14.55 USD
+0.1 (+0.69%)
14.55 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to AFYA. AFYA was compared to 76 industry peers in the Diversified Consumer Services industry. AFYA scores excellent on profitability, but there are some minor concerns on its financial health. An interesting combination arises when we look at growth and value: AFYA is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
AFYA had positive earnings in the past year.
AFYA had a positive operating cash flow in the past year.
Each year in the past 5 years AFYA has been profitable.
AFYA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AFYA has a better Return On Assets (7.94%) than 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 15.37%, AFYA is in the better half of the industry, outperforming 73.68% of the companies in the same industry.
With an excellent Return On Invested Capital value of 12.76%, AFYA belongs to the best of the industry, outperforming 88.16% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AFYA is in line with the industry average of 8.97%.
The last Return On Invested Capital (12.76%) for AFYA is above the 3 year average (9.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 15.37% | ||
| ROIC | 12.76% |
ROA(3y)5.81%
ROA(5y)5.4%
ROE(3y)12.4%
ROE(5y)11.05%
ROIC(3y)9.34%
ROIC(5y)8.2%
1.3 Margins
AFYA has a better Profit Margin (20.08%) than 92.11% of its industry peers.
In the last couple of years the Profit Margin of AFYA has declined.
AFYA has a better Operating Margin (32.84%) than 97.37% of its industry peers.
AFYA's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 64.98%, AFYA is in the better half of the industry, outperforming 76.32% of the companies in the same industry.
In the last couple of years the Gross Margin of AFYA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.84% | ||
| PM (TTM) | 20.08% | ||
| GM | 64.98% |
OM growth 3Y6.1%
OM growth 5Y2.29%
PM growth 3Y13.74%
PM growth 5Y-3.65%
GM growth 3Y0.61%
GM growth 5Y1.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AFYA is still creating some value.
AFYA has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for AFYA has been increased compared to 5 years ago.
The debt/assets ratio for AFYA is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.22 indicates that AFYA is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.22, AFYA is in the better half of the industry, outperforming 61.84% of the companies in the same industry.
AFYA has a debt to FCF ratio of 2.43. This is a good value and a sign of high solvency as AFYA would need 2.43 years to pay back of all of its debts.
The Debt to FCF ratio of AFYA (2.43) is better than 76.32% of its industry peers.
AFYA has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
AFYA has a Debt to Equity ratio of 0.42. This is comparable to the rest of the industry: AFYA outperforms 44.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 2.22 |
ROIC/WACC1.19
WACC10.7%
2.3 Liquidity
A Current Ratio of 0.98 indicates that AFYA may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.98, AFYA is doing worse than 60.53% of the companies in the same industry.
AFYA has a Quick Ratio of 0.98. This is a bad value and indicates that AFYA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of AFYA (0.98) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.08% over the past year.
Measured over the past years, AFYA shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.00% on average per year.
The Revenue has grown by 14.07% in the past year. This is quite good.
Measured over the past years, AFYA shows a very strong growth in Revenue. The Revenue has been growing by 34.50% on average per year.
EPS 1Y (TTM)12.08%
EPS 3Y30.22%
EPS 5Y25%
EPS Q2Q%16.2%
Revenue 1Y (TTM)14.07%
Revenue growth 3Y24.33%
Revenue growth 5Y34.5%
Sales Q2Q%10.38%
3.2 Future
Based on estimates for the next years, AFYA will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.10% on average per year.
AFYA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.35% yearly.
EPS Next Y1.45%
EPS Next 2Y6.82%
EPS Next 3Y8.1%
EPS Next 5YN/A
Revenue Next Year12.31%
Revenue Next 2Y10.31%
Revenue Next 3Y9.35%
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 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
AFYA is valuated reasonably with a Price/Earnings ratio of 8.22.
Compared to the rest of the industry, the Price/Earnings ratio of AFYA indicates a rather cheap valuation: AFYA is cheaper than 90.79% of the companies listed in the same industry.
AFYA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.54.
Based on the Price/Forward Earnings ratio of 7.78, the valuation of AFYA can be described as very cheap.
Based on the Price/Forward Earnings ratio, AFYA is valued cheaply inside the industry as 94.74% of the companies are valued more expensively.
AFYA is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.22 | ||
| Fwd PE | 7.78 |
4.2 Price Multiples
AFYA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AFYA is cheaper than 85.53% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AFYA is valued cheaply inside the industry as 96.05% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.07 | ||
| EV/EBITDA | 6 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AFYA does not grow enough to justify the current Price/Earnings ratio.
AFYA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.65
PEG (5Y)0.33
EPS Next 2Y6.82%
EPS Next 3Y8.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.53%, AFYA has a reasonable but not impressive dividend return.
AFYA's Dividend Yield is rather good when compared to the industry average which is at 1.70. AFYA pays more dividend than 90.79% of the companies in the same industry.
AFYA's Dividend Yield is slightly below the S&P500 average, which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
5.2 History
AFYA is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y6.82%
EPS Next 3Y8.1%
14.55
+0.1 (+0.69%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners19.8%
Inst Owner Change0.29%
Ins Owners9.76%
Ins Owner ChangeN/A
Market Cap1.36B
Revenue(TTM)3.63B
Net Income(TTM)729.50M
Analysts77.14
Price Target19.23 (32.16%)
Short Float %1.95%
Short Ratio2.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.53% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.27%
Min EPS beat(2)7.76%
Max EPS beat(2)14.79%
EPS beat(4)4
Avg EPS beat(4)14.57%
Min EPS beat(4)7.76%
Max EPS beat(4)21.5%
EPS beat(8)7
Avg EPS beat(8)11.36%
EPS beat(12)7
Avg EPS beat(12)6.24%
EPS beat(16)10
Avg EPS beat(16)7.31%
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-3.1%
Max Revenue beat(2)-1.83%
Revenue beat(4)0
Avg Revenue beat(4)-1.98%
Min Revenue beat(4)-3.1%
Max Revenue beat(4)-0.92%
Revenue beat(8)1
Avg Revenue beat(8)-1.29%
Revenue beat(12)3
Avg Revenue beat(12)-1.21%
Revenue beat(16)4
Avg Revenue beat(16)-0.95%
PT rev (1m)0%
PT rev (3m)-0.75%
EPS NQ rev (1m)-0.5%
EPS NQ rev (3m)-3.12%
EPS NY rev (1m)0.8%
EPS NY rev (3m)-4.97%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-0.72%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.22 | ||
| Fwd PE | 7.78 | ||
| P/S | 2.04 | ||
| P/FCF | 6.07 | ||
| P/OCF | 4.75 | ||
| P/B | 1.56 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6 |
EPS(TTM)1.77
EY12.16%
EPS(NY)1.87
Fwd EY12.85%
FCF(TTM)2.4
FCFY16.48%
OCF(TTM)3.06
OCFY21.05%
SpS7.12
BVpS9.3
TBVpS-1.62
PEG (NY)5.65
PEG (5Y)0.33
Graham Number19.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.94% | ||
| ROE | 15.37% | ||
| ROCE | 16.15% | ||
| ROIC | 12.76% | ||
| ROICexc | 14.75% | ||
| ROICexgc | 115.61% | ||
| OM | 32.84% | ||
| PM (TTM) | 20.08% | ||
| GM | 64.98% | ||
| FCFM | 33.68% |
ROA(3y)5.81%
ROA(5y)5.4%
ROE(3y)12.4%
ROE(5y)11.05%
ROIC(3y)9.34%
ROIC(5y)8.2%
ROICexc(3y)10.67%
ROICexc(5y)9.63%
ROICexgc(3y)53.37%
ROICexgc(5y)48.58%
ROCE(3y)11.82%
ROCE(5y)10.37%
ROICexgc growth 3Y23.68%
ROICexgc growth 5Y4.99%
ROICexc growth 3Y18.62%
ROICexc growth 5Y3.52%
OM growth 3Y6.1%
OM growth 5Y2.29%
PM growth 3Y13.74%
PM growth 5Y-3.65%
GM growth 3Y0.61%
GM growth 5Y1.44%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 2.43 | ||
| Debt/EBITDA | 1.29 | ||
| Cap/Depr | 92.89% | ||
| Cap/Sales | 9.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 100.29% | ||
| Profit Quality | 167.73% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 2.22 |
F-Score7
WACC10.7%
ROIC/WACC1.19
Cap/Depr(3y)115.53%
Cap/Depr(5y)130.54%
Cap/Sales(3y)11.06%
Cap/Sales(5y)12.14%
Profit Quality(3y)172.56%
Profit Quality(5y)151.27%
High Growth Momentum
Growth
EPS 1Y (TTM)12.08%
EPS 3Y30.22%
EPS 5Y25%
EPS Q2Q%16.2%
EPS Next Y1.45%
EPS Next 2Y6.82%
EPS Next 3Y8.1%
EPS Next 5YN/A
Revenue 1Y (TTM)14.07%
Revenue growth 3Y24.33%
Revenue growth 5Y34.5%
Sales Q2Q%10.38%
Revenue Next Year12.31%
Revenue Next 2Y10.31%
Revenue Next 3Y9.35%
Revenue Next 5YN/A
EBIT growth 1Y29%
EBIT growth 3Y31.92%
EBIT growth 5Y37.58%
EBIT Next Year60.42%
EBIT Next 3Y22.67%
EBIT Next 5YN/A
FCF growth 1Y61.18%
FCF growth 3Y43.21%
FCF growth 5Y42.42%
OCF growth 1Y52.58%
OCF growth 3Y31.44%
OCF growth 5Y36.78%
AFYA LTD-CLASS A / AFYA FAQ
What is the ChartMill fundamental rating of AFYA LTD-CLASS A (AFYA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to AFYA.
What is the valuation status of AFYA LTD-CLASS A (AFYA) stock?
ChartMill assigns a valuation rating of 8 / 10 to AFYA LTD-CLASS A (AFYA). This can be considered as Undervalued.
How profitable is AFYA LTD-CLASS A (AFYA) stock?
AFYA LTD-CLASS A (AFYA) has a profitability rating of 8 / 10.
What is the financial health of AFYA LTD-CLASS A (AFYA) stock?
The financial health rating of AFYA LTD-CLASS A (AFYA) is 4 / 10.