FIRST HORIZON CORP (FHN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FHN - US3205171057 - Common Stock
24.13 USD
+0.23 (+0.96%)
24.13 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to FHN. FHN was compared to 387 industry peers in the Banks industry. There are concerns on the financial health of FHN while its profitability can be described as average. FHN is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FHN was profitable.
In the past year FHN had a positive cash flow from operations.
In the past 5 years FHN has always been profitable.
Each year in the past 5 years FHN had a positive operating cash flow.
1.2 Ratios
FHN's Return On Assets of 1.03% is fine compared to the rest of the industry. FHN outperforms 63.05% of its industry peers.
FHN has a Return On Equity (9.58%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.03% | ||
| ROE | 9.58% | ||
| ROIC | N/A |
ROA(3y)1.02%
ROA(5y)1.02%
ROE(3y)9.5%
ROE(5y)10.1%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 26.30%, FHN is doing good in the industry, outperforming 61.24% of the companies in the same industry.
FHN's Profit Margin has been stable in the last couple of years.
FHN does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 26.3% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-9.62%
PM growth 5Y-0.16%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
FHN does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for FHN has been reduced compared to 1 year ago.
FHN has more shares outstanding than it did 5 years ago.
FHN has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of FHN is 14.73, which is on the high side as it means it would take FHN, 14.73 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 14.73, FHN is doing worse than 81.14% of the companies in the same industry.
A Debt/Equity ratio of 0.63 indicates that FHN is somewhat dependend on debt financing.
The Debt to Equity ratio of FHN (0.63) is worse than 79.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 14.73 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC15.88%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
FHN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 24.83%, which is quite impressive.
The Earnings Per Share has been decreasing by -1.35% on average over the past years.
Looking at the last year, FHN shows a decrease in Revenue. The Revenue has decreased by -0.03% in the last year.
The Revenue has been growing by 11.34% on average over the past years. This is quite good.
EPS 1Y (TTM)24.83%
EPS 3Y-9%
EPS 5Y-1.35%
EPS Q2Q%21.43%
Revenue 1Y (TTM)-0.03%
Revenue growth 3Y1.29%
Revenue growth 5Y11.34%
Sales Q2Q%7.37%
3.2 Future
FHN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.78% yearly.
FHN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.82% yearly.
EPS Next Y18.71%
EPS Next 2Y13.05%
EPS Next 3Y12.78%
EPS Next 5YN/A
Revenue Next Year1.63%
Revenue Next 2Y2.22%
Revenue Next 3Y2.82%
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 13.33, the valuation of FHN can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of FHN is on the same level as its industry peers.
FHN's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.60.
A Price/Forward Earnings ratio of 12.10 indicates a correct valuation of FHN.
FHN's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. FHN is more expensive than 64.08% of the companies in the same industry.
FHN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.23, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.33 | ||
| Fwd PE | 12.1 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, FHN is valued a bit more expensive than 79.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.27 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as FHN's earnings are expected to grow with 12.78% in the coming years.
PEG (NY)0.71
PEG (5Y)N/A
EPS Next 2Y13.05%
EPS Next 3Y12.78%
5. Dividend
5.1 Amount
FHN has a Yearly Dividend Yield of 2.51%. Purely for dividend investing, there may be better candidates out there.
FHN's Dividend Yield is comparable with the industry average which is at 2.78.
FHN's Dividend Yield is a higher than the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
5.2 History
The dividend of FHN has a limited annual growth rate of 3.44%.
FHN has paid a dividend for at least 10 years, which is a reliable track record.
FHN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.44%
Div Incr Years0
Div Non Decr Years13
5.3 Sustainability
40.14% of the earnings are spent on dividend by FHN. This is a bit on the high side, but may be sustainable.
FHN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP40.14%
EPS Next 2Y13.05%
EPS Next 3Y12.78%
24.13
+0.23 (+0.96%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners94.23%
Inst Owner Change0%
Ins Owners0.76%
Ins Owner Change-6.56%
Market Cap11.88B
Revenue(TTM)3.26B
Net Income(TTM)857.00M
Analysts76.52
Price Target25.92 (7.42%)
Short Float %3.11%
Short Ratio2.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.51% |
Yearly Dividend0.67
Dividend Growth(5Y)3.44%
DP40.14%
Div Incr Years0
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.6%
Min EPS beat(2)7.44%
Max EPS beat(2)13.76%
EPS beat(4)4
Avg EPS beat(4)8.67%
Min EPS beat(4)4.65%
Max EPS beat(4)13.76%
EPS beat(8)7
Avg EPS beat(8)6.31%
EPS beat(12)9
Avg EPS beat(12)4.66%
EPS beat(16)12
Avg EPS beat(16)5.33%
Revenue beat(2)1
Avg Revenue beat(2)1.35%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)3.87%
Revenue beat(4)1
Avg Revenue beat(4)-5.04%
Min Revenue beat(4)-20.5%
Max Revenue beat(4)3.87%
Revenue beat(8)3
Avg Revenue beat(8)-2.71%
Revenue beat(12)5
Avg Revenue beat(12)-1.77%
Revenue beat(16)8
Avg Revenue beat(16)-0.92%
PT rev (1m)3.3%
PT rev (3m)2.29%
EPS NQ rev (1m)0.54%
EPS NQ rev (3m)3.16%
EPS NY rev (1m)0.06%
EPS NY rev (3m)4.98%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)0.96%
Revenue NY rev (1m)-1.55%
Revenue NY rev (3m)-0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.33 | ||
| Fwd PE | 12.1 | ||
| P/S | 3.65 | ||
| P/FCF | 31.27 | ||
| P/OCF | 28.09 | ||
| P/B | 1.33 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | N/A |
EPS(TTM)1.81
EY7.5%
EPS(NY)1.99
Fwd EY8.26%
FCF(TTM)0.77
FCFY3.2%
OCF(TTM)0.86
OCFY3.56%
SpS6.62
BVpS18.17
TBVpS14.85
PEG (NY)0.71
PEG (5Y)N/A
Graham Number27.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.03% | ||
| ROE | 9.58% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 26.3% | ||
| GM | N/A | ||
| FCFM | 11.66% |
ROA(3y)1.02%
ROA(5y)1.02%
ROE(3y)9.5%
ROE(5y)10.1%
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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-9.62%
PM growth 5Y-0.16%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 14.73 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 44.79% | ||
| Cap/Sales | 1.32% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 44.34% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC15.88%
ROIC/WACCN/A
Cap/Depr(3y)35.39%
Cap/Depr(5y)42.9%
Cap/Sales(3y)1.11%
Cap/Sales(5y)1.38%
Profit Quality(3y)190.82%
Profit Quality(5y)131.57%
High Growth Momentum
Growth
EPS 1Y (TTM)24.83%
EPS 3Y-9%
EPS 5Y-1.35%
EPS Q2Q%21.43%
EPS Next Y18.71%
EPS Next 2Y13.05%
EPS Next 3Y12.78%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.03%
Revenue growth 3Y1.29%
Revenue growth 5Y11.34%
Sales Q2Q%7.37%
Revenue Next Year1.63%
Revenue Next 2Y2.22%
Revenue Next 3Y2.82%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-59.14%
FCF growth 3Y21.17%
FCF growth 5Y9.4%
OCF growth 1Y-55.89%
OCF growth 3Y19.61%
OCF growth 5Y8.84%
FIRST HORIZON CORP / FHN FAQ
Can you provide the ChartMill fundamental rating for FIRST HORIZON CORP?
ChartMill assigns a fundamental rating of 3 / 10 to FHN.
What is the valuation status of FIRST HORIZON CORP (FHN) stock?
ChartMill assigns a valuation rating of 3 / 10 to FIRST HORIZON CORP (FHN). This can be considered as Overvalued.
How profitable is FIRST HORIZON CORP (FHN) stock?
FIRST HORIZON CORP (FHN) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for FHN stock?
The Earnings per Share (EPS) of FIRST HORIZON CORP (FHN) is expected to grow by 18.71% in the next year.
Is the dividend of FIRST HORIZON CORP sustainable?
The dividend rating of FIRST HORIZON CORP (FHN) is 6 / 10 and the dividend payout ratio is 40.14%.