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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 6/10

vs
industry
vs
history
Cash to Debt 0.02
NEWS's Cash to Debt is ranked lower than
56% of the 124 Companies
in the Global Credit Services industry.

( Industry Median: 0.12 vs. NEWS: 0.02 )
NEWS' s 10-Year Cash to Debt Range
Min: 0   Max: 0.07
Current: 0.02

0
0.07
Equity to Asset 0.24
NEWS's Equity to Asset is ranked higher than
67% of the 121 Companies
in the Global Credit Services industry.

( Industry Median: 0.25 vs. NEWS: 0.24 )
NEWS' s 10-Year Equity to Asset Range
Min: 0.19   Max: 0.29
Current: 0.24

0.19
0.29
Interest Coverage 0.91
NEWS's Interest Coverage is ranked lower than
55% of the 110 Companies
in the Global Credit Services industry.

( Industry Median: 3.32 vs. NEWS: 0.91 )
NEWS' s 10-Year Interest Coverage Range
Min: 0.43   Max: 1.15
Current: 0.91

0.43
1.15
F-Score: 3
Z-Score: 0.23
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 5/10

vs
industry
vs
history
Operating margin (%) 39.80
NEWS's Operating margin (%) is ranked higher than
81% of the 129 Companies
in the Global Credit Services industry.

( Industry Median: 25.26 vs. NEWS: 39.80 )
NEWS' s 10-Year Operating margin (%) Range
Min: -66.7   Max: 41.01
Current: 39.8

-66.7
41.01
Net-margin (%) 25.04
NEWS's Net-margin (%) is ranked higher than
79% of the 131 Companies
in the Global Credit Services industry.

( Industry Median: 16.25 vs. NEWS: 25.04 )
NEWS' s 10-Year Net-margin (%) Range
Min: -47.47   Max: 25.04
Current: 25.04

-47.47
25.04
ROE (%) 3.99
NEWS's ROE (%) is ranked higher than
51% of the 132 Companies
in the Global Credit Services industry.

( Industry Median: 11.35 vs. NEWS: 3.99 )
NEWS' s 10-Year ROE (%) Range
Min: -8.95   Max: 4.03
Current: 3.99

-8.95
4.03
ROA (%) 0.94
NEWS's ROA (%) is ranked higher than
53% of the 133 Companies
in the Global Credit Services industry.

( Industry Median: 2.80 vs. NEWS: 0.94 )
NEWS' s 10-Year ROA (%) Range
Min: -4.57   Max: 1.11
Current: 0.94

-4.57
1.11
ROC (Joel Greenblatt) (%) 4692.56
NEWS's ROC (Joel Greenblatt) (%) is ranked higher than
98% of the 127 Companies
in the Global Credit Services industry.

( Industry Median: 33.24 vs. NEWS: 4692.56 )
NEWS' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -7196   Max: 9463.51
Current: 4692.56

-7196
9463.51
Revenue Growth (%) 2.40
NEWS's Revenue Growth (%) is ranked higher than
63% of the 113 Companies
in the Global Credit Services industry.

( Industry Median: 5.80 vs. NEWS: 2.40 )
NEWS' s 10-Year Revenue Growth (%) Range
Min: 0   Max: 2.4
Current: 2.4

0
2.4
EBITDA Growth (%) 23.90
NEWS's EBITDA Growth (%) is ranked higher than
88% of the 97 Companies
in the Global Credit Services industry.

( Industry Median: 10.10 vs. NEWS: 23.90 )
NEWS' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 23.9
Current: 23.9

0
23.9
EPS Growth (%) 34.30
NEWS's EPS Growth (%) is ranked higher than
90% of the 94 Companies
in the Global Credit Services industry.

( Industry Median: 17.30 vs. NEWS: 34.30 )
NEWS' s 10-Year EPS Growth (%) Range
Min: -41.5   Max: 34.3
Current: 34.3

-41.5
34.3
» NEWS's 10-Y Financials

Financials


Revenue & Net Income
Equity & Asset
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

NEWS Guru Trades in Q1 2013

Jim Simons 35,200 sh (-6.88%)
» More
Q2 2013

NEWS Guru Trades in Q2 2013

Jim Simons 30,100 sh (-14.49%)
» More
Q3 2013

NEWS Guru Trades in Q3 2013

Jim Simons 34,500 sh (+14.62%)
» More
Q4 2013

NEWS Guru Trades in Q4 2013

Jim Simons 44,600 sh (+29.28%)
» More
» Details

Insider Trades

Latest Guru Trades with NEWS



No Insider Trades Found!
» Interactive Charts

Peter Lynch Chart ( What is Peter Lynch Charts )

Ratios

vs
industry
vs
history
P/E(ttm) 26.40
NEWS's P/E(ttm) is ranked lower than
67% of the 118 Companies
in the Global Credit Services industry.

( Industry Median: 12.40 vs. NEWS: 26.40 )
NEWS' s 10-Year P/E(ttm) Range
Min: 2.93   Max: 64.29
Current: 26.4

2.93
64.29
P/B 1.00
NEWS's P/B is ranked higher than
77% of the 132 Companies
in the Global Credit Services industry.

( Industry Median: 1.40 vs. NEWS: 1.00 )
NEWS' s 10-Year P/B Range
Min: 0.09   Max: 1.52
Current: 1

0.09
1.52
P/S 6.67
NEWS's P/S is ranked lower than
72% of the 126 Companies
in the Global Credit Services industry.

( Industry Median: 2.50 vs. NEWS: 6.67 )
NEWS' s 10-Year P/S Range
Min: 0.42   Max: 9.65
Current: 6.67

0.42
9.65
PFCF 11.50
NEWS's PFCF is ranked lower than
57% of the 72 Companies
in the Global Credit Services industry.

( Industry Median: 7.30 vs. NEWS: 11.50 )
NEWS' s 10-Year PFCF Range
Min: 0.61   Max: 134
Current: 11.5

0.61
134
EV-to-EBIT 62.50
NEWS's EV-to-EBIT is ranked lower than
76% of the 119 Companies
in the Global Credit Services industry.

( Industry Median: 16.90 vs. NEWS: 62.50 )
NEWS' s 10-Year EV-to-EBIT Range
Min: 48.2   Max: 590.6
Current: 62.5

48.2
590.6
Shiller P/E 81.70
NEWS's Shiller P/E is ranked lower than
87% of the 76 Companies
in the Global Credit Services industry.

( Industry Median: 18.31 vs. NEWS: 81.70 )
NEWS' s 10-Year Shiller P/E Range
Min: 81.7   Max: 481
Current: 81.7

81.7
481

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 1.00
NEWS's Price/Tangible Book is ranked higher than
76% of the 127 Companies
in the Global Credit Services industry.

( Industry Median: 1.70 vs. NEWS: 1.00 )
NEWS' s 10-Year Price/Tangible Book Range
Min: 0.33   Max: 1.4
Current: 1

0.33
1.4
Price/DCF (Projected) 0.70
NEWS's Price/DCF (Projected) is ranked higher than
63% of the 60 Companies
in the Global Credit Services industry.

( Industry Median: 0.70 vs. NEWS: 0.70 )
NEWS' s 10-Year Price/DCF (Projected) Range
Min: 0.75   Max: 1.02
Current: 0.7

0.75
1.02
Price/Median PS Value 1.20
NEWS's Price/Median PS Value is ranked higher than
60% of the 119 Companies
in the Global Credit Services industry.

( Industry Median: 1.20 vs. NEWS: 1.20 )
NEWS' s 10-Year Price/Median PS Value Range
Min: 0.29   Max: 1.75
Current: 1.2

0.29
1.75
Price/Graham Number 1.00
NEWS's Price/Graham Number is ranked higher than
53% of the 116 Companies
in the Global Credit Services industry.

( Industry Median: 0.90 vs. NEWS: 1.00 )
NEWS' s 10-Year Price/Graham Number Range
Min: 0.36   Max: 1.48
Current: 1

0.36
1.48
Earnings Yield (Greenblatt) 1.60
NEWS's Earnings Yield (Greenblatt) is ranked lower than
65% of the 127 Companies
in the Global Credit Services industry.

( Industry Median: 5.50 vs. NEWS: 1.60 )
NEWS' s 10-Year Earnings Yield (Greenblatt) Range
Min: 0.2   Max: 2.1
Current: 1.6

0.2
2.1
Forward Rate of Return (Yacktman) 7.11
NEWS's Forward Rate of Return (Yacktman) is ranked higher than
65% of the 102 Companies
in the Global Credit Services industry.

( Industry Median: 12.04 vs. NEWS: 7.11 )
NEWS' s 10-Year Forward Rate of Return (Yacktman) Range
Min: 0.3   Max: 9.7
Current: 7.11

0.3
9.7

Business Description

Industry: Credit Services » Credit Services
Compare:V, MA, TCAP, DFS, COF » details
NewStar Financial, Inc., is a commercial finance company that provides customized debt financing solutions to middle-market businesses and commercial real estate borrowers. The Company mainly focuses on direct origination loans, and utilizes private equity sponsors, corporate executives, regional banks, real estate investors and a number of other financial intermediaries to source transaction opportunities. The Company's origination and credit operations are organized into two lending groups: Middle Market Corporate and Commercial Real Estate. Its Middle Market Corporate group provides senior secured, senior subordinated, and to a lesser extent, second lien, mezzanine and subordinated debt, and equity and other equity-linked products to companies with annual EBITDA between $5 million and $50 million, the proceeds of which are mainly used for acquisition financing, growth and working capital, recapitalization and other purposes. Middle Market Corporate group also originates, structures and underwrites senior and subordinated debt for mid-sized specialty finance companies with assets generally between $25 million and $250 million, mainly to fund asset growth. The Company's commercial real estate group originates, structures and underwrites first mortgage and senior subordinated asset-based debt mainly to finance the acquisition of real estate properties typically valued between $10 million and $50 million.

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