Vakif Finansal Kiralama (IBSE:VAKFN) - Share price, News & Analysis

Q: What is the Fair Price of VAKFN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

VAKFN (TRY2.95) is trading above our estimate of [[fair value]] (TRY0.59)

VAKFN fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	5/6
Financial Health	3/6
Dividends	0/6

VAKFN Stock Overview

Vakif Finansal Kiralama A.S. provides financial leasing services in Turkey.

Rewards

Price-To-Earnings ratio (6.5x) is below the TR market (11.1x)

Earnings grew by 317.8% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Shareholders have been substantially diluted in the past year

Does not have a meaningful market cap (TRY2B)

Vakif Finansal Kiralama Competitors

Gelecek Varlik Yönetimi Anonim Sirketi

IBSE:GLCVY

₺2.0b

Garanti Faktoring

IBSE:GARFA

₺1.3b

Is Finansal Kiralama Anonim Sirketi

IBSE:ISFIN

₺4.5b

Türkiye Sinai Kalkinma Bankasi

IBSE:TSKB

₺11.1b

Price History & Performance

Summary of all time highs, changes and price drops for Vakif Finansal Kiralama
Historical stock prices
Current Share Price	₺2.95
52 Week High	₺7.53
52 Week Low	₺2.18
Beta	1.37
1 Month Change	29.39%
3 Month Change	20.82%
1 Year Change	-58.06%
3 Year Change	321.43%
5 Year Change	288.26%
Change since IPO	1,931.42%

Shareholder Returns

	VAKFN	TR Diversified Financial	TR Market
7D	10.1%	2.9%	2.3%
1Y	-58.1%	7.5%	79.1%

Return vs Industry: VAKFN underperformed the TR Diversified Financial industry which returned 7.5% over the past year.

Return vs Market: VAKFN underperformed the TR Market which returned 79.1% over the past year.

Price Volatility

Is VAKFN's price volatile compared to industry and market?
VAKFN volatility
VAKFN Average Weekly Movement	3.6%
Diversified Financial Industry Average Movement	5.2%
Market Average Movement	5.9%
10% most volatile stocks in TR Market	8.8%
10% least volatile stocks in TR Market	4.1%

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

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

About the Company

Founded	Employees	CEO	Website
1988	73	Mustafa Erdin	https://www.vakifleasing.com.tr

Vakif Finansal Kiralama A.S. provides financial leasing services in Turkey. The company was incorporated in 1988 and is headquartered in Istanbul, Turkey. Vakif Finansal Kiralama A.S. is a subsidiary of Türkiye Vakiflar Bankasi Türk Anonim Ortakligi.

Vakif Finansal Kiralama Fundamentals Summary

How do Vakif Finansal Kiralama's earnings and revenue compare to its market cap?
VAKFN fundamental statistics
Market Cap	₺1.77b
Earnings (TTM)	₺273.73m
Revenue (TTM)	₺192.05m

6.5x

P/E Ratio

9.2x

P/S Ratio

Is VAKFN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
VAKFN income statement (TTM)
Revenue	₺192.05m
Cost of Revenue	₺45.59m
Gross Profit	₺146.46m
Other Expenses	-₺127.26m
Earnings	₺273.73m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.46
Gross Margin	76.26%
Net Profit Margin	142.53%
Debt/Equity Ratio	786.4%

How did VAKFN perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is VAKFN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for VAKFN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for VAKFN. This is calculated by dividing VAKFN's market cap by their current preferred multiple.
What is VAKFN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₺1.77b

VAKFN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does VAKFN's PE Ratio compare to its peers?

VAKFN PE Ratio vs Peers

The above table shows the PE ratio for VAKFN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	7.3x
GLCVY Gelecek Varlik Yönetimi Anonim Sirketi	10x	n/a	₺2.0b
GARFA Garanti Faktoring	6.6x	n/a	₺1.3b
ISFIN Is Finansal Kiralama Anonim Sirketi	7.5x	n/a	₺4.5b
TSKB Türkiye Sinai Kalkinma Bankasi	5.2x	n/a	₺11.1b
VAKFN Vakif Finansal Kiralama	6.5x	n/a	₺1.8b

Price-To-Earnings vs Peers: VAKFN is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (7.3x).

Price to Earnings Ratio vs Industry

How does VAKFN's PE Ratio compare vs other companies in the Asian Diversified Financial Industry?

Price-To-Earnings vs Industry: VAKFN is good value based on its Price-To-Earnings Ratio (6.5x) compared to the TR Diversified Financial industry average (10.8x)

Price to Earnings Ratio vs Fair Ratio

What is VAKFN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

VAKFN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.5x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate VAKFN's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of VAKFN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: VAKFN (TRY2.95) is trading above our estimate of fair value (TRY0.59)

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

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Vakif Finansal Kiralama forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

12.6%

Forecasted Diversified Financials industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Vakif Finansal Kiralama has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Check out Vakif Finansal Kiralama's track record over time to understand how much the company has returned to shareholders and its earnings growth rate in the past.

Past Performance

How has Vakif Finansal Kiralama performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

41.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: VAKFN has high quality earnings.

Growing Profit Margin: VAKFN's current net profit margins are higher than last year (59%).

Past Earnings Growth Analysis

Earnings Trend: VAKFN's earnings have grown significantly by 41% per year over the past 5 years.

Accelerating Growth: VAKFN's earnings growth over the past year (317.8%) exceeds its 5-year average (41% per year).

Earnings vs Industry: VAKFN earnings growth over the past year (317.8%) exceeded the Diversified Financial industry 103.2%.

Return on Equity

High ROE: Whilst VAKFN's Return on Equity (29.61%) is high, this metric is skewed due to their high level of debt.

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Financial Health

How is Vakif Finansal Kiralama's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: VAKFN's short term assets (TRY9.1B) exceed its short term liabilities (TRY4.5B).

Long Term Liabilities: VAKFN's short term assets (TRY9.1B) exceed its long term liabilities (TRY3.8B).

Debt to Equity History and Analysis

Debt Level: VAKFN's net debt to equity ratio (621.9%) is considered high.

Reducing Debt: VAKFN's debt to equity ratio has reduced from 861.1% to 786.4% over the past 5 years.

Debt Coverage: VAKFN's debt is not well covered by operating cash flow (5.6%).

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

Balance Sheet

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Dividend

What is Vakif Finansal Kiralama current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate VAKFN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate VAKFN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if VAKFN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if VAKFN's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as VAKFN has not reported any payouts.

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Management

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

2.2yrs

Average board tenure

CEO

Mustafa Erdin (53 yo)

1.25yrs

Tenure

Mr. Mustafa Erdin serves as General Manager and Director of Vakif Finansal Kiralama A.S. since May 5, 2021. He served as Chief Financial Officer of YDA Insaat Sanayi Ve Ticaret A.S. from June 2009 to June...

Board Members

Experienced Board: VAKFN's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.

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.

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 100%.

Data	Last Updated (UTC time)
Company Analysis	2022/08/17 00:00
End of Day Share Price	2022/08/17 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31