Navient Corporation (NAVI) vs World Acceptance Corporation (WRLD)

Navient Corporation and World Acceptance Corporation are both Credit Services companies. Navient Corporation and World Acceptance Corporation are of similar size ($872.2M and $796.2M). Navient Corporation has negative trailing earnings, so its P/E is not meaningful; World Acceptance Corporation trades at 20.3×. World Acceptance Corporation grew revenue faster over the last twelve months: 4.26% against −21.4%. World Acceptance Corporation has the higher net margin (6.61% vs −1.67%) and the higher return on invested capital (3.97% vs −0.11%). Across the 20 metrics below, World Acceptance Corporation leads on 14 and Navient Corporation on 6.

Valuation

Metric NAVI WRLD Credit Services median
P/E n/m 20.33 9.64
P/S 0.29 1.31 0.87
P/B 0.36 2.13 1.16
Price to free cash flow 2.52 2.99 2.99
EV/EBITDA n/m 9.47 9.58
EV/Sales 12.99 2.05 2.32
Earnings yield (5.37%) 4.92% 6.72%
Free cash flow yield 39.66% 33.43% 12.33%

Profitability

Metric NAVI WRLD Credit Services median
Gross margin 20.06% 100.00% 77.13%
Operating margin 0.00% 17.26% 0.34%
Net margin (1.67%) 6.61% 9.25%
Free cash flow margin 11.37% 44.29% 13.03%
Return on equity (2.02%) 9.90% 8.49%
Return on assets (0.10%) 3.72% 2.29%
Return on invested capital (0.11%) 3.97% 4.09%

Growth

Metric NAVI WRLD Credit Services median
Revenue growth (TTM) (21.43%) 4.26% 4.62%
EPS growth (last fiscal year) (168.64%) (57.24%) —
Revenue growth, 5-year CAGR (3.01%) 2.08% 9.13%
Net income growth, 5-year CAGR 0.00% (17.09%) 0.00%

Health

Metric NAVI WRLD Credit Services median
Debt to equity 16.73 1.29 0.68
Current ratio 10.53 13.49 1.55
Net debt to EBITDA 0.00 3.46 0.13

Dividend

Metric NAVI WRLD Credit Services median
Dividend yield 3.97% — 3.34%
Payout ratio 0.21 0.00 0.00

Size

Metric NAVI WRLD Credit Services median
Market cap 872.19m 796.24m 872.19m

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