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CACC (Credit Acceptance) 1-Year ROIIC % : -2.92% (As of Dec. 2024)


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What is Credit Acceptance 1-Year ROIIC %?

1-Year Return on Invested Incremental Capital (1-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 1-year. Credit Acceptance's 1-Year ROIIC % for the quarter that ended in Dec. 2024 was -2.92%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Credit Acceptance's 1-Year ROIIC % or its related term are showing as below:

CACC's 1-Year ROIIC % is ranked worse than
68.04% of 219 companies
in the Credit Services industry
Industry Median: 4.28 vs CACC: -2.92

Credit Acceptance 1-Year ROIIC % Historical Data

The historical data trend for Credit Acceptance's 1-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Credit Acceptance 1-Year ROIIC % Chart

Credit Acceptance Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
1-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -88.20 -122.40 194.66 -45.85 -2.92

Credit Acceptance Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
1-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -45.85 -22.40 -14.46 -10.73 -2.92

Competitive Comparison of Credit Acceptance's 1-Year ROIIC %

For the Credit Services subindustry, Credit Acceptance's 1-Year ROIIC %, along with its competitors' market caps and 1-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Credit Acceptance's 1-Year ROIIC % Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, Credit Acceptance's 1-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Credit Acceptance's 1-Year ROIIC % falls into.



Credit Acceptance 1-Year ROIIC % Calculation

Credit Acceptance's 1-Year ROIIC % for the quarter that ended in Dec. 2024 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 244.60524 (Dec. 2024) - 270.30359 (Dec. 2023) )/( 8077.9 (Dec. 2024) - 7197.2 (Dec. 2023) )
=-25.69835/880.7
=-2.92%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of NOPAT and Invested Capital was used to calculate 1-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Credit Acceptance  (NAS:CACC) 1-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Credit Acceptance 1-Year ROIIC % Related Terms

Thank you for viewing the detailed overview of Credit Acceptance's 1-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Credit Acceptance Business Description

Traded in Other Exchanges
Address
25505 West Twelve Mile Road, Southfield, MI, USA, 48034-8339
Credit Acceptance Corp is a consumer finance company that specializes in automobile loans. These loans are offered through a U.S. nationwide network of automobile dealers that benefit from sales of vehicles to consumers who could otherwise not obtain financing. The company also benefits from repeat and referral sales, and from sales to customers responding to advertisements for financing, but qualify for traditional financing. The company derives its revenue from finance charges, premiums earned on the reinsurance of vehicle service contracts, and other fees. Of these, financing charges, including servicing fees, are by far a source of revenue.
Executives
Jonathan Lum officer: Chief Operating Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Prescott General Partners Llc 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Thomas W Smith 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Daniel A. Ulatowski officer: Chief Sales Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Douglas W Busk officer: Sr. Vice President & Treasurer 25505 WEST TWELVE MILE ROAD, SOUTH FIELD MI 48034
Erin J Kerber officer: Chief Legal Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Wendy A Rummler officer: Senior VP, Human Resources 25505 WEST TWELVE MILE ROAD, SOUTHFIELD MI 48034
Nicholas J Elliott officer: Chief Alignment Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Arthur L Smith officer: Chief Analytics Officer 25505 W 12 MILE ROAD, SOUTHFIELD MI 48034
Sean Edward Quinn director C/O CIMPRESS PLC, 275 WYMAN STREET, WALTHAM MA 02451
Scott J Vassalluzzo director, 10 percent owner, other: Member of Section 13(d) Group 2200 BUTTS ROAD, SUITE 320, BOCA RATON FL 33431
Donald A. Foss Irrevocable Trust Dated August 14, 2022 10 percent owner 39395 W. TWELVE MILE ROAD, SUITE 200, FARMINGTON HILLS MI 48331
Andrew K Rostami officer: Chief Mktg and Product Officer 25505 WEST TWELVE MILE ROAD, SOUTHFIELD MI 48034
Ravi Mohan Valiyaveettil officer: Chief Technology Officer 25505 WEST TWELVE MILE RD, SOUTHFIELD MI 48034
Thomas N Tryforos director 323 RAILROAD AVE, GREENWICH CT 06830