📊 CFFN Key Takeaways
Is Capitol Federal Financial, Inc. (CFFN) a Good Investment?
Capitol Federal Financial faces severe operational stress with 95.9% YoY revenue collapse and critically low 0.3x interest coverage ratio, indicating inability to cover interest obligations through operating income. Despite positive net income and free cash flow, deteriorated return metrics (ROE 3.9%, ROA 0.4%) and reliance on non-operating income to service 2.8B in long-term debt suggest unsustainable financial positioning.
Capitol Federal Financial shows weak underlying fundamentals despite remaining profitable. Net income was essentially flat and free cash flow stayed positive, but extremely low ROA and ROE, very weak interest coverage, and a sharp collapse in reported revenue point to poor earnings power and limited growth quality. The balance sheet remains adequately capitalized, but profitability is too thin to support a stronger fundamental view.
Capitol Federal Financial, Inc. Key Strengths (CFFN)
- Positive operating cash flow (38.9M) and free cash flow (36.0M) provide near-term liquidity cushion
- Maintains positive net income (40.5M) despite revenue decline, indicating some cost controls in place
- Reasonable operating (23.9%) and net margins (19.2%) for financial institution sector
- Solid cash position of 330.9M relative to scale
- Positive net income and operating profitability in the latest period
- Positive operating cash flow and free cash flow with low capital expenditure needs
- Solid equity base relative to total assets for a savings institution
CFFN Stock Risks: Capitol Federal Financial, Inc. Investment Risks
- Critical interest coverage of 0.3x indicates company cannot service debt obligations from operating income, creating solvency concerns
- Extreme 95.9% YoY revenue decline suggests fundamental business deterioration requiring investigation into root cause
- Very low ROE (3.9%) and ROA (0.4%) indicate severe capital inefficiency and poor asset deployment
- Elevated leverage at 2.77x debt-to-equity with inadequate earnings coverage creates refinancing risk
- Reported revenue fell 95.9% year over year, raising concern about earnings durability and business momentum
- Profitability is very weak with 0.2% ROA and 1.9% ROE
- Leverage is elevated and interest coverage of 0.2x suggests limited buffer against funding pressure
Key Metrics to Watch
- Net interest margin trend and interest income recovery trajectory
- Interest coverage ratio recovery above 1.0x as critical survival threshold
- Return on equity and return on assets improvement toward sector benchmarks
- Loan loss provisions and asset quality metrics
- Net interest margin and revenue stabilization
- ROA/ROE improvement alongside interest coverage
Capitol Federal Financial, Inc. (CFFN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
CFFN Profit Margin, ROE & Profitability Analysis
CFFN vs Finance Sector: How Capitol Federal Financial, Inc. Compares
How Capitol Federal Financial, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Capitol Federal Financial, Inc. Stock Overvalued? CFFN Valuation Analysis 2026
Based on fundamental analysis, Capitol Federal Financial, Inc. 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.
Capitol Federal Financial, Inc. Balance Sheet: CFFN Debt, Cash & Liquidity
CFFN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Capitol Federal Financial, Inc.'s revenue has shown modest growth of 6% over the 5-year period. The most recent EPS of $-0.76 indicates the company is currently unprofitable.
CFFN Revenue Growth, EPS Growth & YoY Performance
CFFN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2020 | $10.9M | $4.3M | $0.14 |
| Q2 2020 | $7.5M | $4.3M | $0.03 |
| Q1 2020 | $4.0M | $18.2M | $0.16 |
| Q3 2019 | $12.4M | $15.8M | $0.17 |
| Q2 2019 | $8.1M | $21.0M | $0.17 |
| Q1 2019 | $4.3M | $18.2M | $0.18 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Capitol Federal Financial, Inc. Dividends, Buybacks & Capital Allocation
CFFN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Capitol Federal Financial, Inc. (CIK: 0001490906)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CFFN
What is the AI rating for CFFN?
Capitol Federal Financial, Inc. (CFFN) has a Combined AI Grade of C from Claude (C) and ChatGPT (C) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are CFFN's key strengths?
Claude: Positive operating cash flow (38.9M) and free cash flow (36.0M) provide near-term liquidity cushion. Maintains positive net income (40.5M) despite revenue decline, indicating some cost controls in place. ChatGPT: Positive net income and operating profitability in the latest period. Positive operating cash flow and free cash flow with low capital expenditure needs.
What are the risks of investing in CFFN?
Claude: Critical interest coverage of 0.3x indicates company cannot service debt obligations from operating income, creating solvency concerns. Extreme 95.9% YoY revenue decline suggests fundamental business deterioration requiring investigation into root cause. ChatGPT: Reported revenue fell 95.9% year over year, raising concern about earnings durability and business momentum. Profitability is very weak with 0.2% ROA and 1.9% ROE.
What is CFFN's revenue and growth?
Capitol Federal Financial, Inc. reported revenue of $210.5M.
Does CFFN pay dividends?
Capitol Federal Financial, Inc. pays dividends, with $26.9M distributed to shareholders in the trailing twelve months.
Where can I find CFFN SEC filings?
Official SEC filings for Capitol Federal Financial, Inc. (CIK: 0001490906) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CFFN's EPS?
Capitol Federal Financial, Inc. has a diluted EPS of $0.32.
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 grade reflects both perspectives for balanced insights.
What is CFFN's fundamental grade?
Based on our AI fundamental analysis in June 2026, Capitol Federal Financial, Inc. has a C grade with 76% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is CFFN stock overvalued or undervalued?
Valuation metrics for CFFN: ROE of 3.9% (sector avg: 12%), net margin of 19.2% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.
What is CFFN's AI grade for 2026?
Our dual AI analysis gives Capitol Federal Financial, Inc. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is CFFN's free cash flow?
Capitol Federal Financial, Inc.'s operating cash flow is $38.9M, with capital expenditures of $2.9M. FCF margin is 17.1%.
How does CFFN compare to other Finance stocks?
Vs Finance sector averages: Net margin 19.2% (avg: 25%), ROE 3.9% (avg: 12%), current ratio N/A (avg: 1.2).
Is Capitol Federal Financial, Inc. carrying too much debt?
CFFN has a debt-to-equity ratio of 2.77x, which is above the Finance sector average of 2x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.