EDGEWELL PERSONAL CARE CO (EPC) Stock Fundamental Analysis
USA - NYSE:EPC - US28035Q1022 - Common Stock
19.42 USD
-0.33 (-1.67%)
19.42 USD
0 (0%)
EPC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 36 industry peers in the Personal Care Products industry. There are concerns on the financial health of EPC while its profitability can be described as average. EPC is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year EPC was profitable.
In the past year EPC had a positive cash flow from operations.
In the past 5 years EPC has always been profitable.
EPC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of EPC (1.71%) is comparable to the rest of the industry.
With a decent Return On Equity value of 4.13%, EPC is doing good in the industry, outperforming 66.67% of the companies in the same industry.
With a decent Return On Invested Capital value of 5.92%, EPC is doing good in the industry, outperforming 61.11% of the companies in the same industry.
EPC had an Average Return On Invested Capital over the past 3 years of 6.78%. This is significantly below the industry average of 12.97%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.71% | ||
| ROE | 4.13% | ||
| ROIC | 5.92% |
ROA(3y)2.79%
ROA(5y)2.69%
ROE(3y)6.81%
ROE(5y)6.51%
ROIC(3y)6.78%
ROIC(5y)6.8%
1.3 Margins
EPC has a Profit Margin (2.94%) which is in line with its industry peers.
EPC's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 10.96%, EPC is doing good in the industry, outperforming 69.44% of the companies in the same industry.
In the last couple of years the Operating Margin of EPC has remained more or less at the same level.
EPC's Gross Margin of 42.50% is on the low side compared to the rest of the industry. EPC is outperformed by 69.44% of its industry peers.
In the last couple of years the Gross Margin of EPC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.96% | ||
| PM (TTM) | 2.94% | ||
| GM | 42.5% |
OM growth 3Y3.91%
OM growth 5Y0.74%
PM growth 3Y-7.93%
PM growth 5YN/A
GM growth 3Y-1.91%
GM growth 5Y-1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EPC is creating some value.
Compared to 1 year ago, EPC has less shares outstanding
EPC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EPC has been reduced compared to a year ago.
2.2 Solvency
EPC has an Altman-Z score of 1.59. This is a bad value and indicates that EPC is not financially healthy and even has some risk of bankruptcy.
EPC has a worse Altman-Z score (1.59) than 66.67% of its industry peers.
EPC has a debt to FCF ratio of 32.69. This is a negative value and a sign of low solvency as EPC would need 32.69 years to pay back of all of its debts.
EPC has a Debt to FCF ratio of 32.69. This is comparable to the rest of the industry: EPC outperforms 52.78% of its industry peers.
EPC has a Debt/Equity ratio of 0.89. This is a neutral value indicating EPC is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.89, EPC is not doing good in the industry: 69.44% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 32.69 | ||
| Altman-Z | 1.59 |
ROIC/WACC0.98
WACC6.04%
2.3 Liquidity
A Current Ratio of 1.77 indicates that EPC should not have too much problems paying its short term obligations.
EPC has a Current ratio (1.77) which is comparable to the rest of the industry.
A Quick Ratio of 0.91 indicates that EPC may have some problems paying its short term obligations.
The Quick ratio of EPC (0.91) is worse than 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for EPC have decreased strongly by -15.69% in the last year.
EPC shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.48% yearly.
Looking at the last year, EPC shows a decrease in Revenue. The Revenue has decreased by -2.92% in the last year.
Measured over the past years, EPC shows a small growth in Revenue. The Revenue has been growing by 1.03% on average per year.
EPS 1Y (TTM)-15.69%
EPS 3Y0.33%
EPS 5Y-2.48%
EPS Q2Q%-24.59%
Revenue 1Y (TTM)-2.92%
Revenue growth 3Y2.59%
Revenue growth 5Y1.03%
Sales Q2Q%-3.18%
3.2 Future
The Earnings Per Share is expected to grow by 0.16% on average over the next years.
EPC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.49% yearly.
EPS Next Y-12.39%
EPS Next 2Y-4.81%
EPS Next 3Y0.16%
EPS Next 5YN/A
Revenue Next Year-2.22%
Revenue Next 2Y0.02%
Revenue Next 3Y0.49%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.53 indicates a rather cheap valuation of EPC.
Based on the Price/Earnings ratio, EPC is valued cheaply inside the industry as 97.22% of the companies are valued more expensively.
EPC is valuated cheaply when we compare the Price/Earnings ratio to 27.06, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 7.00, the valuation of EPC can be described as very cheap.
94.44% of the companies in the same industry are more expensive than EPC, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of EPC to the average of the S&P500 Index (22.64), we can say EPC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.53 | ||
| Fwd PE | 7 |
4.2 Price Multiples
EPC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EPC is cheaper than 86.11% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EPC is valued a bit cheaper than 69.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.13 | ||
| EV/EBITDA | 6.36 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.81%
EPS Next 3Y0.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.87%, EPC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.62, EPC pays a better dividend. On top of this EPC pays more dividend than 80.56% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, EPC pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
5.2 History
The dividend of EPC decreases each year by -20.86%.
EPC has been paying a dividend for at least 10 years, so it has a reliable track record.
EPC has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-20.86%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
45.99% of the earnings are spent on dividend by EPC. This is a bit on the high side, but may be sustainable.
DP45.99%
EPS Next 2Y-4.81%
EPS Next 3Y0.16%
19.42
-0.33 (-1.67%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners103.39%
Inst Owner Change-2.61%
Ins Owners1.34%
Ins Owner Change0%
Market Cap902.25M
Analysts73.33
Price Target28.69 (47.73%)
Short Float %5.43%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.87% |
Yearly Dividend0.62
Dividend Growth(5Y)-20.86%
DP45.99%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.84%
Min EPS beat(2)-9.36%
Max EPS beat(2)-4.32%
EPS beat(4)1
Avg EPS beat(4)-11.96%
Min EPS beat(4)-40.7%
Max EPS beat(4)6.56%
EPS beat(8)5
Avg EPS beat(8)36.62%
EPS beat(12)9
Avg EPS beat(12)35.11%
EPS beat(16)12
Avg EPS beat(16)28.29%
Revenue beat(2)0
Avg Revenue beat(2)-4.04%
Min Revenue beat(2)-5.4%
Max Revenue beat(2)-2.69%
Revenue beat(4)0
Avg Revenue beat(4)-3.42%
Min Revenue beat(4)-5.4%
Max Revenue beat(4)-1.34%
Revenue beat(8)1
Avg Revenue beat(8)-2.16%
Revenue beat(12)2
Avg Revenue beat(12)-1.35%
Revenue beat(16)4
Avg Revenue beat(16)-1.07%
PT rev (1m)-13.46%
PT rev (3m)-13.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-19.56%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.26%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.26%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.53 | ||
| Fwd PE | 7 | ||
| P/S | 0.41 | ||
| P/FCF | 21.13 | ||
| P/OCF | 7.65 | ||
| P/B | 0.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.36 |
EPS(TTM)2.58
EY13.29%
EPS(NY)2.77
Fwd EY14.28%
FCF(TTM)0.92
FCFY4.73%
OCF(TTM)2.54
OCFY13.08%
SpS47.44
BVpS33.75
TBVpS-15.16
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.71% | ||
| ROE | 4.13% | ||
| ROCE | 7.49% | ||
| ROIC | 5.92% | ||
| ROICexc | 6.31% | ||
| ROICexgc | 24.74% | ||
| OM | 10.96% | ||
| PM (TTM) | 2.94% | ||
| GM | 42.5% | ||
| FCFM | 1.94% |
ROA(3y)2.79%
ROA(5y)2.69%
ROE(3y)6.81%
ROE(5y)6.51%
ROIC(3y)6.78%
ROIC(5y)6.8%
ROICexc(3y)7.24%
ROICexc(5y)7.51%
ROICexgc(3y)31.2%
ROICexgc(5y)32.69%
ROCE(3y)8.57%
ROCE(5y)8.6%
ROICexcg growth 3Y2.36%
ROICexcg growth 5Y-5.17%
ROICexc growth 3Y2.93%
ROICexc growth 5Y-2.28%
OM growth 3Y3.91%
OM growth 5Y0.74%
PM growth 3Y-7.93%
PM growth 5YN/A
GM growth 3Y-1.91%
GM growth 5Y-1%
F-Score4
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 32.69 | ||
| Debt/EBITDA | 4.25 | ||
| Cap/Depr | 86.55% | ||
| Cap/Sales | 3.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 35.91% | ||
| Profit Quality | 65.9% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 1.59 |
F-Score4
WACC6.04%
ROIC/WACC0.98
Cap/Depr(3y)60.37%
Cap/Depr(5y)60.01%
Cap/Sales(3y)2.43%
Cap/Sales(5y)2.49%
Profit Quality(3y)122.83%
Profit Quality(5y)157.84%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.69%
EPS 3Y0.33%
EPS 5Y-2.48%
EPS Q2Q%-24.59%
EPS Next Y-12.39%
EPS Next 2Y-4.81%
EPS Next 3Y0.16%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.92%
Revenue growth 3Y2.59%
Revenue growth 5Y1.03%
Sales Q2Q%-3.18%
Revenue Next Year-2.22%
Revenue Next 2Y0.02%
Revenue Next 3Y0.49%
Revenue Next 5YN/A
EBIT growth 1Y-22.27%
EBIT growth 3Y6.6%
EBIT growth 5Y1.78%
EBIT Next Year24.17%
EBIT Next 3Y10.3%
EBIT Next 5YN/A
FCF growth 1Y-71.11%
FCF growth 3Y0.44%
FCF growth 5Y5.65%
OCF growth 1Y-40.37%
OCF growth 3Y0.29%
OCF growth 5Y3.92%