Chime Financial, Inc. (NASDAQ: CHYM)

Sector: Technology Industry: Software - Application CIK: 0001795586
Market Cap 1.80 Bn
P/B 1.25
P/E -71.18
P/S 1.08
ROIC (Qtr) 0.00
Div Yield % 0.00
Rev 1y % (Qtr) 28.84
Total Debt (Qtr) 125.84 Mn
Debt/Equity (Qtr) 0.09

About

Price action

Investment thesis

Bull case

  • Strong tangible asset base of 1.96B provides 15.59x coverage of total debt 125.84M, indicating robust asset backing and low credit risk.
  • Short-term investments of 742.73M provide solid 2.35x coverage of other current liabilities 315.89M, indicating strong liquidity.
  • Cash reserves of 458.70M provide robust 1.29x coverage of current liabilities 355.92M, indicating strong short-term solvency.
  • Tangible assets of 1.96B provide robust 6.21x coverage of other current liabilities 315.89M, indicating strong asset backing.
  • Cash reserves of 458.70M provide solid 12.30x coverage of other non-current liabilities 37.28M, indicating strong liquidity.

Bear case

  • Short-term investments of 742.73M exceed receivables of 237.65M by 3.13x, indicating potentially inefficient capital allocation given collection cycle needs.
  • Tangible assets of 1.96B provide limited backing for working capital of 1.40B, which is 1.40x, suggesting increased operational risk in market downturns.
  • Other current liabilities of 315.89M represent a high 1.33x of receivables 237.65M, suggesting potential short-term liquidity pressure.

Peer comparison

Companies in the Software - Application
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SAP Sap Se 288.31 Bn 34.60 6.72 10.73 Bn
2 CRM Salesforce, Inc. 248.32 Bn 34.38 6.16 11.14 Bn
3 SHOP Shopify Inc. 212.27 Bn 119.19 19.85 1.12 Bn
4 INTU Intuit Inc. 180.73 Bn 43.89 9.30 6.78 Bn
5 UBER Uber Technologies, Inc 178.38 Bn 10.72 3.60 12.19 Bn
6 NOW ServiceNow, Inc. 146.98 Bn 84.91 11.60 2.40 Bn
7 ADBE Adobe Inc. 144.48 Bn 20.77 6.23 6.64 Bn
8 ADP Automatic Data Processing Inc 108.20 Bn 26.16 5.18 9.77 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.00 2.65
EV to Cash from Ops. EV to Cash from Ops. 0.00 13.37
EV to Debt EV to Debt 0.00 57.69
EV to EBIT EV to EBIT 0.00 19.12
EV to EBITDA EV to EBITDA 0.00 15.00
EV to Free Cash Flow [EV/FCF] EV to Free Cash Flow [EV/FCF] 0.00 14.69
EV to Market Cap EV to Market Cap 0.00 -92.28
EV to Revenue EV to Revenue 0.00 4.60
Price to Book Value [P/B] P/B 1.25 4.26
Price to Earnings [P/E] P/E -71.18 -136.90
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -3.95
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 4.25
Dividend per Basic Share Div per Share (Qtr) 0.00 0.15
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 2.52
Interest Coverage Interest Coverage 0.00 -52.32
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 0.00 -259.78
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 0.00 9,763.58
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 1.61
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 0.00 -263.15
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 0.00 56.46
EBIT Growth (1y) % EBIT 1y % (Qtr) 0.00 -225.15
EBT Growth (1y) % EBT 1y % (Qtr) 0.00 -86.10
EPS Growth (1y) % EPS 1y % (Qtr) 0.00 123.84
FCF Growth (1y) % FCF 1y % (Qtr) 0.00 -36.82
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 0.00 95.08
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.58
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 1.29 3.75
Current Ratio Curr Ratio (Qtr) 4.94 8.16
Debt to Equity Ratio Debt/Equity (Qtr) 0.09 0.17
Interest Cover Ratio Interest Cover Ratio 0.00 -52.32
Times Interest Earned Times Interest Earned 0.00 -52.32
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 0.00 -100.06
EBIT Margin % EBIT Margin % (Qtr) 0.00 -164.24
EBT Margin % EBT Margin % (Qtr) 0.00 -116.94
Gross Margin % Gross Margin % (Qtr) 0.00 58.20
Net Profit Margin % Net Margin % (Qtr) 0.00 -121.65