AVAYA HOLDINGS CORP (AVYA) Stock Fundamental Analysis
USA - NYSE:AVYA - US05351X1019 - Common Stock
0.2753 USD
-0.03 (-10.73%)
0.29 USD
+0.01 (+5.34%)
Overall AVYA gets a fundamental rating of 2 out of 10. We evaluated AVYA against 285 industry peers in the Software industry. Both the profitability and financial health of AVYA have multiple concerns. AVYA does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year AVYA was profitable.
AVYA had a negative operating cash flow in the past year.
1.2 Ratios
The profitability ratios for AVYA are negative, so there is not much use analyzing them.
Looking at the Return On Invested Capital, with a value of 0.23%, AVYA is in the better half of the industry, outperforming 73.33% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AVYA is significantly above the industry average of 11.88%.
The 3 year average ROIC (76.09%) for AVYA is well above the current ROIC(0.23%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 0.23% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)76.09%
ROIC(5y)N/A
1.3 Margins
With a decent Operating Margin value of 0.33%, AVYA is doing good in the industry, outperforming 73.00% of the companies in the same industry.
AVYA's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 51.12%, AVYA is not doing good in the industry: 67.67% of the companies in the same industry are doing better.
AVYA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.33% | ||
| PM (TTM) | N/A | ||
| GM | 51.12% |
OM growth 3Y222.57%
OM growth 5Y-4.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.68%
GM growth 5Y-1.76%
2. Health
2.1 Basic Checks
AVYA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for AVYA has been increased compared to 1 year ago.
The debt/assets ratio for AVYA is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.09, we must say that AVYA is in the distress zone and has some risk of bankruptcy.
AVYA has a Altman-Z score of -0.09. This is in the lower half of the industry: AVYA underperforms 71.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.09 |
ROIC/WACC0.04
WACC5.23%
2.3 Liquidity
A Current Ratio of 1.18 indicates that AVYA should not have too much problems paying its short term obligations.
AVYA has a Current ratio of 1.18. This is in the lower half of the industry: AVYA underperforms 72.00% of its industry peers.
AVYA has a Quick Ratio of 1.14. This is a normal value and indicates that AVYA is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of AVYA (1.14) is worse than 72.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
AVYA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -59.78%.
AVYA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -14.24% yearly.
Looking at the last year, AVYA shows a decrease in Revenue. The Revenue has decreased by -6.81% in the last year.
AVYA shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.29% yearly.
EPS 1Y (TTM)-59.78%
EPS 3Y-14.24%
EPS 5YN/A
EPS Q2Q%-132%
Revenue 1Y (TTM)-6.81%
Revenue growth 3Y1.41%
Revenue growth 5Y-4.29%
Sales Q2Q%-21.17%
3.2 Future
Based on estimates for the next years, AVYA will show a very negative growth in Earnings Per Share. The EPS will decrease by -43.37% on average per year.
AVYA is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.09% yearly.
EPS Next Y-85.74%
EPS Next 2Y-42.17%
EPS Next 3Y-43.37%
EPS Next 5YN/A
Revenue Next Year-11.4%
Revenue Next 2Y-7.96%
Revenue Next 3Y-5.09%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 0.19, the valuation of AVYA can be described as very cheap.
Based on the Price/Earnings ratio, AVYA is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
AVYA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.89.
AVYA is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.19 | ||
| Fwd PE | N/A |
4.2 Price Multiples
96.67% of the companies in the same industry are more expensive than AVYA, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.09 |
4.3 Compensation for Growth
AVYA's earnings are expected to decrease with -43.37% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-42.17%
EPS Next 3Y-43.37%
5. Dividend
5.1 Amount
AVYA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
0.2753
-0.03 (-10.73%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins Owners12.25%
Ins Owner Change0%
Market Cap23.91M
Revenue(TTM)2.77B
Net Income(TTM)-1473000000
Analysts44.44
Price Target0.65 (136.11%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP-0.07%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-276.28%
Min EPS beat(2)-537.11%
Max EPS beat(2)-15.45%
EPS beat(4)1
Avg EPS beat(4)-146.72%
Min EPS beat(4)-537.11%
Max EPS beat(4)5.5%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-6.95%
Min Revenue beat(2)-9.02%
Max Revenue beat(2)-4.88%
Revenue beat(4)1
Avg Revenue beat(4)-4.51%
Min Revenue beat(4)-9.02%
Max Revenue beat(4)0.9%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-35.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 0.19 | ||
| Fwd PE | N/A | ||
| P/S | 0.01 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.09 |
EPS(TTM)1.48
EY537.6%
EPS(NY)-0.07
Fwd EYN/A
FCF(TTM)-2.74
FCFYN/A
OCF(TTM)-2.34
OCFYN/A
SpS31.85
BVpS-9.17
TBVpS-34.49
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | N/A | ||
| ROIC | 0.23% | ||
| ROICexc | 0.25% | ||
| ROICexgc | 1.01% | ||
| OM | 0.33% | ||
| PM (TTM) | N/A | ||
| GM | 51.12% | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)76.09%
ROIC(5y)N/A
ROICexc(3y)3.53%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y260.08%
ROICexc growth 5YN/A
OM growth 3Y222.57%
OM growth 5Y-4.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.68%
GM growth 5Y-1.76%
F-Score2
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.53 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | -0.09 |
F-Score2
WACC5.23%
ROIC/WACC0.04
Cap/Depr(3y)25.09%
Cap/Depr(5y)22.24%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-59.78%
EPS 3Y-14.24%
EPS 5YN/A
EPS Q2Q%-132%
EPS Next Y-85.74%
EPS Next 2Y-42.17%
EPS Next 3Y-43.37%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.81%
Revenue growth 3Y1.41%
Revenue growth 5Y-4.29%
Sales Q2Q%-21.17%
Revenue Next Year-11.4%
Revenue Next 2Y-7.96%
Revenue Next 3Y-5.09%
Revenue Next 5YN/A
EBIT growth 1Y-96.27%
EBIT growth 3Y227.11%
EBIT growth 5Y-8.7%
EBIT Next Year-32.7%
EBIT Next 3Y-6.79%
EBIT Next 5YN/A
FCF growth 1Y-666.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-241.96%
OCF growth 3YN/A
OCF growth 5Y-23.3%
AVAYA HOLDINGS CORP / AVYA FAQ
What is the fundamental rating for AVYA stock?
ChartMill assigns a fundamental rating of 1 / 10 to AVYA.
Can you provide the valuation status for AVAYA HOLDINGS CORP?
ChartMill assigns a valuation rating of 6 / 10 to AVAYA HOLDINGS CORP (AVYA). This can be considered as Fairly Valued.
Can you provide the profitability details for AVAYA HOLDINGS CORP?
AVAYA HOLDINGS CORP (AVYA) has a profitability rating of 0 / 10.
How financially healthy is AVAYA HOLDINGS CORP?
The financial health rating of AVAYA HOLDINGS CORP (AVYA) is 1 / 10.
Can you provide the expected EPS growth for AVYA stock?
The Earnings per Share (EPS) of AVAYA HOLDINGS CORP (AVYA) is expected to decline by -85.74% in the next year.