CREDIT ACCEPTANCE CORP
$504.63
+1.10 (+0.22%) · delayed · Nov 13, 2026
Five-year price
52w $405.00 to $668.86
- Market cap
- $5.1B
- Enterprise value
- $5.1B
- P/E
- 13.9×
- 19.3× on 3y avg EPS
- EV / EBIT
- —
- FCF yield
- 20.6%
- ROIC
- —
- Debt / equity
- —
- Piotroski F
- 7/9
Value scorecard · FY2025
Does it pass the value tests?
Quality
100
- –ROIC > 12% (5y avg)5y avg ROIC n/a
- ●ROE > 15% (5y avg)5y avg ROE 28.8%
- –Stable operating marginsMargin volatility n/a (σ, 5y)
- ●Earnings convert to cashFCF / net income 293% (5y avg)
- ●Growing revenueRevenue CAGR 5y 6.8%
- ●Shrinking share countDiluted shares -35.0% over 5y
Value
50
- ●P/E below 15P/E 13.9
- –EV/EBIT below 12EV/EBIT n/a
- ●FCF yield above 6%FCF yield 20.6%
- ○Price below Graham NumberGraham Number $350.75
- ○P/B below 3P/B 3.4
Safety
n/a
- –Debt / equity below 0.5D/E n/a
- ●Debt payable in < 4 yrs of earningsNet debt $-0.0B
- –Interest coverage > 8xCoverage n/ax
- –Current ratio > 1.5Current ratio n/a
- ●Piotroski F-score ≥ 6F-score 7/9
Graham Defensive
33
- ●Adequate size (revenue > $2B)Revenue $2.3B
- –Strong condition (current ratio ≥ 2)Current ratio n/a
- ●Earnings stability (no loss, 10y)10 years of data
- ○Uninterrupted dividendsDividends paid every year on record
- ○Earnings growth ≥ 33% (10y, 3y avgs)EPS growth 12%
- ○Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 19.3
- ○P/E × P/B ≤ 22.5Product 65.0
Valuation lab
What do you have to believe?
At $504.63, the market is pricing in about −14.1% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt −$23M · 10M shares · 5y revenue CAGR 6.8%
Intrinsic value
$2,302.78
Price
$504.63
Margin of safety
78%
What the price implies
The market is paying for −14.1% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
59% of the value sits beyond year 10.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 969 | 1,110 | 1,286 | 1,489 | 1,669 | 1,856 | 1,832 | 1,902 | 2,162 | 2,317 |
| Gross profit | — | — | — | — | — | — | — | — | — | — |
| Operating income | — | — | — | — | — | — | — | — | — | — |
| Operating margin | — | — | — | — | — | — | — | — | — | — |
| Pre-tax income | 531 | 584 | 755 | 856 | 550 | 1,261 | 712 | 368 | 330 | 565 |
| Income tax | 198 | 114 | 181 | 200 | 129 | 303 | 176 | 82 | 82 | 142 |
| Net income | 333 | 470 | 574 | 656 | 421 | 958 | 536 | 286 | 248 | 424 |
| EPS (diluted) | 16.31 | 24.04 | 29.39 | 34.57 | 23.47 | 59.52 | 39.32 | 21.99 | 19.88 | 36.38 |
| Diluted shares | 20 | 20 | 20 | 19 | 18 | 16 | 14 | 13 | 12 | 12 |
Who owns it