ALBERTSONS COS INC - CLASS A (ACI) Stock Fundamental Analysis
USA - NYSE:ACI - US0130911037 - Common Stock
17.9 USD
-0.43 (-2.35%)
18.12 USD
+0.22 (+1.23%)
We assign a fundamental rating of 4 out of 10 to ACI. ACI was compared to 40 industry peers in the Consumer Staples Distribution & Retail industry. ACI has a medium profitability rating, but doesn't score so well on its financial health evaluation. ACI is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year ACI was profitable.
ACI had a positive operating cash flow in the past year.
ACI had positive earnings in each of the past 5 years.
In the past 5 years ACI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ACI (3.61%) is comparable to the rest of the industry.
The Return On Equity of ACI (29.60%) is better than 87.50% of its industry peers.
ACI has a Return On Invested Capital of 8.98%. This is in the better half of the industry: ACI outperforms 72.50% of its industry peers.
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
With a Profit Margin value of 1.18%, ACI perfoms like the industry average, 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.
In the last couple of years the Operating Margin of ACI has grown nicely.
ACI's Gross Margin of 27.47% is in line compared to the rest of the industry. ACI outperforms 57.50% of its industry peers.
ACI's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ACI is creating some value.
ACI has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, ACI has more shares outstanding
The debt/assets ratio for ACI has been reduced compared to a year ago.
2.2 Solvency
ACI has an Altman-Z score of 3.58. This indicates that ACI is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.58, ACI perfoms like the industry average, outperforming 42.50% of the companies in the same industry.
The Debt to FCF ratio of ACI is 15.63, which is on the high side as it means it would take ACI, 15.63 years of fcf income to pay off all of its debts.
ACI has a worse Debt to FCF ratio (15.63) than 65.00% of its industry peers.
ACI has a Debt/Equity ratio of 2.17. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of ACI (2.17) is worse than 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | 15.63 | ||
| Altman-Z | 3.58 |
ROIC/WACC1.2
WACC7.51%
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's Current ratio of 0.82 is on the low side compared to the rest of the industry. ACI is outperformed by 82.50% of its industry peers.
A Quick Ratio of 0.18 indicates that ACI may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.18, ACI is doing worse than 92.50% of the companies in the same industry.
| 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%.
ACI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.36% yearly.
The Revenue has been growing slightly by 1.95% in the past year.
Measured over the past years, ACI shows a small growth in Revenue. The Revenue has been growing by 5.18% on average per year.
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
ACI is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.39% yearly.
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
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 8.03 indicates a reasonable valuation of ACI.
Based on the Price/Earnings ratio, ACI is valued cheaply inside the industry as 92.50% of the companies are valued more expensively.
ACI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
With a Price/Forward Earnings ratio of 7.91, 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.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.86, ACI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.03 | ||
| Fwd PE | 7.91 |
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 the industry average as 65.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.99 | ||
| EV/EBITDA | 3.79 |
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%. Purely for dividend investing, there may be better candidates out there.
ACI's Dividend Yield is rather good when compared to the industry average which is at 2.02. ACI pays more dividend than 95.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, ACI pays a bit more dividend than the S&P500 average.
| 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.
ACI has decreased its dividend 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%
17.9
-0.43 (-2.35%)
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 Cap10.02B
Analysts73.08
Price Target24.9 (39.11%)
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 | 8.03 | ||
| Fwd PE | 7.91 | ||
| P/S | 0.12 | ||
| P/FCF | 19.99 | ||
| P/OCF | 4.05 | ||
| P/B | 3.11 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.79 |
EPS(TTM)2.23
EY12.46%
EPS(NY)2.26
Fwd EY12.65%
FCF(TTM)0.9
FCFY5%
OCF(TTM)4.42
OCFY24.69%
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
WACC7.51%
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%