INVESCO LTD (IVZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IVZ - BMG491BT1088 - Common Stock
26.84 USD
-0.12 (-0.45%)
26.84 USD
0 (0%)
IVZ gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 235 industry peers in the Capital Markets industry. There are concerns on the financial health of IVZ while its profitability can be described as average. IVZ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
IVZ had positive earnings in the past year.
In the past year IVZ had a positive cash flow from operations.
Of the past 5 years IVZ 4 years were profitable.
IVZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IVZ has a Return On Assets of 2.35%. This is comparable to the rest of the industry: IVZ outperforms 50.64% of its industry peers.
IVZ's Return On Equity of 4.78% is on the low side compared to the rest of the industry. IVZ is outperformed by 60.43% of its industry peers.
With a Return On Invested Capital value of 3.09%, IVZ perfoms like the industry average, outperforming 44.26% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for IVZ is below the industry average of 7.07%.
The 3 year average ROIC (2.89%) for IVZ is below the current ROIC(3.09%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.35% | ||
| ROE | 4.78% | ||
| ROIC | 3.09% |
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 (10.65%) which is comparable to the rest of the industry.
IVZ's Profit Margin has been stable in the last couple of years.
IVZ's Operating Margin of 17.11% is in line compared to the rest of the industry. IVZ outperforms 42.13% of its industry peers.
In the last couple of years the Operating Margin of IVZ has declined.
The Gross Margin of IVZ (66.64%) is better than 74.89% of its industry peers.
In the last couple of years the Gross Margin of IVZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.11% | ||
| PM (TTM) | 10.65% | ||
| GM | 66.64% |
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.
IVZ has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, IVZ has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.17, we must say that IVZ is in the distress zone and has some risk of bankruptcy.
IVZ has a Altman-Z score (1.17) which is comparable to the rest of the industry.
The Debt to FCF ratio of IVZ is 6.27, which is on the high side as it means it would take IVZ, 6.27 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.27, IVZ is in the better half of the industry, outperforming 66.38% of the companies in the same industry.
IVZ has a Debt/Equity ratio of 0.60. This is a neutral value indicating IVZ is somewhat dependend on debt financing.
With a decent Debt to Equity ratio value of 0.60, IVZ is doing good in the industry, outperforming 63.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 6.27 | ||
| Altman-Z | 1.17 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.75 indicates that IVZ may have some problems paying its short term obligations.
IVZ has a Current ratio of 0.75. This is in the lower half of the industry: IVZ underperforms 65.96% of its industry peers.
A Quick Ratio of 0.75 indicates that IVZ may have some problems paying its short term obligations.
IVZ has a Quick ratio of 0.75. This is in the lower half of the industry: IVZ underperforms 65.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
IVZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.57%, which is quite good.
The Earnings Per Share has been decreasing by -7.57% on average over the past years.
Looking at the last year, IVZ shows a small growth in Revenue. The Revenue has grown by 6.64% in the last year.
IVZ shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.17% yearly.
EPS 1Y (TTM)15.57%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%38.64%
Revenue 1Y (TTM)6.64%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%7.43%
3.2 Future
The Earnings Per Share is expected to grow by 15.17% on average over the next years. This is quite good.
Based on estimates for the next years, IVZ will show a small growth in Revenue. The Revenue will grow by 7.61% on average per year.
EPS Next Y16.22%
EPS Next 2Y21.98%
EPS Next 3Y19.44%
EPS Next 5Y15.17%
Revenue Next Year5.52%
Revenue Next 2Y9.01%
Revenue Next 3Y7.61%
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.
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
The Price/Earnings ratio is 13.91, which indicates a correct valuation of IVZ.
IVZ's Price/Earnings is on the same level as the industry average.
IVZ's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.84.
The Price/Forward Earnings ratio is 10.49, which indicates a very decent valuation of IVZ.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IVZ indicates a somewhat cheap valuation: IVZ is cheaper than 69.36% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.40. IVZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.91 | ||
| Fwd PE | 10.49 |
4.2 Price Multiples
77.87% of the companies in the same industry are more expensive than IVZ, based on the Enterprise Value to EBITDA ratio.
IVZ's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 78.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.96 | ||
| EV/EBITDA | 16.44 |
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.
A more expensive valuation may be justified as IVZ's earnings are expected to grow with 19.44% in the coming years.
PEG (NY)0.86
PEG (5Y)N/A
EPS Next 2Y21.98%
EPS Next 3Y19.44%
5. Dividend
5.1 Amount
IVZ has a Yearly Dividend Yield of 3.09%.
Compared to an average industry Dividend Yield of 6.65, IVZ has a dividend in line with its industry peers.
IVZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
The dividend of IVZ decreases each year by -2.47%.
IVZ has been paying a dividend for at least 10 years, so it has 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
IVZ pays out 88.94% of its income as dividend. This is not a sustainable payout ratio.
DP88.94%
EPS Next 2Y21.98%
EPS Next 3Y19.44%
26.84
-0.12 (-0.45%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners94.74%
Inst Owner Change-3.12%
Ins Owners0.66%
Ins Owner Change-2.12%
Market Cap11.95B
Revenue(TTM)6.28B
Net Income(TTM)668.90M
Analysts70
Price Target28.05 (4.51%)
Short Float %3.54%
Short Ratio2.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend1.36
Dividend Growth(5Y)-2.47%
DP88.94%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)10.27%
Min EPS beat(2)-12.91%
Max EPS beat(2)33.45%
EPS beat(4)3
Avg EPS beat(4)10.77%
Min EPS beat(4)-12.91%
Max EPS beat(4)33.45%
EPS beat(8)6
Avg EPS beat(8)6.33%
EPS beat(12)8
Avg EPS beat(12)2.97%
EPS beat(16)9
Avg EPS beat(16)-0.41%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-0.67%
Max Revenue beat(2)0.62%
Revenue beat(4)1
Avg Revenue beat(4)-0.34%
Min Revenue beat(4)-0.92%
Max Revenue beat(4)0.62%
Revenue beat(8)1
Avg Revenue beat(8)-1.91%
Revenue beat(12)3
Avg Revenue beat(12)3.37%
Revenue beat(16)7
Avg Revenue beat(16)9.27%
PT rev (1m)4.69%
PT rev (3m)18.63%
EPS NQ rev (1m)-1.14%
EPS NQ rev (3m)8.67%
EPS NY rev (1m)1.21%
EPS NY rev (3m)10.69%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)3.05%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)1.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.91 | ||
| Fwd PE | 10.49 | ||
| P/S | 1.9 | ||
| P/FCF | 8.96 | ||
| P/OCF | 8.62 | ||
| P/B | 0.85 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.44 |
EPS(TTM)1.93
EY7.19%
EPS(NY)2.56
Fwd EY9.53%
FCF(TTM)2.99
FCFY11.16%
OCF(TTM)3.12
OCFY11.61%
SpS14.11
BVpS31.47
TBVpS-0.42
PEG (NY)0.86
PEG (5Y)N/A
Graham Number36.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.35% | ||
| ROE | 4.78% | ||
| ROCE | 4.12% | ||
| ROIC | 3.09% | ||
| ROICexc | 3.09% | ||
| ROICexgc | 7.66% | ||
| OM | 17.11% | ||
| PM (TTM) | 10.65% | ||
| GM | 66.64% | ||
| FCFM | 21.23% |
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%
ROICexgc growth 3Y-25.19%
ROICexgc 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-Score6
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 6.27 | ||
| Debt/EBITDA | 6.75 | ||
| Cap/Depr | 32.76% | ||
| Cap/Sales | 0.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 111.97% | ||
| Profit Quality | 199.25% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 1.17 |
F-Score6
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)15.57%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%38.64%
EPS Next Y16.22%
EPS Next 2Y21.98%
EPS Next 3Y19.44%
EPS Next 5Y15.17%
Revenue 1Y (TTM)6.64%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%7.43%
Revenue Next Year5.52%
Revenue Next 2Y9.01%
Revenue Next 3Y7.61%
Revenue Next 5YN/A
EBIT growth 1Y54.81%
EBIT growth 3Y-21.53%
EBIT growth 5Y-10.89%
EBIT Next Year18.43%
EBIT Next 3Y16.94%
EBIT Next 5Y9.47%
FCF growth 1Y56.27%
FCF growth 3Y4.96%
FCF growth 5Y2.62%
OCF growth 1Y32.05%
OCF growth 3Y3.35%
OCF growth 5Y1.42%
INVESCO LTD / IVZ FAQ
What is the fundamental rating for IVZ stock?
ChartMill assigns a fundamental rating of 4 / 10 to IVZ.
What is the valuation status for IVZ stock?
ChartMill assigns a valuation rating of 6 / 10 to INVESCO LTD (IVZ). This can be considered as Fairly Valued.
What is the profitability of IVZ stock?
INVESCO LTD (IVZ) has a profitability rating of 4 / 10.
What are the PE and PB ratios of INVESCO LTD (IVZ) stock?
The Price/Earnings (PE) ratio for INVESCO LTD (IVZ) is 13.91 and the Price/Book (PB) ratio is 0.85.
How sustainable is the dividend of INVESCO LTD (IVZ) stock?
The dividend rating of INVESCO LTD (IVZ) is 4 / 10 and the dividend payout ratio is 88.94%.