AVANTOR INC (AVTR) Stock Fundamental Analysis
USA - NYSE:AVTR - US05352A1007 - Common Stock
15.11 USD
-0.29 (-1.88%)
15.11 USD
0 (0%)
Taking everything into account, AVTR scores 4 out of 10 in our fundamental rating. AVTR was compared to 58 industry peers in the Life Sciences Tools & Services industry. While AVTR is still in line with the averages on profitability rating, there are concerns on its financial health. AVTR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
AVTR had positive earnings in the past year.
In the past year AVTR had a positive cash flow from operations.
Each year in the past 5 years AVTR has been profitable.
AVTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of AVTR (5.38%) is better than 79.31% of its industry peers.
The Return On Equity of AVTR (10.94%) is better than 82.76% of its industry peers.
With a decent Return On Invested Capital value of 4.69%, AVTR is doing good in the industry, outperforming 70.69% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AVTR is significantly below the industry average of 14.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.38% | ||
| ROE | 10.94% | ||
| ROIC | 4.69% |
ROA(3y)4.42%
ROA(5y)3.49%
ROE(3y)10.57%
ROE(5y)9.15%
ROIC(3y)6.58%
ROIC(5y)6.55%
1.3 Margins
AVTR's Profit Margin of 10.31% is fine compared to the rest of the industry. AVTR outperforms 75.86% of its industry peers.
AVTR's Profit Margin has improved in the last couple of years.
The Operating Margin of AVTR (8.89%) is better than 63.79% of its industry peers.
AVTR's Operating Margin has improved in the last couple of years.
AVTR's Gross Margin of 33.25% is on the low side compared to the rest of the industry. AVTR is outperformed by 65.52% of its industry peers.
In the last couple of years the Gross Margin of AVTR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.89% | ||
| PM (TTM) | 10.31% | ||
| GM | 33.25% |
OM growth 3Y-7.05%
OM growth 5Y2.19%
PM growth 3Y15.1%
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AVTR is destroying value.
Compared to 1 year ago, AVTR has more shares outstanding
Compared to 5 years ago, AVTR has more shares outstanding
AVTR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 1.89 indicates that AVTR is not a great score, but indicates only limited risk for bankruptcy at the moment.
AVTR's Altman-Z score of 1.89 is in line compared to the rest of the industry. AVTR outperforms 44.83% of its industry peers.
The Debt to FCF ratio of AVTR is 7.63, which is on the high side as it means it would take AVTR, 7.63 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 7.63, AVTR is doing good in the industry, outperforming 62.07% of the companies in the same industry.
AVTR has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
AVTR has a worse Debt to Equity ratio (0.48) than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 7.63 | ||
| Altman-Z | 1.89 |
ROIC/WACC0.47
WACC9.95%
2.3 Liquidity
A Current Ratio of 0.98 indicates that AVTR may have some problems paying its short term obligations.
The Current ratio of AVTR (0.98) is worse than 87.93% of its industry peers.
AVTR has a Quick Ratio of 0.98. This is a bad value and indicates that AVTR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.67, AVTR is not doing good in the industry: 91.38% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
AVTR shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.09%.
AVTR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -10.82% yearly.
AVTR shows a decrease in Revenue. In the last year, the revenue decreased by -2.34%.
AVTR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.35% yearly.
EPS 1Y (TTM)3.09%
EPS 3Y-10.82%
EPS 5YN/A
EPS Q2Q%-4%
Revenue 1Y (TTM)-2.34%
Revenue growth 3Y-2.8%
Revenue growth 5Y2.35%
Sales Q2Q%-1.14%
3.2 Future
AVTR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.29% yearly.
Based on estimates for the next years, AVTR will show a small growth in Revenue. The Revenue will grow by 3.40% on average per year.
EPS Next Y-3.45%
EPS Next 2Y1.74%
EPS Next 3Y5.07%
EPS Next 5Y10.29%
Revenue Next Year-2.88%
Revenue Next 2Y-0.36%
Revenue Next 3Y1.14%
Revenue Next 5Y3.4%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.11, AVTR is valued correctly.
Based on the Price/Earnings ratio, AVTR is valued cheaper than 96.55% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.08. AVTR is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 14.60, the valuation of AVTR can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AVTR indicates a rather cheap valuation: AVTR is cheaper than 94.83% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.09. AVTR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.11 | ||
| Fwd PE | 14.6 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AVTR is valued cheaply inside the industry as 94.83% of the companies are valued more expensively.
AVTR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AVTR is cheaper than 87.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.53 | ||
| EV/EBITDA | 14.32 |
4.3 Compensation for Growth
The decent profitability rating of AVTR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y1.74%
EPS Next 3Y5.07%
5. Dividend
5.1 Amount
AVTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
15.11
-0.29 (-1.88%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryLife Sciences Tools & Services
Earnings (Last)
Earnings (Next)
Inst Owners103.37%
Inst Owner Change-0.12%
Ins Owners0.34%
Ins Owner Change19.95%
Market Cap10.30B
Revenue(TTM)6.67B
Net Income(TTM)687.40M
Analysts72.14
Price Target14.11 (-6.62%)
Short Float %3.57%
Short Ratio2.26
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.72%
Min EPS beat(2)-5.09%
Max EPS beat(2)-2.36%
EPS beat(4)2
Avg EPS beat(4)-0.99%
Min EPS beat(4)-5.09%
Max EPS beat(4)2.94%
EPS beat(8)5
Avg EPS beat(8)1.75%
EPS beat(12)7
Avg EPS beat(12)1.06%
EPS beat(16)10
Avg EPS beat(16)1.82%
Revenue beat(2)0
Avg Revenue beat(2)-2.51%
Min Revenue beat(2)-3.57%
Max Revenue beat(2)-1.44%
Revenue beat(4)0
Avg Revenue beat(4)-2.72%
Min Revenue beat(4)-3.57%
Max Revenue beat(4)-1.44%
Revenue beat(8)0
Avg Revenue beat(8)-2.07%
Revenue beat(12)0
Avg Revenue beat(12)-2.21%
Revenue beat(16)0
Avg Revenue beat(16)-2.27%
PT rev (1m)-1.26%
PT rev (3m)-17.73%
EPS NQ rev (1m)0.2%
EPS NQ rev (3m)-14.94%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)-7.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.72%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-1.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.11 | ||
| Fwd PE | 14.6 | ||
| P/S | 1.55 | ||
| P/FCF | 18.53 | ||
| P/OCF | 15.11 | ||
| P/B | 1.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.32 |
EPS(TTM)1
EY6.62%
EPS(NY)1.04
Fwd EY6.85%
FCF(TTM)0.82
FCFY5.4%
OCF(TTM)1
OCFY6.62%
SpS9.78
BVpS9.22
TBVpS-4.15
PEG (NY)N/A
PEG (5Y)N/A
Graham Number14.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.38% | ||
| ROE | 10.94% | ||
| ROCE | 5.81% | ||
| ROIC | 4.69% | ||
| ROICexc | 4.91% | ||
| ROICexgc | 74.82% | ||
| OM | 8.89% | ||
| PM (TTM) | 10.31% | ||
| GM | 33.25% | ||
| FCFM | 8.34% |
ROA(3y)4.42%
ROA(5y)3.49%
ROE(3y)10.57%
ROE(5y)9.15%
ROIC(3y)6.58%
ROIC(5y)6.55%
ROICexc(3y)6.76%
ROICexc(5y)6.74%
ROICexgc(3y)52.77%
ROICexgc(5y)49.06%
ROCE(3y)8.14%
ROCE(5y)8.11%
ROICexgc growth 3Y9.06%
ROICexgc growth 5Y15.03%
ROICexc growth 3Y-3.1%
ROICexc growth 5Y1.59%
OM growth 3Y-7.05%
OM growth 5Y2.19%
PM growth 3Y15.1%
PM growth 5YN/A
GM growth 3Y-0.28%
GM growth 5Y1.11%
F-Score5
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 7.63 | ||
| Debt/EBITDA | 2.99 | ||
| Cap/Depr | 31.03% | ||
| Cap/Sales | 1.89% | ||
| Interest Coverage | 3.4 | ||
| Cash Conversion | 68.32% | ||
| Profit Quality | 80.87% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 1.89 |
F-Score5
WACC9.95%
ROIC/WACC0.47
Cap/Depr(3y)35.33%
Cap/Depr(5y)30.17%
Cap/Sales(3y)2.02%
Cap/Sales(5y)1.71%
Profit Quality(3y)143.28%
Profit Quality(5y)453.06%
High Growth Momentum
Growth
EPS 1Y (TTM)3.09%
EPS 3Y-10.82%
EPS 5YN/A
EPS Q2Q%-4%
EPS Next Y-3.45%
EPS Next 2Y1.74%
EPS Next 3Y5.07%
EPS Next 5Y10.29%
Revenue 1Y (TTM)-2.34%
Revenue growth 3Y-2.8%
Revenue growth 5Y2.35%
Sales Q2Q%-1.14%
Revenue Next Year-2.88%
Revenue Next 2Y-0.36%
Revenue Next 3Y1.14%
Revenue Next 5Y3.4%
EBIT growth 1Y-17.23%
EBIT growth 3Y-9.65%
EBIT growth 5Y4.59%
EBIT Next Year2.25%
EBIT Next 3Y4.7%
EBIT Next 5Y8.1%
FCF growth 1Y-22.89%
FCF growth 3Y-6.35%
FCF growth 5Y18.01%
OCF growth 1Y-19.94%
OCF growth 3Y-4.11%
OCF growth 5Y18.89%
AVANTOR INC / AVTR FAQ
What is the ChartMill fundamental rating of AVANTOR INC (AVTR) stock?
ChartMill assigns a fundamental rating of 4 / 10 to AVTR.
Can you provide the valuation status for AVANTOR INC?
ChartMill assigns a valuation rating of 6 / 10 to AVANTOR INC (AVTR). This can be considered as Fairly Valued.
How profitable is AVANTOR INC (AVTR) stock?
AVANTOR INC (AVTR) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for AVTR stock?
The Price/Earnings (PE) ratio for AVANTOR INC (AVTR) is 15.11 and the Price/Book (PB) ratio is 1.64.
Can you provide the financial health for AVTR stock?
The financial health rating of AVANTOR INC (AVTR) is 3 / 10.