AEROVIRONMENT INC (AVAV) Stock Fundamental Analysis
NASDAQ:AVAV - Nasdaq - US0080731088 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to AVAV. AVAV was compared to 65 industry peers in the Aerospace & Defense industry. AVAV has only an average score on both its financial health and profitability. While showing a medium growth rate, AVAV is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year AVAV was profitable.
In the past year AVAV has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: AVAV reported negative net income in multiple years.
AVAV had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.15%, AVAV is in line with its industry, outperforming 55.38% of the companies in the same industry.
AVAV has a Return On Equity (3.83%) which is in line with its industry peers.
The Return On Invested Capital of AVAV (2.84%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 3.83% | ||
| ROIC | 2.84% |
ROA(3y)-5.32%
ROA(5y)-1.28%
ROE(3y)-8.47%
ROE(5y)-2.71%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AVAV has a Profit Margin of 4.44%. This is comparable to the rest of the industry: AVAV outperforms 49.23% of its industry peers.
AVAV's Profit Margin has declined in the last couple of years.
AVAV has a Operating Margin (4.46%) which is in line with its industry peers.
In the last couple of years the Operating Margin of AVAV has remained more or less at the same level.
With an excellent Gross Margin value of 39.58%, AVAV belongs to the best of the industry, outperforming 81.54% of the companies in the same industry.
AVAV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.46% | ||
| PM (TTM) | 4.44% | ||
| GM | 39.58% |
OM growth 3Y-2.12%
OM growth 5Y-0.89%
PM growth 3Y12.16%
PM growth 5Y-11.2%
GM growth 3Y-1.68%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
AVAV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for AVAV has been increased compared to 1 year ago.
Compared to 5 years ago, AVAV has more shares outstanding
Compared to 1 year ago, AVAV has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 29.46 indicates that AVAV is not in any danger for bankruptcy at the moment.
AVAV's Altman-Z score of 29.46 is amongst the best of the industry. AVAV outperforms 98.46% of its industry peers.
A Debt/Equity ratio of 0.03 indicates that AVAV is not too dependend on debt financing.
AVAV's Debt to Equity ratio of 0.03 is amongst the best of the industry. AVAV outperforms 87.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 29.46 |
ROIC/WACC0.28
WACC10.23%
2.3 Liquidity
A Current Ratio of 4.22 indicates that AVAV has no problem at all paying its short term obligations.
AVAV's Current ratio of 4.22 is amongst the best of the industry. AVAV outperforms 84.62% of its industry peers.
AVAV has a Quick Ratio of 3.07. This indicates that AVAV is financially healthy and has no problem in meeting its short term obligations.
AVAV has a better Quick ratio (3.07) than 86.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.22 | ||
| Quick Ratio | 3.07 |
3. Growth
3.1 Past
The earnings per share for AVAV have decreased strongly by -41.78% in the last year.
Measured over the past years, AVAV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.60% on average per year.
The Revenue has been growing slightly by 5.22% in the past year.
AVAV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.92% yearly.
EPS 1Y (TTM)-41.78%
EPS 3Y13%
EPS 5Y11.6%
EPS Q2Q%-52.38%
Revenue 1Y (TTM)5.22%
Revenue growth 3Y21.98%
Revenue growth 5Y17.92%
Sales Q2Q%-10.15%
3.2 Future
Based on estimates for the next years, AVAV will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.87% on average per year.
Based on estimates for the next years, AVAV will show a quite strong growth in Revenue. The Revenue will grow by 12.54% on average per year.
EPS Next Y3.55%
EPS Next 2Y19.25%
EPS Next 3Y19.47%
EPS Next 5Y18.87%
Revenue Next Year11.4%
Revenue Next 2Y23.07%
Revenue Next 3Y16.84%
Revenue Next 5Y12.54%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 93.35, AVAV can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as AVAV.
AVAV is valuated expensively when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 45.28 indicates a quite expensive valuation of AVAV.
AVAV's Price/Forward Earnings ratio is in line with the industry average.
AVAV is valuated expensively when we compare the Price/Forward Earnings ratio to 22.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 93.35 | ||
| Fwd PE | 45.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AVAV indicates a slightly more expensive valuation: AVAV is more expensive than 66.15% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 121.89 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AVAV does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as AVAV's earnings are expected to grow with 19.47% in the coming years.
PEG (NY)26.31
PEG (5Y)8.04
EPS Next 2Y19.25%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
AVAV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
195.1
+4.98 (+2.62%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners99.36%
Inst Owner Change3.55%
Ins Owners1.08%
Ins Owner Change-96.08%
Market Cap8.90B
Analysts87.69
Price Target188.41 (-3.43%)
Short Float %8.47%
Short Ratio7.41
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)0
Avg EPS beat(2)-44.51%
Min EPS beat(2)-53.02%
Max EPS beat(2)-36%
EPS beat(4)2
Avg EPS beat(4)9.93%
Min EPS beat(4)-53.02%
Max EPS beat(4)94.15%
EPS beat(8)5
Avg EPS beat(8)56.55%
EPS beat(12)5
Avg EPS beat(12)9.73%
EPS beat(16)9
Avg EPS beat(16)12.56%
Revenue beat(2)1
Avg Revenue beat(2)-7.65%
Min Revenue beat(2)-16.31%
Max Revenue beat(2)1%
Revenue beat(4)3
Avg Revenue beat(4)-3.19%
Min Revenue beat(4)-16.31%
Max Revenue beat(4)2.42%
Revenue beat(8)7
Avg Revenue beat(8)3.19%
Revenue beat(12)9
Avg Revenue beat(12)2.21%
Revenue beat(16)10
Avg Revenue beat(16)-0.38%
PT rev (1m)-1.76%
PT rev (3m)-9.11%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)-2.87%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.8%
Revenue NQ rev (1m)0.7%
Revenue NQ rev (3m)-1.73%
Revenue NY rev (1m)0.26%
Revenue NY rev (3m)-3.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 93.35 | ||
| Fwd PE | 45.28 | ||
| P/S | 11.99 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 10.34 | ||
| P/tB | 16.86 | ||
| EV/EBITDA | 121.89 |
EPS(TTM)2.09
EY1.07%
EPS(NY)4.31
Fwd EY2.21%
FCF(TTM)-0.79
FCFYN/A
OCF(TTM)-0.28
OCFYN/A
SpS16.27
BVpS18.87
TBVpS11.57
PEG (NY)26.31
PEG (5Y)8.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.15% | ||
| ROE | 3.83% | ||
| ROCE | 3.6% | ||
| ROIC | 2.84% | ||
| ROICexc | 3% | ||
| ROICexgc | 4.85% | ||
| OM | 4.46% | ||
| PM (TTM) | 4.44% | ||
| GM | 39.58% | ||
| FCFM | N/A |
ROA(3y)-5.32%
ROA(5y)-1.28%
ROE(3y)-8.47%
ROE(5y)-2.71%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y-4.36%
ROICexcg growth 5Y-7.43%
ROICexc growth 3Y11.62%
ROICexc growth 5Y-17.4%
OM growth 3Y-2.12%
OM growth 5Y-0.89%
PM growth 3Y12.16%
PM growth 5Y-11.2%
GM growth 3Y-1.68%
GM growth 5Y-0.61%
F-Score4
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.35 | ||
| Cap/Depr | 61.63% | ||
| Cap/Sales | 3.15% | ||
| Interest Coverage | 15.25 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.22 | ||
| Quick Ratio | 3.07 | ||
| Altman-Z | 29.46 |
F-Score4
WACC10.23%
ROIC/WACC0.28
Cap/Depr(3y)40%
Cap/Depr(5y)58.38%
Cap/Sales(3y)3.72%
Cap/Sales(5y)3.41%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-41.78%
EPS 3Y13%
EPS 5Y11.6%
EPS Q2Q%-52.38%
EPS Next Y3.55%
EPS Next 2Y19.25%
EPS Next 3Y19.47%
EPS Next 5Y18.87%
Revenue 1Y (TTM)5.22%
Revenue growth 3Y21.98%
Revenue growth 5Y17.92%
Sales Q2Q%-10.15%
Revenue Next Year11.4%
Revenue Next 2Y23.07%
Revenue Next 3Y16.84%
Revenue Next 5Y12.54%
EBIT growth 1Y-43.11%
EBIT growth 3Y19.4%
EBIT growth 5Y16.87%
EBIT Next Year53.53%
EBIT Next 3Y33.15%
EBIT Next 5Y28.14%
FCF growth 1Y-614.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-156.92%
OCF growth 3Y-43.88%
OCF growth 5Y-4.51%