QCR Holdings, Inc. Fundamental Analysis (NASDAQ: QCRH)
QCR Holdings, Inc. (NASDAQ: QCRH) shows moderate financial fundamentals with a PE ratio of 12.10, profit margin of 22.94%, and ROE of 12.70%. The company generates $0.6B in annual revenue with weak year-over-year growth of 1.53%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 74.2/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze QCRH's fundamental strength across five key dimensions:
Efficiency Score
WeakQCRH struggles to generate sufficient returns from assets.
Valuation Score
ExcellentQCRH trades at attractive valuation levels.
Growth Score
ModerateQCRH shows steady but slowing expansion.
Financial Health Score
ExcellentQCRH maintains a strong and stable balance sheet.
Profitability Score
ModerateQCRH maintains healthy but balanced margins.
Key Financial Metrics
Is QCRH Expensive or Cheap?
P/E Ratio
QCRH trades at 12.10 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, QCRH's PEG of 0.45 indicates potential undervaluation.
Price to Book
The market values QCR Holdings, Inc. at 1.47 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.92 times EBITDA. This signals the market has high growth expectations.
How Well Does QCRH Make Money?
Net Profit Margin
For every $100 in sales, QCR Holdings, Inc. keeps $22.94 as profit after all expenses.
Operating Margin
Core operations generate 25.14 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $12.70 in profit for every $100 of shareholder equity.
ROA
QCR Holdings, Inc. generates $1.49 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
QCR Holdings, Inc. generates strong operating cash flow of $430.01M, reflecting robust business health.
Free Cash Flow
QCR Holdings, Inc. generates strong free cash flow of $359.33M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $21.76 in free cash annually.
FCF Yield
QCRH converts 21.20% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.10
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.47
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.008
vs 25 benchmark
Current Ratio
Current assets to current liabilities
12.50
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.13
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How QCRH Stacks Against Its Sector Peers
| Metric | QCRH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.10 | 21.12 | Better (Cheaper) |
| ROE | 12.70% | 655.00% | Weak |
| Net Margin | 22.94% | -778.00% (disorted) | Strong |
| Debt/Equity | 0.01 | 0.87 | Strong (Low Leverage) |
| Current Ratio | 12.50 | 871.99 | Strong Liquidity |
| ROA | 1.49% | 6590.00% | Weak |
QCRH outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews QCR Holdings, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
80.88%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
95.11%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
249.21%
Industry Style: Value, Dividend, Cyclical
High Growth