AVEANNA HEALTHCARE HOLDINGS (AVAH) Stock Fundamental Analysis
NASDAQ:AVAH - Nasdaq - US05356F1057 - Common Stock - Currency: USD
We assign a fundamental rating of 3 out of 10 to AVAH. AVAH was compared to 102 industry peers in the Health Care Providers & Services industry. While AVAH is still in line with the averages on profitability rating, there are concerns on its financial health. AVAH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AVAH was profitable.
AVAH had a positive operating cash flow in the past year.
In the past 5 years AVAH always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: AVAH reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.33%, AVAH is in line with its industry, outperforming 48.04% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.57%, AVAH belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AVAH is below the industry average of 9.53%.
The last Return On Invested Capital (10.57%) for AVAH is above the 3 year average (5.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | N/A | ||
| ROIC | 10.57% |
ROA(3y)-15.89%
ROA(5y)-11.16%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.94%
ROIC(5y)5.12%
1.3 Margins
AVAH's Profit Margin of 0.26% is in line compared to the rest of the industry. AVAH outperforms 47.06% of its industry peers.
AVAH's Operating Margin of 8.14% is fine compared to the rest of the industry. AVAH outperforms 74.51% of its industry peers.
AVAH's Operating Margin has improved in the last couple of years.
The Gross Margin of AVAH (32.17%) is comparable to the rest of the industry.
AVAH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.14% | ||
| PM (TTM) | 0.26% | ||
| GM | 32.17% |
OM growth 3Y7.46%
OM growth 5Y9.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.96%
GM growth 5Y0.71%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AVAH is creating some value.
Compared to 1 year ago, AVAH has more shares outstanding
AVAH has more shares outstanding than it did 5 years ago.
AVAH has a better debt/assets ratio than last year.
2.2 Solvency
AVAH has an Altman-Z score of 0.82. This is a bad value and indicates that AVAH is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.82, AVAH is not doing good in the industry: 71.57% of the companies in the same industry are doing better.
AVAH has a debt to FCF ratio of 50.62. This is a negative value and a sign of low solvency as AVAH would need 50.62 years to pay back of all of its debts.
The Debt to FCF ratio of AVAH (50.62) is worse than 61.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 50.62 | ||
| Altman-Z | 0.82 |
ROIC/WACC1.06
WACC9.99%
2.3 Liquidity
A Current Ratio of 1.05 indicates that AVAH should not have too much problems paying its short term obligations.
AVAH has a worse Current ratio (1.05) than 73.53% of its industry peers.
AVAH has a Quick Ratio of 1.05. This is a normal value and indicates that AVAH is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.05, AVAH is doing worse than 68.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
AVAH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 280.00%, which is quite impressive.
The earnings per share for AVAH have been decreasing by -49.58% on average. This is quite bad
The Revenue has grown by 9.05% in the past year. This is quite good.
The Revenue has been growing slightly by 7.90% on average over the past years.
EPS 1Y (TTM)280%
EPS 3Y-49.58%
EPS 5YN/A
EPS Q2Q%433.33%
Revenue 1Y (TTM)9.05%
Revenue growth 3Y6.44%
Revenue growth 5Y7.9%
Sales Q2Q%13.98%
3.2 Future
The Earnings Per Share is expected to grow by 86.89% on average over the next years. This is a very strong growth
Based on estimates for the next years, AVAH will show a small growth in Revenue. The Revenue will grow by 5.83% on average per year.
EPS Next Y275.95%
EPS Next 2Y111.85%
EPS Next 3Y86.89%
EPS Next 5YN/A
Revenue Next Year7.93%
Revenue Next 2Y6.17%
Revenue Next 3Y5.83%
Revenue Next 5YN/A
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
The Price/Earnings ratio is 30.50, which means the current valuation is very expensive for AVAH.
AVAH's Price/Earnings is on the same level as the industry average.
AVAH's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.03.
With a Price/Forward Earnings ratio of 24.47, AVAH is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AVAH is on the same level as its industry peers.
AVAH's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.5 | ||
| Fwd PE | 24.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AVAH is valued a bit cheaper than 62.75% of the companies in the same industry.
AVAH's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.43 | ||
| EV/EBITDA | 12.28 |
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.
AVAH's earnings are expected to grow with 86.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.11
PEG (5Y)N/A
EPS Next 2Y111.85%
EPS Next 3Y86.89%
5. Dividend
5.1 Amount
No dividends for AVAH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
5.49
-0.26 (-4.52%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners43.67%
Inst Owner Change0.29%
Ins Owners5.91%
Ins Owner Change5.97%
Market Cap1.07B
Analysts50
Price Target5.71 (4.01%)
Short Float %3.46%
Short Ratio4.37
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)2
Avg EPS beat(2)4508.34%
Min EPS beat(2)2060.78%
Max EPS beat(2)6955.89%
EPS beat(4)4
Avg EPS beat(4)2355.64%
Min EPS beat(4)149.02%
Max EPS beat(4)6955.89%
EPS beat(8)7
Avg EPS beat(8)1189.21%
EPS beat(12)8
Avg EPS beat(12)768.56%
EPS beat(16)8
Avg EPS beat(16)572.7%
Revenue beat(2)2
Avg Revenue beat(2)4.43%
Min Revenue beat(2)2.02%
Max Revenue beat(2)6.85%
Revenue beat(4)4
Avg Revenue beat(4)2.45%
Min Revenue beat(4)0.34%
Max Revenue beat(4)6.85%
Revenue beat(8)7
Avg Revenue beat(8)1.76%
Revenue beat(12)8
Avg Revenue beat(12)0.62%
Revenue beat(16)9
Avg Revenue beat(16)-0.47%
PT rev (1m)-2.24%
PT rev (3m)6.09%
EPS NQ rev (1m)-7.69%
EPS NQ rev (3m)0%
EPS NY rev (1m)53.58%
EPS NY rev (3m)141.69%
Revenue NQ rev (1m)0.89%
Revenue NQ rev (3m)0.25%
Revenue NY rev (1m)2.18%
Revenue NY rev (3m)2.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.5 | ||
| Fwd PE | 24.47 | ||
| P/S | 0.51 | ||
| P/FCF | 37.43 | ||
| P/OCF | 29.77 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.28 |
EPS(TTM)0.18
EY3.28%
EPS(NY)0.22
Fwd EY4.09%
FCF(TTM)0.15
FCFY2.67%
OCF(TTM)0.18
OCFY3.36%
SpS10.73
BVpS-0.51
TBVpS-6.37
PEG (NY)0.11
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | N/A | ||
| ROCE | 13.39% | ||
| ROIC | 10.57% | ||
| ROICexc | 11.2% | ||
| ROICexgc | 235.37% | ||
| OM | 8.14% | ||
| PM (TTM) | 0.26% | ||
| GM | 32.17% | ||
| FCFM | 1.37% |
ROA(3y)-15.89%
ROA(5y)-11.16%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.94%
ROIC(5y)5.12%
ROICexc(3y)6.24%
ROICexc(5y)5.39%
ROICexgc(3y)148.4%
ROICexgc(5y)163.95%
ROCE(3y)7.54%
ROCE(5y)6.51%
ROICexcg growth 3Y3.46%
ROICexcg growth 5Y50.58%
ROICexc growth 3Y35.54%
ROICexc growth 5Y22.27%
OM growth 3Y7.46%
OM growth 5Y9.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.96%
GM growth 5Y0.71%
F-Score8
Asset Turnover1.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 50.62 | ||
| Debt/EBITDA | 6.38 | ||
| Cap/Depr | 25.41% | ||
| Cap/Sales | 0.35% | ||
| Interest Coverage | 1.14 | ||
| Cash Conversion | 18.05% | ||
| Profit Quality | 526.45% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 0.82 |
F-Score8
WACC9.99%
ROIC/WACC1.06
Cap/Depr(3y)32.8%
Cap/Depr(5y)53.1%
Cap/Sales(3y)0.44%
Cap/Sales(5y)0.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)280%
EPS 3Y-49.58%
EPS 5YN/A
EPS Q2Q%433.33%
EPS Next Y275.95%
EPS Next 2Y111.85%
EPS Next 3Y86.89%
EPS Next 5YN/A
Revenue 1Y (TTM)9.05%
Revenue growth 3Y6.44%
Revenue growth 5Y7.9%
Sales Q2Q%13.98%
Revenue Next Year7.93%
Revenue Next 2Y6.17%
Revenue Next 3Y5.83%
Revenue Next 5YN/A
EBIT growth 1Y43.29%
EBIT growth 3Y14.38%
EBIT growth 5Y18.06%
EBIT Next Year29.86%
EBIT Next 3Y14.56%
EBIT Next 5YN/A
FCF growth 1Y168.84%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y214.5%
OCF growth 3YN/A
OCF growth 5YN/A