APTIV PLC (APTV) Stock Fundamental Analysis
NYSE:APTV - New York Stock Exchange, Inc. - JE00BTDN8H13 - Common Stock - Currency: USD
Overall APTV gets a fundamental rating of 5 out of 10. We evaluated APTV against 81 industry peers in the Automobile Components industry. While APTV has a great profitability rating, there are some minor concerns on its financial health. APTV scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year APTV was profitable.
In the past year APTV had a positive cash flow from operations.
Each year in the past 5 years APTV has been profitable.
In the past 5 years APTV always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.74%, APTV belongs to the top of the industry, outperforming 90.12% of the companies in the same industry.
With an excellent Return On Equity value of 17.39%, APTV belongs to the best of the industry, outperforming 93.83% of the companies in the same industry.
APTV's Return On Invested Capital of 10.10% is amongst the best of the industry. APTV outperforms 90.12% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for APTV is in line with the industry average of 9.01%.
The last Return On Invested Capital (10.10%) for APTV is above the 3 year average (8.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.74% | ||
| ROE | 17.39% | ||
| ROIC | 10.1% |
ROA(3y)7.32%
ROA(5y)7%
ROE(3y)17.18%
ROE(5y)16.05%
ROIC(3y)8.46%
ROIC(5y)7.76%
1.3 Margins
APTV has a Profit Margin of 7.93%. This is amongst the best in the industry. APTV outperforms 93.83% of its industry peers.
In the last couple of years the Profit Margin of APTV has grown nicely.
The Operating Margin of APTV (10.50%) is comparable to the rest of the industry.
APTV's Operating Margin has been stable in the last couple of years.
APTV has a Gross Margin of 19.11%. This is in the lower half of the industry: APTV underperforms 74.07% of its industry peers.
APTV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.5% | ||
| PM (TTM) | 7.93% | ||
| GM | 19.11% |
OM growth 3Y10.28%
OM growth 5Y0.86%
PM growth 3Y39.02%
PM growth 5Y5.62%
GM growth 3Y6.65%
GM growth 5Y0.52%
2. Health
2.1 Basic Checks
APTV has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, APTV has less shares outstanding
APTV has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, APTV has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.35 indicates that APTV is not a great score, but indicates only limited risk for bankruptcy at the moment.
APTV's Altman-Z score of 2.35 is in line compared to the rest of the industry. APTV outperforms 48.15% of its industry peers.
The Debt to FCF ratio of APTV is 4.60, which is a neutral value as it means it would take APTV, 4.60 years of fcf income to pay off all of its debts.
APTV has a worse Debt to FCF ratio (4.60) than 61.73% of its industry peers.
A Debt/Equity ratio of 0.85 indicates that APTV is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.85, APTV is not doing good in the industry: 83.95% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 4.6 | ||
| Altman-Z | 2.35 |
ROIC/WACC2.24
WACC4.5%
2.3 Liquidity
APTV has a Current Ratio of 1.61. This is a normal value and indicates that APTV is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.61, APTV is not doing good in the industry: 80.25% of the companies in the same industry are doing better.
A Quick Ratio of 1.11 indicates that APTV should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.11, APTV is doing good in the industry, outperforming 70.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
APTV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.86%, which is quite impressive.
APTV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.19% yearly.
APTV shows a decrease in Revenue. In the last year, the revenue decreased by -2.47%.
Measured over the past years, APTV shows a small growth in Revenue. The Revenue has been growing by 6.55% on average per year.
EPS 1Y (TTM)33.86%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%45.69%
Revenue 1Y (TTM)-2.47%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%-1.55%
3.2 Future
The Earnings Per Share is expected to grow by 13.63% on average over the next years. This is quite good.
Based on estimates for the next years, APTV will show a small growth in Revenue. The Revenue will grow by 4.85% on average per year.
EPS Next Y14.26%
EPS Next 2Y12.58%
EPS Next 3Y14.34%
EPS Next 5Y13.63%
Revenue Next Year-0.45%
Revenue Next 2Y1.72%
Revenue Next 3Y3.4%
Revenue Next 5Y4.85%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
Based on the Price/Earnings ratio of 9.79, the valuation of APTV can be described as reasonable.
66.67% of the companies in the same industry are more expensive than APTV, based on the Price/Earnings ratio.
APTV is valuated cheaply when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 8.37, the valuation of APTV can be described as reasonable.
Based on the Price/Forward Earnings ratio, APTV is valued a bit cheaper than 64.20% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.94, APTV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.79 | ||
| Fwd PE | 8.37 |
4.2 Price Multiples
APTV's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, APTV is valued a bit cheaper than the industry average as 62.96% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.97 | ||
| EV/EBITDA | 7.29 |
4.3 Compensation for Growth
APTV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of APTV may justify a higher PE ratio.
APTV's earnings are expected to grow with 14.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.69
PEG (5Y)1.89
EPS Next 2Y12.58%
EPS Next 3Y14.34%
5. Dividend
5.1 Amount
No dividends for APTV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
66.96
-0.53 (-0.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners105.9%
Inst Owner Change-6.93%
Ins Owners0.59%
Ins Owner Change19.63%
Market Cap15.36B
Analysts79.33
Price Target74.82 (11.74%)
Short Float %3.97%
Short Ratio2.5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.12
Dividend Growth(5Y)-33.36%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.89%
Min EPS beat(2)3.45%
Max EPS beat(2)8.33%
EPS beat(4)4
Avg EPS beat(4)6.91%
Min EPS beat(4)3.45%
Max EPS beat(4)9.15%
EPS beat(8)8
Avg EPS beat(8)8.4%
EPS beat(12)10
Avg EPS beat(12)2.68%
EPS beat(16)12
Avg EPS beat(16)1.27%
Revenue beat(2)0
Avg Revenue beat(2)-1.41%
Min Revenue beat(2)-1.7%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-4.52%
Min Revenue beat(4)-8.47%
Max Revenue beat(4)-1.13%
Revenue beat(8)1
Avg Revenue beat(8)-2.89%
Revenue beat(12)4
Avg Revenue beat(12)-1.31%
Revenue beat(16)8
Avg Revenue beat(16)-0.19%
PT rev (1m)-9.3%
PT rev (3m)-4.11%
EPS NQ rev (1m)-0.89%
EPS NQ rev (3m)1.26%
EPS NY rev (1m)-0.54%
EPS NY rev (3m)-1.14%
Revenue NQ rev (1m)-1.24%
Revenue NQ rev (3m)-1.14%
Revenue NY rev (1m)-1.55%
Revenue NY rev (3m)-1.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.79 | ||
| Fwd PE | 8.37 | ||
| P/S | 0.78 | ||
| P/FCF | 8.97 | ||
| P/OCF | 6.21 | ||
| P/B | 1.71 | ||
| P/tB | 8.69 | ||
| EV/EBITDA | 7.29 |
EPS(TTM)6.84
EY10.22%
EPS(NY)8
Fwd EY11.94%
FCF(TTM)7.47
FCFY11.15%
OCF(TTM)10.79
OCFY16.11%
SpS85.58
BVpS39.05
TBVpS7.71
PEG (NY)0.69
PEG (5Y)1.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.74% | ||
| ROE | 17.39% | ||
| ROCE | 11.26% | ||
| ROIC | 10.1% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 18.45% | ||
| OM | 10.5% | ||
| PM (TTM) | 7.93% | ||
| GM | 19.11% | ||
| FCFM | 8.72% |
ROA(3y)7.32%
ROA(5y)7%
ROE(3y)17.18%
ROE(5y)16.05%
ROIC(3y)8.46%
ROIC(5y)7.76%
ROICexc(3y)9.26%
ROICexc(5y)8.99%
ROICexgc(3y)16.73%
ROICexgc(5y)15.2%
ROCE(3y)9.44%
ROCE(5y)8.65%
ROICexcg growth 3Y8.25%
ROICexcg growth 5Y-4.19%
ROICexc growth 3Y2.51%
ROICexc growth 5Y-5.11%
OM growth 3Y10.28%
OM growth 5Y0.86%
PM growth 3Y39.02%
PM growth 5Y5.62%
GM growth 3Y6.65%
GM growth 5Y0.52%
F-Score6
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 4.6 | ||
| Debt/EBITDA | 2.52 | ||
| Cap/Depr | 78.07% | ||
| Cap/Sales | 3.88% | ||
| Interest Coverage | 6.72 | ||
| Cash Conversion | 81.47% | ||
| Profit Quality | 109.95% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 2.35 |
F-Score6
WACC4.5%
ROIC/WACC2.24
Cap/Depr(3y)98.73%
Cap/Depr(5y)90.34%
Cap/Sales(3y)4.52%
Cap/Sales(5y)4.39%
Profit Quality(3y)67.79%
Profit Quality(5y)73.23%
High Growth Momentum
Growth
EPS 1Y (TTM)33.86%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%45.69%
EPS Next Y14.26%
EPS Next 2Y12.58%
EPS Next 3Y14.34%
EPS Next 5Y13.63%
Revenue 1Y (TTM)-2.47%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%-1.55%
Revenue Next Year-0.45%
Revenue Next 2Y1.72%
Revenue Next 3Y3.4%
Revenue Next 5Y4.85%
EBIT growth 1Y9.27%
EBIT growth 3Y19.18%
EBIT growth 5Y7.47%
EBIT Next Year39.89%
EBIT Next 3Y16.18%
EBIT Next 5YN/A
FCF growth 1Y190.34%
FCF growth 3Y38.29%
FCF growth 5Y13.9%
OCF growth 1Y69.99%
OCF growth 3Y26.03%
OCF growth 5Y8.54%