AVIVA PLC (GU81.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:GU81 - GB00BPQY8M80 - Common Stock
7.3 EUR
0 (0%)
Taking everything into account, GU81 scores 4 out of 10 in our fundamental rating. GU81 was compared to 48 industry peers in the Insurance industry. While GU81 seems to be doing ok healthwise, there are quite some concerns on its profitability. GU81 is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year GU81 was profitable.
- In the past year GU81 had a positive cash flow from operations.
- GU81 had positive earnings in 4 of the past 5 years.
- The reported operating cash flow has been mixed in the past 5 years: GU81 reported negative operating cash flow in multiple years.
1.2 Ratios
- The Return On Assets of GU81 (0.16%) is worse than 85.42% of its industry peers.
- GU81 has a Return On Equity of 7.06%. This is amonst the worse of the industry: GU81 underperforms 83.33% of its industry peers.
- With a Return On Invested Capital value of 0.35%, GU81 is not doing good in the industry: 64.58% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.16% | ||
| ROE | 7.06% | ||
| ROIC | 0.35% |
ROA(3y)0.05%
ROA(5y)0.25%
ROE(3y)2.6%
ROE(5y)6.75%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of GU81 (2.53%) is worse than 85.42% of its industry peers.
- GU81's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 8.56%, GU81 is doing worse than 64.58% of the companies in the same industry.
- GU81's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.56% | ||
| PM (TTM) | 2.53% | ||
| GM | N/A |
OM growth 3Y23.87%
OM growth 5Y5.31%
PM growth 3Y-21.37%
PM growth 5Y-5.11%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- GU81 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for GU81 has been reduced compared to 1 year ago.
- GU81 has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, GU81 has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 0.11, we must say that GU81 is in the distress zone and has some risk of bankruptcy.
- GU81 has a better Altman-Z score (0.11) than 75.00% of its industry peers.
- The Debt to FCF ratio of GU81 is 1.66, which is an excellent value as it means it would take GU81, only 1.66 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 1.66, GU81 is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
- A Debt/Equity ratio of 0.87 indicates that GU81 is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.87, GU81 is doing worse than 70.83% of the companies in the same industry.
- Even though the debt/equity ratio score it not favorable for GU81, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 1.66 | ||
| Altman-Z | 0.11 |
ROIC/WACC0.05
WACC7.74%
2.3 Liquidity
- A Current Ratio of 0.31 indicates that GU81 may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.31, GU81 is in the better half of the industry, outperforming 72.92% of the companies in the same industry.
- A Quick Ratio of 0.31 indicates that GU81 may have some problems paying its short term obligations.
- GU81 has a better Quick ratio (0.31) than 72.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
- GU81 shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -53.66%.
- GU81 shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -22.31% yearly.
- GU81 shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.92%.
- The Revenue for GU81 have been decreasing by -19.91% on average. This is quite bad
EPS 1Y (TTM)-53.66%
EPS 3Y-28.95%
EPS 5Y-22.31%
EPS Q2Q%-3.9%
Revenue 1Y (TTM)8.92%
Revenue growth 3Y-12.56%
Revenue growth 5Y-19.91%
Sales Q2Q%15.09%
3.2 Future
- Based on estimates for the next years, GU81 will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.90% on average per year.
- GU81 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.76% yearly.
EPS Next Y26.47%
EPS Next 2Y17.71%
EPS Next 3Y15.52%
EPS Next 5Y8.9%
Revenue Next Year54.53%
Revenue Next 2Y27.96%
Revenue Next 3Y19.76%
Revenue Next 5Y14.76%
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
- With a Price/Earnings ratio of 28.08, GU81 can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, GU81 is valued expensively inside the industry as 85.42% of the companies are valued cheaper.
- GU81's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.25.
- With a Price/Forward Earnings ratio of 10.51, the valuation of GU81 can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of GU81 is on the same level as its industry peers.
- GU81 is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.08 | ||
| Fwd PE | 10.51 |
4.2 Price Multiples
- GU81's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GU81 is cheaper than 95.83% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, GU81 is valued a bit cheaper than the industry average as 77.08% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.38 | ||
| EV/EBITDA | 2.64 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as GU81's earnings are expected to grow with 15.52% in the coming years.
PEG (NY)1.06
PEG (5Y)N/A
EPS Next 2Y17.71%
EPS Next 3Y15.52%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 5.65%, GU81 is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 4.17, GU81 pays a better dividend. On top of this GU81 pays more dividend than 85.42% of the companies listed in the same industry.
- GU81's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.65% |
5.2 History
- The dividend of GU81 decreases each year by -2.91%.
Dividend Growth(5Y)-2.91%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- GU81 pays out 197.47% of its income as dividend. This is not a sustainable payout ratio.
DP197.47%
EPS Next 2Y17.71%
EPS Next 3Y15.52%
AVIVA PLC / GU81.DE FAQ
Can you provide the ChartMill fundamental rating for AVIVA PLC?
ChartMill assigns a fundamental rating of 4 / 10 to GU81.DE.
What is the valuation status for GU81 stock?
ChartMill assigns a valuation rating of 5 / 10 to AVIVA PLC (GU81.DE). This can be considered as Fairly Valued.
What is the profitability of GU81 stock?
AVIVA PLC (GU81.DE) has a profitability rating of 2 / 10.
Can you provide the PE and PB ratios for GU81 stock?
The Price/Earnings (PE) ratio for AVIVA PLC (GU81.DE) is 28.08 and the Price/Book (PB) ratio is 2.3.
What is the financial health of AVIVA PLC (GU81.DE) stock?
The financial health rating of AVIVA PLC (GU81.DE) is 5 / 10.