Easterly Acquisition Corp. Units
Easterly Acquisition Corp. Units Fundamental Analysis
Easterly Acquisition Corp. Units (EACQU) shows moderate financial fundamentals with a PE ratio of 5.44, profit margin of 15.47%, and ROE of 22.02%. The company generates $5.6B in annual revenue with weak year-over-year growth of -4.88%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EACQU's fundamental strength across five key dimensions:
Efficiency Score
WeakEACQU struggles to generate sufficient returns from assets.
Valuation Score
ExcellentEACQU trades at attractive valuation levels.
Growth Score
WeakEACQU faces weak or negative growth trends.
Financial Health Score
ModerateEACQU shows balanced financial health with some risks.
Profitability Score
ExcellentEACQU achieves industry-leading margins.
Key Financial Metrics
Is EACQU Expensive or Cheap?
P/E Ratio
EACQU trades at 5.44 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, EACQU's PEG of 0.02 indicates potential undervaluation.
Price to Book
The market values Easterly Acquisition Corp. Units at 1.18 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.52 times EBITDA. This is generally considered low.
How Well Does EACQU Make Money?
Net Profit Margin
For every $100 in sales, Easterly Acquisition Corp. Units keeps $15.47 as profit after all expenses.
Operating Margin
Core operations generate 18.17 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.02 in profit for every $100 of shareholder equity.
ROA
Easterly Acquisition Corp. Units generates $4.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Easterly Acquisition Corp. Units produces operating cash flow of $568.75M, showing steady but balanced cash generation.
Free Cash Flow
Easterly Acquisition Corp. Units generates strong free cash flow of $568.75M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $2.80 in free cash annually.
FCF Yield
EACQU converts 11.93% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
5.44
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.02
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.18
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.85
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.31
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How EACQU Stacks Against Its Sector Peers
| Metric | EACQU Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 5.44 | 18.96 | Better (Cheaper) |
| ROE | 22.02% | 797.00% | Weak |
| Net Margin | 15.47% | -7699.00% (disorted) | Strong |
| Debt/Equity | 0.31 | 2.38 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 560.28 | Weak Liquidity |
| ROA | 4.01% | -23967.00% (disorted) | Weak |
EACQU outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Easterly Acquisition Corp. Units's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
46.65%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
-45.05%
Industry Style: Value, Dividend, Cyclical
DecliningFCF CAGR
-70.81%
Industry Style: Value, Dividend, Cyclical
Declining