First Trust Enhanced Equity Income Fund (FFA) Fundamental Analysis: Revenue, Earnings & Valuation

1.32 / 10

Underperform

Fundamental analysis reveals several red flags for FFA, including negative return on total assets (-10.08%) and annualized return (-20.16%), both in the first performance group. The basic and diluted earnings per share YoY growth rates are also deeply negative (-58.19% and -14.08%), signaling ongoing profitability pressure. Although the fixed assets turnover ratio is high at 1031.01%, suggesting efficient utilization, the overall fundamental picture remains concerning, warranting caution for potential investors.

Analysis Checks(1/7)

Current liabilities / Total liabilities (%)

Value52.15

Score1/3

Weight17.96%

1M Return1.49%

Basic earnings per share (YoY growth rate %)

Value-58.19

Score0/3

Weight6.67%

1M Return0.58%

Rate of return on total assets (%)

Value-10.08

Score1/3

Weight16.44%

1M Return1.42%

Fixed assets turnover ratio

Value1031.01

Score2/3

Weight14.59%

1M Return1.25%

Annualized return on total assets (%)

Value-20.16

Score1/3

Weight16.44%

1M Return1.42%

Diluted earnings per share (YoY growth rate %)

Value-14.08

Score0/3

Weight10.38%

1M Return0.91%

Current assets / Total assets (%)

Value47.90

Score1/3

Weight17.52%

1M Return1.44%

Is FFA undervalued or overvalued?

FFA scores 1.32/10 on fundamentals and holds a Premium valuation at present. Backed by its 4.58% ROE, 721.91% net margin, 9.10 P/E ratio, 1.03 P/B ratio, and 0.00% earnings growth, these metrics solidify its Underperform investment rating.