COHERENT CORP - COHR 6 07/01/23 (IIVI) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:IIVI • US19247G2066
227.08 USD
+11.82 (+5.49%)
Last: Jun 30, 2023, 08:21 PM
Taking everything into account, IIVI scores 4 out of 10 in our fundamental rating. IIVI was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. IIVI scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. IIVI shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
- In the past year IIVI was profitable.
- IIVI had a positive operating cash flow in the past year.
1.2 Ratios
- IIVI has negative profitability rations, so we won't be analyzing them here.
- IIVI has a Return On Invested Capital of 1.87%. This is comparable to the rest of the industry: IIVI outperforms 51.16% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for IIVI is below the industry average of 8.85%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 1.87% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)4.47%
ROIC(5y)6.09%
1.3 Margins
- IIVI's Profit Margin has declined in the last couple of years.
- With a decent Operating Margin value of 6.00%, IIVI is doing good in the industry, outperforming 71.32% of the companies in the same industry.
- IIVI's Operating Margin has improved in the last couple of years.
- The Gross Margin of IIVI (33.06%) is better than 60.47% of its industry peers.
- IIVI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6% | ||
| PM (TTM) | N/A | ||
| GM | 33.06% |
OM growth 3Y0.85%
OM growth 5Y1.69%
PM growth 3Y-13.99%
PM growth 5Y-12.53%
GM growth 3Y-0.09%
GM growth 5Y-0.92%
2. Health
2.1 Basic Checks
- IIVI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- IIVI has more shares outstanding than it did 1 year ago.
- The debt/assets ratio for IIVI is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.57 indicates that IIVI is not in any danger for bankruptcy at the moment.
- IIVI has a better Altman-Z score (3.57) than 60.47% of its industry peers.
- IIVI has a debt to FCF ratio of 34.44. This is a negative value and a sign of low solvency as IIVI would need 34.44 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 34.44, IIVI is in line with its industry, outperforming 59.69% of the companies in the same industry.
- A Debt/Equity ratio of 0.58 indicates that IIVI is somewhat dependend on debt financing.
- IIVI has a worse Debt to Equity ratio (0.58) than 83.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 34.44 | ||
| Altman-Z | 3.57 |
ROIC/WACC0.2
WACC9.56%
2.3 Liquidity
- IIVI has a Current Ratio of 3.08. This indicates that IIVI is financially healthy and has no problem in meeting its short term obligations.
- IIVI has a better Current ratio (3.08) than 62.02% of its industry peers.
- IIVI has a Quick Ratio of 1.82. This is a normal value and indicates that IIVI is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of IIVI (1.82) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.08 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
- The earnings per share for IIVI have decreased by -1.93% in the last year.
- Measured over the past years, IIVI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.68% on average per year.
- Looking at the last year, IIVI shows a very strong growth in Revenue. The Revenue has grown by 49.56%.
- IIVI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 27.82% yearly.
EPS 1Y (TTM)-1.93%
EPS 3Y13.27%
EPS 5Y18.68%
EPS Q2Q%-38.95%
Revenue 1Y (TTM)49.56%
Revenue growth 3Y34.52%
Revenue growth 5Y27.82%
Sales Q2Q%49.84%
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 17.99% on average over the next years. This is quite good.
EPS Next Y2.69%
EPS Next 2Y11.05%
EPS Next 3Y15.16%
EPS Next 5Y11.68%
Revenue Next Year65.72%
Revenue Next 2Y33.82%
Revenue Next 3Y25.01%
Revenue Next 5Y17.99%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 63.97 indicates a quite expensive valuation of IIVI.
- The rest of the industry has a similar Price/Earnings ratio as IIVI.
- Compared to an average S&P500 Price/Earnings ratio of 28.32, IIVI is valued quite expensively.
- With a Price/Forward Earnings ratio of 49.50, IIVI can be considered very expensive at the moment.
- IIVI's Price/Forward Earnings is on the same level as the industry average.
- IIVI is valuated expensively when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.97 | ||
| Fwd PE | 49.5 |
4.2 Price Multiples
- IIVI's Enterprise Value to EBITDA is on the same level as the industry average.
- 60.47% of the companies in the same industry are more expensive than IIVI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 246.31 | ||
| EV/EBITDA | 41.79 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IIVI does not grow enough to justify the current Price/Earnings ratio.
- IIVI's earnings are expected to grow with 15.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)23.79
PEG (5Y)3.42
EPS Next 2Y11.05%
EPS Next 3Y15.16%
5. Dividend
5.1 Amount
- IIVI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
COHERENT CORP - COHR 6 07/01/23 / IIVI FAQ
What is the ChartMill fundamental rating of COHERENT CORP - COHR 6 07/01/23 (IIVI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to IIVI.
Can you provide the valuation status for COHERENT CORP - COHR 6 07/01/23?
ChartMill assigns a valuation rating of 0 / 10 to COHERENT CORP - COHR 6 07/01/23 (IIVI). This can be considered as Overvalued.
How profitable is COHERENT CORP - COHR 6 07/01/23 (IIVI) stock?
COHERENT CORP - COHR 6 07/01/23 (IIVI) has a profitability rating of 1 / 10.
What are the PE and PB ratios of COHERENT CORP - COHR 6 07/01/23 (IIVI) stock?
The Price/Earnings (PE) ratio for COHERENT CORP - COHR 6 07/01/23 (IIVI) is 63.97 and the Price/Book (PB) ratio is 4.25.
Is the dividend of COHERENT CORP - COHR 6 07/01/23 sustainable?
The dividend rating of COHERENT CORP - COHR 6 07/01/23 (IIVI) is 0 / 10 and the dividend payout ratio is -16.99%.