Silver Spike Acquisition Corp.
Silver Spike Acquisition Corp. Fundamental Analysis
Silver Spike Acquisition Corp. (SSPK) shows weak financial fundamentals with a PE ratio of 257.02, profit margin of 4.40%, and ROE of 16.24%. The company generates $0.3B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.0/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze SSPK's fundamental strength across five key dimensions:
Efficiency Score
WeakSSPK struggles to generate sufficient returns from assets.
Valuation Score
WeakSSPK trades at a premium to fair value.
Growth Score
WeakSSPK faces weak or negative growth trends.
Financial Health Score
ExcellentSSPK maintains a strong and stable balance sheet.
Profitability Score
ModerateSSPK maintains healthy but balanced margins.
Key Financial Metrics
Is SSPK Expensive or Cheap?
P/E Ratio
SSPK trades at 257.02 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, SSPK's PEG of 6.43 indicates potential overvaluation.
Price to Book
The market values Silver Spike Acquisition Corp. at 35.61 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 134.16 times EBITDA. This signals the market has high growth expectations.
How Well Does SSPK Make Money?
Net Profit Margin
For every $100 in sales, Silver Spike Acquisition Corp. keeps $4.40 as profit after all expenses.
Operating Margin
Core operations generate 6.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.24 in profit for every $100 of shareholder equity.
ROA
Silver Spike Acquisition Corp. generates $4.09 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Silver Spike Acquisition Corp. generates limited operating cash flow of $9.46M, signaling weaker underlying cash strength.
Free Cash Flow
Silver Spike Acquisition Corp. produces free cash flow of $9.46M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.05 in free cash annually.
FCF Yield
SSPK converts 0.17% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
257.02
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
6.43
vs 25 benchmark
P/B Ratio
Price to book value ratio
35.61
vs 25 benchmark
P/S Ratio
Price to sales ratio
18.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.48
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How SSPK Stacks Against Its Sector Peers
| Metric | SSPK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 257.02 | 19.09 | Worse (Expensive) |
| ROE | 16.24% | 843.00% | Weak |
| Net Margin | 4.40% | 3730.00% | Weak |
| Debt/Equity | 0.48 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 2.54 | 661.68 | Strong Liquidity |
| ROA | 4.09% | -21651.00% (disorted) | Weak |
SSPK outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Silver Spike Acquisition Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical