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CACC (Credit Acceptance) Earnings Yield (Joel Greenblatt) % : 0.00% (As of Sep. 2024)


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What is Credit Acceptance Earnings Yield (Joel Greenblatt) %?

Credit Acceptance's Enterprise Value for the quarter that ended in Sep. 2024 was $0 Mil. Credit Acceptance's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 was $253 Mil. Credit Acceptance's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2024 was 0.00%.

The historical rank and industry rank for Credit Acceptance's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

CACC' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 1.87   Med: 6.73   Max: 11.14
Current: 2.12

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of Credit Acceptance was 11.14%. The lowest was 1.87%. And the median was 6.73%.

CACC's Earnings Yield (Joel Greenblatt) % is ranked better than
59.59% of 542 companies
in the Credit Services industry
Industry Median: 1 vs CACC: 2.12

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Credit Acceptance's Forward Rate of Return (Yacktman) % for the quarter that ended in Sep. 2024 was 0.00%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Credit Acceptance Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for Credit Acceptance's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Credit Acceptance Earnings Yield (Joel Greenblatt) % Chart

Credit Acceptance Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Earnings Yield (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.80 5.26 8.77 6.61 2.96

Credit Acceptance Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Earnings Yield (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.68 2.96 2.48 2.01 -

Competitive Comparison of Credit Acceptance's Earnings Yield (Joel Greenblatt) %

For the Credit Services subindustry, Credit Acceptance's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Credit Acceptance's Earnings Yield (Joel Greenblatt) % Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Credit Acceptance's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Credit Acceptance's Earnings Yield (Joel Greenblatt) % falls into.



Credit Acceptance Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Credit Acceptances Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2023 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=347.3/11725.358152
=2.96 %

Credit Acceptance's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $253 Mil.



Credit Acceptance  (NAS:CACC) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Credit Acceptance Earnings Yield (Joel Greenblatt) % Related Terms

Thank you for viewing the detailed overview of Credit Acceptance's Earnings Yield (Joel Greenblatt) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Credit Acceptance Business Description

Traded in Other Exchanges
Address
25505 W. Twelve Mile Road, Southfield, MI, USA, 48034-8339
Credit Acceptance Corp is a consumer finance company that specializes in automobile loans. These loans are offered through a U.S. nationwide network of automobile dealers that benefit from sales of vehicles to consumers who could otherwise not obtain financing. The company also benefits from repeat and referral sales, and from sales to customers responding to advertisements for financing, but qualify for traditional financing. The company derives its revenue from finance charges, premiums earned on the reinsurance of vehicle service contracts, and other fees. Of these, financing charges, including servicing fees, are by far a source of revenue.
Executives
Prescott General Partners Llc 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Thomas W Smith 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Daniel A. Ulatowski officer: Chief Sales Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Douglas W Busk officer: Sr. Vice President & Treasurer 25505 WEST TWELVE MILE ROAD, SOUTH FIELD MI 48034
Jonathan Lum officer: Chief Operating Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Erin J Kerber officer: Chief Legal Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Wendy A Rummler officer: Senior VP, Human Resources 25505 WEST TWELVE MILE ROAD, SOUTHFIELD MI 48034
Nicholas J Elliott officer: Chief Alignment Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Arthur L Smith officer: Chief Analytics Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Sean Edward Quinn director C/O CIMPRESS PLC, 275 WYMAN STREET, WALTHAM MA 02451
Scott J Vassalluzzo director, 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Donald A. Foss Irrevocable Trust Dated August 14, 2022 10 percent owner 39395 W. TWELVE MILE ROAD, SUITE 200, FARMINGTON HILLS MI 48331
Andrew K Rostami officer: Chief Mktg and Product Officer 25505 WEST TWELVE MILE ROAD, SOUTHFIELD MI 48034
Ravi Mohan Valiyaveettil officer: Chief Technology Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Thomas N Tryforos director 323 RAILROAD AVE, GREENWICH CT 06830