Medallion Financial Corp. (MFIN) vs CPI Card Group Inc. (PMTS)

Medallion Financial Corp. and CPI Card Group Inc. are both Credit Services companies. Medallion Financial Corp. and CPI Card Group Inc. are of similar size ($289.8M and $271.6M). Medallion Financial Corp. trades at the lower P/E: 8.5× against 20.6×. CPI Card Group Inc. grew revenue faster over the last twelve months: 16.9% against 5.59%. Medallion Financial Corp. has the higher net margin (9.25% vs 2.34%) and the lower return on invested capital (7.06% vs 14.8%). Across the 20 metrics below, Medallion Financial Corp. leads on 12 and CPI Card Group Inc. on 8.

Valuation

Metric MFIN PMTS Credit Services median
P/E 8.54 20.63 9.64
P/S 0.80 0.48 0.87
P/B 0.55 n/m 1.16
Price to free cash flow 1.59 3.71 2.99
EV/EBITDA n/m 6.57 9.58
EV/Sales 1.03 0.91 2.32
Earnings yield 11.71% 4.85% 6.72%
Free cash flow yield 62.79% 26.93% 12.33%

Profitability

Metric MFIN PMTS Credit Services median
Gross margin 70.72% 30.97% 77.13%
Operating margin 0.00% 9.22% 0.34%
Net margin 9.25% 2.34% 9.25%
Free cash flow margin 49.97% 13.03% 13.03%
Return on equity 6.23% (67.92%) 8.49%
Return on assets 1.07% 3.48% 2.29%
Return on invested capital 7.06% 14.77% 4.09%

Growth

Metric MFIN PMTS Credit Services median
Revenue growth (TTM) 5.59% 16.91% 4.62%
EPS growth (last fiscal year) 17.11% (23.78%) —
Revenue growth, 5-year CAGR 20.51% 11.73% 9.13%
Net income growth, 5-year CAGR 0.00% (1.51%) 0.00%

Health

Metric MFIN PMTS Credit Services median
Debt to equity 0.57 (22.85) 0.68
Current ratio 1.22 2.09 1.55
Net debt to EBITDA 0.00 3.37 0.13

Dividend

Metric MFIN PMTS Credit Services median
Dividend yield 3.38% — 3.34%
Payout ratio 0.15 0.00 0.00

Size

Metric MFIN PMTS Credit Services median
Market cap 271.62m 289.80m 872.19m

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