ADVANCED ENERGY INDUSTRIES (AEIS)
US0079731008 - Common Stock
We assign a fundamental rating of 5 out of 10 to AEIS. AEIS was compared to 127 industry peers in the Electronic Equipment, Instruments & Components industry. Both the profitability and the financial health of AEIS get a neutral evaluation. Nothing too spectacular is happening here. AEIS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AEIS was profitable.
In the past year AEIS had a positive cash flow from operations.
AEIS had positive earnings in each of the past 5 years.
Each year in the past 5 years AEIS had a positive operating cash flow.
1.2 Ratios
AEIS's Return On Assets of 5.02% is fine compared to the rest of the industry. AEIS outperforms 72.22% of its industry peers.
AEIS has a Return On Equity of 11.21%. This is in the better half of the industry: AEIS outperforms 76.98% of its industry peers.
AEIS has a Return On Invested Capital of 5.29%. This is in the better half of the industry: AEIS outperforms 60.32% of its industry peers.
AEIS had an Average Return On Invested Capital over the past 3 years of 8.95%. This is in line with the industry average of 9.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 11.21% | ||
| ROIC | 5.29% |
ROA(3y)7.48%
ROA(5y)6.97%
ROE(3y)15.14%
ROE(5y)14.31%
ROIC(3y)8.95%
ROIC(5y)8.53%
1.3 Margins
The Profit Margin of AEIS (7.75%) is better than 76.98% of its industry peers.
In the last couple of years the Profit Margin of AEIS has declined.
AEIS has a better Operating Margin (8.50%) than 76.19% of its industry peers.
AEIS's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 35.78%, AEIS is doing good in the industry, outperforming 65.87% of the companies in the same industry.
AEIS's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.5% | ||
| PM (TTM) | 7.75% | ||
| GM | 35.78% |
OM growth 3Y-14.01%
OM growth 5Y-19.06%
PM growth 3Y-6.61%
PM growth 5Y-17.65%
GM growth 3Y-2.22%
GM growth 5Y-6.79%
2. Health
2.1 Basic Checks
AEIS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for AEIS has been reduced compared to 1 year ago.
Compared to 5 years ago, AEIS has less shares outstanding
Compared to 1 year ago, AEIS has a worse debt to assets ratio.
2.2 Solvency
AEIS has a debt to FCF ratio of 6.19. This is a slightly negative value and a sign of low solvency as AEIS would need 6.19 years to pay back of all of its debts.
AEIS's Debt to FCF ratio of 6.19 is in line compared to the rest of the industry. AEIS outperforms 56.35% of its industry peers.
AEIS has a Debt/Equity ratio of 0.78. This is a neutral value indicating AEIS is somewhat dependend on debt financing.
AEIS has a worse Debt to Equity ratio (0.78) than 84.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 6.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.61
WACC8.71%
2.3 Liquidity
A Current Ratio of 5.10 indicates that AEIS has no problem at all paying its short term obligations.
The Current ratio of AEIS (5.10) is better than 81.75% of its industry peers.
AEIS has a Quick Ratio of 4.10. This indicates that AEIS is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of AEIS (4.10) is better than 81.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.1 | ||
| Quick Ratio | 4.1 |
3. Growth
3.1 Past
The earnings per share for AEIS have decreased strongly by -25.08% in the last year.
Measured over the past 5 years, AEIS shows a small growth in Earnings Per Share. The EPS has been growing by 2.19% on average per year.
AEIS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.27%.
Measured over the past years, AEIS shows a quite strong growth in Revenue. The Revenue has been growing by 18.16% on average per year.
EPS 1Y (TTM)-25.08%
EPS 3Y-2.41%
EPS 5Y2.19%
EPS growth Q2Q-27.06%
Revenue 1Y (TTM)-10.27%
Revenue growth 3Y5.36%
Revenue growth 5Y18.16%
Revenue growth Q2Q-17.42%
3.2 Future
Based on estimates for the next years, AEIS will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.32% on average per year.
The Revenue is expected to grow by 2.88% on average over the next years.
EPS Next Y-26.5%
EPS Next 2Y9.89%
EPS Next 3Y10.32%
EPS Next 5YN/A
Revenue Next Year-9.29%
Revenue Next 2Y2.43%
Revenue Next 3Y2.88%
Revenue Next 5YN/A
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 accelerating.
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
AEIS is valuated rather expensively with a Price/Earnings ratio of 18.41.
71.43% of the companies in the same industry are more expensive than AEIS, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 24.80, AEIS is valued a bit cheaper.
With a Price/Forward Earnings ratio of 25.06, AEIS can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AEIS is on the same level as its industry peers.
AEIS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.41 | ||
| Fwd PE | 25.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AEIS is valued a bit cheaper than 61.90% of the companies in the same industry.
71.43% of the companies in the same industry are more expensive than AEIS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.62 | ||
| EV/EBITDA | 15.73 |
4.3 Compensation for Growth
AEIS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)8.41
EPS Next 2Y9.89%
EPS Next 3Y10.32%
5. Dividend
5.1 Amount
AEIS has a yearly dividend return of 0.40%, which is pretty low.
Compared to an average industry Dividend Yield of 1.76, AEIS pays a better dividend. On top of this AEIS pays more dividend than 83.33% of the companies listed in the same industry.
With a Dividend Yield of 0.40, AEIS pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
5.2 History
AEIS has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
11.87% of the earnings are spent on dividend by AEIS. This is a low number and sustainable payout ratio.
DP11.87%
EPS Next 2Y9.89%
EPS Next 3Y10.32%
ADVANCED ENERGY INDUSTRIES
NASDAQ:AEIS (4/19/2024, 2:15:26 PM)
89.68
-1.13 (-1.24%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.35B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.41 | ||
| Fwd PE | 25.06 | ||
| 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)8.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.02% | ||
| ROE | 11.21% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 8.5% | ||
| PM (TTM) | 7.75% | ||
| GM | 35.78% | ||
| 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 Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 5.1 | ||
| Quick Ratio | 4.1 | ||
| 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)
Growth
EPS 1Y (TTM)-25.08%
EPS 3Y-2.41%
EPS 5Y
EPS growth Q2Q
EPS Next Y-26.5%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-10.27%
Revenue growth 3Y5.36%
Revenue growth 5Y
Revenue growth 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