EQUITABLE HOLDINGS INC (EQH) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EQH - US29452E1010 - Common Stock
48.02 USD
+0.23 (+0.48%)
48.02 USD
0 (0%)
EQH gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 99 industry peers in the Financial Services industry. EQH scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. EQH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year EQH was profitable.
In the past year EQH had a positive cash flow from operations.
In multiple years EQH reported negative net income over the last 5 years.
In the past 5 years EQH reported 4 times negative operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.24%, EQH is doing worse than 75.26% of the companies in the same industry.
EQH has a Return On Equity of -520.27%. This is amonst the worse of the industry: EQH underperforms 91.75% of its industry peers.
With a Return On Invested Capital value of 0.52%, EQH is not doing good in the industry: 62.89% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for EQH is significantly below the industry average of 8.44%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.24% | ||
| ROE | -520.27% | ||
| ROIC | 0.52% |
ROA(3y)0.51%
ROA(5y)0.22%
ROE(3y)81.75%
ROE(5y)47.25%
ROIC(3y)0.99%
ROIC(5y)0.93%
1.3 Margins
EQH's Operating Margin of 12.18% is in line compared to the rest of the industry. EQH outperforms 46.39% of its industry peers.
In the last couple of years the Operating Margin of EQH has grown nicely.
EQH has a Gross Margin of 49.15%. This is in the better half of the industry: EQH outperforms 68.04% of its industry peers.
EQH's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.18% | ||
| PM (TTM) | N/A | ||
| GM | 49.15% |
OM growth 3Y-0.53%
OM growth 5Y12.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.39%
GM growth 5Y3.29%
2. Health
2.1 Basic Checks
EQH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
EQH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, EQH has less shares outstanding
The debt/assets ratio for EQH has been reduced compared to a year ago.
2.2 Solvency
EQH has an Altman-Z score of 0.21. This is a bad value and indicates that EQH is not financially healthy and even has some risk of bankruptcy.
EQH's Altman-Z score of 0.21 is in line compared to the rest of the industry. EQH outperforms 46.39% of its industry peers.
The Debt to FCF ratio of EQH is 19.39, which is on the high side as it means it would take EQH, 19.39 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 19.39, EQH is in line with its industry, outperforming 40.21% of the companies in the same industry.
EQH has a Debt/Equity ratio of 104.84. This is a high value indicating a heavy dependency on external financing.
EQH has a Debt to Equity ratio of 104.84. This is amonst the worse of the industry: EQH underperforms 94.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 104.84 | ||
| Debt/FCF | 19.39 | ||
| Altman-Z | 0.21 |
ROIC/WACC0.12
WACC4.51%
2.3 Liquidity
EQH has a Current Ratio of 2.45. This indicates that EQH is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.45, EQH is in the better half of the industry, outperforming 78.35% of the companies in the same industry.
EQH has a Quick Ratio of 2.45. This indicates that EQH is financially healthy and has no problem in meeting its short term obligations.
EQH has a better Quick ratio (2.45) than 79.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.45 |
3. Growth
3.1 Past
The earnings per share for EQH have decreased by -4.72% in the last year.
Measured over the past 5 years, EQH shows a small growth in Earnings Per Share. The EPS has been growing by 4.12% on average per year.
The Revenue has decreased by -4.25% in the past year.
The Revenue has been growing slightly by 4.47% on average over the past years.
EPS 1Y (TTM)-4.72%
EPS 3Y-3.05%
EPS 5Y4.12%
EPS Q2Q%-3.27%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y3.04%
Revenue growth 5Y4.47%
Sales Q2Q%-52.86%
3.2 Future
EQH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.10% yearly.
The Revenue is expected to grow by 6.07% on average over the next years.
EPS Next Y-4.05%
EPS Next 2Y16.11%
EPS Next 3Y16.82%
EPS Next 5Y14.1%
Revenue Next Year1.71%
Revenue Next 2Y3.34%
Revenue Next 3Y4.66%
Revenue Next 5Y6.07%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.81, which indicates a very decent valuation of EQH.
EQH's Price/Earnings ratio is a bit cheaper when compared to the industry. EQH is cheaper than 72.16% of the companies in the same industry.
EQH's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.38.
A Price/Forward Earnings ratio of 5.98 indicates a rather cheap valuation of EQH.
Based on the Price/Forward Earnings ratio, EQH is valued cheaply inside the industry as 84.54% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of EQH to the average of the S&P500 Index (23.83), we can say EQH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.81 | ||
| Fwd PE | 5.98 |
4.2 Price Multiples
EQH's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. EQH is cheaper than 79.38% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EQH is valued a bit cheaper than the industry average as 72.16% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.54 | ||
| EV/EBITDA | 7.64 |
4.3 Compensation for Growth
A more expensive valuation may be justified as EQH's earnings are expected to grow with 16.82% in the coming years.
PEG (NY)N/A
PEG (5Y)2.14
EPS Next 2Y16.11%
EPS Next 3Y16.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.26%, EQH has a reasonable but not impressive dividend return.
EQH's Dividend Yield is a higher than the industry average which is at 2.14.
EQH's Dividend Yield is a higher than the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
5.2 History
On average, the dividend of EQH grows each year by 15.63%, which is quite nice.
EQH has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)15.63%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EQH has negative earnings and hence a negative payout ratio. The dividend may be in danger.
EQH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-50.13%
EPS Next 2Y16.11%
EPS Next 3Y16.82%
48.02
+0.23 (+0.48%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners102.45%
Inst Owner Change1.16%
Ins Owners0.48%
Ins Owner Change-0.24%
Market Cap13.76B
Revenue(TTM)15.06B
Net Income(TTM)-770.00M
Analysts80
Price Target65.54 (36.48%)
Short Float %3.02%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.26% |
Yearly Dividend1.19
Dividend Growth(5Y)15.63%
DP-50.13%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.21%
Min EPS beat(2)-15.26%
Max EPS beat(2)-9.16%
EPS beat(4)0
Avg EPS beat(4)-10.23%
Min EPS beat(4)-15.26%
Max EPS beat(4)-3.88%
EPS beat(8)3
Avg EPS beat(8)-2.6%
EPS beat(12)3
Avg EPS beat(12)-5.84%
EPS beat(16)6
Avg EPS beat(16)-3.92%
Revenue beat(2)0
Avg Revenue beat(2)-49.91%
Min Revenue beat(2)-59.37%
Max Revenue beat(2)-40.44%
Revenue beat(4)1
Avg Revenue beat(4)-24.56%
Min Revenue beat(4)-59.37%
Max Revenue beat(4)12.88%
Revenue beat(8)1
Avg Revenue beat(8)-25.64%
Revenue beat(12)3
Avg Revenue beat(12)-20.55%
Revenue beat(16)5
Avg Revenue beat(16)-17.71%
PT rev (1m)-1.15%
PT rev (3m)-2.82%
EPS NQ rev (1m)-1.2%
EPS NQ rev (3m)0.84%
EPS NY rev (1m)-2.78%
EPS NY rev (3m)-3.95%
Revenue NQ rev (1m)8.77%
Revenue NQ rev (3m)11.6%
Revenue NY rev (1m)6.21%
Revenue NY rev (3m)6.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.81 | ||
| Fwd PE | 5.98 | ||
| P/S | 0.91 | ||
| P/FCF | 11.54 | ||
| P/OCF | 10.85 | ||
| P/B | 92.97 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.64 |
EPS(TTM)5.45
EY11.35%
EPS(NY)8.03
Fwd EY16.73%
FCF(TTM)4.16
FCFY8.66%
OCF(TTM)4.43
OCFY9.22%
SpS52.55
BVpS0.52
TBVpS-18.07
PEG (NY)N/A
PEG (5Y)2.14
Graham Number7.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.24% | ||
| ROE | -520.27% | ||
| ROCE | 0.61% | ||
| ROIC | 0.52% | ||
| ROICexc | 0.55% | ||
| ROICexgc | 1.16% | ||
| OM | 12.18% | ||
| PM (TTM) | N/A | ||
| GM | 49.15% | ||
| FCFM | 7.92% |
ROA(3y)0.51%
ROA(5y)0.22%
ROE(3y)81.75%
ROE(5y)47.25%
ROIC(3y)0.99%
ROIC(5y)0.93%
ROICexc(3y)1.01%
ROICexc(5y)0.95%
ROICexgc(3y)2.3%
ROICexgc(5y)2.17%
ROCE(3y)1.15%
ROCE(5y)1.08%
ROICexgc growth 3Y0.46%
ROICexgc growth 5Y11.98%
ROICexc growth 3Y2.18%
ROICexc growth 5Y13.84%
OM growth 3Y-0.53%
OM growth 5Y12.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.39%
GM growth 5Y3.29%
F-Score4
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 104.84 | ||
| Debt/FCF | 19.39 | ||
| Debt/EBITDA | 5.73 | ||
| Cap/Depr | 8.72% | ||
| Cap/Sales | 0.5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 46.86% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.45 | ||
| Altman-Z | 0.21 |
F-Score4
WACC4.51%
ROIC/WACC0.12
Cap/Depr(3y)17.57%
Cap/Depr(5y)16.59%
Cap/Sales(3y)1.02%
Cap/Sales(5y)0.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.72%
EPS 3Y-3.05%
EPS 5Y4.12%
EPS Q2Q%-3.27%
EPS Next Y-4.05%
EPS Next 2Y16.11%
EPS Next 3Y16.82%
EPS Next 5Y14.1%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y3.04%
Revenue growth 5Y4.47%
Sales Q2Q%-52.86%
Revenue Next Year1.71%
Revenue Next 2Y3.34%
Revenue Next 3Y4.66%
Revenue Next 5Y6.07%
EBIT growth 1Y-52.73%
EBIT growth 3Y2.49%
EBIT growth 5Y17.6%
EBIT Next Year1.82%
EBIT Next 3Y12.06%
EBIT Next 5YN/A
FCF growth 1Y336.98%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y456.18%
OCF growth 3YN/A
OCF growth 5YN/A
EQUITABLE HOLDINGS INC / EQH FAQ
Can you provide the ChartMill fundamental rating for EQUITABLE HOLDINGS INC?
ChartMill assigns a fundamental rating of 4 / 10 to EQH.
What is the valuation status of EQUITABLE HOLDINGS INC (EQH) stock?
ChartMill assigns a valuation rating of 6 / 10 to EQUITABLE HOLDINGS INC (EQH). This can be considered as Fairly Valued.
Can you provide the profitability details for EQUITABLE HOLDINGS INC?
EQUITABLE HOLDINGS INC (EQH) has a profitability rating of 3 / 10.
How financially healthy is EQUITABLE HOLDINGS INC?
The financial health rating of EQUITABLE HOLDINGS INC (EQH) is 5 / 10.
Is the dividend of EQUITABLE HOLDINGS INC sustainable?
The dividend rating of EQUITABLE HOLDINGS INC (EQH) is 3 / 10 and the dividend payout ratio is -50.13%.