ENERGIZER HOLDINGS INC (ENR) Stock Fundamental Analysis
NYSE:ENR - New York Stock Exchange, Inc. - US29272W1099 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to ENR. ENR was compared to 12 industry peers in the Household Products industry. While ENR is still in line with the averages on profitability rating, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ENR.
1. Profitability
1.1 Basic Checks
ENR had positive earnings in the past year.
ENR had a positive operating cash flow in the past year.
In multiple years ENR reported negative net income over the last 5 years.
ENR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ENR (1.29%) is worse than 91.67% of its industry peers.
Looking at the Return On Equity, with a value of 40.63%, ENR is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
ENR has a worse Return On Invested Capital (9.53%) than 66.67% of its industry peers.
ENR had an Average Return On Invested Capital over the past 3 years of 8.71%. This is significantly below the industry average of 15.82%.
The last Return On Invested Capital (9.53%) for ENR is above the 3 year average (8.71%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 40.63% | ||
| ROIC | 9.53% |
ROA(3y)-0.39%
ROA(5y)-0.04%
ROE(3y)-28.53%
ROE(5y)-16.07%
ROIC(3y)8.71%
ROIC(5y)8.77%
1.3 Margins
ENR's Profit Margin of 1.87% is on the low side compared to the rest of the industry. ENR is outperformed by 91.67% of its industry peers.
ENR's Profit Margin has declined in the last couple of years.
The Operating Margin of ENR (15.09%) is comparable to the rest of the industry.
ENR's Operating Margin has been stable in the last couple of years.
ENR has a Gross Margin (40.84%) which is in line with its industry peers.
ENR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.09% | ||
| PM (TTM) | 1.87% | ||
| GM | 40.84% |
OM growth 3Y-3.96%
OM growth 5Y-0.62%
PM growth 3Y-34.93%
PM growth 5Y-3.38%
GM growth 3Y0.12%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ENR is still creating some value.
Compared to 1 year ago, ENR has more shares outstanding
ENR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ENR has an improved debt to assets ratio.
2.2 Solvency
ENR has an Altman-Z score of 1.42. This is a bad value and indicates that ENR is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.42, ENR is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
The Debt to FCF ratio of ENR is 17.83, which is on the high side as it means it would take ENR, 17.83 years of fcf income to pay off all of its debts.
ENR has a worse Debt to FCF ratio (17.83) than 91.67% of its industry peers.
ENR has a Debt/Equity ratio of 23.57. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 23.57, ENR is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 23.57 | ||
| Debt/FCF | 17.83 | ||
| Altman-Z | 1.42 |
ROIC/WACC1.67
WACC5.69%
2.3 Liquidity
A Current Ratio of 1.86 indicates that ENR should not have too much problems paying its short term obligations.
ENR has a Current ratio of 1.86. This is comparable to the rest of the industry: ENR outperforms 50.00% of its industry peers.
ENR has a Quick Ratio of 1.86. This is a bad value and indicates that ENR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.86, ENR perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.86 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.84% over the past year.
The Earnings Per Share has been growing slightly by 1.12% on average over the past years.
Looking at the last year, ENR shows a small growth in Revenue. The Revenue has grown by 0.39% in the last year.
The Revenue has been growing slightly by 2.97% on average over the past years.
EPS 1Y (TTM)9.84%
EPS 3Y-1.46%
EPS 5Y1.12%
EPS Q2Q%-6.94%
Revenue 1Y (TTM)0.39%
Revenue growth 3Y-1.51%
Revenue growth 5Y2.97%
Sales Q2Q%-0.06%
3.2 Future
The Earnings Per Share is expected to grow by 3.37% on average over the next years.
ENR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.17% yearly.
EPS Next Y2.56%
EPS Next 2Y3.61%
EPS Next 3Y4.28%
EPS Next 5Y3.37%
Revenue Next Year0.72%
Revenue Next 2Y1.18%
Revenue Next 3Y1.22%
Revenue Next 5Y1.17%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
A Price/Earnings ratio of 6.42 indicates a rather cheap valuation of ENR.
Based on the Price/Earnings ratio, ENR is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.45. ENR is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 6.04 indicates a rather cheap valuation of ENR.
100.00% of the companies in the same industry are more expensive than ENR, based on the Price/Forward Earnings ratio.
ENR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.42 | ||
| Fwd PE | 6.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ENR indicates a rather cheap valuation: ENR is cheaper than 91.67% of the companies listed in the same industry.
ENR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ENR is cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.75 | ||
| EV/EBITDA | 8.14 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.5
PEG (5Y)5.73
EPS Next 2Y3.61%
EPS Next 3Y4.28%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.58%, ENR is a good candidate for dividend investing.
In the last 3 months the price of ENR has falen by -24.31%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.11, ENR pays a better dividend. On top of this ENR pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, ENR pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
5.2 History
The dividend of ENR decreases each year by -2.94%.
ENR has paid a dividend for at least 10 years, which is a reliable track record.
As ENR did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-2.94%
Div Incr Years0
Div Non Decr Years8
5.3 Sustainability
ENR pays out 162.68% of its income as dividend. This is not a sustainable payout ratio.
DP162.68%
EPS Next 2Y3.61%
EPS Next 3Y4.28%
21.51
-0.08 (-0.37%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryHousehold Products
Earnings (Last)
Earnings (Next)
Inst Owners88.26%
Inst Owner Change1.92%
Ins Owners0.72%
Ins Owner Change2.69%
Market Cap1.55B
Analysts70
Price Target30.6 (42.26%)
Short Float %6.84%
Short Ratio4.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
Yearly Dividend1.22
Dividend Growth(5Y)-2.94%
DP162.68%
Div Incr Years0
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.49%
Min EPS beat(2)-1.49%
Max EPS beat(2)2.48%
EPS beat(4)3
Avg EPS beat(4)5.47%
Min EPS beat(4)-1.49%
Max EPS beat(4)17.53%
EPS beat(8)6
Avg EPS beat(8)1.77%
EPS beat(12)9
Avg EPS beat(12)2.79%
EPS beat(16)13
Avg EPS beat(16)5.08%
Revenue beat(2)0
Avg Revenue beat(2)-1.26%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)-0.54%
Revenue beat(4)0
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-1.98%
Max Revenue beat(4)-0.54%
Revenue beat(8)1
Avg Revenue beat(8)-1.56%
Revenue beat(12)2
Avg Revenue beat(12)-1.65%
Revenue beat(16)6
Avg Revenue beat(16)-0.08%
PT rev (1m)-11.02%
PT rev (3m)-20.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.48%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.59%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.42 | ||
| Fwd PE | 6.04 | ||
| P/S | 0.54 | ||
| P/FCF | 8.75 | ||
| P/OCF | 5.57 | ||
| P/B | 11.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.14 |
EPS(TTM)3.35
EY15.57%
EPS(NY)3.56
Fwd EY16.57%
FCF(TTM)2.46
FCFY11.42%
OCF(TTM)3.86
OCFY17.96%
SpS40.2
BVpS1.85
TBVpS-26.93
PEG (NY)2.5
PEG (5Y)5.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 40.63% | ||
| ROCE | 12.65% | ||
| ROIC | 9.53% | ||
| ROICexc | 9.93% | ||
| ROICexgc | 26.47% | ||
| OM | 15.09% | ||
| PM (TTM) | 1.87% | ||
| GM | 40.84% | ||
| FCFM | 6.11% |
ROA(3y)-0.39%
ROA(5y)-0.04%
ROE(3y)-28.53%
ROE(5y)-16.07%
ROIC(3y)8.71%
ROIC(5y)8.77%
ROICexc(3y)9.25%
ROICexc(5y)9.42%
ROICexgc(3y)25.21%
ROICexgc(5y)32.65%
ROCE(3y)11.57%
ROCE(5y)11.71%
ROICexcg growth 3Y-10.69%
ROICexcg growth 5Y2.32%
ROICexc growth 3Y0.17%
ROICexc growth 5Y7.1%
OM growth 3Y-3.96%
OM growth 5Y-0.62%
PM growth 3Y-34.93%
PM growth 5Y-3.38%
GM growth 3Y0.12%
GM growth 5Y-0.98%
F-Score6
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 23.57 | ||
| Debt/FCF | 17.83 | ||
| Debt/EBITDA | 5.61 | ||
| Cap/Depr | 81.66% | ||
| Cap/Sales | 3.5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 49.61% | ||
| Profit Quality | 326.1% | ||
| Current Ratio | 1.86 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 1.42 |
F-Score6
WACC5.69%
ROIC/WACC1.67
Cap/Depr(3y)67.87%
Cap/Depr(5y)63.35%
Cap/Sales(3y)2.78%
Cap/Sales(5y)2.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.84%
EPS 3Y-1.46%
EPS 5Y1.12%
EPS Q2Q%-6.94%
EPS Next Y2.56%
EPS Next 2Y3.61%
EPS Next 3Y4.28%
EPS Next 5Y3.37%
Revenue 1Y (TTM)0.39%
Revenue growth 3Y-1.51%
Revenue growth 5Y2.97%
Sales Q2Q%-0.06%
Revenue Next Year0.72%
Revenue Next 2Y1.18%
Revenue Next 3Y1.22%
Revenue Next 5Y1.17%
EBIT growth 1Y10.14%
EBIT growth 3Y-5.4%
EBIT growth 5Y2.33%
EBIT Next Year32.68%
EBIT Next 3Y11.27%
EBIT Next 5YN/A
FCF growth 1Y-30.32%
FCF growth 3Y42.43%
FCF growth 5Y28.57%
OCF growth 1Y-12.82%
OCF growth 3Y33.71%
OCF growth 5Y23.51%