CNFinance Holdings Limited Sponsored ADR (CNF) vs Velocity Financial, Inc. (VEL)

CNFinance Holdings Limited Sponsored ADR and Velocity Financial, Inc. are both Mortgage Finance companies. Velocity Financial, Inc. is the larger, with a market value of $689.0M against $13.7M — 50.5× the size. CNFinance Holdings Limited Sponsored ADR trades at the lower P/E: 0.6× against 6.3×. Velocity Financial, Inc. grew revenue faster over the last twelve months: 32.4% against −7.19%. CNFinance Holdings Limited Sponsored ADR has the higher net margin (8.88% vs 0.00%) and the higher return on invested capital (0.00% vs −3.59%). Across the 15 metrics below, CNFinance Holdings Limited Sponsored ADR leads on 11 and Velocity Financial, Inc. on 4.

Valuation

Metric CNF VEL Mortgage Finance median
P/E 0.59 6.32 10.24
P/S 0.05 2.17 1.52
P/B 0.03 0.90 0.52
Price to free cash flow 0.08 10.24 4.71
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 170.00% 15.83% (2.50%)
Free cash flow yield 1,269.42% 9.76% (9.21%)

Profitability

Metric CNF VEL Mortgage Finance median
Gross margin 61.00% 0.00% 81.25%
Operating margin 0.00% 0.00% 1.91%
Net margin 8.88% 0.00% (1.66%)
Free cash flow margin 0.00% 0.00% (15.01%)
Return on equity 0.00% 0.00% (1.94%)
Return on assets 0.00% 0.00% (0.23%)
Return on invested capital 0.00% (3.59%) 0.00%

Growth

Metric CNF VEL Mortgage Finance median
Revenue growth (TTM) (7.19%) 32.40% 7.49%
EPS growth (last fiscal year) (1,282.50%) 43.98% 20.88%
Revenue growth, 5-year CAGR (19.48%) 20.68% (11.12%)
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CNF VEL Mortgage Finance median
Debt to equity 0.95 0.00 0.94
Current ratio 1,057.43 0.00 1.07
Net debt to EBITDA 0.00 28.41 15.25

Dividend

Metric CNF VEL Mortgage Finance median
Dividend yield — — 7.01%
Payout ratio — — —

Size

Metric CNF VEL Mortgage Finance median
Market cap 13.65m 688.95m 269.18m

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