📊 WRLD Key Takeaways
Is World Acceptance Corp. (WRLD) a Good Investment?
World Acceptance Corp is unprofitable with negative operating and net margins despite extraordinary 466% revenue growth, raising material concerns about growth quality and operational efficiency. The company carries substantial leverage (1.93x D/E) with critically low cash reserves (10M) relative to long-term debt (677M) and faces negative interest coverage, creating acute refinancing risk. While 164.8M operating cash flow provides some offset, the combination of persistent losses, high debt burden, and minimal liquidity presents significant financial stress.
Why Buy World Acceptance Corp. Stock? WRLD Key Strengths
- Strong operating cash flow generation of 164.8M and free cash flow of 162.0M despite unprofitability
- Exceptional top-line revenue growth of 466.3% YoY indicates rapid market expansion
- Substantial asset base of 1.1B provides operational capacity for lending operations
WRLD Stock Risks: World Acceptance Corp. Investment Risks
- Company is unprofitable with negative operating margin (-0.2%) and net margin (-0.4%)
- Critical liquidity position with only 10M cash against 677.2M long-term debt and 790.8M total liabilities
- High leverage (1.93x D/E) combined with negative interest coverage (-0.0x) creates acute debt service risk
- Negative returns on equity (-0.4%) and assets (-0.1%) indicate capital destruction
- Extreme revenue growth (466%) warrants investigation for acquisition-related charges or accounting reclassification rather than organic improvement
Key Metrics to Watch
- Quarterly path to profitability and operating margin trend
- Cash position and liquidity ratios given debt maturity schedule
- Interest coverage ratio improvement and debt refinancing capacity
- Breakdown of revenue growth between organic and acquisition sources
- Return on equity and return on assets trajectory
World Acceptance Corp. (WRLD) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 39.7% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
WRLD Profit Margin, ROE & Profitability Analysis
WRLD vs Finance Sector: How World Acceptance Corp. Compares
How World Acceptance Corp. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is World Acceptance Corp. Stock Overvalued? WRLD Valuation Analysis 2026
Based on fundamental analysis, World Acceptance Corp. shows some fundamental concerns relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
World Acceptance Corp. Balance Sheet: WRLD Debt, Cash & Liquidity
WRLD Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: World Acceptance Corp.'s revenue has shown modest growth of 4% over the 5-year period. The most recent EPS of $3.60 reflects profitable operations.
WRLD Revenue Growth, EPS Growth & YoY Performance
WRLD Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $138.6M | -$911.3K | $-0.19 |
| Q2 2026 | $131.4M | -$602.1K | $-0.12 |
| Q1 2026 | $129.5M | $1.3M | $0.25 |
| Q3 2025 | $137.7M | $13.4M | $2.45 |
| Q3 2024 | $137.7M | -$3.4M | $-0.59 |
| Q2 2024 | $131.4M | -$637.6K | $-0.11 |
| Q1 2024 | $129.5M | -$8.6M | $-1.49 |
| Q3 2023 | $146.5M | -$4.4M | $-0.77 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
World Acceptance Corp. Dividends, Buybacks & Capital Allocation
WRLD SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for World Acceptance Corp. (CIK: 0000108385)
📋 Recent SEC Filings
❓ Frequently Asked Questions about WRLD
What is the AI rating for WRLD?
World Acceptance Corp. (WRLD) has an AI rating of SELL with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are WRLD's key strengths?
Claude: Strong operating cash flow generation of 164.8M and free cash flow of 162.0M despite unprofitability. Exceptional top-line revenue growth of 466.3% YoY indicates rapid market expansion.
What are the risks of investing in WRLD?
Claude: Company is unprofitable with negative operating margin (-0.2%) and net margin (-0.4%). Critical liquidity position with only 10M cash against 677.2M long-term debt and 790.8M total liabilities.
What is WRLD's revenue and growth?
World Acceptance Corp. reported revenue of $408.2M.
Does WRLD pay dividends?
World Acceptance Corp. does not currently pay dividends.
Where can I find WRLD SEC filings?
Official SEC filings for World Acceptance Corp. (CIK: 0000108385) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is WRLD's EPS?
World Acceptance Corp. has a diluted EPS of $-0.30.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is WRLD a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, World Acceptance Corp. has a SELL rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is WRLD stock overvalued or undervalued?
Valuation metrics for WRLD: ROE of -0.4% (sector avg: 12%), net margin of -0.4% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
Should I buy WRLD stock in 2026?
Our dual AI analysis gives World Acceptance Corp. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is WRLD's free cash flow?
World Acceptance Corp.'s operating cash flow is $164.8M, with capital expenditures of $2.8M. FCF margin is 39.7%.
How does WRLD compare to other Finance stocks?
Vs Finance sector averages: Net margin -0.4% (avg: 25%), ROE -0.4% (avg: 12%), current ratio N/A (avg: 1.2).
Is World Acceptance Corp. carrying too much debt?
WRLD has a debt-to-equity ratio of 1.93x, which is above the Finance sector average of 2x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.