ALBERTSONS COS INC - CLASS A (ACI)
US0130911037 - Common Stock
We assign a fundamental rating of 5 out of 10 to ACI. ACI was compared to 40 industry peers in the Consumer Staples Distribution & Retail industry. ACI has an excellent profitability rating, but there are concerns on its financial health. ACI is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ACI had positive earnings in the past year.
ACI had a positive operating cash flow in the past year.
Each year in the past 5 years ACI has been profitable.
ACI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ACI (4.94%) is better than 65.00% of its industry peers.
Looking at the Return On Equity, with a value of 47.17%, ACI belongs to the top of the industry, outperforming 95.00% of the companies in the same industry.
With a decent Return On Invested Capital value of 9.92%, ACI is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ACI is significantly below the industry average of 47.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.94% | ||
| ROE | 47.17% | ||
| ROIC | 9.92% |
ROA(3y)4.71%
ROA(5y)3.84%
ROE(3y)50.01%
ROE(5y)39.92%
ROIC(3y)10.03%
ROIC(5y)8.1%
1.3 Margins
With a decent Profit Margin value of 1.64%, ACI is doing good in the industry, outperforming 62.50% of the companies in the same industry.
ACI's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 2.94%, ACI perfoms like the industry average, outperforming 57.50% of the companies in the same industry.
ACI's Operating Margin has improved in the last couple of years.
The Gross Margin of ACI (27.82%) is better than 70.00% of its industry peers.
In the last couple of years the Gross Margin of ACI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.94% | ||
| PM (TTM) | 1.64% | ||
| GM | 27.82% |
OM growth 3Y9.09%
OM growth 5Y16.8%
PM growth 3Y10.25%
PM growth 5Y49.84%
GM growth 3Y-1.7%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ACI is still creating some value.
The number of shares outstanding for ACI has been increased compared to 1 year ago.
ACI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ACI has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.61 indicates that ACI is not in any danger for bankruptcy at the moment.
ACI has a Altman-Z score (3.61) which is comparable to the rest of the industry.
The Debt to FCF ratio of ACI is 12.84, which is on the high side as it means it would take ACI, 12.84 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 12.84, ACI is in line with its industry, outperforming 42.50% of the companies in the same industry.
A Debt/Equity ratio of 2.83 is on the high side and indicates that ACI has dependencies on debt financing.
ACI has a Debt to Equity ratio of 2.83. This is amonst the worse of the industry: ACI underperforms 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.83 | ||
| Debt/FCF | 12.84 | ||
| Altman-Z | 3.61 |
ROIC/WACC1.37
WACC7.26%
2.3 Liquidity
ACI has a Current Ratio of 0.84. This is a bad value and indicates that ACI is not financially healthy enough and could expect problems in meeting its short term obligations.
ACI has a worse Current ratio (0.84) than 77.50% of its industry peers.
A Quick Ratio of 0.18 indicates that ACI may have some problems paying its short term obligations.
With a Quick ratio value of 0.18, ACI is not doing good in the industry: 90.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
The earnings per share for ACI have decreased strongly by -14.50% in the last year.
ACI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.52% yearly.
The Revenue has been growing slightly by 2.05% in the past year.
Measured over the past years, ACI shows a small growth in Revenue. The Revenue has been growing by 5.53% on average per year.
EPS 1Y (TTM)-14.5%
EPS 3Y-3.44%
EPS 5Y36.52%
EPS Q2Q%-31.65%
Revenue 1Y (TTM)2.05%
Revenue growth 3Y4.37%
Revenue growth 5Y5.53%
Sales Q2Q%0.41%
3.2 Future
Based on estimates for the next years, ACI will show a decrease in Earnings Per Share. The EPS will decrease by -1.52% on average per year.
Based on estimates for the next years, ACI will show a small growth in Revenue. The Revenue will grow by 1.75% on average per year.
EPS Next Y-12.28%
EPS Next 2Y-4.9%
EPS Next 3Y-2.83%
EPS Next 5Y-1.52%
Revenue Next Year1.06%
Revenue Next 2Y1.38%
Revenue Next 3Y1.53%
Revenue Next 5Y1.75%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.14 indicates a rather cheap valuation of ACI.
ACI's Price/Earnings ratio is rather cheap when compared to the industry. ACI is cheaper than 95.00% of the companies in the same industry.
ACI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.05.
ACI is valuated reasonably with a Price/Forward Earnings ratio of 8.14.
95.00% of the companies in the same industry are more expensive than ACI, based on the Price/Forward Earnings ratio.
ACI is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.07, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.14 | ||
| Fwd PE | 8.14 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACI is valued cheaper than 87.50% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ACI indicates a somewhat cheap valuation: ACI is cheaper than 72.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.97 | ||
| EV/EBITDA | 4.79 |
4.3 Compensation for Growth
ACI has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as ACI's earnings are expected to decrease with -2.83% in the coming years.
PEG (NY)N/A
PEG (5Y)0.2
EPS Next 2Y-4.9%
EPS Next 3Y-2.83%
5. Dividend
5.1 Amount
ACI has a Yearly Dividend Yield of 2.34%.
Compared to an average industry Dividend Yield of 2.56, ACI pays a better dividend. On top of this ACI pays more dividend than 82.50% of the companies listed in the same industry.
ACI's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.34% |
5.2 History
ACI has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ACI pays out 21.38% of its income as dividend. This is a sustainable payout ratio.
DP21.38%
EPS Next 2Y-4.9%
EPS Next 3Y-2.83%
ALBERTSONS COS INC - CLASS A
NYSE:ACI (5/31/2024, 7:21:36 PM)
After market: 20.64 0 (0%)20.64
+0.12 (+0.58%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.92B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.34% |
Dividend Growth(5Y)
DP
Div Incr Years
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Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS NQ rev (1m)
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EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.14 | ||
| Fwd PE | 8.14 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.94% | ||
| ROE | 47.17% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 2.94% | ||
| PM (TTM) | 1.64% | ||
| GM | 27.82% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover3.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.83 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-14.5%
EPS 3Y-3.44%
EPS 5Y
EPS Q2Q%
EPS Next Y-12.28%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.05%
Revenue growth 3Y4.37%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y