Arconic Corporation (ARNC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ARNC - US03966V1070 - Common Stock
29.99 USD
+0.01 (+0.03%)
29.99 USD
0 (0%)
Overall ARNC gets a fundamental rating of 3 out of 10. We evaluated ARNC against 155 industry peers in the Metals & Mining industry. ARNC may be in some trouble as it scores bad on both profitability and health. ARNC has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year ARNC has reported negative net income.
In the past year ARNC had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: ARNC reported negative net income in multiple years.
Of the past 5 years ARNC 4 years had a positive operating cash flow.
1.2 Ratios
The profitability ratios for ARNC are negative, so there is not much use analyzing them.
ARNC has a better Return On Invested Capital (6.84%) than 72.97% of its industry peers.
ARNC had an Average Return On Invested Capital over the past 3 years of 6.44%. This is significantly below the industry average of 13.15%.
The 3 year average ROIC (6.44%) for ARNC is below the current ROIC(6.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 6.84% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.44%
ROIC(5y)6.5%
1.3 Margins
Looking at the Operating Margin, with a value of 4.41%, ARNC is in line with its industry, outperforming 54.05% of the companies in the same industry.
In the last couple of years the Operating Margin of ARNC has grown nicely.
ARNC has a Gross Margin (10.75%) which is comparable to the rest of the industry.
ARNC's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.41% | ||
| PM (TTM) | N/A | ||
| GM | 10.75% |
OM growth 3Y3.22%
OM growth 5Y3.28%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-7.23%
GM growth 5Y-5.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ARNC is destroying value.
Compared to 1 year ago, ARNC has less shares outstanding
The debt/assets ratio for ARNC is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.02 indicates that ARNC is not a great score, but indicates only limited risk for bankruptcy at the moment.
ARNC has a Altman-Z score of 2.02. This is in the lower half of the industry: ARNC underperforms 60.14% of its industry peers.
ARNC has a debt to FCF ratio of 9.24. This is a negative value and a sign of low solvency as ARNC would need 9.24 years to pay back of all of its debts.
The Debt to FCF ratio of ARNC (9.24) is better than 74.32% of its industry peers.
A Debt/Equity ratio of 1.08 is on the high side and indicates that ARNC has dependencies on debt financing.
ARNC's Debt to Equity ratio of 1.08 is on the low side compared to the rest of the industry. ARNC is outperformed by 89.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 9.24 | ||
| Altman-Z | 2.02 |
ROIC/WACC0.75
WACC9.15%
2.3 Liquidity
A Current Ratio of 1.62 indicates that ARNC should not have too much problems paying its short term obligations.
The Current ratio of ARNC (1.62) is worse than 77.03% of its industry peers.
A Quick Ratio of 0.80 indicates that ARNC may have some problems paying its short term obligations.
The Quick ratio of ARNC (0.80) is worse than 82.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
ARNC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -236.96%.
The Revenue has decreased by -7.14% in the past year.
ARNC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.60% yearly.
EPS 1Y (TTM)-236.96%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-44.76%
Revenue 1Y (TTM)-7.14%
Revenue growth 3Y7.19%
Revenue growth 5Y5.6%
Sales Q2Q%-21.9%
3.2 Future
The Earnings Per Share is expected to grow by 58.56% on average over the next years. This is a very strong growth
Based on estimates for the next years, ARNC will show a decrease in Revenue. The Revenue will decrease by -1.43% on average per year.
EPS Next Y204.68%
EPS Next 2Y89.31%
EPS Next 3Y58.56%
EPS Next 5YN/A
Revenue Next Year-8.02%
Revenue Next 2Y-3.31%
Revenue Next 3Y-1.43%
Revenue Next 5YN/A
3.3 Evolution
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 negative for ARNC. In the last year negative earnings were reported.
A Price/Forward Earnings ratio of 9.97 indicates a reasonable valuation of ARNC.
73.65% of the companies in the same industry are more expensive than ARNC, based on the Price/Forward Earnings ratio.
ARNC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.52.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 9.97 |
4.2 Price Multiples
72.30% of the companies in the same industry are more expensive than ARNC, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ARNC is valued cheaply inside the industry as 83.11% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.4 | ||
| EV/EBITDA | 7.5 |
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.
A more expensive valuation may be justified as ARNC's earnings are expected to grow with 58.56% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y89.31%
EPS Next 3Y58.56%
5. Dividend
5.1 Amount
No dividends for ARNC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.99
+0.01 (+0.03%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners45.06%
Ins Owner Change0%
Market Cap3.01B
Revenue(TTM)8.14B
Net Income(TTM)-254.00M
Analysts45.71
Price Target23.97 (-20.07%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.56%
Min EPS beat(2)-22.85%
Max EPS beat(2)13.73%
EPS beat(4)1
Avg EPS beat(4)-354.78%
Min EPS beat(4)-1053.9%
Max EPS beat(4)13.73%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.11%
Min Revenue beat(2)-4.6%
Max Revenue beat(2)2.39%
Revenue beat(4)2
Avg Revenue beat(4)-0.92%
Min Revenue beat(4)-4.6%
Max Revenue beat(4)3.03%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)12.94%
EPS NQ rev (3m)-0.78%
EPS NY rev (1m)-8.24%
EPS NY rev (3m)1.79%
Revenue NQ rev (1m)-6.45%
Revenue NQ rev (3m)1.84%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)-1.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 9.97 | ||
| P/S | 0.37 | ||
| P/FCF | 17.4 | ||
| P/OCF | 7.01 | ||
| P/B | 2.03 | ||
| P/tB | 2.53 | ||
| EV/EBITDA | 7.5 |
EPS(TTM)-2.52
EYN/A
EPS(NY)3.01
Fwd EY10.03%
FCF(TTM)1.72
FCFY5.75%
OCF(TTM)4.28
OCFY14.26%
SpS81.13
BVpS14.79
TBVpS11.86
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | 6.84% | ||
| ROICexc | 7.31% | ||
| ROICexgc | 7.91% | ||
| OM | 4.41% | ||
| PM (TTM) | N/A | ||
| GM | 10.75% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.44%
ROIC(5y)6.5%
ROICexc(3y)7.09%
ROICexc(5y)6.95%
ROICexgc(3y)7.8%
ROICexgc(5y)7.75%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y8.13%
ROICexgc growth 5Y6.88%
ROICexc growth 3Y9.28%
ROICexc growth 5Y7.91%
OM growth 3Y3.22%
OM growth 5Y3.28%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-7.23%
GM growth 5Y-5.88%
F-Score4
Asset Turnover1.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 9.24 | ||
| Debt/EBITDA | 2.76 | ||
| Cap/Depr | 116.36% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 2.02 |
F-Score4
WACC9.15%
ROIC/WACC0.75
Cap/Depr(3y)80.35%
Cap/Depr(5y)87.47%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-236.96%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-44.76%
EPS Next Y204.68%
EPS Next 2Y89.31%
EPS Next 3Y58.56%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.14%
Revenue growth 3Y7.19%
Revenue growth 5Y5.6%
Sales Q2Q%-21.9%
Revenue Next Year-8.02%
Revenue Next 2Y-3.31%
Revenue Next 3Y-1.43%
Revenue Next 5YN/A
EBIT growth 1Y-16.12%
EBIT growth 3Y10.64%
EBIT growth 5Y9.07%
EBIT Next Year124.34%
EBIT Next 3Y41.78%
EBIT Next 5YN/A
FCF growth 1Y145.41%
FCF growth 3Y-28.65%
FCF growth 5YN/A
OCF growth 1Y325.79%
OCF growth 3Y-9.57%
OCF growth 5Y13.18%
Arconic Corporation / ARNC FAQ
What is the ChartMill fundamental rating of Arconic Corporation (ARNC) stock?
ChartMill assigns a fundamental rating of 3 / 10 to ARNC.
What is the valuation status for ARNC stock?
ChartMill assigns a valuation rating of 6 / 10 to Arconic Corporation (ARNC). This can be considered as Fairly Valued.
How profitable is Arconic Corporation (ARNC) stock?
Arconic Corporation (ARNC) has a profitability rating of 3 / 10.
Can you provide the expected EPS growth for ARNC stock?
The Earnings per Share (EPS) of Arconic Corporation (ARNC) is expected to grow by 204.68% in the next year.