Offerpad Solutions Inc. Fundamental Analysis
Offerpad Solutions Inc. (OPAD-WT) shows weak financial fundamentals with a PE ratio of -0.69, profit margin of -8.51%, and ROE of -1.12%. The company generates $278.2B in annual revenue with weak year-over-year growth of -30.10%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -117.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze OPAD-WT's fundamental strength across five key dimensions:
Efficiency Score
WeakOPAD-WT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentOPAD-WT trades at attractive valuation levels.
Growth Score
ModerateOPAD-WT shows steady but slowing expansion.
Financial Health Score
ExcellentOPAD-WT maintains a strong and stable balance sheet.
Profitability Score
WeakOPAD-WT struggles to sustain strong margins.
Key Financial Metrics
Is OPAD-WT Expensive or Cheap?
P/E Ratio
OPAD-WT trades at -0.69 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, OPAD-WT's PEG of -0.01 indicates potential undervaluation.
Price to Book
The market values Offerpad Solutions Inc. at 0.62 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -2.11 times EBITDA. This is generally considered low.
How Well Does OPAD-WT Make Money?
Net Profit Margin
For every $100 in sales, Offerpad Solutions Inc. keeps $-8.51 as profit after all expenses.
Operating Margin
Core operations generate -6.34 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-1.12 in profit for every $100 of shareholder equity.
ROA
Offerpad Solutions Inc. generates $-27.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Offerpad Solutions Inc. produces operating cash flow of $49.12B, showing steady but balanced cash generation.
Free Cash Flow
Offerpad Solutions Inc. generates strong free cash flow of $49.06B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.86 in free cash annually.
FCF Yield
OPAD-WT converts 4.47% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.62
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.04
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.66
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-1.12
vs 25 benchmark
ROA
Return on assets percentage
-0.28
vs 25 benchmark
ROCE
Return on capital employed
-0.42
vs 25 benchmark
How OPAD-WT Stacks Against Its Sector Peers
| Metric | OPAD-WT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.69 | 23.27 | Better (Cheaper) |
| ROE | -111.72% | 680.00% | Weak |
| Net Margin | -8.51% | 1953.00% | Weak |
| Debt/Equity | 0.00 | -17.04 (disorted) | Distorted |
| Current Ratio | 1.66 | 23.29 | Neutral |
| ROA | -27.68% | -758.00% (disorted) | Weak |
OPAD-WT outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Offerpad Solutions Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-89.55%
Industry Style: Income, Inflation Hedge, REIT
DecliningEPS CAGR
85.36%
Industry Style: Income, Inflation Hedge, REIT
High GrowthFCF CAGR
102.34%
Industry Style: Income, Inflation Hedge, REIT
High Growth