IHS HOLDING LTD (IHS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IHS - KYG4701H1092 - Common Stock
7.57 USD
-0.15 (-1.94%)
7.54 USD
-0.03 (-0.4%)
IHS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 37 industry peers in the Diversified Telecommunication Services industry. IHS has an average financial health and profitability rating. A decent growth rate in combination with a cheap valuation! Better keep an eye on IHS.
1. Profitability
1.1 Basic Checks
In the past year IHS was profitable.
IHS had a positive operating cash flow in the past year.
IHS had negative earnings in each of the past 5 years.
IHS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of IHS (2.47%) is better than 67.57% of its industry peers.
IHS has a better Return On Invested Capital (13.98%) than 97.30% of its industry peers.
IHS had an Average Return On Invested Capital over the past 3 years of 9.60%. This is above the industry average of 6.52%.
The 3 year average ROIC (9.60%) for IHS is below the current ROIC(13.98%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.47% | ||
| ROE | N/A | ||
| ROIC | 13.98% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.76%
1.3 Margins
IHS has a better Profit Margin (6.41%) than 67.57% of its industry peers.
IHS's Operating Margin of 39.34% is amongst the best of the industry. IHS outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of IHS has grown nicely.
IHS has a Gross Margin (51.21%) which is in line with its industry peers.
In the last couple of years the Gross Margin of IHS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.34% | ||
| PM (TTM) | 6.41% | ||
| GM | 51.21% |
OM growth 3Y3.33%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y6.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IHS is creating some value.
Compared to 1 year ago, IHS has more shares outstanding
Compared to 5 years ago, IHS has more shares outstanding
Compared to 1 year ago, IHS has a worse debt to assets ratio.
2.2 Solvency
IHS has an Altman-Z score of -0.48. This is a bad value and indicates that IHS is not financially healthy and even has some risk of bankruptcy.
IHS has a worse Altman-Z score (-0.48) than 89.19% of its industry peers.
IHS has a debt to FCF ratio of 5.37. This is a neutral value as IHS would need 5.37 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 5.37, IHS belongs to the best of the industry, outperforming 83.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 5.37 | ||
| Altman-Z | -0.48 |
ROIC/WACC1.67
WACC8.36%
2.3 Liquidity
A Current Ratio of 1.54 indicates that IHS should not have too much problems paying its short term obligations.
The Current ratio of IHS (1.54) is better than 75.68% of its industry peers.
A Quick Ratio of 1.47 indicates that IHS should not have too much problems paying its short term obligations.
The Quick ratio of IHS (1.47) is better than 75.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 119.57% over the past year.
IHS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.49%.
Measured over the past years, IHS shows a small growth in Revenue. The Revenue has been growing by 6.81% on average per year.
EPS 1Y (TTM)119.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%172.13%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%8.28%
3.2 Future
The Earnings Per Share is expected to grow by 22.21% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 5.09% on average over the next years.
EPS Next Y114.69%
EPS Next 2Y45.95%
EPS Next 3Y28.9%
EPS Next 5Y22.21%
Revenue Next Year3.45%
Revenue Next 2Y3.11%
Revenue Next 3Y4.26%
Revenue Next 5Y5.09%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
IHS is valuated cheaply with a Price/Earnings ratio of 5.53.
Compared to the rest of the industry, the Price/Earnings ratio of IHS indicates a rather cheap valuation: IHS is cheaper than 97.30% of the companies listed in the same industry.
IHS is valuated cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.84, the valuation of IHS can be described as reasonable.
83.78% of the companies in the same industry are more expensive than IHS, based on the Price/Forward Earnings ratio.
IHS is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.92, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.53 | ||
| Fwd PE | 11.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IHS is valued cheaply inside the industry as 86.49% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, IHS is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.56 | ||
| EV/EBITDA | 5.58 |
4.3 Compensation for Growth
IHS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
IHS has a very decent profitability rating, which may justify a higher PE ratio.
IHS's earnings are expected to grow with 28.90% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.05
PEG (5Y)N/A
EPS Next 2Y45.95%
EPS Next 3Y28.9%
5. Dividend
5.1 Amount
IHS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
7.57
-0.15 (-1.94%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners26.05%
Inst Owner Change0%
Ins Owners6.35%
Ins Owner Change0%
Market Cap2.54B
Revenue(TTM)1.71B
Net Income(TTM)111.02M
Analysts76.36
Price Target9.76 (28.93%)
Short Float %0.25%
Short Ratio0.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)67.94%
Min EPS beat(2)31.31%
Max EPS beat(2)104.57%
EPS beat(4)3
Avg EPS beat(4)242.94%
Min EPS beat(4)-886.1%
Max EPS beat(4)1721.96%
EPS beat(8)3
Avg EPS beat(8)-4474.51%
EPS beat(12)3
Avg EPS beat(12)-3436%
EPS beat(16)4
Avg EPS beat(16)-2753.16%
Revenue beat(2)2
Avg Revenue beat(2)3.98%
Min Revenue beat(2)2.68%
Max Revenue beat(2)5.28%
Revenue beat(4)4
Avg Revenue beat(4)2.92%
Min Revenue beat(4)1.49%
Max Revenue beat(4)5.28%
Revenue beat(8)8
Avg Revenue beat(8)3.08%
Revenue beat(12)12
Avg Revenue beat(12)3.78%
Revenue beat(16)16
Avg Revenue beat(16)3.35%
PT rev (1m)0%
PT rev (3m)-0.99%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.48%
EPS NY rev (1m)0%
EPS NY rev (3m)103.81%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.53 | ||
| Fwd PE | 11.84 | ||
| P/S | 1.47 | ||
| P/FCF | 3.56 | ||
| P/OCF | 2.66 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.58 |
EPS(TTM)1.37
EY18.1%
EPS(NY)0.64
Fwd EY8.45%
FCF(TTM)2.13
FCFY28.13%
OCF(TTM)2.85
OCFY37.65%
SpS5.16
BVpS-0.81
TBVpS-4.22
PEG (NY)0.05
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.47% | ||
| ROE | N/A | ||
| ROCE | 17.69% | ||
| ROIC | 13.98% | ||
| ROICexc | 16.22% | ||
| ROICexgc | 24.78% | ||
| OM | 39.34% | ||
| PM (TTM) | 6.41% | ||
| GM | 51.21% | ||
| FCFM | 41.27% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.76%
ROICexc(3y)10.85%
ROICexc(5y)10.15%
ROICexgc(3y)17.62%
ROICexgc(5y)16.87%
ROCE(3y)12.16%
ROCE(5y)11.08%
ROICexgc growth 3Y10.15%
ROICexgc growth 5YN/A
ROICexc growth 3Y14.01%
ROICexc growth 5YN/A
OM growth 3Y3.33%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y6.43%
F-Score7
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 5.37 | ||
| Debt/EBITDA | 3.48 | ||
| Cap/Depr | 66.02% | ||
| Cap/Sales | 13.98% | ||
| Interest Coverage | 1.71 | ||
| Cash Conversion | 91.31% | ||
| Profit Quality | 643.51% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | -0.48 |
F-Score7
WACC8.36%
ROIC/WACC1.67
Cap/Depr(3y)110.28%
Cap/Depr(5y)98.41%
Cap/Sales(3y)24.14%
Cap/Sales(5y)22.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)119.57%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%172.13%
EPS Next Y114.69%
EPS Next 2Y45.95%
EPS Next 3Y28.9%
EPS Next 5Y22.21%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%8.28%
Revenue Next Year3.45%
Revenue Next 2Y3.11%
Revenue Next 3Y4.26%
Revenue Next 5Y5.09%
EBIT growth 1Y40.41%
EBIT growth 3Y6.12%
EBIT growth 5YN/A
EBIT Next Year156.89%
EBIT Next 3Y37.93%
EBIT Next 5Y26.49%
FCF growth 1Y80.27%
FCF growth 3Y9.8%
FCF growth 5Y3.71%
OCF growth 1Y-8.64%
OCF growth 3Y-0.94%
OCF growth 5Y2.59%
IHS HOLDING LTD / IHS FAQ
What is the ChartMill fundamental rating of IHS HOLDING LTD (IHS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to IHS.
What is the valuation status of IHS HOLDING LTD (IHS) stock?
ChartMill assigns a valuation rating of 9 / 10 to IHS HOLDING LTD (IHS). This can be considered as Undervalued.
How profitable is IHS HOLDING LTD (IHS) stock?
IHS HOLDING LTD (IHS) has a profitability rating of 6 / 10.
What is the valuation of IHS HOLDING LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for IHS HOLDING LTD (IHS) is 5.53 and the Price/Book (PB) ratio is -9.38.