AVISTA CORP (AVA) Stock Fundamental Analysis
NYSE:AVA - New York Stock Exchange, Inc. - US05379B1070 - Common Stock - Currency: USD
AVA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 25 industry peers in the Multi-Utilities industry. AVA has a bad profitability rating. Also its financial health evaluation is rather negative. AVA has a valuation in line with the averages, but it does not seem to be growing. Finally AVA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AVA was profitable.
AVA had a positive operating cash flow in the past year.
In the past 5 years AVA has always been profitable.
Each year in the past 5 years AVA had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.35%, AVA is not doing good in the industry: 76.00% of the companies in the same industry are doing better.
AVA has a Return On Equity of 7.08%. This is amonst the worse of the industry: AVA underperforms 84.00% of its industry peers.
AVA has a worse Return On Invested Capital (3.46%) than 84.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AVA is in line with the industry average of 3.92%.
The 3 year average ROIC (2.73%) for AVA is below the current ROIC(3.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.35% | ||
| ROE | 7.08% | ||
| ROIC | 3.46% |
ROA(3y)2.19%
ROA(5y)2.15%
ROE(3y)6.83%
ROE(5y)6.74%
ROIC(3y)2.73%
ROIC(5y)2.82%
1.3 Margins
With a Profit Margin value of 9.64%, AVA is not doing good in the industry: 84.00% of the companies in the same industry are doing better.
AVA's Profit Margin has declined in the last couple of years.
AVA's Operating Margin of 16.96% is on the low side compared to the rest of the industry. AVA is outperformed by 80.00% of its industry peers.
AVA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.96% | ||
| PM (TTM) | 9.64% | ||
| GM | N/A |
OM growth 3Y-0.15%
OM growth 5Y-1.58%
PM growth 3Y-3.19%
PM growth 5Y-8.7%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AVA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AVA has more shares outstanding
AVA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for AVA has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.87, we must say that AVA is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of AVA (0.87) is comparable to the rest of the industry.
The Debt to FCF ratio of AVA is 282.52, which is on the high side as it means it would take AVA, 282.52 years of fcf income to pay off all of its debts.
AVA has a better Debt to FCF ratio (282.52) than 92.00% of its industry peers.
A Debt/Equity ratio of 1.13 is on the high side and indicates that AVA has dependencies on debt financing.
AVA has a Debt to Equity ratio of 1.13. This is in the better half of the industry: AVA outperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 282.52 | ||
| Altman-Z | 0.87 |
ROIC/WACC0.54
WACC6.41%
2.3 Liquidity
AVA has a Current Ratio of 0.93. This is a bad value and indicates that AVA is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of AVA (0.93) is comparable to the rest of the industry.
A Quick Ratio of 0.64 indicates that AVA may have some problems paying its short term obligations.
AVA's Quick ratio of 0.64 is in line compared to the rest of the industry. AVA outperforms 52.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.64 |
3. Growth
3.1 Past
AVA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.29%.
AVA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.97% yearly.
Looking at the last year, AVA shows a small growth in Revenue. The Revenue has grown by 3.14% in the last year.
Measured over the past years, AVA shows a small growth in Revenue. The Revenue has been growing by 7.57% on average per year.
EPS 1Y (TTM)-3.29%
EPS 3Y2.94%
EPS 5Y2.97%
EPS Q2Q%7.69%
Revenue 1Y (TTM)3.14%
Revenue growth 3Y10.44%
Revenue growth 5Y7.57%
Sales Q2Q%1.24%
3.2 Future
The Earnings Per Share is expected to grow by 6.69% on average over the next years.
The Revenue is expected to grow by 2.96% on average over the next years.
EPS Next Y12.07%
EPS Next 2Y10.12%
EPS Next 3Y8.35%
EPS Next 5Y6.69%
Revenue Next Year-2.55%
Revenue Next 2Y0.79%
Revenue Next 3Y1.74%
Revenue Next 5Y2.96%
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
Based on the Price/Earnings ratio of 16.09, the valuation of AVA can be described as correct.
AVA's Price/Earnings is on the same level as the industry average.
AVA is valuated rather cheaply when we compare the Price/Earnings ratio to 26.53, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 13.68, AVA is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AVA indicates a somewhat cheap valuation: AVA is cheaper than 68.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of AVA to the average of the S&P500 Index (22.27), we can say AVA is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.09 | ||
| Fwd PE | 13.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AVA indicates a somewhat cheap valuation: AVA is cheaper than 64.00% of the companies listed in the same industry.
92.00% of the companies in the same industry are more expensive than AVA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 288.39 | ||
| EV/EBITDA | 9.37 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.33
PEG (5Y)5.42
EPS Next 2Y10.12%
EPS Next 3Y8.35%
5. Dividend
5.1 Amount
AVA has a Yearly Dividend Yield of 5.27%, which is a nice return.
Compared to an average industry Dividend Yield of 3.70, AVA pays a better dividend. On top of this AVA pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, AVA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
5.2 History
The dividend of AVA has a limited annual growth rate of 4.18%.
AVA has been paying a dividend for at least 10 years, so it has a reliable track record.
AVA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.18%
Div Incr Years22
Div Non Decr Years25
5.3 Sustainability
AVA pays out 81.16% of its income as dividend. This is not a sustainable payout ratio.
The dividend of AVA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP81.16%
EPS Next 2Y10.12%
EPS Next 3Y8.35%
NYSE:AVA (6/10/2025, 3:32:08 PM)
37.81
+0.5 (+1.34%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners91.28%
Inst Owner Change-1.33%
Ins Owners0.8%
Ins Owner Change10.29%
Market Cap3.05B
Analysts52.31
Price Target43.04 (13.83%)
Short Float %3.79%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
Yearly Dividend1.9
Dividend Growth(5Y)4.18%
DP81.16%
Div Incr Years22
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.85%
Min EPS beat(2)-5.45%
Max EPS beat(2)-2.26%
EPS beat(4)2
Avg EPS beat(4)24.8%
Min EPS beat(4)-5.45%
Max EPS beat(4)79.31%
EPS beat(8)4
Avg EPS beat(8)18.88%
EPS beat(12)5
Avg EPS beat(12)-1.65%
EPS beat(16)8
Avg EPS beat(16)11.39%
Revenue beat(2)1
Avg Revenue beat(2)3.22%
Min Revenue beat(2)-3.32%
Max Revenue beat(2)9.75%
Revenue beat(4)3
Avg Revenue beat(4)2.38%
Min Revenue beat(4)-3.32%
Max Revenue beat(4)9.75%
Revenue beat(8)6
Avg Revenue beat(8)4.96%
Revenue beat(12)9
Avg Revenue beat(12)8.94%
Revenue beat(16)11
Avg Revenue beat(16)7.05%
PT rev (1m)0%
PT rev (3m)6.57%
EPS NQ rev (1m)17.07%
EPS NQ rev (3m)24.68%
EPS NY rev (1m)-1.08%
EPS NY rev (3m)1.65%
Revenue NQ rev (1m)0.45%
Revenue NQ rev (3m)1.57%
Revenue NY rev (1m)-4.13%
Revenue NY rev (3m)-3.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.09 | ||
| Fwd PE | 13.68 | ||
| P/S | 1.57 | ||
| P/FCF | 288.39 | ||
| P/OCF | 5.77 | ||
| P/B | 1.15 | ||
| P/tB | 1.17 | ||
| EV/EBITDA | 9.37 |
EPS(TTM)2.35
EY6.22%
EPS(NY)2.76
Fwd EY7.31%
FCF(TTM)0.13
FCFY0.35%
OCF(TTM)6.55
OCFY17.33%
SpS24.15
BVpS32.88
TBVpS32.24
PEG (NY)1.33
PEG (5Y)5.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.35% | ||
| ROE | 7.08% | ||
| ROCE | 4.55% | ||
| ROIC | 3.46% | ||
| ROICexc | 3.47% | ||
| ROICexgc | 3.49% | ||
| OM | 16.96% | ||
| PM (TTM) | 9.64% | ||
| GM | N/A | ||
| FCFM | 0.54% |
ROA(3y)2.19%
ROA(5y)2.15%
ROE(3y)6.83%
ROE(5y)6.74%
ROIC(3y)2.73%
ROIC(5y)2.82%
ROICexc(3y)2.74%
ROICexc(5y)2.83%
ROICexgc(3y)2.76%
ROICexgc(5y)2.85%
ROCE(3y)3.65%
ROCE(5y)3.74%
ROICexcg growth 3Y3.49%
ROICexcg growth 5Y0.28%
ROICexc growth 3Y3.54%
ROICexc growth 5Y0.32%
OM growth 3Y-0.15%
OM growth 5Y-1.58%
PM growth 3Y-3.19%
PM growth 5Y-8.7%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.13 | ||
| Debt/FCF | 282.52 | ||
| Debt/EBITDA | 4.92 | ||
| Cap/Depr | 186.7% | ||
| Cap/Sales | 26.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.97% | ||
| Profit Quality | 5.63% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.64 | ||
| Altman-Z | 0.87 |
F-Score4
WACC6.41%
ROIC/WACC0.54
Cap/Depr(3y)187%
Cap/Depr(5y)186.15%
Cap/Sales(3y)27.47%
Cap/Sales(5y)28.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.29%
EPS 3Y2.94%
EPS 5Y2.97%
EPS Q2Q%7.69%
EPS Next Y12.07%
EPS Next 2Y10.12%
EPS Next 3Y8.35%
EPS Next 5Y6.69%
Revenue 1Y (TTM)3.14%
Revenue growth 3Y10.44%
Revenue growth 5Y7.57%
Sales Q2Q%1.24%
Revenue Next Year-2.55%
Revenue Next 2Y0.79%
Revenue Next 3Y1.74%
Revenue Next 5Y2.96%
EBIT growth 1Y16.89%
EBIT growth 3Y10.27%
EBIT growth 5Y5.87%
EBIT Next Year97.09%
EBIT Next 3Y31.85%
EBIT Next 5YN/A
FCF growth 1Y102.64%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y834.25%
OCF growth 3Y25.95%
OCF growth 5Y6.04%