and collection, and consumer lending services in Australia and the United States. The company operates through three segments: Debt Ledger Purchasing – Australia and New Zealand, Debt Ledger Purchasing – United States, and Consumer Lending – Australia and New Zealand. The company offers debt sale, contingency and agency collection, local government debt recovery, and hardship and insolvency management services, as well as various loan products.

Credit Corp Group Fundamentals Summary

How do Credit Corp Group's earnings and revenue compare to its market cap?
CCP fundamental statistics
Market CapAU$2.18b
Earnings (TTM)AU$88.13m
Revenue (TTM)AU$335.96m

24.8x

P/E Ratio

6.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CCP income statement (TTM)
RevenueAU$335.96m
Cost of RevenueAU$29.70m
Gross ProfitAU$306.26m
ExpensesAU$218.13m
EarningsAU$88.13m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.31
Gross Margin91.16%
Net Profit Margin26.23%
Debt/Equity Ratio0.5%

How did CCP perform over the long term?

See historical performance and comparison

Dividends

2.2%

Current Dividend Yield

55%

Payout Ratio

Valuation

Is Credit Corp Group undervalued compared to its fair value and its price relative to the market?

24.77x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CCP (A$32.43) is trading above our estimate of fair value (A$31.39)

Significantly Below Fair Value: CCP is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CCP is poor value based on its PE Ratio (24.8x) compared to the Australian Consumer Finance industry average (14.3x).

PE vs Market: CCP is poor value based on its PE Ratio (24.8x) compared to the Australian market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: CCP is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: CCP is overvalued based on its PB Ratio (3.3x) compared to the AU Consumer Finance industry average (1.9x).


Future Growth

How is Credit Corp Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

10.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CCP's forecast earnings growth (10.1% per year) is above the savings rate (1.9%).

Earnings vs Market: CCP's earnings (10.1% per year) are forecast to grow slower than the Australian market (11.9% per year).

High Growth Earnings: CCP's earnings are forecast to grow, but not significantly.

Revenue vs Market: CCP's revenue (11.7% per year) is forecast to grow faster than the Australian market (5.4% per year).

High Growth Revenue: CCP's revenue (11.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CCP's Return on Equity is forecast to be low in 3 years time (15.2%).


Past Performance

How has Credit Corp Group performed over the past 5 years?

-2.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CCP has high quality earnings.

Growing Profit Margin: CCP's current net profit margins (26.2%) are higher than last year (6%).


Past Earnings Growth Analysis

Earnings Trend: CCP's earnings have declined by 2% per year over the past 5 years.

Accelerating Growth: CCP's earnings growth over the past year (470.3%) exceeds its 5-year average (-2% per year).

Earnings vs Industry: CCP earnings growth over the past year (470.3%) exceeded the Consumer Finance industry 171.9%.


Return on Equity

High ROE: CCP's Return on Equity (13.2%) is considered low.


Financial Health

How is Credit Corp Group's financial position?


Financial Position Analysis

Short Term Liabilities: CCP's short term assets (A$217.1M) exceed its short term liabilities (A$73.5M).

Long Term Liabilities: CCP's short term assets (A$217.1M) exceed its long term liabilities (A$40.6M).


Debt to Equity History and Analysis

Debt Level: CCP's debt to equity ratio (0.5%) is considered satisfactory.

Reducing Debt: CCP's debt to equity ratio has reduced from 66.7% to 0.5% over the past 5 years.

Debt Coverage: CCP's debt is well covered by operating cash flow (1877.1%).

Interest Coverage: Insufficient data to determine if CCP's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Credit Corp Group current dividend yield, its reliability and sustainability?

2.22%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CCP's dividend (2.22%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.27%).

High Dividend: CCP's dividend (2.22%) is low compared to the top 25% of dividend payers in the Australian market (5.33%).


Stability and Growth of Payments

Stable Dividend: CCP's dividend payments have been volatile in the past 10 years.

Growing Dividend: CCP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (55%), CCP's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CCP's dividends in 3 years are forecast to be covered by earnings (50.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

13.0yrs

Average management tenure


CEO

Thomas Beregi

13yrs

Tenure

AU$2,505,682

Compensation

Mr. Thomas Beregi, BEc, LLB(Hons), CPA, has been the Chief Executive Officer of Credit Corp Group Limited since October 1, 2008 and has been its Company Secretary since September 21, 2007. Mr. Beregi serve...


CEO Compensation Analysis

Compensation vs Market: Thomas's total compensation ($USD1.87M) is above average for companies of similar size in the Australian market ($USD1.40M).

Compensation vs Earnings: Thomas's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CCP's management team is seasoned and experienced (13 years average tenure).


Board Members

Experienced Board: CCP's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Credit Corp Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Credit Corp Group Limited
  • Ticker: CCP
  • Exchange: ASX
  • Founded: 1992
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: AU$2.183b
  • Shares outstanding: 67.32m
  • Website: https://www.creditcorp.com.au

Number of Employees


Location

  • Credit Corp Group Limited
  • 201 Kent Street
  • Level 15
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/20 15:20
End of Day Share Price2021/10/20 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.