FirstCash Holdings, Inc. (FCFS) vs SoFi Technologies, Inc. (SOFI)

FirstCash Holdings, Inc. and SoFi Technologies, Inc. are both Credit Services companies. SoFi Technologies, Inc. is the larger, with a market value of $21.8B against $9.4B — 2.3× the size. FirstCash Holdings, Inc. trades at the lower P/E: 24.8× against 32.5×. SoFi Technologies, Inc. grew revenue faster over the last twelve months: 34.1% against 21.6%. SoFi Technologies, Inc. has the higher net margin (11.4% vs 9.42%) and the lower return on invested capital (4.26% vs 8.97%). Across the 20 metrics below, FirstCash Holdings, Inc. leads on 13 and SoFi Technologies, Inc. on 7.

Valuation

Metric FCFS SOFI Credit Services median
P/E 24.82 32.51 9.64
P/S 2.31 3.81 0.87
P/B 4.10 1.92 1.16
Price to free cash flow 17.91 n/m 2.99
EV/EBITDA 11.72 n/m 9.58
EV/Sales 2.86 3.77 2.32
Earnings yield 4.03% 3.08% 6.72%
Free cash flow yield 5.58% (41.33%) 12.33%

Profitability

Metric FCFS SOFI Credit Services median
Gross margin 50.47% 77.13% 77.13%
Operating margin 15.66% 0.00% 0.34%
Net margin 9.42% 11.39% 9.25%
Free cash flow margin 12.91% (157.63%) 13.03%
Return on equity 17.40% 7.09% 8.49%
Return on assets 7.76% 1.25% 2.29%
Return on invested capital 8.97% 4.26% 4.09%

Growth

Metric FCFS SOFI Credit Services median
Revenue growth (TTM) 21.61% 34.08% 4.62%
EPS growth (last fiscal year) 29.49% 0.00% —
Revenue growth, 5-year CAGR 17.55% 44.73% 9.13%
Net income growth, 5-year CAGR 25.39% 0.00% 0.00%

Health

Metric FCFS SOFI Credit Services median
Debt to equity 1.01 0.30 0.68
Current ratio 4.89 0.74 1.55
Net debt to EBITDA 2.28 0.00 0.13

Dividend

Metric FCFS SOFI Credit Services median
Dividend yield 1.21% — 3.34%
Payout ratio 0.26 0.00 0.00

Size

Metric FCFS SOFI Credit Services median
Market cap 9.39b 21.79b 872.19m

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