Finance of America Companies Inc. (FOA) vs LexinFintech Holdings Ltd. Sponsored ADR (LX)

Finance of America Companies Inc. and LexinFintech Holdings Ltd. Sponsored ADR are both Credit Services companies. Finance of America Companies Inc. is the larger, with a market value of $222.1M against $83.7M — 2.7× the size. Finance of America Companies Inc. has negative trailing earnings, so its P/E is not meaningful; LexinFintech Holdings Ltd. Sponsored ADR trades at 0.7×. LexinFintech Holdings Ltd. Sponsored ADR grew revenue faster over the last twelve months: −1.19% against −42.3%. LexinFintech Holdings Ltd. Sponsored ADR has the higher net margin (8.06% vs −0.10%) and the higher return on invested capital (3.06% vs −0.12%). Across the 18 metrics below, LexinFintech Holdings Ltd. Sponsored ADR leads on 15 and Finance of America Companies Inc. on 3.

Valuation

Metric FOA LX Credit Services median
P/E n/m 0.72 8.96
P/S 0.34 0.05 1.00
P/B 0.28 0.06 1.23
Price to free cash flow n/m 0.13 2.55
EV/EBITDA — — —
EV/Sales — — —
Earnings yield (2.77%) 139.68% 7.17%
Free cash flow yield (416.57%) 751.89% 11.75%

Profitability

Metric FOA LX Credit Services median
Gross margin 100.00% 25.63% 76.61%
Operating margin (20.35%) 5.03% 0.34%
Net margin (0.10%) 8.06% 8.35%
Free cash flow margin (164.79%) 0.00% 8.73%
Return on equity (0.08%) 9.05% 9.05%
Return on assets 0.00% 4.76% 1.94%
Return on invested capital (0.12%) 3.06% 4.56%

Growth

Metric FOA LX Credit Services median
Revenue growth (TTM) (42.27%) (1.19%) 4.49%
EPS growth (last fiscal year) 216.95% 51.69% 21.94%
Revenue growth, 5-year CAGR (22.68%) 1.05% 9.22%
Net income growth, 5-year CAGR (38.60%) 21.34% 0.00%

Health

Metric FOA LX Credit Services median
Debt to equity 89.53 0.31 0.69
Current ratio 3.02 2.09 1.26
Net debt to EBITDA 177.25 0.48 0.11

Dividend

Metric FOA LX Credit Services median
Dividend yield — 29.84% 1.64%
Payout ratio — 0.22 0.21

Size

Metric FOA LX Credit Services median
Market cap 222.05m 83.69m 759.73m

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