Coincheck Group N.V. (NASDAQ: CNCK)

Sector: Financial Services Industry: Capital Markets CIK: 0001913847
Market Cap 102.36 Mn
P/B 1.47
P/E -0.97
P/S 0.03
ROIC (Qtr) -158.29
Div Yield % 0.00
Rev 1y % (Qtr) 80.10
Total Debt (Qtr) 451.62 Mn
Debt/Equity (Qtr) 6.48

About

Price action

Investment thesis

Bull case

  • Robust tangible asset base of 897.77M provides 19.03x coverage of working capital 47.18M, indicating strong operational backing.
  • Long-term investments of 4.19M provide solid 0.52x coverage of long-term debt 8.10M, indicating strategic financial planning.
  • Short-term investments of 423.81M provide healthy 8.98x coverage of working capital 47.18M, indicating strong liquidity.
  • Strong tangible asset base of 897.77M provides 47.04x coverage of intangibles 19.08M, indicating robust asset quality.
  • Cash reserves of 60M provide solid 9.76x coverage of other non-current liabilities 6.15M, indicating strong liquidity.

Bear case

  • Short-term investments of 423.81M significantly exceed cash reserves of 60M, which is 7.06x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • The company's operating cash flow of (11.44M) shows concerning coverage of stock compensation expenses of 4.14M, with a -2.76 ratio indicating potential earnings quality issues.
  • Free cash flow of (16.25M) provides weak coverage of capital expenditures of 4.81M, with a -3.38 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (94.03M) show weak coverage of depreciation charges of 5.02M, with a -18.72 ratio indicating high capital intensity and potential reinvestment needs.
  • Operating cash flow of (11.44M) provides minimal -1.18x coverage of tax expenses of 9.71M, suggesting potential tax planning inefficiencies or unsustainable tax positions.

Peer comparison

Companies in the Capital Markets
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 GS Goldman Sachs Group Inc 284.23 Bn 17.94 4.84 911.32 Bn
2 MS Morgan Stanley 279.63 Bn 17.97 4.05 353.12 Bn
3 SCHW Schwab Charles Corp 179.33 Bn 23.09 7.83 27.59 Bn
4 HOOD Robinhood Markets, Inc. 106.92 Bn 48.73 25.43 0.00 Bn
5 CRCL Circle Internet Group, Inc. 40.97 Bn 261.00 24.22 0.15 Bn
6 IBKR Interactive Brokers Group, Inc. 28.23 Bn 30.79 4.75 28.43 Bn
7 LPLA LPL Financial Holdings Inc. 27.60 Bn 33.13 1.77 7.52 Bn
8 FUTU Futu Holdings Ltd 22.89 Bn 18.13 8.54 1.75 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets -0.54 1.07
EV to Cash from Ops. EV/CFO 43.46 15.33
EV to Debt EV to Debt -1.10 21.89
EV to EBIT EV/EBIT 5.29 -0.80
EV to EBITDA EV/EBITDA 59.45 11.20
EV to Free Cash Flow [EV/FCF] EV/FCF 30.59 43.08
EV to Market Cap EV to Market Cap -4.86 -0.05
EV to Revenue EV/Rev -0.16 12.82
Price to Book Value [P/B] P/B 1.47 3.09
Price to Earnings [P/E] P/E -0.97 6.20
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 4.22
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 10.37
Dividend per Basic Share Div per Share (Qtr) 0.00 0.70
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -8.68
Interest Coverage Int. cover (Qtr) -44.48 37.53
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 26.49 -12,429.64
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -19.67 1,588.78
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 4.88
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -619.07 270.93
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -127.30 333.57
EBIT Growth (1y) % EBIT 1y % (Qtr) -425.15 3,103.22
EBT Growth (1y) % EBT 1y % (Qtr) -436.97 3,039.53
EPS Growth (1y) % EPS 1y % (Qtr) -258.00 24.25
FCF Growth (1y) % FCF 1y % (Qtr) -163.60 -80.08
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 20.30 51.33
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.02 0.42
Cash Payout Ratio Cash Payout (Qtr) 0.00 -0.08
Cash Ratio Cash Ratio (Qtr) 0.07 2.01
Current Ratio Curr Ratio (Qtr) 1.06 3.47
Debt to Equity Ratio Debt/Equity (Qtr) 6.48 1.46
Interest Cover Ratio Int Coverage (Qtr) -44.48 37.53
Times Interest Earned Times Interest Earned (Qtr) -44.48 37.53
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -2.90 76.68
EBIT Margin % EBIT Margin % (Qtr) -462.10 46.81
EBT Margin % EBT Margin % (Qtr) -3.16 58.57
Gross Margin % Gross Margin % (Qtr) 3.30 53.60
Net Profit Margin % Net Margin % (Qtr) -3.50 29.41