IMPERIAL BRANDS PLC (ITB.DE) Stock Fundamental Analysis
FRA:ITB - Deutsche Boerse Ag - GB0004544929 - Common Stock - Currency: EUR
Taking everything into account, ITB scores 6 out of 10 in our fundamental rating. ITB was compared to 4 industry peers in the Tobacco industry. ITB has an average financial health and profitability rating. ITB is valued quite cheap, while showing a decent growth score. This is a good combination! With these ratings, ITB could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
ITB had positive earnings in the past year.
ITB had a positive operating cash flow in the past year.
In the past 5 years ITB has always been profitable.
In the past 5 years ITB always reported a positive cash flow from operatings.
1.2 Ratios
ITB has a Return On Assets of 9.24%. This is comparable to the rest of the industry: ITB outperforms 50.00% of its industry peers.
ITB's Return On Equity of 51.85% is amongst the best of the industry. ITB outperforms 100.00% of its industry peers.
With a Return On Invested Capital value of 18.79%, ITB perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ITB is below the industry average of 20.78%.
The 3 year average ROIC (16.45%) for ITB is below the current ROIC(18.79%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.24% | ||
| ROE | 51.85% | ||
| ROIC | 18.79% |
ROA(3y)7.45%
ROA(5y)7.35%
ROE(3y)36.52%
ROE(5y)38.64%
ROIC(3y)16.45%
ROIC(5y)15.34%
1.3 Margins
With a Profit Margin value of 8.06%, ITB is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of ITB has grown nicely.
Looking at the Operating Margin, with a value of 11.06%, ITB is in line with its industry, outperforming 50.00% of the companies in the same industry.
ITB's Operating Margin has improved in the last couple of years.
ITB has a worse Gross Margin (21.34%) than 75.00% of its industry peers.
ITB's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.06% | ||
| PM (TTM) | 8.06% | ||
| GM | 21.34% |
OM growth 3Y4.84%
OM growth 5Y6.84%
PM growth 3Y-2.29%
PM growth 5Y20.32%
GM growth 3Y4.4%
GM growth 5Y1.15%
2. Health
2.1 Basic Checks
ITB has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
ITB has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ITB has been reduced compared to 5 years ago.
ITB has a better debt/assets ratio than last year.
2.2 Solvency
ITB has an Altman-Z score of 1.96. This is not the best score and indicates that ITB is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of ITB (1.96) is comparable to the rest of the industry.
The Debt to FCF ratio of ITB is 3.80, which is a good value as it means it would take ITB, 3.80 years of fcf income to pay off all of its debts.
ITB has a Debt to FCF ratio of 3.80. This is in the better half of the industry: ITB outperforms 75.00% of its industry peers.
ITB has a Debt/Equity ratio of 1.62. This is a high value indicating a heavy dependency on external financing.
ITB's Debt to Equity ratio of 1.62 is fine compared to the rest of the industry. ITB outperforms 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 3.8 | ||
| Altman-Z | 1.96 |
ROIC/WACC2.44
WACC7.69%
2.3 Liquidity
A Current Ratio of 0.68 indicates that ITB may have some problems paying its short term obligations.
With a Current ratio value of 0.68, ITB perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
A Quick Ratio of 0.30 indicates that ITB may have some problems paying its short term obligations.
With a Quick ratio value of 0.30, ITB is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.3 |
3. Growth
3.1 Past
ITB shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.30%.
Measured over the past 5 years, ITB shows a small growth in Earnings Per Share. The EPS has been growing by 1.60% on average per year.
The Revenue has decreased by -0.55% in the past year.
ITB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.51% yearly.
EPS 1Y (TTM)6.3%
EPS 3Y6.22%
EPS 5Y1.6%
EPS Q2Q%2.84%
Revenue 1Y (TTM)-0.55%
Revenue growth 3Y-0.39%
Revenue growth 5Y0.51%
Sales Q2Q%0.74%
3.2 Future
Based on estimates for the next years, ITB will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.09% on average per year.
The Revenue is expected to grow by 2.06% on average over the next years.
EPS Next Y10.94%
EPS Next 2Y10.26%
EPS Next 3Y10.13%
EPS Next 5Y10.09%
Revenue Next Year2.36%
Revenue Next 2Y2.22%
Revenue Next 3Y2.04%
Revenue Next 5Y2.06%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
With a Price/Earnings ratio of 9.62, the valuation of ITB can be described as very reasonable.
ITB's Price/Earnings ratio is rather cheap when compared to the industry. ITB is cheaper than 100.00% of the companies in the same industry.
ITB is valuated cheaply when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 8.00, which indicates a very decent valuation of ITB.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ITB indicates a rather cheap valuation: ITB is cheaper than 100.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.39. ITB is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.62 | ||
| Fwd PE | 8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ITB is valued cheaper than 100.00% of the companies in the same industry.
75.00% of the companies in the same industry are more expensive than ITB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.21 | ||
| EV/EBITDA | 8.07 |
4.3 Compensation for Growth
ITB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ITB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.88
PEG (5Y)6.02
EPS Next 2Y10.26%
EPS Next 3Y10.13%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.50%, ITB is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.80, ITB has a dividend in line with its industry peers.
ITB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.5% |
5.2 History
The dividend of ITB decreases each year by -5.11%.
Dividend Growth(5Y)-5.11%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
50.14% of the earnings are spent on dividend by ITB. This is a bit on the high side, but may be sustainable.
DP50.14%
EPS Next 2Y10.26%
EPS Next 3Y10.13%
FRA:ITB (6/10/2025, 7:00:00 PM)
33.95
-0.08 (-0.24%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners69.77%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap27.79B
Analysts82
Price Target39.23 (15.55%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.5% |
Yearly Dividend1.77
Dividend Growth(5Y)-5.11%
DP50.14%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)7.54%
PT rev (3m)11.34%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-0.8%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.62 | ||
| Fwd PE | 8 | ||
| P/S | 0.74 | ||
| P/FCF | 8.21 | ||
| P/OCF | 7.05 | ||
| P/B | 4.74 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.07 |
EPS(TTM)3.53
EY10.4%
EPS(NY)4.24
Fwd EY12.49%
FCF(TTM)4.14
FCFY12.18%
OCF(TTM)4.81
OCFY14.17%
SpS46.12
BVpS7.17
TBVpS-16
PEG (NY)0.88
PEG (5Y)6.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.24% | ||
| ROE | 51.85% | ||
| ROCE | 22.15% | ||
| ROIC | 18.79% | ||
| ROICexc | 19.52% | ||
| ROICexgc | N/A | ||
| OM | 11.06% | ||
| PM (TTM) | 8.06% | ||
| GM | 21.34% | ||
| FCFM | 8.97% |
ROA(3y)7.45%
ROA(5y)7.35%
ROE(3y)36.52%
ROE(5y)38.64%
ROIC(3y)16.45%
ROIC(5y)15.34%
ROICexc(3y)17.83%
ROICexc(5y)16.61%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)19.41%
ROCE(5y)18.09%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y8.14%
ROICexc growth 5Y11.93%
OM growth 3Y4.84%
OM growth 5Y6.84%
PM growth 3Y-2.29%
PM growth 5Y20.32%
GM growth 3Y4.4%
GM growth 5Y1.15%
F-Score8
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 3.8 | ||
| Debt/EBITDA | 1.92 | ||
| Cap/Depr | 71.28% | ||
| Cap/Sales | 1.47% | ||
| Interest Coverage | 8.07 | ||
| Cash Conversion | 79.55% | ||
| Profit Quality | 111.26% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.3 | ||
| Altman-Z | 1.96 |
F-Score8
WACC7.69%
ROIC/WACC2.44
Cap/Depr(3y)60.34%
Cap/Depr(5y)50.96%
Cap/Sales(3y)1.2%
Cap/Sales(5y)1.11%
Profit Quality(3y)136.93%
Profit Quality(5y)143.13%
High Growth Momentum
Growth
EPS 1Y (TTM)6.3%
EPS 3Y6.22%
EPS 5Y1.6%
EPS Q2Q%2.84%
EPS Next Y10.94%
EPS Next 2Y10.26%
EPS Next 3Y10.13%
EPS Next 5Y10.09%
Revenue 1Y (TTM)-0.55%
Revenue growth 3Y-0.39%
Revenue growth 5Y0.51%
Sales Q2Q%0.74%
Revenue Next Year2.36%
Revenue Next 2Y2.22%
Revenue Next 3Y2.04%
Revenue Next 5Y2.06%
EBIT growth 1Y4.06%
EBIT growth 3Y4.43%
EBIT growth 5Y7.38%
EBIT Next Year9.86%
EBIT Next 3Y5.38%
EBIT Next 5Y1.11%
FCF growth 1Y34.13%
FCF growth 3Y13.74%
FCF growth 5Y0.69%
OCF growth 1Y32.09%
OCF growth 3Y15.13%
OCF growth 5Y0.52%