ALBERTSONS COS INC - CLASS A (ACI) Stock Fundamental Analysis
USA - NYSE:ACI - US0130911037 - Common Stock
17.72 USD
-0.18 (-1.01%)
17.8 USD
+0.08 (+0.45%)
Taking everything into account, ACI scores 4 out of 10 in our fundamental rating. ACI was compared to 40 industry peers in the Consumer Staples Distribution & Retail industry. While ACI is still in line with the averages on profitability rating, there are concerns on its financial health. ACI is valued quite cheap, but it does not seem to be growing.
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.
ACI had positive earnings in each of the past 5 years.
ACI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ACI has a Return On Assets (3.61%) which is comparable to the rest of the industry.
ACI has a better Return On Equity (29.60%) than 87.50% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.98%, ACI is in the better half of the industry, outperforming 72.50% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ACI is in line with the industry average of 8.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 29.6% | ||
| ROIC | 8.98% |
ROA(3y)4.38%
ROA(5y)4.18%
ROE(3y)49.5%
ROE(5y)41.49%
ROIC(3y)10.33%
ROIC(5y)9.71%
1.3 Margins
Looking at the Profit Margin, with a value of 1.18%, ACI is in line with its industry, outperforming 45.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ACI has grown nicely.
ACI's Operating Margin of 2.38% is in line compared to the rest of the industry. ACI outperforms 55.00% of its industry peers.
ACI's Operating Margin has improved in the last couple of years.
ACI has a Gross Margin of 27.47%. This is comparable to the rest of the industry: ACI outperforms 57.50% 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 | 2.38% | ||
| PM (TTM) | 1.18% | ||
| GM | 27.47% |
OM growth 3Y-9.5%
OM growth 5Y10.36%
PM growth 3Y-12.6%
PM growth 5Y9.83%
GM growth 3Y-1.34%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
ACI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ACI has about the same amount of shares outstanding.
The number of shares outstanding for ACI has been increased compared to 5 years ago.
ACI has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.58 indicates that ACI is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.58, ACI is in line with its industry, outperforming 42.50% of the companies in the same industry.
ACI has a debt to FCF ratio of 15.63. This is a negative value and a sign of low solvency as ACI would need 15.63 years to pay back of all of its debts.
With a Debt to FCF ratio value of 15.63, ACI is not doing good in the industry: 65.00% of the companies in the same industry are doing better.
A Debt/Equity ratio of 2.17 is on the high side and indicates that ACI has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.17, ACI is doing worse than 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | 15.63 | ||
| Altman-Z | 3.58 |
ROIC/WACC1.2
WACC7.46%
2.3 Liquidity
ACI has a Current Ratio of 0.82. 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 (0.82) than 82.50% of its industry peers.
ACI has a Quick Ratio of 0.82. This is a bad value and indicates that ACI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.18, ACI is not doing good in the industry: 92.50% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
ACI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -14.89%.
The Earnings Per Share has been decreasing by -0.36% on average over the past years.
Looking at the last year, ACI shows a small growth in Revenue. The Revenue has grown by 1.95% in the last year.
The Revenue has been growing slightly by 5.18% on average over the past years.
EPS 1Y (TTM)-14.89%
EPS 3Y-8.65%
EPS 5Y-0.36%
EPS Q2Q%-16.67%
Revenue 1Y (TTM)1.95%
Revenue growth 3Y3.8%
Revenue growth 5Y5.18%
Sales Q2Q%2.54%
3.2 Future
Based on estimates for the next years, ACI will show a decrease in Earnings Per Share. The EPS will decrease by -1.39% on average per year.
Based on estimates for the next years, ACI will show a small growth in Revenue. The Revenue will grow by 1.90% on average per year.
EPS Next Y-9.5%
EPS Next 2Y-1.64%
EPS Next 3Y1.73%
EPS Next 5Y-1.39%
Revenue Next Year3.94%
Revenue Next 2Y2.26%
Revenue Next 3Y2.25%
Revenue Next 5Y1.9%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.95, which indicates a rather cheap valuation of ACI.
Based on the Price/Earnings ratio, ACI is valued cheaper than 92.50% of the companies in the same industry.
ACI is valuated cheaply when we compare the Price/Earnings ratio to 27.41, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.83, the valuation of ACI can be described as very cheap.
Based on the Price/Forward Earnings ratio, ACI is valued cheaper than 97.50% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.87. ACI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.95 | ||
| Fwd PE | 7.83 |
4.2 Price Multiples
90.00% of the companies in the same industry are more expensive than ACI, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ACI is valued a bit cheaper than 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.79 | ||
| EV/EBITDA | 3.77 |
4.3 Compensation for Growth
ACI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.64%
EPS Next 3Y1.73%
5. Dividend
5.1 Amount
ACI has a Yearly Dividend Yield of 3.27%.
Compared to an average industry Dividend Yield of 2.02, ACI pays a better dividend. On top of this ACI pays more dividend than 95.00% of the companies listed in the same industry.
ACI's Dividend Yield is a higher than the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.27% |
5.2 History
ACI has been paying a dividend for over 5 years, so it has already some track record.
The dividend of ACI decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
32.62% of the earnings are spent on dividend by ACI. This is a low number and sustainable payout ratio.
DP32.62%
EPS Next 2Y-1.64%
EPS Next 3Y1.73%
17.72
-0.18 (-1.01%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners62.67%
Inst Owner Change-0.77%
Ins Owners0.94%
Ins Owner Change0.57%
Market Cap9.92B
Analysts73.08
Price Target24.9 (40.52%)
Short Float %5.73%
Short Ratio3.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.27% |
Yearly Dividend0.51
Dividend Growth(5Y)N/A
DP32.62%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.32%
Min EPS beat(2)2.13%
Max EPS beat(2)12.51%
EPS beat(4)4
Avg EPS beat(4)6.78%
Min EPS beat(4)2.13%
Max EPS beat(4)12.51%
EPS beat(8)7
Avg EPS beat(8)7.18%
EPS beat(12)11
Avg EPS beat(12)10.05%
EPS beat(16)15
Avg EPS beat(16)13.39%
Revenue beat(2)0
Avg Revenue beat(2)-0.65%
Min Revenue beat(2)-0.91%
Max Revenue beat(2)-0.39%
Revenue beat(4)0
Avg Revenue beat(4)-0.79%
Min Revenue beat(4)-1.23%
Max Revenue beat(4)-0.39%
Revenue beat(8)1
Avg Revenue beat(8)-0.78%
Revenue beat(12)3
Avg Revenue beat(12)-0.46%
Revenue beat(16)7
Avg Revenue beat(16)0.29%
PT rev (1m)0%
PT rev (3m)1.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.88%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.52%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)0.09%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.95 | ||
| Fwd PE | 7.83 | ||
| P/S | 0.12 | ||
| P/FCF | 19.79 | ||
| P/OCF | 4.01 | ||
| P/B | 3.08 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.77 |
EPS(TTM)2.23
EY12.58%
EPS(NY)2.26
Fwd EY12.78%
FCF(TTM)0.9
FCFY5.05%
OCF(TTM)4.42
OCFY24.94%
SpS144.69
BVpS5.76
TBVpS-0.46
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.61% | ||
| ROE | 29.6% | ||
| ROCE | 10.35% | ||
| ROIC | 8.98% | ||
| ROICexc | 9.07% | ||
| ROICexgc | 11.18% | ||
| OM | 2.38% | ||
| PM (TTM) | 1.18% | ||
| GM | 27.47% | ||
| FCFM | 0.62% |
ROA(3y)4.38%
ROA(5y)4.18%
ROE(3y)49.5%
ROE(5y)41.49%
ROIC(3y)10.33%
ROIC(5y)9.71%
ROICexc(3y)10.53%
ROICexc(5y)10.33%
ROICexgc(3y)13.14%
ROICexgc(5y)12.88%
ROCE(3y)11.9%
ROCE(5y)11.19%
ROICexcg growth 3Y-10.83%
ROICexcg growth 5Y15.23%
ROICexc growth 3Y-9.97%
ROICexc growth 5Y15.08%
OM growth 3Y-9.5%
OM growth 5Y10.36%
PM growth 3Y-12.6%
PM growth 5Y9.83%
GM growth 3Y-1.34%
GM growth 5Y-0.35%
F-Score5
Asset Turnover3.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | 15.63 | ||
| Debt/EBITDA | 1.5 | ||
| Cap/Depr | 72.16% | ||
| Cap/Sales | 2.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 53.1% | ||
| Profit Quality | 52.53% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | 3.58 |
F-Score5
WACC7.46%
ROIC/WACC1.2
Cap/Depr(3y)93.19%
Cap/Depr(5y)96.24%
Cap/Sales(3y)2.58%
Cap/Sales(5y)2.46%
Profit Quality(3y)61.51%
Profit Quality(5y)120.08%
High Growth Momentum
Growth
EPS 1Y (TTM)-14.89%
EPS 3Y-8.65%
EPS 5Y-0.36%
EPS Q2Q%-16.67%
EPS Next Y-9.5%
EPS Next 2Y-1.64%
EPS Next 3Y1.73%
EPS Next 5Y-1.39%
Revenue 1Y (TTM)1.95%
Revenue growth 3Y3.8%
Revenue growth 5Y5.18%
Sales Q2Q%2.54%
Revenue Next Year3.94%
Revenue Next 2Y2.26%
Revenue Next 3Y2.25%
Revenue Next 5Y1.9%
EBIT growth 1Y-11.97%
EBIT growth 3Y-6.06%
EBIT growth 5Y16.07%
EBIT Next Year78.73%
EBIT Next 3Y22.76%
EBIT Next 5Y11.46%
FCF growth 1Y-6.77%
FCF growth 3Y-26.75%
FCF growth 5Y11.81%
OCF growth 1Y-8.38%
OCF growth 3Y-8.62%
OCF growth 5Y7.08%