CHUNGHWA TELECOM LT-SPON ADR (CHT) Stock Fundamental Analysis
USA - NYSE:CHT - US17133Q5027 - ADR
44.42 USD
-0.36 (-0.8%)
44.42 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to CHT. CHT was compared to 35 industry peers in the Diversified Telecommunication Services industry. While CHT has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, CHT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
CHT had positive earnings in each of the past 5 years.
CHT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CHT's Return On Assets of 6.97% is amongst the best of the industry. CHT outperforms 88.57% of its industry peers.
CHT has a better Return On Equity (10.36%) than 71.43% of its industry peers.
With an excellent Return On Invested Capital value of 8.94%, CHT belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
CHT had an Average Return On Invested Capital over the past 3 years of 8.27%. This is in line with the industry average of 6.32%.
The 3 year average ROIC (8.27%) for CHT is below the current ROIC(8.94%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 10.36% | ||
| ROIC | 8.94% |
ROA(3y)6.99%
ROA(5y)6.91%
ROE(3y)9.63%
ROE(5y)9.43%
ROIC(3y)8.27%
ROIC(5y)8.08%
1.3 Margins
With an excellent Profit Margin value of 16.27%, CHT belongs to the best of the industry, outperforming 88.57% of the companies in the same industry.
CHT's Profit Margin has been stable in the last couple of years.
CHT's Operating Margin of 20.54% is fine compared to the rest of the industry. CHT outperforms 80.00% of its industry peers.
In the last couple of years the Operating Margin of CHT has remained more or less at the same level.
The Gross Margin of CHT (36.60%) is worse than 77.14% of its industry peers.
CHT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.54% | ||
| PM (TTM) | 16.27% | ||
| GM | 36.6% |
OM growth 3Y-1.88%
OM growth 5Y0.68%
PM growth 3Y-1.6%
PM growth 5Y0.48%
GM growth 3Y0.42%
GM growth 5Y1.01%
2. Health
2.1 Basic Checks
CHT has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for CHT remains at a similar level compared to 5 years ago.
Compared to 1 year ago, CHT has an improved debt to assets ratio.
2.2 Solvency
CHT has a debt to FCF ratio of 0.89. This is a very positive value and a sign of high solvency as it would only need 0.89 years to pay back of all of its debts.
CHT has a better Debt to FCF ratio (0.89) than 97.14% of its industry peers.
CHT has a Debt/Equity ratio of 0.08. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.08, CHT belongs to the top of the industry, outperforming 91.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.89 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
CHT has a Current Ratio of 1.15. This is a normal value and indicates that CHT is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of CHT (1.15) is comparable to the rest of the industry.
A Quick Ratio of 1.05 indicates that CHT should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.05, CHT perfoms like the industry average, outperforming 51.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
CHT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.82%.
Measured over the past 5 years, CHT shows a small growth in Earnings Per Share. The EPS has been growing by 2.61% on average per year.
Looking at the last year, CHT shows a small growth in Revenue. The Revenue has grown by 3.95% in the last year.
CHT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.08% yearly.
EPS 1Y (TTM)3.82%
EPS 3Y1.36%
EPS 5Y2.61%
EPS Q2Q%3.15%
Revenue 1Y (TTM)3.95%
Revenue growth 3Y3%
Revenue growth 5Y2.08%
Sales Q2Q%4.83%
3.2 Future
The Earnings Per Share is expected to grow by 5.27% on average over the next years.
Based on estimates for the next years, CHT will show a small growth in Revenue. The Revenue will grow by 2.39% on average per year.
EPS Next Y4.41%
EPS Next 2Y4.02%
EPS Next 3Y5.27%
EPS Next 5YN/A
Revenue Next Year3.25%
Revenue Next 2Y2.6%
Revenue Next 3Y2.39%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of CHT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.02%
EPS Next 3Y5.27%
5. Dividend
5.1 Amount
CHT has a Yearly Dividend Yield of 2.83%. Purely for dividend investing, there may be better candidates out there.
CHT's Dividend Yield is a higher than the industry average which is at 5.03.
CHT's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
5.2 History
The dividend of CHT has a limited annual growth rate of 1.22%.
CHT has been paying a dividend for at least 10 years, so it has a reliable track record.
CHT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.22%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
97.19% of the earnings are spent on dividend by CHT. This is not a sustainable payout ratio.
The dividend of CHT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP97.19%
EPS Next 2Y4.02%
EPS Next 3Y5.27%
44.42
-0.36 (-0.8%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners20.56%
Inst Owner Change4.14%
Ins Owners0%
Ins Owner ChangeN/A
Market Cap34.46B
Analysts72.5
Price Target45.67 (2.81%)
Short Float %0.15%
Short Ratio5.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.83% |
Yearly DividendN/A
Dividend Growth(5Y)1.22%
DP97.19%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.81%
Min EPS beat(2)-1.18%
Max EPS beat(2)-0.44%
EPS beat(4)1
Avg EPS beat(4)-0.19%
Min EPS beat(4)-6.17%
Max EPS beat(4)7.04%
EPS beat(8)1
Avg EPS beat(8)-1.74%
EPS beat(12)4
Avg EPS beat(12)-1.23%
EPS beat(16)7
Avg EPS beat(16)0.19%
Revenue beat(2)0
Avg Revenue beat(2)-2.04%
Min Revenue beat(2)-2.82%
Max Revenue beat(2)-1.26%
Revenue beat(4)1
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-2.82%
Max Revenue beat(4)0.45%
Revenue beat(8)1
Avg Revenue beat(8)-2.04%
Revenue beat(12)2
Avg Revenue beat(12)-1.67%
Revenue beat(16)3
Avg Revenue beat(16)-1.71%
PT rev (1m)2.69%
PT rev (3m)3.05%
EPS NQ rev (1m)0.41%
EPS NQ rev (3m)1.54%
EPS NY rev (1m)0.47%
EPS NY rev (3m)0.34%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.63%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | N/A | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)N/A
EYN/A
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpSN/A
BVpSN/A
TBVpSN/A
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 10.36% | ||
| ROCE | 11.08% | ||
| ROIC | 8.94% | ||
| ROICexc | 10.8% | ||
| ROICexgc | 13.11% | ||
| OM | 20.54% | ||
| PM (TTM) | 16.27% | ||
| GM | 36.6% | ||
| FCFM | 21.04% |
ROA(3y)6.99%
ROA(5y)6.91%
ROE(3y)9.63%
ROE(5y)9.43%
ROIC(3y)8.27%
ROIC(5y)8.08%
ROICexc(3y)9.42%
ROICexc(5y)9.09%
ROICexgc(3y)11.51%
ROICexgc(5y)11.28%
ROCE(3y)10.25%
ROCE(5y)10.04%
ROICexcg growth 3Y0.15%
ROICexcg growth 5Y2.51%
ROICexc growth 3Y1.81%
ROICexc growth 5Y1.52%
OM growth 3Y-1.88%
OM growth 5Y0.68%
PM growth 3Y-1.6%
PM growth 5Y0.48%
GM growth 3Y0.42%
GM growth 5Y1.01%
F-Score7
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.89 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | 75.7% | ||
| Cap/Sales | 12.93% | ||
| Interest Coverage | 137.48 | ||
| Cash Conversion | 90.29% | ||
| Profit Quality | 129.34% | ||
| Current Ratio | 1.15 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | N/A |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)78.69%
Cap/Depr(5y)104.86%
Cap/Sales(3y)13.97%
Cap/Sales(5y)18.61%
Profit Quality(3y)123.22%
Profit Quality(5y)97.9%
High Growth Momentum
Growth
EPS 1Y (TTM)3.82%
EPS 3Y1.36%
EPS 5Y2.61%
EPS Q2Q%3.15%
EPS Next Y4.41%
EPS Next 2Y4.02%
EPS Next 3Y5.27%
EPS Next 5YN/A
Revenue 1Y (TTM)3.95%
Revenue growth 3Y3%
Revenue growth 5Y2.08%
Sales Q2Q%4.83%
Revenue Next Year3.25%
Revenue Next 2Y2.6%
Revenue Next 3Y2.39%
Revenue Next 5YN/A
EBIT growth 1Y3.34%
EBIT growth 3Y1.06%
EBIT growth 5Y2.77%
EBIT Next Year89.41%
EBIT Next 3Y24.66%
EBIT Next 5YN/A
FCF growth 1Y12.65%
FCF growth 3Y8.57%
FCF growth 5Y0.97%
OCF growth 1Y2.97%
OCF growth 3Y1.92%
OCF growth 5Y1.82%