INTERNATIONAL GAME TECHNOLOG (IGT) Stock Fundamental Analysis
USA - NYSE:IGT - GB00BVG7F061 - Common Stock
16.29 USD
+0.48 (+3.04%)
16.29 USD
0 (0%)
Overall IGT gets a fundamental rating of 6 out of 10. We evaluated IGT against 132 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and the financial health of IGT get a neutral evaluation. Nothing too spectacular is happening here. IGT has a bad growth rate and is valued cheaply. These ratings would make IGT suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year IGT was profitable.
In the past year IGT had a positive cash flow from operations.
Of the past 5 years IGT 4 years were profitable.
In the past 5 years IGT always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.83%, IGT perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
The Return On Equity of IGT (17.85%) is better than 76.30% of its industry peers.
With a decent Return On Invested Capital value of 7.27%, IGT is doing good in the industry, outperforming 61.48% of the companies in the same industry.
IGT had an Average Return On Invested Capital over the past 3 years of 7.65%. This is below the industry average of 10.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 17.85% | ||
| ROIC | 7.27% |
ROA(3y)2.5%
ROA(5y)0.97%
ROE(3y)17.02%
ROE(5y)-5.38%
ROIC(3y)7.65%
ROIC(5y)6.46%
1.3 Margins
Looking at the Profit Margin, with a value of 10.21%, IGT is in the better half of the industry, outperforming 75.56% of the companies in the same industry.
IGT's Profit Margin has improved in the last couple of years.
IGT has a better Operating Margin (25.12%) than 89.63% of its industry peers.
IGT's Operating Margin has improved in the last couple of years.
IGT has a Gross Margin (45.71%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of IGT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.12% | ||
| PM (TTM) | 10.21% | ||
| GM | 45.71% |
OM growth 3Y9.13%
OM growth 5Y15.18%
PM growth 3Y5.43%
PM growth 5YN/A
GM growth 3Y-0.98%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so IGT is still creating some value.
IGT has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, IGT has less shares outstanding
Compared to 1 year ago, IGT has an improved debt to assets ratio.
2.2 Solvency
IGT has a debt to FCF ratio of 5.72. This is a neutral value as IGT would need 5.72 years to pay back of all of its debts.
IGT's Debt to FCF ratio of 5.72 is fine compared to the rest of the industry. IGT outperforms 78.52% of its industry peers.
A Debt/Equity ratio of 3.33 is on the high side and indicates that IGT has dependencies on debt financing.
With a Debt to Equity ratio value of 3.33, IGT perfoms like the industry average, outperforming 43.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.33 | ||
| Debt/FCF | 5.72 | ||
| Altman-Z | N/A |
ROIC/WACC1.29
WACC5.65%
2.3 Liquidity
IGT has a Current Ratio of 2.48. This indicates that IGT is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of IGT (2.48) is better than 90.37% of its industry peers.
IGT has a Quick Ratio of 2.43. This indicates that IGT is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.43, IGT belongs to the top of the industry, outperforming 91.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.48 | ||
| Quick Ratio | 2.43 |
3. Growth
3.1 Past
The earnings per share for IGT have decreased strongly by -12.73% in the last year.
Measured over the past years, IGT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.63% on average per year.
Looking at the last year, IGT shows a very negative growth in Revenue. The Revenue has decreased by -33.52% in the last year.
IGT shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -9.03% yearly.
EPS 1Y (TTM)-12.73%
EPS 3Y-21.54%
EPS 5Y9.63%
EPS Q2Q%-67.5%
Revenue 1Y (TTM)-33.52%
Revenue growth 3Y-14.99%
Revenue growth 5Y-9.03%
Sales Q2Q%-45.36%
3.2 Future
Based on estimates for the next years, IGT will show a very negative growth in Earnings Per Share. The EPS will decrease by -10.95% on average per year.
Based on estimates for the next years, IGT will show a quite strong growth in Revenue. The Revenue will grow by 16.47% on average per year.
EPS Next Y-46.15%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
EPS Next 5YN/A
Revenue Next Year0.75%
Revenue Next 2Y1.07%
Revenue Next 3Y1.36%
Revenue Next 5Y16.47%
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 decreasing.
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
The Price/Earnings ratio is 11.31, which indicates a very decent valuation of IGT.
Based on the Price/Earnings ratio, IGT is valued cheaper than 93.33% of the companies in the same industry.
IGT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.51.
With a Price/Forward Earnings ratio of 11.65, the valuation of IGT can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IGT indicates a rather cheap valuation: IGT is cheaper than 85.19% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of IGT to the average of the S&P500 Index (22.53), we can say IGT is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.31 | ||
| Fwd PE | 11.65 |
4.2 Price Multiples
71.85% of the companies in the same industry are more expensive than IGT, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, IGT is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.31 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
The decent profitability rating of IGT may justify a higher PE ratio.
A cheap valuation may be justified as IGT's earnings are expected to decrease with -10.95% in the coming years.
PEG (NY)N/A
PEG (5Y)1.18
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
5. Dividend
5.1 Amount
IGT has a Yearly Dividend Yield of 4.91%, which is a nice return.
IGT's Dividend Yield is rather good when compared to the industry average which is at 4.12. IGT pays more dividend than 94.07% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, IGT pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.91% |
5.2 History
The dividend of IGT decreases each year by -0.01%.
IGT has paid a dividend for at least 10 years, which is a reliable track record.
IGT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.01%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
68.60% of the earnings are spent on dividend by IGT. This is not a sustainable payout ratio.
IGT's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP68.6%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
16.29
+0.48 (+3.04%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner Change-0.69%
Ins OwnersN/A
Ins Owner Change0%
Market Cap3.29B
Revenue(TTM)2.87B
Net Income(TTM)293.00M
Analysts72.73
Price Target19.57 (20.14%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.91% |
Yearly Dividend0.8
Dividend Growth(5Y)-0.01%
DP68.6%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)98.59%
Min EPS beat(2)12.91%
Max EPS beat(2)184.28%
EPS beat(4)2
Avg EPS beat(4)19.69%
Min EPS beat(4)-80.94%
Max EPS beat(4)184.28%
EPS beat(8)5
Avg EPS beat(8)20.76%
EPS beat(12)7
Avg EPS beat(12)0.06%
EPS beat(16)11
Avg EPS beat(16)38.21%
Revenue beat(2)0
Avg Revenue beat(2)-5.04%
Min Revenue beat(2)-8.06%
Max Revenue beat(2)-2.02%
Revenue beat(4)0
Avg Revenue beat(4)-3.45%
Min Revenue beat(4)-8.06%
Max Revenue beat(4)-1.74%
Revenue beat(8)4
Avg Revenue beat(8)-0.78%
Revenue beat(12)7
Avg Revenue beat(12)0.25%
Revenue beat(16)10
Avg Revenue beat(16)1.02%
PT rev (1m)-2.46%
PT rev (3m)-18.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-40.58%
EPS NY rev (1m)12.27%
EPS NY rev (3m)-0.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.31 | ||
| Fwd PE | 11.65 | ||
| P/S | 1.15 | ||
| P/FCF | 3.31 | ||
| P/OCF | 2.9 | ||
| P/B | 2.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.78 |
EPS(TTM)1.44
EY8.84%
EPS(NY)1.4
Fwd EY8.58%
FCF(TTM)4.92
FCFY30.18%
OCF(TTM)5.61
OCFY34.46%
SpS14.21
BVpS8.12
TBVpS-5.51
PEG (NY)N/A
PEG (5Y)1.18
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 17.85% | ||
| ROCE | 9.21% | ||
| ROIC | 7.27% | ||
| ROICexc | 7.91% | ||
| ROICexgc | 12.81% | ||
| OM | 25.12% | ||
| PM (TTM) | 10.21% | ||
| GM | 45.71% | ||
| FCFM | 34.6% |
ROA(3y)2.5%
ROA(5y)0.97%
ROE(3y)17.02%
ROE(5y)-5.38%
ROIC(3y)7.65%
ROIC(5y)6.46%
ROICexc(3y)8.23%
ROICexc(5y)6.95%
ROICexgc(3y)25.25%
ROICexgc(5y)21.43%
ROCE(3y)9.69%
ROCE(5y)8.2%
ROICexgc growth 3Y-19.39%
ROICexgc growth 5Y-0.9%
ROICexc growth 3Y0.35%
ROICexc growth 5Y13.64%
OM growth 3Y9.13%
OM growth 5Y15.18%
PM growth 3Y5.43%
PM growth 5YN/A
GM growth 3Y-0.98%
GM growth 5Y2.02%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.33 | ||
| Debt/FCF | 5.72 | ||
| Debt/EBITDA | 6.4 | ||
| Cap/Depr | 106.82% | ||
| Cap/Sales | 4.91% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 132.94% | ||
| Profit Quality | 338.91% | ||
| Current Ratio | 2.48 | ||
| Quick Ratio | 2.43 | ||
| Altman-Z | N/A |
F-Score5
WACC5.65%
ROIC/WACC1.29
Cap/Depr(3y)71.25%
Cap/Depr(5y)60.8%
Cap/Sales(3y)9.74%
Cap/Sales(5y)8.64%
Profit Quality(3y)292.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.73%
EPS 3Y-21.54%
EPS 5Y9.63%
EPS Q2Q%-67.5%
EPS Next Y-46.15%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
EPS Next 5YN/A
Revenue 1Y (TTM)-33.52%
Revenue growth 3Y-14.99%
Revenue growth 5Y-9.03%
Sales Q2Q%-45.36%
Revenue Next Year0.75%
Revenue Next 2Y1.07%
Revenue Next 3Y1.36%
Revenue Next 5Y16.47%
EBIT growth 1Y-31.79%
EBIT growth 3Y-7.23%
EBIT growth 5Y4.78%
EBIT Next Year61.74%
EBIT Next 3Y20.59%
EBIT Next 5Y25.02%
FCF growth 1Y45.39%
FCF growth 3Y5.99%
FCF growth 5Y6.24%
OCF growth 1Y11.07%
OCF growth 3Y1.74%
OCF growth 5Y-1.18%
INTERNATIONAL GAME TECHNOLOG / IGT FAQ
What is the fundamental rating for IGT stock?
ChartMill assigns a fundamental rating of 6 / 10 to IGT.
Can you provide the valuation status for INTERNATIONAL GAME TECHNOLOG?
ChartMill assigns a valuation rating of 7 / 10 to INTERNATIONAL GAME TECHNOLOG (IGT). This can be considered as Undervalued.
What is the profitability of IGT stock?
INTERNATIONAL GAME TECHNOLOG (IGT) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for IGT stock?
The Earnings per Share (EPS) of INTERNATIONAL GAME TECHNOLOG (IGT) is expected to decline by -46.15% in the next year.
Can you provide the dividend sustainability for IGT stock?
The dividend rating of INTERNATIONAL GAME TECHNOLOG (IGT) is 6 / 10 and the dividend payout ratio is 68.6%.