AMERICAN VANGUARD CORP (AVD) Stock Fundamental Analysis
NYSE:AVD - New York Stock Exchange, Inc. - US0303711081 - Common Stock - Currency: USD
Overall AVD gets a fundamental rating of 3 out of 10. We evaluated AVD against 85 industry peers in the Chemicals industry. AVD may be in some trouble as it scores bad on both profitability and health. AVD 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 AVD has reported negative net income.
AVD had a positive operating cash flow in the past year.
Of the past 5 years AVD 4 years were profitable.
AVD had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of AVD (-21.59%) is worse than 82.35% of its industry peers.
The Return On Equity of AVD (-59.97%) is worse than 83.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -21.59% | ||
| ROE | -59.97% | ||
| ROIC | N/A |
ROA(3y)-5.03%
ROA(5y)-2.04%
ROE(3y)-14.92%
ROE(5y)-7.11%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 20.47%, AVD is doing worse than 67.06% of the companies in the same industry.
In the last couple of years the Gross Margin of AVD has declined.
AVD does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 20.47% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.88%
GM growth 5Y-10.32%
2. Health
2.1 Basic Checks
AVD does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for AVD has been increased compared to 1 year ago.
The number of shares outstanding for AVD has been reduced compared to 5 years ago.
The debt/assets ratio for AVD is higher compared to a year ago.
2.2 Solvency
AVD has an Altman-Z score of 1.55. This is a bad value and indicates that AVD is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.55, AVD is not doing good in the industry: 63.53% of the companies in the same industry are doing better.
The Debt to FCF ratio of AVD is 7.90, which is on the high side as it means it would take AVD, 7.90 years of fcf income to pay off all of its debts.
AVD's Debt to FCF ratio of 7.90 is fine compared to the rest of the industry. AVD outperforms 68.24% of its industry peers.
AVD has a Debt/Equity ratio of 0.74. This is a neutral value indicating AVD is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.74, AVD perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 7.9 | ||
| Altman-Z | 1.55 |
ROIC/WACCN/A
WACC10.19%
2.3 Liquidity
A Current Ratio of 1.77 indicates that AVD should not have too much problems paying its short term obligations.
AVD has a Current ratio of 1.77. This is comparable to the rest of the industry: AVD outperforms 41.18% of its industry peers.
AVD has a Quick Ratio of 1.77. This is a bad value and indicates that AVD is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.91, AVD is not doing good in the industry: 70.59% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for AVD have decreased strongly by -1336.00% in the last year.
AVD shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.46%.
AVD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.17% yearly.
EPS 1Y (TTM)-1336%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-600%
Revenue 1Y (TTM)-10.46%
Revenue growth 3Y-0.58%
Revenue growth 5Y3.17%
Sales Q2Q%-14.31%
3.2 Future
Based on estimates for the next years, AVD will show a very strong growth in Earnings Per Share. The EPS will grow by 46.18% on average per year.
AVD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.27% yearly.
EPS Next Y97.41%
EPS Next 2Y46.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.9%
Revenue Next 2Y0.27%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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 negative for AVD. In the last year negative earnings were reported.
Based on the Price/Forward Earnings ratio of 11.11, the valuation of AVD can be described as reasonable.
Based on the Price/Forward Earnings ratio, AVD is valued a bit cheaper than the industry average as 69.41% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.90. AVD is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.11 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, AVD is valued cheaper than 94.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.63 | ||
| EV/EBITDA | N/A |
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 AVD's earnings are expected to grow with 46.18% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y46.18%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.18%, AVD has a reasonable but not impressive dividend return.
AVD's Dividend Yield is a higher than the industry average which is at 3.69.
AVD's Dividend Yield is a higher than the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
5.2 History
The dividend of AVD has a limited annual growth rate of 2.42%.
AVD has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)2.42%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of AVD are negative and hence is the payout ratio. AVD will probably not be able to sustain this dividend level.
AVD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-1.23%
EPS Next 2Y46.18%
EPS Next 3YN/A
4.15
+0.12 (+2.98%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners72.47%
Inst Owner Change-3.62%
Ins Owners8.4%
Ins Owner Change0.08%
Market Cap119.48M
Analysts80
Price Target12.24 (194.94%)
Short Float %2.45%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
Yearly Dividend0.09
Dividend Growth(5Y)2.42%
DP-1.23%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-571.08%
Min EPS beat(2)-817.82%
Max EPS beat(2)-324.33%
EPS beat(4)0
Avg EPS beat(4)-706.27%
Min EPS beat(4)-858.83%
Max EPS beat(4)-324.33%
EPS beat(8)0
Avg EPS beat(8)-388.77%
EPS beat(12)2
Avg EPS beat(12)-259.72%
EPS beat(16)5
Avg EPS beat(16)-187.95%
Revenue beat(2)0
Avg Revenue beat(2)-6.62%
Min Revenue beat(2)-9.72%
Max Revenue beat(2)-3.53%
Revenue beat(4)0
Avg Revenue beat(4)-8.52%
Min Revenue beat(4)-15.85%
Max Revenue beat(4)-3.53%
Revenue beat(8)0
Avg Revenue beat(8)-8.01%
Revenue beat(12)0
Avg Revenue beat(12)-7.76%
Revenue beat(16)4
Avg Revenue beat(16)-3.2%
PT rev (1m)-14.29%
PT rev (3m)-14.29%
EPS NQ rev (1m)-400%
EPS NQ rev (3m)-400%
EPS NY rev (1m)-133.33%
EPS NY rev (3m)-133.33%
Revenue NQ rev (1m)-7.41%
Revenue NQ rev (3m)-7.41%
Revenue NY rev (1m)-6.94%
Revenue NY rev (3m)-8.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 11.11 | ||
| P/S | 0.23 | ||
| P/FCF | 5.63 | ||
| P/OCF | 4.64 | ||
| P/B | 0.53 | ||
| P/tB | 2.01 | ||
| EV/EBITDA | N/A |
EPS(TTM)-3.09
EYN/A
EPS(NY)0.37
Fwd EY9%
FCF(TTM)0.74
FCFY17.76%
OCF(TTM)0.9
OCFY21.57%
SpS18.34
BVpS7.9
TBVpS2.06
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -21.59% | ||
| ROE | -59.97% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 20.47% | ||
| FCFM | 4.02% |
ROA(3y)-5.03%
ROA(5y)-2.04%
ROE(3y)-14.92%
ROE(5y)-7.11%
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 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-16.88%
GM growth 5Y-10.32%
F-Score3
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 7.9 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 21.07% | ||
| Cap/Sales | 0.86% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.55 |
F-Score3
WACC10.19%
ROIC/WACCN/A
Cap/Depr(3y)51.85%
Cap/Depr(5y)55.48%
Cap/Sales(3y)1.96%
Cap/Sales(5y)2.2%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1336%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-600%
EPS Next Y97.41%
EPS Next 2Y46.18%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-10.46%
Revenue growth 3Y-0.58%
Revenue growth 5Y3.17%
Sales Q2Q%-14.31%
Revenue Next Year-2.9%
Revenue Next 2Y0.27%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-246.17%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year346.68%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-39.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-46.29%
OCF growth 3Y-64.32%
OCF growth 5Y-16.03%