EVOLENT HEALTH INC - A (EVH) Stock Fundamental Analysis
NYSE:EVH - New York Stock Exchange, Inc. - US30050B1017 - Common Stock - Currency: USD
Overall EVH gets a fundamental rating of 3 out of 10. We evaluated EVH against 36 industry peers in the Health Care Technology industry. EVH may be in some trouble as it scores bad on both profitability and health. EVH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
EVH had positive earnings in the past year.
In the past year EVH had a positive cash flow from operations.
In the past 5 years EVH always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: EVH reported negative operating cash flow in multiple years.
1.2 Ratios
EVH has a Return On Assets of -5.29%. This is in the better half of the industry: EVH outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of -12.45%, EVH is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
With a decent Return On Invested Capital value of 0.85%, EVH is doing good in the industry, outperforming 72.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.29% | ||
| ROE | -12.45% | ||
| ROIC | 0.85% |
ROA(3y)-3.35%
ROA(5y)-7.41%
ROE(3y)-7.16%
ROE(5y)-16.17%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Operating Margin of EVH (0.93%) is better than 69.44% of its industry peers.
EVH has a Gross Margin of 15.25%. This is amonst the worse of the industry: EVH underperforms 80.56% of its industry peers.
In the last couple of years the Gross Margin of EVH has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.93% | ||
| PM (TTM) | N/A | ||
| GM | 15.25% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-19.51%
GM growth 5Y-10.71%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so EVH is destroying value.
The number of shares outstanding for EVH has been increased compared to 1 year ago.
EVH has more shares outstanding than it did 5 years ago.
The debt/assets ratio for EVH is higher compared to a year ago.
2.2 Solvency
EVH has an Altman-Z score of 0.86. This is a bad value and indicates that EVH is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.86, EVH perfoms like the industry average, outperforming 52.78% of the companies in the same industry.
EVH has a Debt/Equity ratio of 0.73. This is a neutral value indicating EVH is somewhat dependend on debt financing.
EVH has a Debt to Equity ratio of 0.73. This is in the lower half of the industry: EVH underperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.86 |
ROIC/WACC0.09
WACC9.74%
2.3 Liquidity
EVH has a Current Ratio of 0.98. This is a bad value and indicates that EVH is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.98, EVH is doing worse than 75.00% of the companies in the same industry.
A Quick Ratio of 0.98 indicates that EVH may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.98, EVH is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
EVH shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -62.38%.
The Earnings Per Share has been growing by 220.75% on average over the past years. This is a very strong growth
Looking at the last year, EVH shows a quite strong growth in Revenue. The Revenue has grown by 10.25% in the last year.
Measured over the past years, EVH shows a very strong growth in Revenue. The Revenue has been growing by 30.04% on average per year.
EPS 1Y (TTM)-62.38%
EPS 3Y220.75%
EPS 5YN/A
EPS Q2Q%-82.35%
Revenue 1Y (TTM)10.25%
Revenue growth 3Y41.17%
Revenue growth 5Y30.04%
Sales Q2Q%-24.39%
3.2 Future
EVH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.10% yearly.
Based on estimates for the next years, EVH will show a quite strong growth in Revenue. The Revenue will grow by 8.69% on average per year.
EPS Next Y-35.49%
EPS Next 2Y-2.24%
EPS Next 3Y9.78%
EPS Next 5Y15.1%
Revenue Next Year-19.73%
Revenue Next 2Y-3.6%
Revenue Next 3Y2.03%
Revenue Next 5Y8.69%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 21.55 indicates a rather expensive valuation of EVH.
Based on the Price/Earnings ratio, EVH is valued cheaply inside the industry as 91.67% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of EVH to the average of the S&P500 Index (26.31), we can say EVH is valued inline with the index average.
A Price/Forward Earnings ratio of 12.98 indicates a correct valuation of EVH.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EVH indicates a rather cheap valuation: EVH is cheaper than 94.44% of the companies listed in the same industry.
EVH is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.06, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.55 | ||
| Fwd PE | 12.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EVH is valued cheaply inside the industry as 91.67% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.07 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.24%
EPS Next 3Y9.78%
5. Dividend
5.1 Amount
No dividends for EVH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.19
+0.08 (+0.99%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Technology
Earnings (Last)
Earnings (Next)
Inst Owners110.19%
Inst Owner Change3.13%
Ins Owners1.25%
Ins Owner Change4.63%
Market Cap961.51M
Analysts83.33
Price Target18.22 (122.47%)
Short Float %14.43%
Short Ratio7.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-185.37%
Min EPS beat(2)-332.96%
Max EPS beat(2)-37.77%
EPS beat(4)1
Avg EPS beat(4)-110.42%
Min EPS beat(4)-332.96%
Max EPS beat(4)17.44%
EPS beat(8)5
Avg EPS beat(8)0.86%
EPS beat(12)8
Avg EPS beat(12)38.86%
EPS beat(16)12
Avg EPS beat(16)463.28%
Revenue beat(2)1
Avg Revenue beat(2)1.17%
Min Revenue beat(2)-1.7%
Max Revenue beat(2)4.03%
Revenue beat(4)2
Avg Revenue beat(4)0.28%
Min Revenue beat(4)-1.9%
Max Revenue beat(4)4.03%
Revenue beat(8)5
Avg Revenue beat(8)1.03%
Revenue beat(12)7
Avg Revenue beat(12)0.95%
Revenue beat(16)10
Avg Revenue beat(16)1.14%
PT rev (1m)0%
PT rev (3m)-0.65%
EPS NQ rev (1m)-22.79%
EPS NQ rev (3m)-24.52%
EPS NY rev (1m)-10.07%
EPS NY rev (3m)-26.02%
Revenue NQ rev (1m)-8.48%
Revenue NQ rev (3m)-10.95%
Revenue NY rev (1m)-0.77%
Revenue NY rev (3m)-14.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.55 | ||
| Fwd PE | 12.98 | ||
| P/S | 0.4 | ||
| P/FCF | N/A | ||
| P/OCF | 52.2 | ||
| P/B | 0.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.07 |
EPS(TTM)0.38
EY4.64%
EPS(NY)0.63
Fwd EY7.7%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)0.16
OCFY1.92%
SpS20.43
BVpS9.61
TBVpS-5.76
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.29% | ||
| ROE | -12.45% | ||
| ROCE | 1.17% | ||
| ROIC | 0.85% | ||
| ROICexc | 0.96% | ||
| ROICexgc | 51.32% | ||
| OM | 0.93% | ||
| PM (TTM) | N/A | ||
| GM | 15.25% | ||
| FCFM | N/A |
ROA(3y)-3.35%
ROA(5y)-7.41%
ROE(3y)-7.16%
ROE(5y)-16.17%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-19.51%
GM growth 5Y-10.71%
F-Score5
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.06 | ||
| Cap/Depr | 24.92% | ||
| Cap/Sales | 1.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 13.62% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 0.86 |
F-Score5
WACC9.74%
ROIC/WACC0.09
Cap/Depr(3y)38.35%
Cap/Depr(5y)41.66%
Cap/Sales(3y)1.98%
Cap/Sales(5y)2.43%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-62.38%
EPS 3Y220.75%
EPS 5YN/A
EPS Q2Q%-82.35%
EPS Next Y-35.49%
EPS Next 2Y-2.24%
EPS Next 3Y9.78%
EPS Next 5Y15.1%
Revenue 1Y (TTM)10.25%
Revenue growth 3Y41.17%
Revenue growth 5Y30.04%
Sales Q2Q%-24.39%
Revenue Next Year-19.73%
Revenue Next 2Y-3.6%
Revenue Next 3Y2.03%
Revenue Next 5Y8.69%
EBIT growth 1Y3%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year301.67%
EBIT Next 3Y83.07%
EBIT Next 5Y52.22%
FCF growth 1Y4.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-51.42%
OCF growth 3Y-21.47%
OCF growth 5YN/A