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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 : 5/10

vs
industry
vs
history
Cash-to-Debt 0.05
NEWS's Cash-to-Debt is ranked lower than
85% of the 289 Companies
in the Global Credit Services industry.

( Industry Median: 3.69 vs. NEWS: 0.05 )
Ranked among companies with meaningful Cash-to-Debt only.
NEWS' s Cash-to-Debt Range Over the Past 10 Years
Min: 0  Med: 0.03 Max: 0.07
Current: 0.05
0
0.07
Equity-to-Asset 0.16
NEWS's Equity-to-Asset is ranked lower than
78% of the 269 Companies
in the Global Credit Services industry.

( Industry Median: 0.39 vs. NEWS: 0.16 )
Ranked among companies with meaningful Equity-to-Asset only.
NEWS' s Equity-to-Asset Range Over the Past 10 Years
Min: 0.12  Med: 0.23 Max: 0.51
Current: 0.16
0.12
0.51
Interest Coverage 0.30
NEWS's Interest Coverage is ranked lower than
94% of the 342 Companies
in the Global Credit Services industry.

( Industry Median: 5.48 vs. NEWS: 0.30 )
Ranked among companies with meaningful Interest Coverage only.
NEWS' s Interest Coverage Range Over the Past 10 Years
Min: 0.24  Med: 0.44 Max: 1.15
Current: 0.3
0.24
1.15
Piotroski F-Score: 6
Beneish M-Score: -2.61
WACC vs ROIC
4.73%
0.73%
WACC
ROIC
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 : 8/10

vs
industry
vs
history
Operating Margin % 33.87
NEWS's Operating Margin % is ranked higher than
68% of the 284 Companies
in the Global Credit Services industry.

( Industry Median: 18.21 vs. NEWS: 33.87 )
Ranked among companies with meaningful Operating Margin % only.
NEWS' s Operating Margin % Range Over the Past 10 Years
Min: -66.7  Med: 28.43 Max: 41.01
Current: 33.87
-66.7
41.01
Net Margin % 19.65
NEWS's Net Margin % is ranked higher than
61% of the 284 Companies
in the Global Credit Services industry.

( Industry Median: 12.83 vs. NEWS: 19.65 )
Ranked among companies with meaningful Net Margin % only.
NEWS' s Net Margin % Range Over the Past 10 Years
Min: -42.03  Med: 16.86 Max: 24.51
Current: 19.65
-42.03
24.51
ROE % 4.23
NEWS's ROE % is ranked lower than
62% of the 286 Companies
in the Global Credit Services industry.

( Industry Median: 6.71 vs. NEWS: 4.23 )
Ranked among companies with meaningful ROE % only.
NEWS' s ROE % Range Over the Past 10 Years
Min: -7.85  Med: 2.55 Max: 4.32
Current: 4.23
-7.85
4.32
ROA % 0.69
NEWS's ROA % is ranked lower than
68% of the 297 Companies
in the Global Credit Services industry.

( Industry Median: 2.31 vs. NEWS: 0.69 )
Ranked among companies with meaningful ROA % only.
NEWS' s ROA % Range Over the Past 10 Years
Min: -1.86  Med: 0.59 Max: 1.17
Current: 0.69
-1.86
1.17
3-Year Revenue Growth Rate 18.40
NEWS's 3-Year Revenue Growth Rate is ranked higher than
77% of the 248 Companies
in the Global Credit Services industry.

( Industry Median: 4.60 vs. NEWS: 18.40 )
Ranked among companies with meaningful 3-Year Revenue Growth Rate only.
NEWS' s 3-Year Revenue Growth Rate Range Over the Past 10 Years
Min: -15.7  Med: -0.45 Max: 92.6
Current: 18.4
-15.7
92.6
3-Year EBITDA Growth Rate 1.10
NEWS's 3-Year EBITDA Growth Rate is ranked lower than
59% of the 217 Companies
in the Global Credit Services industry.

( Industry Median: 6.10 vs. NEWS: 1.10 )
Ranked among companies with meaningful 3-Year EBITDA Growth Rate only.
NEWS' s 3-Year EBITDA Growth Rate Range Over the Past 10 Years
Min: -66  Med: -9.8 Max: 25.3
Current: 1.1
-66
25.3
3-Year EPS without NRI Growth Rate 9.90
NEWS's 3-Year EPS without NRI Growth Rate is ranked higher than
63% of the 217 Companies
in the Global Credit Services industry.

( Industry Median: 1.70 vs. NEWS: 9.90 )
Ranked among companies with meaningful 3-Year EPS without NRI Growth Rate only.
NEWS' s 3-Year EPS without NRI Growth Rate Range Over the Past 10 Years
Min: -41.5  Med: -8 Max: 34.3
Current: 9.9
-41.5
34.3
GuruFocus has detected 5 Warning Signs with NewStar Financial Inc $NEWS.
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» NEWS's 10-Y Financials

Financials


Revenue & Net Income
Equity & Asset
Operating Cash Flow & Free Cash Flow
Operating Cash Flow & Net Income

» Details

Guru Trades

Q2 2015

NEWS Guru Trades in Q2 2015

Jim Simons 15,100 sh (-24.12%)
» More
Q3 2015

NEWS Guru Trades in Q3 2015

Jim Simons 10,200 sh (-32.45%)
» More
Q4 2015

NEWS Guru Trades in Q4 2015

Jim Simons Sold Out
» More
Q4 2016

NEWS Guru Trades in Q4 2016

Jim Simons 215,700 sh (New)
George Soros 1,107,683 sh (New)
» More
» Details

Insider Trades

Latest Guru Trades with NEWS

(List those with share number changes of more than 20%, or impact to portfolio more than 0.1%)

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Business Description

Industry: Credit Services » Credit Services    NAICS: 523910    SIC: 6153
Compare:NAS:WRLD, NAS:EZPW, NYSE:ONDK, OTCPK:EHMEF, NYSE:AGM, NYSE:RM, NAS:FSC, OTCPK:ALARF, NAS:MGI, NYSE:PHH, OTCPK:CCGN, OTCPK:CHWWF, NAS:CPSS, NAS:ASFI, NAS:SNFCA, OTCPK:AUTCF, NAS:NICK, OTCPK:FAHLF, NYSE:TCAP, NAS:MFIN » details
NewStar Financial Inc is a commercial finance company. It is also an investment adviser & provides asset management services to institutional investors through managed credit funds that co-invest in certain types of loans originated by the Company.

NewStar Financial Inc is a Delaware corporation, founded in June 2004. On December 14, 2006, its common stock began trading on the NASDAQ Global Market, and on December 19, 2006 it completed the initial public offering of its common stock. It is a commercial finance company, which provides customized debt financing solutions to middle-market businesses and commercial real estate borrowers. It operates on a national basis and provides senior secured debt financing options to mid-sized companies to fund working capital, growth strategies, acquisitions and recapitalizations, as well as, equipment purchases. The Company also selectively arranges larger transactions, which it may hold on its balance sheet or syndicate to other lenders. By syndicating loans to other lenders, it is able to provide larger financing commitments to its customers and generate fee income, while limiting its risk exposure to a single borrower. The Company's lending activities are organized into four specialized lending groups: Leveraged Finance, Business Credit, Real Estate, and Equipment Finance. Its Leveraged Finance group originates, structures and underwrites senior, secured cash flow loans and, to a lesser extent, second lien loans for companies with annual EBITDA typically between $10 million and $50 million, the proceeds of which are primarily used for acquisition financing, growth and working capital, recapitalizations and other purposes. Business Credit group structures and underwrites senior, secured asset-based loans for companies with sales typically between $25 million and $500 million operating across a range of industry sectors. Its Real Estate group manages an existing portfolio of first mortgage debt which was used primarily to finance the acquisition of commercial real estate properties typically valued between $10 million and $50 million. Its Equipment Finance group provides a lease financing options to mid-sized companies to fund various types of capital expenditures. Its loans and other debt products include First mortgage, Senior secured asset-based, Senior secured cash flow, and Other. The Company competes with specialty and commercial finance companies, including business development companies, private investment funds and hedge funds, national and regional banks, investment banks, and insurance companies. The Company is subject to supervision and regulation by state and federal governmental authorities and may be subject to various laws and regulations imposing various requirements and restrictions.

Ratios

vs
industry
vs
history
PE Ratio 16.05
NEWS's PE Ratio is ranked lower than
52% of the 223 Companies
in the Global Credit Services industry.

( Industry Median: 14.78 vs. NEWS: 16.05 )
Ranked among companies with meaningful PE Ratio only.
NEWS' s PE Ratio Range Over the Past 10 Years
Min: 2.98  Med: 29.9 Max: 88.21
Current: 16.05
2.98
88.21
PE Ratio without NRI 16.05
NEWS's PE Ratio without NRI is ranked lower than
53% of the 225 Companies
in the Global Credit Services industry.

( Industry Median: 15.20 vs. NEWS: 16.05 )
Ranked among companies with meaningful PE Ratio without NRI only.
NEWS' s PE Ratio without NRI Range Over the Past 10 Years
Min: 2.98  Med: 29.9 Max: 88.21
Current: 16.05
2.98
88.21
Price-to-Owner-Earnings 18.09
NEWS's Price-to-Owner-Earnings is ranked lower than
68% of the 78 Companies
in the Global Credit Services industry.

( Industry Median: 12.81 vs. NEWS: 18.09 )
Ranked among companies with meaningful Price-to-Owner-Earnings only.
NEWS' s Price-to-Owner-Earnings Range Over the Past 10 Years
Min: 1.02  Med: 21.29 Max: 335.38
Current: 18.09
1.02
335.38
PB Ratio 0.68
NEWS's PB Ratio is ranked higher than
70% of the 274 Companies
in the Global Credit Services industry.

( Industry Median: 1.12 vs. NEWS: 0.68 )
Ranked among companies with meaningful PB Ratio only.
NEWS' s PB Ratio Range Over the Past 10 Years
Min: 0.09  Med: 0.81 Max: 1.71
Current: 0.68
0.09
1.71
PS Ratio 3.15
NEWS's PS Ratio is ranked lower than
51% of the 273 Companies
in the Global Credit Services industry.

( Industry Median: 3.14 vs. NEWS: 3.15 )
Ranked among companies with meaningful PS Ratio only.
NEWS' s PS Ratio Range Over the Past 10 Years
Min: 0.42  Med: 4.99 Max: 7.38
Current: 3.15
0.42
7.38
Price-to-Free-Cash-Flow 3.77
NEWS's Price-to-Free-Cash-Flow is ranked higher than
73% of the 67 Companies
in the Global Credit Services industry.

( Industry Median: 6.99 vs. NEWS: 3.77 )
Ranked among companies with meaningful Price-to-Free-Cash-Flow only.
NEWS' s Price-to-Free-Cash-Flow Range Over the Past 10 Years
Min: 0.6  Med: 11.77 Max: 153.77
Current: 3.77
0.6
153.77
Price-to-Operating-Cash-Flow 3.77
NEWS's Price-to-Operating-Cash-Flow is ranked higher than
74% of the 86 Companies
in the Global Credit Services industry.

( Industry Median: 7.95 vs. NEWS: 3.77 )
Ranked among companies with meaningful Price-to-Operating-Cash-Flow only.
NEWS' s Price-to-Operating-Cash-Flow Range Over the Past 10 Years
Min: 0.6  Med: 11.67 Max: 104.22
Current: 3.77
0.6
104.22
EV-to-EBIT 72.79
NEWS's EV-to-EBIT is ranked lower than
88% of the 197 Companies
in the Global Credit Services industry.

( Industry Median: 16.68 vs. NEWS: 72.79 )
Ranked among companies with meaningful EV-to-EBIT only.
NEWS' s EV-to-EBIT Range Over the Past 10 Years
Min: -218.4  Med: 54 Max: 590.6
Current: 72.79
-218.4
590.6
EV-to-EBITDA 61.26
NEWS's EV-to-EBITDA is ranked lower than
88% of the 200 Companies
in the Global Credit Services industry.

( Industry Median: 13.97 vs. NEWS: 61.26 )
Ranked among companies with meaningful EV-to-EBITDA only.
NEWS' s EV-to-EBITDA Range Over the Past 10 Years
Min: -940  Med: 43 Max: 192
Current: 61.26
-940
192
PEG Ratio 4.44
NEWS's PEG Ratio is ranked lower than
86% of the 96 Companies
in the Global Credit Services industry.

( Industry Median: 0.70 vs. NEWS: 4.44 )
Ranked among companies with meaningful PEG Ratio only.
NEWS' s PEG Ratio Range Over the Past 10 Years
Min: 0  Med: 3.09 Max: 313.64
Current: 4.44
0
313.64
Shiller PE Ratio 53.61
NEWS's Shiller PE Ratio is ranked lower than
93% of the 41 Companies
in the Global Credit Services industry.

( Industry Median: 14.81 vs. NEWS: 53.61 )
Ranked among companies with meaningful Shiller PE Ratio only.
NEWS' s Shiller PE Ratio Range Over the Past 10 Years
Min: 44  Med: 48.32 Max: 53.61
Current: 53.61
44
53.61

Buy Back

vs
industry
vs
history
Forward Dividend Yield % 0.80
NEWS's Forward Dividend Yield % is ranked lower than
85% of the 257 Companies
in the Global Credit Services industry.

( Industry Median: 3.00 vs. NEWS: 0.80 )
Ranked among companies with meaningful Forward Dividend Yield % only.
N/A
3-Year Average Share Buyback Ratio 3.10
NEWS's 3-Year Average Share Buyback Ratio is ranked higher than
86% of the 125 Companies
in the Global Credit Services industry.

( Industry Median: -3.50 vs. NEWS: 3.10 )
Ranked among companies with meaningful 3-Year Average Share Buyback Ratio only.
NEWS' s 3-Year Average Share Buyback Ratio Range Over the Past 10 Years
Min: -108.4  Med: -0.05 Max: 3.1
Current: 3.1
-108.4
3.1

Valuation & Return

vs
industry
vs
history
Price-to-Tangible-Book 0.70
NEWS's Price-to-Tangible-Book is ranked higher than
69% of the 265 Companies
in the Global Credit Services industry.

( Industry Median: 1.20 vs. NEWS: 0.70 )
Ranked among companies with meaningful Price-to-Tangible-Book only.
NEWS' s Price-to-Tangible-Book Range Over the Past 10 Years
Min: 0.33  Med: 0.89 Max: 1.58
Current: 0.7
0.33
1.58
Price-to-Intrinsic-Value-Projected-FCF 1.11
NEWS's Price-to-Intrinsic-Value-Projected-FCF is ranked lower than
58% of the 67 Companies
in the Global Credit Services industry.

( Industry Median: 0.83 vs. NEWS: 1.11 )
Ranked among companies with meaningful Price-to-Intrinsic-Value-Projected-FCF only.
NEWS' s Price-to-Intrinsic-Value-Projected-FCF Range Over the Past 10 Years
Min: 0.73  Med: 1.02 Max: 1.62
Current: 1.11
0.73
1.62
Price-to-Median-PS-Value 0.63
NEWS's Price-to-Median-PS-Value is ranked higher than
79% of the 246 Companies
in the Global Credit Services industry.

( Industry Median: 1.03 vs. NEWS: 0.63 )
Ranked among companies with meaningful Price-to-Median-PS-Value only.
NEWS' s Price-to-Median-PS-Value Range Over the Past 10 Years
Min: 0.32  Med: 1.19 Max: 1.43
Current: 0.63
0.32
1.43
Price-to-Graham-Number 0.71
NEWS's Price-to-Graham-Number is ranked higher than
65% of the 144 Companies
in the Global Credit Services industry.

( Industry Median: 0.93 vs. NEWS: 0.71 )
Ranked among companies with meaningful Price-to-Graham-Number only.
NEWS' s Price-to-Graham-Number Range Over the Past 10 Years
Min: 0.36  Med: 1.25 Max: 1.6
Current: 0.71
0.36
1.6
Earnings Yield (Greenblatt) % 1.40
NEWS's Earnings Yield (Greenblatt) % is ranked lower than
67% of the 260 Companies
in the Global Credit Services industry.

( Industry Median: 4.20 vs. NEWS: 1.40 )
Ranked among companies with meaningful Earnings Yield (Greenblatt) % only.
NEWS' s Earnings Yield (Greenblatt) % Range Over the Past 10 Years
Min: 0.2  Med: 1.4 Max: 3.5
Current: 1.4
0.2
3.5
Forward Rate of Return (Yacktman) % -6.67
NEWS's Forward Rate of Return (Yacktman) % is ranked lower than
74% of the 116 Companies
in the Global Credit Services industry.

( Industry Median: 7.91 vs. NEWS: -6.67 )
Ranked among companies with meaningful Forward Rate of Return (Yacktman) % only.
NEWS' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -17.3  Med: 4 Max: 11
Current: -6.67
-17.3
11

More Statistics

Revenue (TTM) (Mil) $143.6
EPS (TTM) $ 0.62
Beta2.15
Short Percentage of Float0.79%
52-Week Range $6.44 - 11.37
Shares Outstanding (Mil)44.21
» More Articles for NEWS

Headlines

Articles On GuruFocus.com
52-Week High Companies: AMGN, CBE, FISV, NEWS, ACE Oct 01 2012 
NEWSTAR FINANCIAL, INC. Reports Operating Results (10-K) Mar 04 2011 

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