IDEXX LABORATORIES INC (IDXX) Stock Fundamental Analysis
USA - NASDAQ:IDXX - US45168D1046 - Common Stock
631.19 USD
-2.65 (-0.42%)
631.19 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to IDXX. IDXX was compared to 191 industry peers in the Health Care Equipment & Supplies industry. IDXX gets an excellent profitability rating and is at the same time showing great financial health properties. IDXX has a correct valuation and a medium growth rate. These ratings could make IDXX a good candidate 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
With an excellent Return On Assets value of 29.59%, IDXX belongs to the best of the industry, outperforming 98.95% of the companies in the same industry.
IDXX has a Return On Equity of 67.56%. This is amongst the best in the industry. IDXX outperforms 99.48% of its industry peers.
IDXX has a better Return On Invested Capital (37.30%) than 99.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IDXX is significantly above the industry average of 9.00%.
The 3 year average ROIC (35.08%) for IDXX is below the current ROIC(37.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.59% | ||
| ROE | 67.56% | ||
| ROIC | 37.3% |
ROA(3y)25.87%
ROA(5y)26.7%
ROE(3y)74.71%
ROE(5y)84.83%
ROIC(3y)35.08%
ROIC(5y)36.07%
1.3 Margins
IDXX has a Profit Margin of 24.41%. This is amongst the best in the industry. IDXX outperforms 94.24% of its industry peers.
In the last couple of years the Profit Margin of IDXX has grown nicely.
Looking at the Operating Margin, with a value of 31.09%, IDXX belongs to the top of the industry, outperforming 97.91% of the companies in the same industry.
In the last couple of years the Operating Margin of IDXX has grown nicely.
IDXX has a better Gross Margin (61.54%) than 62.83% 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 | 31.09% | ||
| PM (TTM) | 24.41% | ||
| GM | 61.54% |
OM growth 3Y0.02%
OM growth 5Y4.78%
PM growth 3Y-0.55%
PM growth 5Y5.09%
GM growth 3Y1.27%
GM growth 5Y1.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IDXX is creating value.
Compared to 1 year ago, IDXX has less shares outstanding
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
IDXX has an Altman-Z score of 21.16. This indicates that IDXX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of IDXX (21.16) is better than 95.81% of its industry peers.
IDXX has a debt to FCF ratio of 1.43. This is a very positive value and a sign of high solvency as it would only need 1.43 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.43, IDXX belongs to the top of the industry, outperforming 90.05% of the companies in the same industry.
A Debt/Equity ratio of 0.71 indicates that IDXX is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.71, IDXX is doing worse than 70.16% of the companies in the same industry.
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 | 0.71 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 21.16 |
ROIC/WACC4.08
WACC9.14%
2.3 Liquidity
A Current Ratio of 1.11 indicates that IDXX should not have too much problems paying its short term obligations.
The Current ratio of IDXX (1.11) is worse than 85.86% of its industry peers.
IDXX has a Quick Ratio of 1.11. This is a bad value and indicates that IDXX is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.79, IDXX is not doing good in the industry: 85.34% 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 | 1.11 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.45% over the past year.
The Earnings Per Share has been growing by 18.18% on average over the past years. This is quite good.
IDXX shows a small growth in Revenue. In the last year, the Revenue has grown by 6.68%.
Measured over the past years, IDXX shows a quite strong growth in Revenue. The Revenue has been growing by 10.12% on average per year.
EPS 1Y (TTM)12.45%
EPS 3Y9.32%
EPS 5Y18.18%
EPS Q2Q%20.2%
Revenue 1Y (TTM)6.68%
Revenue growth 3Y6.62%
Revenue growth 5Y10.12%
Sales Q2Q%10.55%
3.2 Future
The Earnings Per Share is expected to grow by 11.68% on average over the next years. This is quite good.
The Revenue is expected to grow by 8.69% on average over the next years. This is quite good.
EPS Next Y14.22%
EPS Next 2Y13.24%
EPS Next 3Y13.08%
EPS Next 5Y11.68%
Revenue Next Year9.07%
Revenue Next 2Y8.66%
Revenue Next 3Y8.62%
Revenue Next 5Y8.69%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 52.56, IDXX can be considered very expensive at the moment.
68.59% of the companies in the same industry are more expensive than IDXX, based on the Price/Earnings ratio.
IDXX is valuated expensively when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 43.75 indicates a quite expensive valuation of IDXX.
Based on the Price/Forward Earnings ratio, IDXX is valued a bit cheaper than 70.16% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.32. IDXX is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.56 | ||
| Fwd PE | 43.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IDXX is valued a bit cheaper than the industry average as 69.63% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, IDXX is valued a bit cheaper than the industry average as 73.30% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 65.21 | ||
| EV/EBITDA | 36.51 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
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 13.08% in the coming years.
PEG (NY)3.7
PEG (5Y)2.89
EPS Next 2Y13.24%
EPS Next 3Y13.08%
5. Dividend
5.1 Amount
No dividends for IDXX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
631.19
-2.65 (-0.42%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.04%
Inst Owner Change0%
Ins Owners0.2%
Ins Owner Change2.22%
Market Cap50.50B
Analysts79.05
Price Target694.47 (10.03%)
Short Float %2.67%
Short Ratio3.61
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)4.76%
Min EPS beat(2)1.72%
Max EPS beat(2)7.81%
EPS beat(4)4
Avg EPS beat(4)4.73%
Min EPS beat(4)1.72%
Max EPS beat(4)7.81%
EPS beat(8)8
Avg EPS beat(8)4.6%
EPS beat(12)12
Avg EPS beat(12)4.41%
EPS beat(16)14
Avg EPS beat(16)3.9%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-1.92%
Max Revenue beat(2)1.88%
Revenue beat(4)2
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-2.33%
Max Revenue beat(4)1.88%
Revenue beat(8)2
Avg Revenue beat(8)-1.32%
Revenue beat(12)2
Avg Revenue beat(12)-1.2%
Revenue beat(16)3
Avg Revenue beat(16)-1.19%
PT rev (1m)0.43%
PT rev (3m)32.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.41%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)3.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.73%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)2.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.56 | ||
| Fwd PE | 43.75 | ||
| P/S | 12.51 | ||
| P/FCF | 65.21 | ||
| P/OCF | 55.75 | ||
| P/B | 34.61 | ||
| P/tB | 53.68 | ||
| EV/EBITDA | 36.51 |
EPS(TTM)12.01
EY1.9%
EPS(NY)14.43
Fwd EY2.29%
FCF(TTM)9.68
FCFY1.53%
OCF(TTM)11.32
OCFY1.79%
SpS50.47
BVpS18.24
TBVpS11.76
PEG (NY)3.7
PEG (5Y)2.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.59% | ||
| ROE | 67.56% | ||
| ROCE | 59.57% | ||
| ROIC | 37.3% | ||
| ROICexc | 39.73% | ||
| ROICexgc | 50.01% | ||
| OM | 31.09% | ||
| PM (TTM) | 24.41% | ||
| GM | 61.54% | ||
| FCFM | 19.18% |
ROA(3y)25.87%
ROA(5y)26.7%
ROE(3y)74.71%
ROE(5y)84.83%
ROIC(3y)35.08%
ROIC(5y)36.07%
ROICexc(3y)39.8%
ROICexc(5y)41.54%
ROICexgc(3y)51.52%
ROICexgc(5y)54.69%
ROCE(3y)52.73%
ROCE(5y)50.92%
ROICexcg growth 3Y-5.99%
ROICexcg growth 5Y4.29%
ROICexc growth 3Y-3.86%
ROICexc growth 5Y4.07%
OM growth 3Y0.02%
OM growth 5Y4.78%
PM growth 3Y-0.55%
PM growth 5Y5.09%
GM growth 3Y1.27%
GM growth 5Y1.47%
F-Score7
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 0.74 | ||
| Cap/Depr | 95.5% | ||
| Cap/Sales | 3.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.03% | ||
| Profit Quality | 78.56% | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 21.16 |
F-Score7
WACC9.14%
ROIC/WACC4.08
Cap/Depr(3y)119.66%
Cap/Depr(5y)117.12%
Cap/Sales(3y)3.91%
Cap/Sales(5y)3.89%
Profit Quality(3y)79.31%
Profit Quality(5y)83.23%
High Growth Momentum
Growth
EPS 1Y (TTM)12.45%
EPS 3Y9.32%
EPS 5Y18.18%
EPS Q2Q%20.2%
EPS Next Y14.22%
EPS Next 2Y13.24%
EPS Next 3Y13.08%
EPS Next 5Y11.68%
Revenue 1Y (TTM)6.68%
Revenue growth 3Y6.62%
Revenue growth 5Y10.12%
Sales Q2Q%10.55%
Revenue Next Year9.07%
Revenue Next 2Y8.66%
Revenue Next 3Y8.62%
Revenue Next 5Y8.69%
EBIT growth 1Y15.86%
EBIT growth 3Y6.64%
EBIT growth 5Y15.38%
EBIT Next Year31.91%
EBIT Next 3Y16.8%
EBIT Next 5Y14.07%
FCF growth 1Y30.65%
FCF growth 3Y7.86%
FCF growth 5Y21.29%
OCF growth 1Y21.32%
OCF growth 3Y7.13%
OCF growth 5Y15.13%