INTEGRA LIFESCIENCES HOLDING (IART) Stock Fundamental Analysis
NASDAQ:IART - Nasdaq - US4579852082 - Common Stock - Currency: USD
Taking everything into account, IART scores 4 out of 10 in our fundamental rating. IART was compared to 190 industry peers in the Health Care Equipment & Supplies industry. While IART is still in line with the averages on profitability rating, there are concerns on its financial health. IART may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
IART had positive earnings in the past year.
IART had a positive operating cash flow in the past year.
Of the past 5 years IART 4 years were profitable.
In the past 5 years IART always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of IART (-0.17%) is better than 71.96% of its industry peers.
The Return On Equity of IART (-0.45%) is better than 73.02% of its industry peers.
IART has a better Return On Invested Capital (4.90%) than 78.84% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IART is in line with the industry average of 7.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.17% | ||
| ROE | -0.45% | ||
| ROIC | 4.9% |
ROA(3y)2.09%
ROA(5y)2.89%
ROE(3y)4.61%
ROE(5y)6.54%
ROIC(3y)6.1%
ROIC(5y)6.15%
1.3 Margins
IART's Operating Margin of 11.34% is fine compared to the rest of the industry. IART outperforms 77.78% of its industry peers.
In the last couple of years the Operating Margin of IART has declined.
With a Gross Margin value of 59.27%, IART perfoms like the industry average, outperforming 57.67% of the companies in the same industry.
In the last couple of years the Gross Margin of IART has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.34% | ||
| PM (TTM) | N/A | ||
| GM | 59.27% |
OM growth 3Y-14.31%
OM growth 5Y-7.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.19%
GM growth 5Y-1.66%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IART is destroying value.
The number of shares outstanding for IART has been reduced compared to 1 year ago.
Compared to 5 years ago, IART has less shares outstanding
IART has a worse debt/assets ratio than last year.
2.2 Solvency
IART has an Altman-Z score of 1.23. This is a bad value and indicates that IART is not financially healthy and even has some risk of bankruptcy.
IART has a Altman-Z score of 1.23. This is comparable to the rest of the industry: IART outperforms 55.03% of its industry peers.
IART has a debt to FCF ratio of 120.12. This is a negative value and a sign of low solvency as IART would need 120.12 years to pay back of all of its debts.
IART has a Debt to FCF ratio of 120.12. This is in the better half of the industry: IART outperforms 67.20% of its industry peers.
A Debt/Equity ratio of 0.77 indicates that IART is somewhat dependend on debt financing.
IART has a Debt to Equity ratio of 0.77. This is in the lower half of the industry: IART underperforms 70.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 120.12 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.62
WACC7.88%
2.3 Liquidity
A Current Ratio of 1.17 indicates that IART should not have too much problems paying its short term obligations.
IART has a worse Current ratio (1.17) than 84.66% of its industry peers.
IART has a Quick Ratio of 1.17. This is a bad value and indicates that IART is not financially healthy enough and could expect problems in meeting its short term obligations.
IART's Quick ratio of 0.71 is on the low side compared to the rest of the industry. IART is outperformed by 87.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The earnings per share for IART have decreased strongly by -17.42% in the last year.
IART shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.35% yearly.
Looking at the last year, IART shows a small growth in Revenue. The Revenue has grown by 4.48% in the last year.
The Revenue has been growing slightly by 1.20% on average over the past years.
EPS 1Y (TTM)-17.42%
EPS 3Y-6.97%
EPS 5Y-1.35%
EPS Q2Q%8.99%
Revenue 1Y (TTM)4.48%
Revenue growth 3Y1.45%
Revenue growth 5Y1.2%
Sales Q2Q%11.49%
3.2 Future
IART is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.63% yearly.
The Revenue is expected to grow by 4.18% on average over the next years.
EPS Next Y-1.91%
EPS Next 2Y4.06%
EPS Next 3Y6.63%
EPS Next 5YN/A
Revenue Next Year4.13%
Revenue Next 2Y4.23%
Revenue Next 3Y4.18%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 6.58 indicates a rather cheap valuation of IART.
IART's Price/Earnings ratio is rather cheap when compared to the industry. IART is cheaper than 97.35% of the companies in the same industry.
IART is valuated cheaply when we compare the Price/Earnings ratio to 28.22, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 6.71, the valuation of IART can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IART indicates a rather cheap valuation: IART is cheaper than 98.41% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.86, IART is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.58 | ||
| Fwd PE | 6.71 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IART is valued cheaply inside the industry as 92.06% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, IART is valued a bit cheaper than the industry average as 70.37% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 86.71 | ||
| EV/EBITDA | 8.57 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.06%
EPS Next 3Y6.63%
5. Dividend
5.1 Amount
No dividends for IART!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.85
+0.41 (+2.49%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners90.57%
Inst Owner Change2.45%
Ins Owners3.04%
Ins Owner Change0.6%
Market Cap1.30B
Analysts54.44
Price Target25.25 (49.85%)
Short Float %5.22%
Short Ratio4.59
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)7.17%
Min EPS beat(2)3.22%
Max EPS beat(2)11.12%
EPS beat(4)2
Avg EPS beat(4)2.82%
Min EPS beat(4)-2.26%
Max EPS beat(4)11.12%
EPS beat(8)3
Avg EPS beat(8)3.06%
EPS beat(12)6
Avg EPS beat(12)4.16%
EPS beat(16)9
Avg EPS beat(16)6.39%
Revenue beat(2)0
Avg Revenue beat(2)-1.58%
Min Revenue beat(2)-2.51%
Max Revenue beat(2)-0.64%
Revenue beat(4)0
Avg Revenue beat(4)-1%
Min Revenue beat(4)-2.51%
Max Revenue beat(4)-0.09%
Revenue beat(8)1
Avg Revenue beat(8)-1.15%
Revenue beat(12)2
Avg Revenue beat(12)-0.89%
Revenue beat(16)4
Avg Revenue beat(16)-0.68%
PT rev (1m)-5.71%
PT rev (3m)-4.81%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-22.8%
EPS NY rev (1m)0.07%
EPS NY rev (3m)-2.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.08%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)-1.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.58 | ||
| Fwd PE | 6.71 | ||
| P/S | 0.81 | ||
| P/FCF | 86.71 | ||
| P/OCF | 10.06 | ||
| P/B | 0.84 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.57 |
EPS(TTM)2.56
EY15.19%
EPS(NY)2.51
Fwd EY14.9%
FCF(TTM)0.19
FCFY1.15%
OCF(TTM)1.67
OCFY9.94%
SpS20.85
BVpS20
TBVpS-9.83
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.17% | ||
| ROE | -0.45% | ||
| ROCE | 5.86% | ||
| ROIC | 4.9% | ||
| ROICexc | 5.37% | ||
| ROICexgc | 28.41% | ||
| OM | 11.34% | ||
| PM (TTM) | N/A | ||
| GM | 59.27% | ||
| FCFM | 0.93% |
ROA(3y)2.09%
ROA(5y)2.89%
ROE(3y)4.61%
ROE(5y)6.54%
ROIC(3y)6.1%
ROIC(5y)6.15%
ROICexc(3y)6.8%
ROICexc(5y)7%
ROICexgc(3y)25.35%
ROICexgc(5y)25.69%
ROCE(3y)7.3%
ROCE(5y)7.36%
ROICexcg growth 3Y-1.99%
ROICexcg growth 5Y0.59%
ROICexc growth 3Y-12.19%
ROICexc growth 5Y-7.26%
OM growth 3Y-14.31%
OM growth 5Y-7.91%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.19%
GM growth 5Y-1.66%
F-Score4
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 120.12 | ||
| Debt/EBITDA | 3.7 | ||
| Cap/Depr | 81.18% | ||
| Cap/Sales | 7.1% | ||
| Interest Coverage | 2.84 | ||
| Cash Conversion | 39.99% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.17 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 1.23 |
F-Score4
WACC7.88%
ROIC/WACC0.62
Cap/Depr(3y)58.38%
Cap/Depr(5y)54.07%
Cap/Sales(3y)4.82%
Cap/Sales(5y)4.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.42%
EPS 3Y-6.97%
EPS 5Y-1.35%
EPS Q2Q%8.99%
EPS Next Y-1.91%
EPS Next 2Y4.06%
EPS Next 3Y6.63%
EPS Next 5YN/A
Revenue 1Y (TTM)4.48%
Revenue growth 3Y1.45%
Revenue growth 5Y1.2%
Sales Q2Q%11.49%
Revenue Next Year4.13%
Revenue Next 2Y4.23%
Revenue Next 3Y4.18%
Revenue Next 5YN/A
EBIT growth 1Y-32.81%
EBIT growth 3Y-13.07%
EBIT growth 5Y-6.81%
EBIT Next Year24.77%
EBIT Next 3Y12.59%
EBIT Next 5YN/A
FCF growth 1Y-79.46%
FCF growth 3Y-61.56%
FCF growth 5Y-31.13%
OCF growth 1Y-7.55%
OCF growth 3Y-25.46%
OCF growth 5Y-10.98%