Credit Acceptance Corporation (CACC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+18.4%

$573.86

vs $484.76 price

Levered DCF

$1,781.55

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.22

Grey zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	11.59×	23.33×	24.12×	12.01×	11.54×	14.69×	12.74×	12.93×
P/B	3.22×	3.31×	3.93×	3.96×	6.06×	2.68×	3.55×	3.73×
P/S	2.12×	2.71×	3.67×	3.53×	5.98×	3.71×	5.65×	5.8×
EV / EBITDA	10.21×	32×	30.75×	14.57×	12.21×	18.85×	14.6×	14.59×
Gross margin	98.7%	62.4%	67.2%	73.9%	77.2%	75.0%	71.6%	72.6%
Operating margin	47.6%	15.2%	18.5%	38.5%	67.8%	0.0%	57.3%	58.5%
Net margin	18.3%	11.6%	15.2%	29.4%	51.8%	25.3%	44.3%	44.8%
Current ratio	0.26×	0×	0×	0×	39.28×	39.23×	35.47×	32.61×
Debt / equity	4.17×	3.63×	2.89×	2.83×	2.53×	2.04×	1.93×	1.92×
Interest coverage	2.38×	0×	0×	0×	0×	0×	4.32×	4.78×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	27.8%	14.2%	16.3%	33.0%	52.5%	18.3%	27.9%	28.8%
Return on invested capital	8.6%	280.2%	364.8%	35.1%	13.9%	0.0%	9.0%	8.6%
Return on assets	4.4%	2.5%	3.4%	7.0%	13.6%	5.6%	8.8%	9.2%
Free cash flow yield	21.4%	19.6%	17.4%	19.2%	9.6%	15.8%	9.4%	9.1%
Earnings yield	8.6%	4.3%	4.1%	8.3%	8.7%	6.8%	7.8%	7.7%
Enterprise value	$10.8B	$11.3B	$11.5B	$10.6B	$15.7B	$10.9B	$12.7B	$11.2B
Net debt / EBITDA	5.55×	15.61×	12.29×	5.73×	3.58×	8.13×	5×	4.94×
Cash conversion cycle (days)	11	1	1	2	1,119	1,356	2,333	1,572