IHS HOLDING LTD (IHS) Stock Fundamental Analysis
USA - NYSE:IHS - KYG4701H1092 - Common Stock
6.58 USD
-0.27 (-3.94%)
6.62 USD
+0.04 (+0.61%)
Overall IHS gets a fundamental rating of 5 out of 10. We evaluated IHS against 36 industry peers in the Diversified Telecommunication Services industry. IHS has only an average score on both its financial health and profitability. IHS is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year IHS was profitable.
IHS had a positive operating cash flow in the past year.
In the past 5 years IHS always reported negative net income.
IHS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -1.02%, IHS is in line with its industry, outperforming 55.56% of the companies in the same industry.
IHS has a better Return On Invested Capital (14.82%) than 97.22% 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 6.56%.
The 3 year average ROIC (9.60%) for IHS is below the current ROIC(14.82%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.02% | ||
| ROE | N/A | ||
| ROIC | 14.82% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.75%
1.3 Margins
IHS's Operating Margin of 39.61% is amongst the best of the industry. IHS outperforms 97.22% of its industry peers.
IHS's Operating Margin has improved in the last couple of years.
The Gross Margin of IHS (51.75%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of IHS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 39.61% | ||
| PM (TTM) | N/A | ||
| GM | 51.75% |
OM growth 3Y3.31%
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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so IHS is still creating some value.
The number of shares outstanding for IHS remains at a similar level compared to 1 year ago.
Compared to 5 years ago, IHS has more shares outstanding
The debt/assets ratio for IHS is higher compared to a year ago.
2.2 Solvency
IHS has an Altman-Z score of -0.58. 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 (-0.58) than 91.67% of its industry peers.
The Debt to FCF ratio of IHS is 6.66, which is on the high side as it means it would take IHS, 6.66 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of IHS (6.66) is better than 80.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.66 | ||
| Altman-Z | -0.58 |
ROIC/WACC1.74
WACC8.51%
2.3 Liquidity
IHS has a Current Ratio of 1.27. This is a normal value and indicates that IHS is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of IHS (1.27) is better than 66.67% of its industry peers.
IHS has a Quick Ratio of 1.21. This is a normal value and indicates that IHS is financially healthy and should not expect problems in meeting its short term obligations.
IHS's Quick ratio of 1.21 is fine compared to the rest of the industry. IHS outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.21 |
3. Growth
3.1 Past
IHS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 104.46%, which is quite impressive.
Looking at the last year, IHS shows a very negative growth in Revenue. The Revenue has decreased by -19.49% in the last year.
The Revenue has been growing slightly by 6.81% on average over the past years.
EPS 1Y (TTM)104.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.78%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%-0.48%
3.2 Future
Based on estimates for the next years, IHS will show a very strong growth in Earnings Per Share. The EPS will grow by 22.21% on average per year.
Based on estimates for the next years, IHS will show a small growth in Revenue. The Revenue will grow by 5.19% on average per year.
EPS Next Y107.41%
EPS Next 2Y44.95%
EPS Next 3Y28.8%
EPS Next 5Y22.21%
Revenue Next Year2.1%
Revenue Next 2Y3.7%
Revenue Next 3Y4.43%
Revenue Next 5Y5.19%
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
With a Price/Earnings ratio of 20.56, IHS is valued on the expensive side.
IHS's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.51. IHS is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 13.25, IHS is valued correctly.
IHS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. IHS is cheaper than 75.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.53. IHS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.56 | ||
| Fwd PE | 13.25 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IHS indicates a rather cheap valuation: IHS is cheaper than 91.67% of the companies listed in the same industry.
IHS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. IHS is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.72 | ||
| EV/EBITDA | 5.35 |
4.3 Compensation for Growth
The 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.
A more expensive valuation may be justified as IHS's earnings are expected to grow with 28.80% in the coming years.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y44.95%
EPS Next 3Y28.8%
5. Dividend
5.1 Amount
IHS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.58
-0.27 (-3.94%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners25.21%
Inst Owner Change0%
Ins Owners6.35%
Ins Owner Change0%
Market Cap2.21B
Revenue(TTM)1.71B
Net Income(TTM)-45000000
Analysts80
Price Target10.07 (53.04%)
Short Float %0.18%
Short Ratio0.66
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)876.64%
Min EPS beat(2)31.31%
Max EPS beat(2)1721.96%
EPS beat(4)2
Avg EPS beat(4)119.93%
Min EPS beat(4)-886.1%
Max EPS beat(4)1721.96%
EPS beat(8)2
Avg EPS beat(8)-4862.14%
EPS beat(12)2
Avg EPS beat(12)-3671.69%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.76%
Min Revenue beat(2)2.24%
Max Revenue beat(2)5.28%
Revenue beat(4)4
Avg Revenue beat(4)2.41%
Min Revenue beat(4)0.65%
Max Revenue beat(4)5.28%
Revenue beat(8)8
Avg Revenue beat(8)3.08%
Revenue beat(12)12
Avg Revenue beat(12)3.56%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.15%
PT rev (3m)10.96%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)2.85%
EPS NY rev (3m)11.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.56 | ||
| Fwd PE | 13.25 | ||
| P/S | 1.27 | ||
| P/FCF | 3.72 | ||
| P/OCF | 2.59 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.35 |
EPS(TTM)0.32
EY4.86%
EPS(NY)0.5
Fwd EY7.55%
FCF(TTM)1.77
FCFY26.91%
OCF(TTM)2.54
OCFY38.64%
SpS5.17
BVpS-1.05
TBVpS-4.37
PEG (NY)0.19
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.02% | ||
| ROE | N/A | ||
| ROCE | 18.76% | ||
| ROIC | 14.82% | ||
| ROICexc | 17.89% | ||
| ROICexgc | 28.31% | ||
| OM | 39.61% | ||
| PM (TTM) | N/A | ||
| GM | 51.75% | ||
| FCFM | 34.27% |
ROA(3y)-27.43%
ROA(5y)-18%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)9.6%
ROIC(5y)8.75%
ROICexc(3y)10.85%
ROICexc(5y)10.14%
ROICexgc(3y)17.62%
ROICexgc(5y)16.87%
ROCE(3y)12.15%
ROCE(5y)11.08%
ROICexgc growth 3Y10.13%
ROICexgc growth 5YN/A
ROICexc growth 3Y13.99%
ROICexc growth 5YN/A
OM growth 3Y3.31%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.27%
GM growth 5Y6.43%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.66 | ||
| Debt/EBITDA | 3.48 | ||
| Cap/Depr | 71.04% | ||
| Cap/Sales | 14.94% | ||
| Interest Coverage | 1.87 | ||
| Cash Conversion | 81.15% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.21 | ||
| Altman-Z | -0.58 |
F-Score5
WACC8.51%
ROIC/WACC1.74
Cap/Depr(3y)110.32%
Cap/Depr(5y)98.43%
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)104.46%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.78%
EPS Next Y107.41%
EPS Next 2Y44.95%
EPS Next 3Y28.8%
EPS Next 5Y22.21%
Revenue 1Y (TTM)-19.49%
Revenue growth 3Y2.7%
Revenue growth 5Y6.81%
Sales Q2Q%-0.48%
Revenue Next Year2.1%
Revenue Next 2Y3.7%
Revenue Next 3Y4.43%
Revenue Next 5Y5.19%
EBIT growth 1Y37.13%
EBIT growth 3Y6.1%
EBIT growth 5YN/A
EBIT Next Year153.89%
EBIT Next 3Y36.56%
EBIT Next 5Y26.84%
FCF growth 1Y47.25%
FCF growth 3Y9.78%
FCF growth 5Y3.7%
OCF growth 1Y-14.21%
OCF growth 3Y-0.95%
OCF growth 5Y2.58%
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 for IHS stock?
ChartMill assigns a valuation rating of 7 / 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.
Can you provide the PE and PB ratios for IHS stock?
The Price/Earnings (PE) ratio for IHS HOLDING LTD (IHS) is 20.56 and the Price/Book (PB) ratio is -6.27.
What is the financial health of IHS HOLDING LTD (IHS) stock?
The financial health rating of IHS HOLDING LTD (IHS) is 4 / 10.