INVESCO LTD (IVZ) Stock Fundamental Analysis
NYSE:IVZ - New York Stock Exchange, Inc. - BMG491BT1088 - Common Stock - Currency: USD
Overall IVZ gets a fundamental rating of 4 out of 10. We evaluated IVZ against 230 industry peers in the Capital Markets industry. Both the profitability and financial health of IVZ have multiple concerns. IVZ may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year IVZ was profitable.
In the past year IVZ had a positive cash flow from operations.
IVZ had positive earnings in 4 of the past 5 years.
IVZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IVZ's Return On Assets of 2.02% is in line compared to the rest of the industry. IVZ outperforms 46.52% of its industry peers.
Looking at the Return On Equity, with a value of 3.86%, IVZ is doing worse than 63.48% of the companies in the same industry.
IVZ has a Return On Invested Capital of 2.56%. This is in the lower half of the industry: IVZ underperforms 63.04% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IVZ is below the industry average of 7.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 3.86% | ||
| ROIC | 2.56% |
ROA(3y)1.05%
ROA(5y)1.77%
ROE(3y)1.97%
ROE(5y)3.71%
ROIC(3y)2.89%
ROIC(5y)3.4%
1.3 Margins
IVZ has a Profit Margin of 9.27%. This is in the lower half of the industry: IVZ underperforms 62.17% of its industry peers.
IVZ's Profit Margin has been stable in the last couple of years.
IVZ has a worse Operating Margin (14.64%) than 63.91% of its industry peers.
IVZ's Operating Margin has declined in the last couple of years.
IVZ has a Gross Margin of 66.83%. This is in the better half of the industry: IVZ outperforms 72.17% of its industry peers.
IVZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.64% | ||
| PM (TTM) | 9.27% | ||
| GM | 66.83% |
OM growth 3Y-18.12%
OM growth 5Y-10.75%
PM growth 3Y-24%
PM growth 5Y-0.8%
GM growth 3Y-1.08%
GM growth 5Y-0.72%
2. Health
2.1 Basic Checks
The number of shares outstanding for IVZ has been reduced compared to 1 year ago.
Compared to 5 years ago, IVZ has less shares outstanding
IVZ has a better debt/assets ratio than last year.
2.2 Solvency
IVZ has an Altman-Z score of 0.96. This is a bad value and indicates that IVZ is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of IVZ (0.96) is comparable to the rest of the industry.
IVZ has a debt to FCF ratio of 7.27. This is a slightly negative value and a sign of low solvency as IVZ would need 7.27 years to pay back of all of its debts.
IVZ has a Debt to FCF ratio of 7.27. This is comparable to the rest of the industry: IVZ outperforms 55.65% of its industry peers.
IVZ has a Debt/Equity ratio of 0.54. This is a neutral value indicating IVZ is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.54, IVZ is doing good in the industry, outperforming 69.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 7.27 | ||
| Altman-Z | 0.96 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
IVZ has a Current Ratio of 0.83. This is a bad value and indicates that IVZ is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of IVZ (0.83) is worse than 64.35% of its industry peers.
A Quick Ratio of 0.83 indicates that IVZ may have some problems paying its short term obligations.
IVZ's Quick ratio of 0.83 is on the low side compared to the rest of the industry. IVZ is outperformed by 64.35% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 25.34% over the past year.
Measured over the past years, IVZ shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.57% on average per year.
The Revenue has been growing slightly by 6.02% in the past year.
IVZ shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.17% yearly.
EPS 1Y (TTM)25.34%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%33.33%
Revenue 1Y (TTM)6.02%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%5.27%
3.2 Future
Based on estimates for the next years, IVZ will show a small growth in Earnings Per Share. The EPS will grow by 6.74% on average per year.
IVZ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.73% yearly.
EPS Next Y-1.96%
EPS Next 2Y3.27%
EPS Next 3Y8.58%
EPS Next 5Y6.74%
Revenue Next Year-0.23%
Revenue Next 2Y1.53%
Revenue Next 3Y2.73%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.02, the valuation of IVZ can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of IVZ indicates a rather cheap valuation: IVZ is cheaper than 83.48% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 26.60. IVZ is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 8.01, which indicates a very decent valuation of IVZ.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IVZ indicates a rather cheap valuation: IVZ is cheaper than 83.91% of the companies listed in the same industry.
IVZ's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.02 | ||
| Fwd PE | 8.01 |
4.2 Price Multiples
IVZ's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. IVZ is cheaper than 83.48% of the companies in the same industry.
IVZ's Price/Free Cash Flow ratio is rather cheap when compared to the industry. IVZ is cheaper than 81.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.04 | ||
| EV/EBITDA | 12.94 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.27%
EPS Next 3Y8.58%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.48%, IVZ is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 8.21, IVZ has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, IVZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.48% |
5.2 History
The dividend of IVZ decreases each year by -2.47%.
IVZ has paid a dividend for at least 10 years, which is a reliable track record.
IVZ has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-2.47%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
107.58% of the earnings are spent on dividend by IVZ. This is not a sustainable payout ratio.
DP107.58%
EPS Next 2Y3.27%
EPS Next 3Y8.58%
NYSE:IVZ (5/21/2025, 3:53:08 PM)
14.685
-0.47 (-3.13%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners93.57%
Inst Owner Change1.28%
Ins Owners0.68%
Ins Owner Change0.96%
Market Cap6.57B
Analysts66.32
Price Target15.36 (4.6%)
Short Float %3.97%
Short Ratio2.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.48% |
Yearly Dividend1.36
Dividend Growth(5Y)-2.47%
DP107.58%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.27%
Min EPS beat(2)8.99%
Max EPS beat(2)13.56%
EPS beat(4)4
Avg EPS beat(4)8.01%
Min EPS beat(4)1.96%
Max EPS beat(4)13.56%
EPS beat(8)5
Avg EPS beat(8)0.68%
EPS beat(12)7
Avg EPS beat(12)-2.36%
EPS beat(16)10
Avg EPS beat(16)-0.82%
Revenue beat(2)0
Avg Revenue beat(2)-0.67%
Min Revenue beat(2)-0.92%
Max Revenue beat(2)-0.41%
Revenue beat(4)0
Avg Revenue beat(4)-0.96%
Min Revenue beat(4)-1.29%
Max Revenue beat(4)-0.41%
Revenue beat(8)0
Avg Revenue beat(8)-2.34%
Revenue beat(12)4
Avg Revenue beat(12)7.76%
Revenue beat(16)8
Avg Revenue beat(16)13.17%
PT rev (1m)-21.41%
PT rev (3m)-18.11%
EPS NQ rev (1m)-9.59%
EPS NQ rev (3m)-17.29%
EPS NY rev (1m)-2.94%
EPS NY rev (3m)-11.04%
Revenue NQ rev (1m)-3.61%
Revenue NQ rev (3m)-5.27%
Revenue NY rev (1m)-4.01%
Revenue NY rev (3m)-5.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.02 | ||
| Fwd PE | 8.01 | ||
| P/S | 1.07 | ||
| P/FCF | 6.04 | ||
| P/OCF | 5.67 | ||
| P/B | 0.45 | ||
| P/tB | 11.35 | ||
| EV/EBITDA | 12.94 |
EPS(TTM)1.83
EY12.46%
EPS(NY)1.83
Fwd EY12.49%
FCF(TTM)2.43
FCFY16.56%
OCF(TTM)2.59
OCFY17.65%
SpS13.68
BVpS32.84
TBVpS1.29
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 3.86% | ||
| ROCE | 3.42% | ||
| ROIC | 2.56% | ||
| ROICexc | 2.64% | ||
| ROICexgc | 6.71% | ||
| OM | 14.64% | ||
| PM (TTM) | 9.27% | ||
| GM | 66.83% | ||
| FCFM | 17.78% |
ROA(3y)1.05%
ROA(5y)1.77%
ROE(3y)1.97%
ROE(5y)3.71%
ROIC(3y)2.89%
ROIC(5y)3.4%
ROICexc(3y)3.03%
ROICexc(5y)3.59%
ROICexgc(3y)8.77%
ROICexgc(5y)19673%
ROCE(3y)3.86%
ROCE(5y)4.54%
ROICexcg growth 3Y-25.19%
ROICexcg growth 5YN/A
ROICexc growth 3Y-18.39%
ROICexc growth 5Y-10.34%
OM growth 3Y-18.12%
OM growth 5Y-10.75%
PM growth 3Y-24%
PM growth 5Y-0.8%
GM growth 3Y-1.08%
GM growth 5Y-0.72%
F-Score7
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 7.27 | ||
| Debt/EBITDA | 7.38 | ||
| Cap/Depr | 40.63% | ||
| Cap/Sales | 1.17% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 108.16% | ||
| Profit Quality | 191.74% | ||
| Current Ratio | 0.83 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 0.96 |
F-Score7
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)75.71%
Cap/Depr(5y)67.33%
Cap/Sales(3y)2.4%
Cap/Sales(5y)2.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)25.34%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%33.33%
EPS Next Y-1.96%
EPS Next 2Y3.27%
EPS Next 3Y8.58%
EPS Next 5Y6.74%
Revenue 1Y (TTM)6.02%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%5.27%
Revenue Next Year-0.23%
Revenue Next 2Y1.53%
Revenue Next 3Y2.73%
Revenue Next 5YN/A
EBIT growth 1Y9.61%
EBIT growth 3Y-21.53%
EBIT growth 5Y-10.89%
EBIT Next Year17.18%
EBIT Next 3Y11.79%
EBIT Next 5Y3.45%
FCF growth 1Y40.86%
FCF growth 3Y4.96%
FCF growth 5Y2.62%
OCF growth 1Y18.38%
OCF growth 3Y3.35%
OCF growth 5Y1.42%