IQIYI INC-ADR (IQ) Stock Fundamental Analysis
USA - NASDAQ:IQ - US46267X1081 - ADR
2.08 USD
-0.03 (-1.42%)
2.1 USD
+0.02 (+0.96%)
Taking everything into account, IQ scores 3 out of 10 in our fundamental rating. IQ was compared to 79 industry peers in the Entertainment industry. While IQ is still in line with the averages on profitability rating, there are concerns on its financial health. IQ is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
IQ had positive earnings in the past year.
IQ had a positive operating cash flow in the past year.
In multiple years IQ reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: IQ reported negative operating cash flow in multiple years.
1.2 Ratios
IQ has a Return On Assets (0.19%) which is comparable to the rest of the industry.
The Return On Equity of IQ (0.65%) is better than 60.76% of its industry peers.
IQ has a better Return On Invested Capital (2.44%) than 64.56% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IQ is below the industry average of 9.12%.
The 3 year average ROIC (6.80%) for IQ is well above the current ROIC(2.44%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.19% | ||
| ROE | 0.65% | ||
| ROIC | 2.44% |
ROA(3y)1.9%
ROA(5y)-4.7%
ROE(3y)6.49%
ROE(5y)-35.19%
ROIC(3y)6.8%
ROIC(5y)N/A
1.3 Margins
IQ's Profit Margin of 0.32% is in line compared to the rest of the industry. IQ outperforms 58.23% of its industry peers.
Looking at the Operating Margin, with a value of 2.96%, IQ is in the better half of the industry, outperforming 62.03% of the companies in the same industry.
IQ has a Gross Margin of 22.88%. This is in the lower half of the industry: IQ underperforms 75.95% of its industry peers.
IQ's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.96% | ||
| PM (TTM) | 0.32% | ||
| GM | 22.88% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.53%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so IQ is still creating some value.
Compared to 1 year ago, IQ has more shares outstanding
The number of shares outstanding for IQ has been increased compared to 5 years ago.
IQ has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.74, we must say that IQ is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of IQ (-0.74) is worse than 70.89% of its industry peers.
IQ has a debt to FCF ratio of 13.91. This is a negative value and a sign of low solvency as IQ would need 13.91 years to pay back of all of its debts.
With a Debt to FCF ratio value of 13.91, IQ perfoms like the industry average, outperforming 55.70% of the companies in the same industry.
IQ has a Debt/Equity ratio of 0.87. This is a neutral value indicating IQ is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.87, IQ is doing worse than 62.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 13.91 | ||
| Altman-Z | -0.74 |
ROIC/WACC0.48
WACC5.11%
2.3 Liquidity
A Current Ratio of 0.42 indicates that IQ may have some problems paying its short term obligations.
With a Current ratio value of 0.42, IQ is not doing good in the industry: 83.54% of the companies in the same industry are doing better.
A Quick Ratio of 0.39 indicates that IQ may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.39, IQ is doing worse than 82.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The earnings per share for IQ have decreased strongly by -94.77% in the last year.
IQ shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.98%.
The Revenue has been growing slightly by 0.16% on average over the past years.
EPS 1Y (TTM)-94.77%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-300%
Revenue 1Y (TTM)-10.98%
Revenue growth 3Y-1.47%
Revenue growth 5Y0.16%
Sales Q2Q%-10.9%
3.2 Future
IQ is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.83% yearly.
Based on estimates for the next years, IQ will show a small growth in Revenue. The Revenue will grow by 0.01% on average per year.
EPS Next Y-133.41%
EPS Next 2Y2.95%
EPS Next 3Y20.99%
EPS Next 5Y28.83%
Revenue Next Year-7.4%
Revenue Next 2Y-2.19%
Revenue Next 3Y0.02%
Revenue Next 5Y0.01%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 208.00, IQ can be considered very expensive at the moment.
IQ's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.89, IQ is valued quite expensively.
Based on the Price/Forward Earnings ratio of 17.63, the valuation of IQ can be described as rather expensive.
86.08% of the companies in the same industry are more expensive than IQ, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of IQ to the average of the S&P500 Index (34.59), we can say IQ is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 208 | ||
| Fwd PE | 17.63 |
4.2 Price Multiples
IQ's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. IQ is cheaper than 94.94% of the companies in the same industry.
89.87% of the companies in the same industry are more expensive than IQ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.12 | ||
| EV/EBITDA | 1.42 |
4.3 Compensation for Growth
IQ's earnings are expected to grow with 20.99% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.95%
EPS Next 3Y20.99%
5. Dividend
5.1 Amount
No dividends for IQ!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.08
-0.03 (-1.42%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners43.49%
Inst Owner Change-3.46%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.00B
Revenue(TTM)27.67B
Net Income(TTM)88.49M
Analysts76.43
Price Target2.53 (21.63%)
Short Float %98.65%
Short Ratio3.8
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)28.52%
Min EPS beat(2)15.29%
Max EPS beat(2)41.75%
EPS beat(4)4
Avg EPS beat(4)50.58%
Min EPS beat(4)7.54%
Max EPS beat(4)137.76%
EPS beat(8)8
Avg EPS beat(8)59.25%
EPS beat(12)11
Avg EPS beat(12)28.15%
EPS beat(16)15
Avg EPS beat(16)31.81%
Revenue beat(2)0
Avg Revenue beat(2)-2.06%
Min Revenue beat(2)-2.61%
Max Revenue beat(2)-1.51%
Revenue beat(4)0
Avg Revenue beat(4)-2.51%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)-1.51%
Revenue beat(8)0
Avg Revenue beat(8)-2.49%
Revenue beat(12)1
Avg Revenue beat(12)-2%
Revenue beat(16)1
Avg Revenue beat(16)-2.12%
PT rev (1m)-0.8%
PT rev (3m)25.38%
EPS NQ rev (1m)5.69%
EPS NQ rev (3m)-393.29%
EPS NY rev (1m)-96.09%
EPS NY rev (3m)-219.58%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-8.22%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)-4.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 208 | ||
| Fwd PE | 17.63 | ||
| P/S | 0.51 | ||
| P/FCF | 14.12 | ||
| P/OCF | 13.07 | ||
| P/B | 1.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 1.42 |
EPS(TTM)0.01
EY0.48%
EPS(NY)0.12
Fwd EY5.67%
FCF(TTM)0.15
FCFY7.08%
OCF(TTM)0.16
OCFY7.65%
SpS4.05
BVpS1.98
TBVpS-1.71
PEG (NY)N/A
PEG (5Y)N/A
Graham Number0.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.19% | ||
| ROE | 0.65% | ||
| ROCE | 3.44% | ||
| ROIC | 2.44% | ||
| ROICexc | 2.9% | ||
| ROICexgc | N/A | ||
| OM | 2.96% | ||
| PM (TTM) | 0.32% | ||
| GM | 22.88% | ||
| FCFM | 3.64% |
ROA(3y)1.9%
ROA(5y)-4.7%
ROE(3y)6.49%
ROE(5y)-35.19%
ROIC(3y)6.8%
ROIC(5y)N/A
ROICexc(3y)9.03%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10.04%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y14.53%
GM growth 5YN/A
F-Score3
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 13.91 | ||
| Debt/EBITDA | 0.82 | ||
| Cap/Depr | 0.6% | ||
| Cap/Sales | 0.29% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 7.53% | ||
| Profit Quality | 1137.36% | ||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | -0.74 |
F-Score3
WACC5.11%
ROIC/WACC0.48
Cap/Depr(3y)1.33%
Cap/Depr(5y)1.72%
Cap/Sales(3y)0.62%
Cap/Sales(5y)0.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-94.77%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-300%
EPS Next Y-133.41%
EPS Next 2Y2.95%
EPS Next 3Y20.99%
EPS Next 5Y28.83%
Revenue 1Y (TTM)-10.98%
Revenue growth 3Y-1.47%
Revenue growth 5Y0.16%
Sales Q2Q%-10.9%
Revenue Next Year-7.4%
Revenue Next 2Y-2.19%
Revenue Next 3Y0.02%
Revenue Next 5Y0.01%
EBIT growth 1Y-70.79%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year-63.05%
EBIT Next 3Y6.07%
EBIT Next 5Y38.6%
FCF growth 1Y-40.34%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-37.04%
OCF growth 3YN/A
OCF growth 5Y-11.59%
IQIYI INC-ADR / IQ FAQ
What is the fundamental rating for IQ stock?
ChartMill assigns a fundamental rating of 3 / 10 to IQ.
What is the valuation status of IQIYI INC-ADR (IQ) stock?
ChartMill assigns a valuation rating of 5 / 10 to IQIYI INC-ADR (IQ). This can be considered as Fairly Valued.
How profitable is IQIYI INC-ADR (IQ) stock?
IQIYI INC-ADR (IQ) has a profitability rating of 4 / 10.
What is the valuation of IQIYI INC-ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for IQIYI INC-ADR (IQ) is 208 and the Price/Book (PB) ratio is 1.05.
How financially healthy is IQIYI INC-ADR?
The financial health rating of IQIYI INC-ADR (IQ) is 1 / 10.