EXELON CORP (EXC) Stock Fundamental Analysis
NASDAQ:EXC - Nasdaq - US30161N1019 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to EXC. EXC was compared to 47 industry peers in the Electric Utilities industry. While EXC is still in line with the averages on profitability rating, there are concerns on its financial health. EXC is quite expensive at the moment. It does show a decent growth rate. Finally EXC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EXC had positive earnings in the past year.
EXC had a positive operating cash flow in the past year.
In the past 5 years EXC has always been profitable.
Each year in the past 5 years EXC had a positive operating cash flow.
1.2 Ratios
The Return On Assets of EXC (2.48%) is worse than 68.09% of its industry peers.
Looking at the Return On Equity, with a value of 9.82%, EXC is in line with its industry, outperforming 51.06% of the companies in the same industry.
EXC has a Return On Invested Capital (4.12%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for EXC is significantly below the industry average of 38.54%.
The 3 year average ROIC (3.67%) for EXC is below the current ROIC(4.12%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.48% | ||
| ROE | 9.82% | ||
| ROIC | 4.12% |
ROA(3y)2.28%
ROA(5y)1.93%
ROE(3y)8.98%
ROE(5y)7.59%
ROIC(3y)3.67%
ROIC(5y)3.02%
1.3 Margins
EXC has a worse Profit Margin (11.43%) than 61.70% of its industry peers.
In the last couple of years the Profit Margin of EXC has grown nicely.
Looking at the Operating Margin, with a value of 19.97%, EXC is in line with its industry, outperforming 46.81% of the companies in the same industry.
In the last couple of years the Operating Margin of EXC has grown nicely.
EXC has a Gross Margin (62.89%) which is in line with its industry peers.
In the last couple of years the Gross Margin of EXC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.97% | ||
| PM (TTM) | 11.43% | ||
| GM | 62.89% |
OM growth 3Y7.75%
OM growth 5Y8.21%
PM growth 3Y3.95%
PM growth 5Y4.61%
GM growth 3Y-3.86%
GM growth 5Y1.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EXC is destroying value.
The number of shares outstanding for EXC has been increased compared to 1 year ago.
The number of shares outstanding for EXC has been increased compared to 5 years ago.
EXC has about the same debt/assets ratio as last year.
2.2 Solvency
Based on the Altman-Z score of 0.77, we must say that EXC is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of EXC (0.77) is comparable to the rest of the industry.
EXC has a Debt/Equity ratio of 1.70. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.70, EXC is doing worse than 65.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.77 |
ROIC/WACC0.66
WACC6.26%
2.3 Liquidity
A Current Ratio of 1.09 indicates that EXC should not have too much problems paying its short term obligations.
The Current ratio of EXC (1.09) is better than 68.09% of its industry peers.
A Quick Ratio of 0.98 indicates that EXC may have some problems paying its short term obligations.
The Quick ratio of EXC (0.98) is better than 63.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.98 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.10% over the past year.
Measured over the past years, EXC shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.94% on average per year.
EXC shows a small growth in Revenue. In the last year, the Revenue has grown by 6.72%.
EXC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -7.73% yearly.
EPS 1Y (TTM)16.1%
EPS 3Y-3.94%
EPS 5Y-4.94%
EPS Q2Q%35.29%
Revenue 1Y (TTM)6.72%
Revenue growth 3Y8.68%
Revenue growth 5Y-7.73%
Sales Q2Q%11.1%
3.2 Future
Based on estimates for the next years, EXC will show a small growth in Earnings Per Share. The EPS will grow by 6.74% on average per year.
The Revenue is expected to grow by 4.88% on average over the next years.
EPS Next Y8.83%
EPS Next 2Y6.71%
EPS Next 3Y6.54%
EPS Next 5Y6.74%
Revenue Next Year10.21%
Revenue Next 2Y6.42%
Revenue Next 3Y5.2%
Revenue Next 5Y4.88%
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
EXC is valuated correctly with a Price/Earnings ratio of 15.74.
EXC's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of EXC to the average of the S&P500 Index (27.45), we can say EXC is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 15.15, the valuation of EXC can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EXC is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of EXC to the average of the S&P500 Index (21.90), we can say EXC is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.74 | ||
| Fwd PE | 15.15 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EXC is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.74 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.78
PEG (5Y)N/A
EPS Next 2Y6.71%
EPS Next 3Y6.54%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.71%, EXC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.67, EXC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, EXC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
5.2 History
The dividend of EXC has a limited annual growth rate of 0.95%.
EXC has paid a dividend for at least 10 years, which is a reliable track record.
EXC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.95%
Div Incr Years3
Div Non Decr Years10
5.3 Sustainability
57.05% of the earnings are spent on dividend by EXC. This is a bit on the high side, but may be sustainable.
The dividend of EXC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP57.05%
EPS Next 2Y6.71%
EPS Next 3Y6.54%
43.13
+0.21 (+0.49%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners87.63%
Inst Owner Change0.93%
Ins Owners0.09%
Ins Owner Change5.36%
Market Cap43.54B
Analysts70.91
Price Target48.57 (12.61%)
Short Float %1.84%
Short Ratio2.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.71% |
Yearly Dividend1.52
Dividend Growth(5Y)0.95%
DP57.05%
Div Incr Years3
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.54%
Min EPS beat(2)3.88%
Max EPS beat(2)7.19%
EPS beat(4)4
Avg EPS beat(4)8.32%
Min EPS beat(4)3.88%
Max EPS beat(4)16.84%
EPS beat(8)6
Avg EPS beat(8)3.99%
EPS beat(12)8
Avg EPS beat(12)3.09%
EPS beat(16)10
Avg EPS beat(16)4.15%
Revenue beat(2)2
Avg Revenue beat(2)7.58%
Min Revenue beat(2)0.95%
Max Revenue beat(2)14.22%
Revenue beat(4)4
Avg Revenue beat(4)6.91%
Min Revenue beat(4)0.95%
Max Revenue beat(4)14.22%
Revenue beat(8)8
Avg Revenue beat(8)11.6%
Revenue beat(12)11
Avg Revenue beat(12)9.2%
Revenue beat(16)13
Avg Revenue beat(16)3.25%
PT rev (1m)-0.73%
PT rev (3m)6.24%
EPS NQ rev (1m)-1.17%
EPS NQ rev (3m)-15.53%
EPS NY rev (1m)0.14%
EPS NY rev (3m)0.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)12.83%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)2.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.74 | ||
| Fwd PE | 15.15 | ||
| P/S | 1.84 | ||
| P/FCF | N/A | ||
| P/OCF | 7.54 | ||
| P/B | 1.58 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 10.74 |
EPS(TTM)2.74
EY6.35%
EPS(NY)2.85
Fwd EY6.6%
FCF(TTM)-1.48
FCFYN/A
OCF(TTM)5.72
OCFY13.27%
SpS23.48
BVpS27.35
TBVpS20.78
PEG (NY)1.78
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.48% | ||
| ROE | 9.82% | ||
| ROCE | 4.67% | ||
| ROIC | 4.12% | ||
| ROICexc | 4.16% | ||
| ROICexgc | 4.45% | ||
| OM | 19.97% | ||
| PM (TTM) | 11.43% | ||
| GM | 62.89% | ||
| FCFM | N/A |
ROA(3y)2.28%
ROA(5y)1.93%
ROE(3y)8.98%
ROE(5y)7.59%
ROIC(3y)3.67%
ROIC(5y)3.02%
ROICexc(3y)3.69%
ROICexc(5y)3.04%
ROICexgc(3y)3.97%
ROICexgc(5y)3.26%
ROCE(3y)4.22%
ROCE(5y)3.47%
ROICexcg growth 3Y24.71%
ROICexcg growth 5Y2.2%
ROICexc growth 3Y24.25%
ROICexc growth 5Y2.12%
OM growth 3Y7.75%
OM growth 5Y8.21%
PM growth 3Y3.95%
PM growth 5Y4.61%
GM growth 3Y-3.86%
GM growth 5Y1.43%
F-Score7
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.7 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.6 | ||
| Cap/Depr | 200.94% | ||
| Cap/Sales | 30.7% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.16% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 0.98 | ||
| Altman-Z | 0.77 |
F-Score7
WACC6.26%
ROIC/WACC0.66
Cap/Depr(3y)203.65%
Cap/Depr(5y)167.93%
Cap/Sales(3y)34.13%
Cap/Sales(5y)34.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)16.1%
EPS 3Y-3.94%
EPS 5Y-4.94%
EPS Q2Q%35.29%
EPS Next Y8.83%
EPS Next 2Y6.71%
EPS Next 3Y6.54%
EPS Next 5Y6.74%
Revenue 1Y (TTM)6.72%
Revenue growth 3Y8.68%
Revenue growth 5Y-7.73%
Sales Q2Q%11.1%
Revenue Next Year10.21%
Revenue Next 2Y6.42%
Revenue Next 3Y5.2%
Revenue Next 5Y4.88%
EBIT growth 1Y17.68%
EBIT growth 3Y17.1%
EBIT growth 5Y-0.16%
EBIT Next Year102.91%
EBIT Next 3Y32.87%
EBIT Next 5Y21.4%
FCF growth 1Y57.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y61.73%
OCF growth 3Y22.74%
OCF growth 5Y-3.51%