IDEXX LABORATORIES INC (IDXX)
US45168D1046 - Common Stock
We assign a fundamental rating of 6 out of 10 to IDXX. IDXX was compared to 196 industry peers in the Health Care Equipment & Supplies industry. IDXX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. IDXX is not valued too expensively and it also shows a decent growth rate. This makes IDXX very considerable for quality investing!
1. Profitability
1.1 Basic Checks
IDXX had positive earnings in the past year.
In the past year IDXX had a positive cash flow from operations.
In the past 5 years IDXX has always been profitable.
In the past 5 years IDXX always reported a positive cash flow from operatings.
1.2 Ratios
IDXX has a Return On Assets of 25.92%. This is amongst the best in the industry. IDXX outperforms 99.49% of its industry peers.
Looking at the Return On Equity, with a value of 56.92%, IDXX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Invested Capital value of 34.01%, IDXX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for IDXX is significantly above the industry average of 8.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.92% | ||
| ROE | 56.92% | ||
| ROIC | 34.01% |
ROA(3y)27.07%
ROA(5y)25.98%
ROE(3y)92.14%
ROE(5y)121.89%
ROIC(3y)36.89%
ROIC(5y)34.87%
1.3 Margins
With an excellent Profit Margin value of 23.08%, IDXX belongs to the best of the industry, outperforming 95.92% of the companies in the same industry.
In the last couple of years the Profit Margin of IDXX has grown nicely.
The Operating Margin of IDXX (29.97%) is better than 97.45% of its industry peers.
IDXX's Operating Margin has improved in the last couple of years.
IDXX's Gross Margin of 59.82% is in line compared to the rest of the industry. IDXX outperforms 57.65% of its industry peers.
In the last couple of years the Gross Margin of IDXX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.97% | ||
| PM (TTM) | 23.08% | ||
| GM | 59.82% |
OM growth 3Y5.32%
OM growth 5Y5.96%
PM growth 3Y2.4%
PM growth 5Y6.27%
GM growth 3Y1.01%
GM growth 5Y1.29%
2. Health
2.1 Basic Checks
IDXX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for IDXX remains at a similar level compared to 1 year ago.
The number of shares outstanding for IDXX has been reduced compared to 5 years ago.
Compared to 1 year ago, IDXX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 17.77 indicates that IDXX is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 17.77, IDXX belongs to the top of the industry, outperforming 94.39% of the companies in the same industry.
IDXX has a debt to FCF ratio of 1.23. This is a very positive value and a sign of high solvency as it would only need 1.23 years to pay back of all of its debts.
IDXX's Debt to FCF ratio of 1.23 is amongst the best of the industry. IDXX outperforms 90.82% of its industry peers.
A Debt/Equity ratio of 0.59 indicates that IDXX is somewhat dependend on debt financing.
IDXX has a Debt to Equity ratio of 0.59. This is in the lower half of the industry: IDXX underperforms 69.39% of its industry peers.
Even though the debt/equity ratio score it not favorable for IDXX, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 1.23 | ||
| Altman-Z | 17.77 |
ROIC/WACC3.47
WACC9.79%
2.3 Liquidity
IDXX has a Current Ratio of 1.57. This is a normal value and indicates that IDXX is financially healthy and should not expect problems in meeting its short term obligations.
IDXX's Current ratio of 1.57 is on the low side compared to the rest of the industry. IDXX is outperformed by 81.63% of its industry peers.
IDXX has a Quick Ratio of 1.17. This is a normal value and indicates that IDXX is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.17, IDXX is not doing good in the industry: 77.55% of the companies in the same industry are doing better.
The current and quick ratio evaluation for IDXX is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.40% over the past year.
Measured over the past years, IDXX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.72% on average per year.
IDXX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.72%.
Measured over the past years, IDXX shows a quite strong growth in Revenue. The Revenue has been growing by 10.59% on average per year.
EPS 1Y (TTM)25.4%
EPS 3Y14.49%
EPS 5Y18.72%
EPS growth Q2Q13.17%
Revenue 1Y (TTM)8.72%
Revenue growth 3Y10.59%
Revenue growth 5Y10.59%
Revenue growth Q2Q8.81%
3.2 Future
IDXX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.95% yearly.
Based on estimates for the next years, IDXX will show a small growth in Revenue. The Revenue will grow by 7.53% on average per year.
EPS Next Y12.73%
EPS Next 2Y13.44%
EPS Next 3Y13.62%
EPS Next 5Y10.95%
Revenue Next Year9.41%
Revenue Next 2Y9.73%
Revenue Next 3Y9.72%
Revenue Next 5Y7.53%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
IDXX is valuated quite expensively with a Price/Earnings ratio of 47.45.
Based on the Price/Earnings ratio, IDXX is valued a bit cheaper than 71.43% of the companies in the same industry.
IDXX is valuated expensively when we compare the Price/Earnings ratio to 24.80, which is the current average of the S&P500 Index.
IDXX is valuated quite expensively with a Price/Forward Earnings ratio of 42.09.
Based on the Price/Forward Earnings ratio, IDXX is valued a bit cheaper than the industry average as 73.98% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of IDXX to the average of the S&P500 Index (21.27), we can say IDXX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.45 | ||
| Fwd PE | 42.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IDXX is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
IDXX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. IDXX is cheaper than 79.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.37 | ||
| EV/EBITDA | 32.99 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IDXX does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of IDXX may justify a higher PE ratio.
A more expensive valuation may be justified as IDXX's earnings are expected to grow with 13.62% in the coming years.
PEG (NY)3.73
PEG (5Y)2.53
EPS Next 2Y13.44%
EPS Next 3Y13.62%
5. Dividend
5.1 Amount
IDXX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
IDEXX LABORATORIES INC
NASDAQ:IDXX (4/18/2024, 7:00:29 PM)
After market: 477.79 0 (0%)477.79
-0.45 (-0.09%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap39.70B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
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EPS NY rev (3m)
Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.45 | ||
| Fwd PE | 42.09 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)3.73
PEG (5Y)2.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.92% | ||
| ROE | 56.92% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 29.97% | ||
| PM (TTM) | 23.08% | ||
| GM | 59.82% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)25.4%
EPS 3Y14.49%
EPS 5Y
EPS growth Q2Q
EPS Next Y12.73%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)8.72%
Revenue growth 3Y10.59%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
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OCF growth 3Y
OCF growth 5Y