AVIS BUDGET GROUP INC (CAR) Stock Fundamental Analysis
USA - NASDAQ:CAR - US0537741052 - Common Stock
157.01 USD
+3.77 (+2.46%)
157.01 USD
0 (0%)
CAR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 42 industry peers in the Ground Transportation industry. CAR has a medium profitability rating, but doesn't score so well on its financial health evaluation. CAR is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CAR had positive earnings in the past year.
CAR had a positive operating cash flow in the past year.
In multiple years CAR reported negative net income over the last 5 years.
CAR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CAR has a worse Return On Assets (-6.86%) than 71.43% of its industry peers.
CAR has a Return On Invested Capital (3.53%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for CAR is in line with the industry average of 7.76%.
The 3 year average ROIC (7.81%) for CAR is well above the current ROIC(3.53%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.86% | ||
| ROE | N/A | ||
| ROIC | 3.53% |
ROA(3y)3.13%
ROA(5y)2.24%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.81%
ROIC(5y)N/A
1.3 Margins
CAR has a better Operating Margin (10.33%) than 76.19% of its industry peers.
In the last couple of years the Operating Margin of CAR has grown nicely.
With a decent Gross Margin value of 60.25%, CAR is doing good in the industry, outperforming 71.43% of the companies in the same industry.
In the last couple of years the Gross Margin of CAR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.33% | ||
| PM (TTM) | N/A | ||
| GM | 60.25% |
OM growth 3Y-18.05%
OM growth 5Y6.28%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.6%
GM growth 5Y4.35%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CAR is creating some value.
Compared to 1 year ago, CAR has about the same amount of shares outstanding.
Compared to 5 years ago, CAR has less shares outstanding
The debt/assets ratio for CAR is higher compared to a year ago.
2.2 Solvency
CAR has an Altman-Z score of 0.61. This is a bad value and indicates that CAR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.61, CAR is doing worse than 76.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.61 |
ROIC/WACC0.52
WACC6.75%
2.3 Liquidity
CAR has a Current Ratio of 0.77. This is a bad value and indicates that CAR is not financially healthy enough and could expect problems in meeting its short term obligations.
CAR has a worse Current ratio (0.77) than 85.71% of its industry peers.
A Quick Ratio of 0.77 indicates that CAR may have some problems paying its short term obligations.
CAR has a Quick ratio of 0.77. This is in the lower half of the industry: CAR underperforms 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
The earnings per share for CAR have decreased strongly by -14.47% in the last year.
CAR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 37.82% yearly.
Looking at the last year, CAR shows a decrease in Revenue. The Revenue has decreased by -2.25% in the last year.
Measured over the past years, CAR shows a small growth in Revenue. The Revenue has been growing by 5.15% on average per year.
EPS 1Y (TTM)-14.47%
EPS 3Y-7.52%
EPS 5Y37.82%
EPS Q2Q%-75.61%
Revenue 1Y (TTM)-2.25%
Revenue growth 3Y8.18%
Revenue growth 5Y5.15%
Sales Q2Q%-0.3%
3.2 Future
Based on estimates for the next years, CAR will show a very negative growth in Earnings Per Share. The EPS will decrease by -11.67% on average per year.
CAR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.75% yearly.
EPS Next Y-56.73%
EPS Next 2Y-26.33%
EPS Next 3Y-11.67%
EPS Next 5YN/A
Revenue Next Year-0.84%
Revenue Next 2Y0.75%
Revenue Next 3Y0.75%
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.
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
CAR is valuated reasonably with a Price/Earnings ratio of 8.71.
CAR's Price/Earnings ratio is rather cheap when compared to the industry. CAR is cheaper than 95.24% of the companies in the same industry.
When comparing the Price/Earnings ratio of CAR to the average of the S&P500 Index (26.91), we can say CAR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 15.72, the valuation of CAR can be described as correct.
83.33% of the companies in the same industry are more expensive than CAR, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.92, CAR is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.71 | ||
| Fwd PE | 15.72 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CAR is valued a bit cheaper than the industry average as 78.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.29 |
4.3 Compensation for Growth
A cheap valuation may be justified as CAR's earnings are expected to decrease with -11.67% in the coming years.
PEG (NY)N/A
PEG (5Y)0.23
EPS Next 2Y-26.33%
EPS Next 3Y-11.67%
5. Dividend
5.1 Amount
No dividends for CAR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
157.01
+3.77 (+2.46%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners115%
Inst Owner Change0.33%
Ins Owners2.42%
Ins Owner Change-0.41%
Market Cap5.53B
Revenue(TTM)11.66B
Net Income(TTM)-2222000000
Analysts69.23
Price Target148.92 (-5.15%)
Short Float %23.79%
Short Ratio7.92
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)1
Avg EPS beat(2)-25.27%
Min EPS beat(2)-94.65%
Max EPS beat(2)44.1%
EPS beat(4)2
Avg EPS beat(4)551.8%
Min EPS beat(4)-94.65%
Max EPS beat(4)2277.21%
EPS beat(8)4
Avg EPS beat(8)274%
EPS beat(12)8
Avg EPS beat(12)204.61%
EPS beat(16)12
Avg EPS beat(16)172.28%
Revenue beat(2)1
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-3.03%
Max Revenue beat(2)0.07%
Revenue beat(4)1
Avg Revenue beat(4)-1.63%
Min Revenue beat(4)-3.03%
Max Revenue beat(4)0.07%
Revenue beat(8)2
Avg Revenue beat(8)-1.23%
Revenue beat(12)4
Avg Revenue beat(12)-0.93%
Revenue beat(16)8
Avg Revenue beat(16)1.29%
PT rev (1m)0%
PT rev (3m)20.95%
EPS NQ rev (1m)-9.42%
EPS NQ rev (3m)-16.47%
EPS NY rev (1m)0%
EPS NY rev (3m)-19.06%
Revenue NQ rev (1m)-0.48%
Revenue NQ rev (3m)-0.63%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.71 | ||
| Fwd PE | 15.72 | ||
| P/S | 0.47 | ||
| P/FCF | N/A | ||
| P/OCF | 1.58 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.29 |
EPS(TTM)18.03
EY11.48%
EPS(NY)9.98
Fwd EY6.36%
FCF(TTM)-238.93
FCFYN/A
OCF(TTM)99.49
OCFY63.36%
SpS331.32
BVpS-78.01
TBVpS-127.31
PEG (NY)N/A
PEG (5Y)0.23
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -6.86% | ||
| ROE | N/A | ||
| ROCE | 4.13% | ||
| ROIC | 3.53% | ||
| ROICexc | 3.59% | ||
| ROICexgc | 3.83% | ||
| OM | 10.33% | ||
| PM (TTM) | N/A | ||
| GM | 60.25% | ||
| FCFM | N/A |
ROA(3y)3.13%
ROA(5y)2.24%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.81%
ROIC(5y)N/A
ROICexc(3y)7.98%
ROICexc(5y)N/A
ROICexgc(3y)8.58%
ROICexgc(5y)N/A
ROCE(3y)9.14%
ROCE(5y)N/A
ROICexgc growth 3Y-19.84%
ROICexgc growth 5Y5.77%
ROICexc growth 3Y-19.02%
ROICexc growth 5Y6.44%
OM growth 3Y-18.05%
OM growth 5Y6.28%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.6%
GM growth 5Y4.35%
F-Score5
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.14 | ||
| Cap/Depr | 393.69% | ||
| Cap/Sales | 102.14% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.79% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 0.61 |
F-Score5
WACC6.75%
ROIC/WACC0.52
Cap/Depr(3y)511.74%
Cap/Depr(5y)496.46%
Cap/Sales(3y)101.2%
Cap/Sales(5y)102.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.47%
EPS 3Y-7.52%
EPS 5Y37.82%
EPS Q2Q%-75.61%
EPS Next Y-56.73%
EPS Next 2Y-26.33%
EPS Next 3Y-11.67%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.25%
Revenue growth 3Y8.18%
Revenue growth 5Y5.15%
Sales Q2Q%-0.3%
Revenue Next Year-0.84%
Revenue Next 2Y0.75%
Revenue Next 3Y0.75%
Revenue Next 5YN/A
EBIT growth 1Y-39.41%
EBIT growth 3Y-11.35%
EBIT growth 5Y11.75%
EBIT Next Year39.45%
EBIT Next 3Y22.35%
EBIT Next 5YN/A
FCF growth 1Y9.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-14.98%
OCF growth 3Y0.26%
OCF growth 5Y6.35%
AVIS BUDGET GROUP INC / CAR FAQ
What is the fundamental rating for CAR stock?
ChartMill assigns a fundamental rating of 3 / 10 to CAR.
Can you provide the valuation status for AVIS BUDGET GROUP INC?
ChartMill assigns a valuation rating of 4 / 10 to AVIS BUDGET GROUP INC (CAR). This can be considered as Fairly Valued.
How profitable is AVIS BUDGET GROUP INC (CAR) stock?
AVIS BUDGET GROUP INC (CAR) has a profitability rating of 5 / 10.
Can you provide the financial health for CAR stock?
The financial health rating of AVIS BUDGET GROUP INC (CAR) is 1 / 10.
Is the dividend of AVIS BUDGET GROUP INC sustainable?
The dividend rating of AVIS BUDGET GROUP INC (CAR) is 0 / 10 and the dividend payout ratio is 0%.