EDWARDS LIFESCIENCES CORP (EWL.DE) Stock Fundamental Analysis
FRA:EWL - Deutsche Boerse Ag - US28176E1082 - Common Stock - Currency: EUR
Overall EWL gets a fundamental rating of 6 out of 10. We evaluated EWL against 58 industry peers in the Health Care Equipment & Supplies industry. Both the health and profitability get an excellent rating, making EWL a very profitable company, without any liquidiy or solvency issues. While showing a medium growth rate, EWL is valued expensive at the moment. These ratings could make EWL a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
EWL had positive earnings in the past year.
EWL had a positive operating cash flow in the past year.
In the past 5 years EWL has always been profitable.
In the past 5 years EWL always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 31.98%, EWL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Equity of EWL (41.75%) is better than 98.39% of its industry peers.
With a decent Return On Invested Capital value of 9.05%, EWL is doing good in the industry, outperforming 77.42% of the companies in the same industry.
EWL had an Average Return On Invested Capital over the past 3 years of 12.44%. This is above the industry average of 8.41%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.98% | ||
| ROE | 41.75% | ||
| ROIC | 9.05% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)12.44%
ROIC(5y)13.58%
1.3 Margins
EWL has a better Profit Margin (76.28%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of EWL has grown nicely.
EWL has a Operating Margin of 27.13%. This is amongst the best in the industry. EWL outperforms 96.77% of its industry peers.
In the last couple of years the Operating Margin of EWL has remained more or less at the same level.
Looking at the Gross Margin, with a value of 79.23%, EWL belongs to the top of the industry, outperforming 88.71% of the companies in the same industry.
In the last couple of years the Gross Margin of EWL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.13% | ||
| PM (TTM) | 76.28% | ||
| GM | 79.23% |
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
2. Health
2.1 Basic Checks
EWL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, EWL has less shares outstanding
The number of shares outstanding for EWL has been reduced compared to 5 years ago.
EWL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 11.19 indicates that EWL is not in any danger for bankruptcy at the moment.
EWL's Altman-Z score of 11.19 is amongst the best of the industry. EWL outperforms 98.39% of its industry peers.
EWL has a debt to FCF ratio of 2.30. This is a good value and a sign of high solvency as EWL would need 2.30 years to pay back of all of its debts.
EWL has a Debt to FCF ratio of 2.30. This is in the better half of the industry: EWL outperforms 79.03% of its industry peers.
A Debt/Equity ratio of 0.06 indicates that EWL is not too dependend on debt financing.
EWL has a Debt to Equity ratio of 0.06. This is amongst the best in the industry. EWL outperforms 91.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 2.3 | ||
| Altman-Z | 11.19 |
ROIC/WACC1
WACC9.06%
2.3 Liquidity
A Current Ratio of 4.18 indicates that EWL has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.18, EWL belongs to the top of the industry, outperforming 88.71% of the companies in the same industry.
EWL has a Quick Ratio of 3.45. This indicates that EWL is financially healthy and has no problem in meeting its short term obligations.
EWL has a better Quick ratio (3.45) than 88.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.45 |
3. Growth
3.1 Past
EWL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.96%.
The Earnings Per Share has been growing slightly by 7.13% on average over the past years.
EWL shows a decrease in Revenue. In the last year, the revenue decreased by -6.00%.
The Revenue has been growing slightly by 4.58% on average over the past years.
EPS 1Y (TTM)1.96%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-3.03%
Revenue 1Y (TTM)-6%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-11.61%
3.2 Future
EWL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.41% yearly.
EWL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.22% yearly.
EPS Next Y-2.56%
EPS Next 2Y4.27%
EPS Next 3Y6.72%
EPS Next 5Y9.41%
Revenue Next Year2.24%
Revenue Next 2Y5.81%
Revenue Next 3Y7.29%
Revenue Next 5Y8.22%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.57, EWL can be considered very expensive at the moment.
Based on the Price/Earnings ratio, EWL is valued a bit cheaper than 70.97% of the companies in the same industry.
When comparing the Price/Earnings ratio of EWL to the average of the S&P500 Index (25.91), we can say EWL is valued inline with the index average.
The Price/Forward Earnings ratio is 26.06, which means the current valuation is very expensive for EWL.
EWL's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 21.77. EWL is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.57 | ||
| Fwd PE | 26.06 |
4.2 Price Multiples
EWL's Enterprise Value to EBITDA ratio is in line with the industry average.
EWL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 167.58 | ||
| EV/EBITDA | 23.93 |
4.3 Compensation for Growth
EWL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)4.01
EPS Next 2Y4.27%
EPS Next 3Y6.72%
5. Dividend
5.1 Amount
EWL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:EWL (5/23/2025, 7:00:00 PM)
65.7
-1.55 (-2.3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners88.15%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap38.54B
Analysts74.15
Price Target72.56 (10.44%)
Short Float %N/A
Short RatioN/A
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)2
Avg EPS beat(2)2.48%
Min EPS beat(2)1.57%
Max EPS beat(2)3.4%
EPS beat(4)2
Avg EPS beat(4)0.64%
Min EPS beat(4)-2.08%
Max EPS beat(4)3.4%
EPS beat(8)2
Avg EPS beat(8)-0.63%
EPS beat(12)4
Avg EPS beat(12)-0.95%
EPS beat(16)6
Avg EPS beat(16)-0.03%
Revenue beat(2)0
Avg Revenue beat(2)-7.33%
Min Revenue beat(2)-13.79%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-4.96%
Min Revenue beat(4)-13.79%
Max Revenue beat(4)-0.87%
Revenue beat(8)1
Avg Revenue beat(8)-2.81%
Revenue beat(12)1
Avg Revenue beat(12)-2.8%
Revenue beat(16)3
Avg Revenue beat(16)-2.25%
PT rev (1m)0.22%
PT rev (3m)-3.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.14%
EPS NY rev (1m)0.67%
EPS NY rev (3m)1.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.21%
Revenue NY rev (1m)1.47%
Revenue NY rev (3m)1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.57 | ||
| Fwd PE | 26.06 | ||
| P/S | 7.96 | ||
| P/FCF | 167.58 | ||
| P/OCF | 80.31 | ||
| P/B | 4.36 | ||
| P/tB | 6.18 | ||
| EV/EBITDA | 23.93 |
EPS(TTM)2.3
EY3.5%
EPS(NY)2.52
Fwd EY3.84%
FCF(TTM)0.39
FCFY0.6%
OCF(TTM)0.82
OCFY1.25%
SpS8.26
BVpS15.08
TBVpS10.63
PEG (NY)N/A
PEG (5Y)4.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.98% | ||
| ROE | 41.75% | ||
| ROCE | 12.86% | ||
| ROIC | 9.05% | ||
| ROICexc | 13.8% | ||
| ROICexgc | 22.62% | ||
| OM | 27.13% | ||
| PM (TTM) | 76.28% | ||
| GM | 79.23% | ||
| FCFM | 4.75% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)12.44%
ROIC(5y)13.58%
ROICexc(3y)16.13%
ROICexc(5y)17.4%
ROICexgc(3y)22.87%
ROICexgc(5y)24.4%
ROCE(3y)17.66%
ROCE(5y)19.29%
ROICexcg growth 3Y-5.47%
ROICexcg growth 5Y-8.01%
ROICexc growth 3Y-11.82%
ROICexc growth 5Y-8.6%
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
F-Score7
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 2.3 | ||
| Debt/EBITDA | 0.36 | ||
| Cap/Depr | 181.96% | ||
| Cap/Sales | 5.16% | ||
| Interest Coverage | 75.76 | ||
| Cash Conversion | 33.07% | ||
| Profit Quality | 6.23% | ||
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.45 | ||
| Altman-Z | 11.19 |
F-Score7
WACC9.06%
ROIC/WACC1
Cap/Depr(3y)185.14%
Cap/Depr(5y)236.01%
Cap/Sales(3y)5.48%
Cap/Sales(5y)6.41%
Profit Quality(3y)37.92%
Profit Quality(5y)57.13%
High Growth Momentum
Growth
EPS 1Y (TTM)1.96%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-3.03%
EPS Next Y-2.56%
EPS Next 2Y4.27%
EPS Next 3Y6.72%
EPS Next 5Y9.41%
Revenue 1Y (TTM)-6%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-11.61%
Revenue Next Year2.24%
Revenue Next 2Y5.81%
Revenue Next 3Y7.29%
Revenue Next 5Y8.22%
EBIT growth 1Y-15.39%
EBIT growth 3Y-4.72%
EBIT growth 5Y3.49%
EBIT Next Year8.84%
EBIT Next 3Y11%
EBIT Next 5Y10.65%
FCF growth 1Y-58.71%
FCF growth 3Y-42.99%
FCF growth 5Y-22.01%
OCF growth 1Y-39.46%
OCF growth 3Y-32.1%
OCF growth 5Y-14.39%