APTIV PLC (APTV) Stock Fundamental Analysis
NYSE:APTV - New York Stock Exchange, Inc. - JE00BTDN8H13 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to APTV. APTV was compared to 80 industry peers in the Automobile Components industry. Both the profitability and the financial health of APTV get a neutral evaluation. Nothing too spectacular is happening here. APTV is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make APTV suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year APTV was profitable.
APTV had a positive operating cash flow in the past year.
APTV had positive earnings in each of the past 5 years.
Each year in the past 5 years APTV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.23%, APTV is doing worse than 60.00% of the companies in the same industry.
APTV has a Return On Equity of 10.45%. This is amongst the best in the industry. APTV outperforms 88.75% of its industry peers.
APTV has a better Return On Invested Capital (9.76%) than 90.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for APTV is in line with the industry average of 8.74%.
The last Return On Invested Capital (9.76%) for APTV is above the 3 year average (8.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.23% | ||
| ROE | 10.45% | ||
| ROIC | 9.76% |
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 (5.12%) which is in line with its industry peers.
APTV's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 10.55%, APTV perfoms like the industry average, outperforming 43.75% of the companies in the same industry.
In the last couple of years the Operating Margin of APTV has remained more or less at the same level.
APTV's Gross Margin of 19.11% is on the low side compared to the rest of the industry. APTV is outperformed by 75.00% of its industry peers.
APTV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.55% | ||
| PM (TTM) | 5.12% | ||
| 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.
The number of shares outstanding for APTV has been reduced compared to 1 year ago.
The number of shares outstanding for APTV has been reduced compared to 5 years ago.
APTV has a worse debt/assets ratio than last year.
2.2 Solvency
APTV has an Altman-Z score of 2.29. This is not the best score and indicates that APTV is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of APTV (2.29) is worse than 62.50% of its industry peers.
APTV has a debt to FCF ratio of 4.70. This is a neutral value as APTV would need 4.70 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 4.70, APTV belongs to the best of the industry, outperforming 82.50% of the companies in the same industry.
APTV has a Debt/Equity ratio of 0.80. This is a neutral value indicating APTV is somewhat dependend on debt financing.
APTV has a Debt to Equity ratio of 0.80. This is amonst the worse of the industry: APTV underperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 4.7 | ||
| Altman-Z | 2.29 |
ROIC/WACC2.15
WACC4.53%
2.3 Liquidity
A Current Ratio of 1.76 indicates that APTV should not have too much problems paying its short term obligations.
With a Current ratio value of 1.76, APTV is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
APTV has a Quick Ratio of 1.24. This is a normal value and indicates that APTV is financially healthy and should not expect problems in meeting its short term obligations.
APTV has a better Quick ratio (1.24) than 72.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
APTV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.66%, which is quite impressive.
Measured over the past 5 years, APTV shows a small growth in Earnings Per Share. The EPS has been growing by 5.19% on average per year.
APTV shows a decrease in Revenue. In the last year, the revenue decreased by -0.96%.
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)35.66%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%34.18%
Revenue 1Y (TTM)-0.96%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%3.11%
3.2 Future
Based on estimates for the next years, APTV will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.53% on average per year.
The Revenue is expected to grow by 5.07% on average over the next years.
EPS Next Y15.46%
EPS Next 2Y13.71%
EPS Next 3Y13.68%
EPS Next 5Y14.53%
Revenue Next Year0.37%
Revenue Next 2Y2.37%
Revenue Next 3Y3.59%
Revenue Next 5Y5.07%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 8.82, which indicates a very decent valuation of APTV.
Compared to the rest of the industry, the Price/Earnings ratio of APTV indicates a rather cheap valuation: APTV is cheaper than 81.25% of the companies listed in the same industry.
APTV's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.99.
Based on the Price/Forward Earnings ratio of 7.98, the valuation of APTV can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of APTV indicates a somewhat cheap valuation: APTV is cheaper than 68.75% of the companies listed in the same industry.
APTV's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.82 | ||
| Fwd PE | 7.98 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as APTV.
82.50% of the companies in the same industry are more expensive than APTV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.56 | ||
| EV/EBITDA | 6.67 |
4.3 Compensation for Growth
The 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.
A more expensive valuation may be justified as APTV's earnings are expected to grow with 13.68% in the coming years.
PEG (NY)0.57
PEG (5Y)1.7
EPS Next 2Y13.71%
EPS Next 3Y13.68%
5. Dividend
5.1 Amount
No dividends for APTV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
65.12
+0.34 (+0.52%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners106.72%
Inst Owner Change-0.02%
Ins Owners0.53%
Ins Owner Change19.39%
Market Cap14.18B
Analysts77.14
Price Target81.41 (25.02%)
Short Float %2.43%
Short Ratio2.41
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)10.76%
Min EPS beat(2)8.33%
Max EPS beat(2)13.18%
EPS beat(4)4
Avg EPS beat(4)7.92%
Min EPS beat(4)3.45%
Max EPS beat(4)13.18%
EPS beat(8)8
Avg EPS beat(8)7.46%
EPS beat(12)11
Avg EPS beat(12)9%
EPS beat(16)13
Avg EPS beat(16)2.86%
Revenue beat(2)1
Avg Revenue beat(2)-0.39%
Min Revenue beat(2)-1.13%
Max Revenue beat(2)0.35%
Revenue beat(4)1
Avg Revenue beat(4)-2.74%
Min Revenue beat(4)-8.47%
Max Revenue beat(4)0.35%
Revenue beat(8)1
Avg Revenue beat(8)-3.53%
Revenue beat(12)5
Avg Revenue beat(12)-1.05%
Revenue beat(16)8
Avg Revenue beat(16)-0.47%
PT rev (1m)4.15%
PT rev (3m)6.45%
EPS NQ rev (1m)3.02%
EPS NQ rev (3m)2.01%
EPS NY rev (1m)0.15%
EPS NY rev (3m)0.51%
Revenue NQ rev (1m)1.19%
Revenue NQ rev (3m)0.27%
Revenue NY rev (1m)0.44%
Revenue NY rev (3m)-0.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.82 | ||
| Fwd PE | 7.98 | ||
| P/S | 0.72 | ||
| P/FCF | 8.56 | ||
| P/OCF | 6.05 | ||
| P/B | 1.46 | ||
| P/tB | 6.07 | ||
| EV/EBITDA | 6.67 |
EPS(TTM)7.38
EY11.33%
EPS(NY)8.16
Fwd EY12.53%
FCF(TTM)7.61
FCFY11.69%
OCF(TTM)10.76
OCFY16.52%
SpS90.91
BVpS44.5
TBVpS10.73
PEG (NY)0.57
PEG (5Y)1.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.23% | ||
| ROE | 10.45% | ||
| ROCE | 10.89% | ||
| ROIC | 9.76% | ||
| ROICexc | 10.55% | ||
| ROICexgc | 18.02% | ||
| OM | 10.55% | ||
| PM (TTM) | 5.12% | ||
| GM | 19.11% | ||
| FCFM | 8.37% |
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-Score7
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 4.7 | ||
| Debt/EBITDA | 2.53 | ||
| Cap/Depr | 70.04% | ||
| Cap/Sales | 3.46% | ||
| Interest Coverage | 5.77 | ||
| Cash Conversion | 76.36% | ||
| Profit Quality | 163.57% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.24 | ||
| Altman-Z | 2.29 |
F-Score7
WACC4.53%
ROIC/WACC2.15
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)35.66%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%34.18%
EPS Next Y15.46%
EPS Next 2Y13.71%
EPS Next 3Y13.68%
EPS Next 5Y14.53%
Revenue 1Y (TTM)-0.96%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%3.11%
Revenue Next Year0.37%
Revenue Next 2Y2.37%
Revenue Next 3Y3.59%
Revenue Next 5Y5.07%
EBIT growth 1Y7.35%
EBIT growth 3Y19.18%
EBIT growth 5Y7.47%
EBIT Next Year38.86%
EBIT Next 3Y15.91%
EBIT Next 5Y13.86%
FCF growth 1Y63.25%
FCF growth 3Y38.29%
FCF growth 5Y13.9%
OCF growth 1Y23.52%
OCF growth 3Y26.03%
OCF growth 5Y8.54%