* Note: Prices are in Million (M) USD.
Description:
America's Car-Mart, Inc., is an automotive retailer in the United States. The company is headquartered in Rogers, Arkansas.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $118 M
Debt : $892 M
EBITDA : $21 M
Net Debt (Debt - Cash): $774 M
Since EBITDA cannot cover net debt within 3 years, Avoid This Stock.
This criteria used industry in which company operates:
Sector: Consumer discretionary
Industry: Auto & truck dealerships
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 20 overlapping fiscal years (max 20).Average Free Cash Flow: $-19 M
Average Revenue: $655 M
Revenue Converted To Free Cash Flow (%): -3.0%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2025-04-30): $1,391 M
Revenue 5 Years Ago (2020-04-30): $745 M
Total Growth over 5 Years: 86.8%
5-Year Revenue CAGR (Historical): 13.3%
Forward 5-Year CAGR (Tapered): 10.6%
Since historical Revenue CAGR is between 10 - 15, 3 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2025-04-30): $8 M
Share Count 5 Years Ago (2021-04-30): $7 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $-2.92
Trailing 12-Month Earnings Per Share (EPS): $-4.37
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0.00%
⚠️ Caution: Negative earnings detected — Further research is recommended - Next Fiscal Yr EPS: $-2.92
- Latest/TTM EPS: $-4.37
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 20 valid ROE years (max 20).Average ROE: 12.0%
Since Average ROE is between 10 - 20, 3 points assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $12.92
52-Week Low: $10.58
Threshold Price (15% Above 52-Week Low): $12.17
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $108 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 0.5% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
Owners' Earnings (FCF/Share) (TTM ending 2026-01-31): $1.72
Owners' Earnings (FCF/Share, latest positive annual) (2020-04-30): $2.02
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 12 points to above Americas Car-Mart Inc (CRMT) stock.
Last 19 Years Avg PE 15.55, Fair Value PE 12, Industry Based PE 12, Growth Based PE 15, ROE Based PE 12.04, Risk-Free Anchored PE (25% MoS) 17.36. Based on these 6 values, average assigned is 13.99. The fair value of Americas Car-Mart Inc (CRMT) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
