INVESCO LTD (IVZ) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:IVZ - BMG491BT1088 - Common Stock
25.21 USD
+0.82 (+3.36%)
25.21 USD
0 (0%)
Taking everything into account, IVZ scores 4 out of 10 in our fundamental rating. IVZ was compared to 238 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
In the past year IVZ was profitable.
IVZ had a positive operating cash flow in the past year.
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 48.74% of its industry peers.
The Return On Equity of IVZ (4.78%) is worse than 60.08% of its industry peers.
IVZ's Return On Invested Capital of 3.09% is in line compared to the rest of the industry. IVZ outperforms 44.54% of its industry peers.
IVZ had an Average Return On Invested Capital over the past 3 years of 2.89%. This is below the industry average of 6.95%.
The last Return On Invested Capital (3.09%) for IVZ is above the 3 year average (2.89%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 10.65%, IVZ is in line with its industry, outperforming 41.18% of the companies in the same industry.
In the last couple of years the Profit Margin of IVZ has remained more or less at the same level.
IVZ has a Operating Margin (17.11%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of IVZ has declined.
With a decent Gross Margin value of 66.64%, IVZ is doing good in the industry, outperforming 74.79% of the companies in the same industry.
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.
The number of shares outstanding for IVZ has been reduced compared to 5 years ago.
The debt/assets ratio for IVZ has been reduced compared to a year ago.
2.2 Solvency
IVZ has an Altman-Z score of 1.12. This is a bad value and indicates that IVZ is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.12, IVZ perfoms like the industry average, outperforming 58.40% of the companies in the same industry.
IVZ has a debt to FCF ratio of 6.27. This is a slightly negative value and a sign of low solvency as IVZ would need 6.27 years to pay back of all of its debts.
IVZ's Debt to FCF ratio of 6.27 is fine compared to the rest of the industry. IVZ outperforms 68.07% of its industry peers.
IVZ has a Debt/Equity ratio of 0.60. This is a neutral value indicating IVZ is somewhat dependend on debt financing.
IVZ has a better Debt to Equity ratio (0.60) than 62.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 6.27 | ||
| Altman-Z | 1.12 |
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's Current ratio of 0.75 is on the low side compared to the rest of the industry. IVZ is outperformed by 67.23% of its industry peers.
A Quick Ratio of 0.75 indicates that IVZ may have some problems paying its short term obligations.
The Quick ratio of IVZ (0.75) is worse than 66.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.57% over the past year.
The Earnings Per Share has been decreasing by -7.57% on average over the past years.
IVZ shows a small growth in Revenue. In the last year, the Revenue has grown by 6.64%.
The Revenue has been decreasing by -0.17% on average over the past years.
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.
IVZ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.02% yearly.
EPS Next Y14.83%
EPS Next 2Y21.53%
EPS Next 3Y18.86%
EPS Next 5Y15.17%
Revenue Next Year5.14%
Revenue Next 2Y8.14%
Revenue Next 3Y7.02%
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
With a Price/Earnings ratio of 13.06, IVZ is valued correctly.
60.08% of the companies in the same industry are more expensive than IVZ, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.41, IVZ is valued rather cheaply.
IVZ is valuated reasonably with a Price/Forward Earnings ratio of 9.92.
74.37% of the companies in the same industry are more expensive than IVZ, based on the Price/Forward Earnings ratio.
IVZ is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.40, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.06 | ||
| Fwd PE | 9.92 |
4.2 Price Multiples
IVZ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 79.41% of the companies in the same industry.
IVZ's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 76.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.42 | ||
| EV/EBITDA | 15.52 |
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.
IVZ's earnings are expected to grow with 18.86% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y21.53%
EPS Next 3Y18.86%
5. Dividend
5.1 Amount
IVZ has a Yearly Dividend Yield of 3.42%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 8.39, IVZ has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, IVZ pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.42% |
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
88.94% of the earnings are spent on dividend by IVZ. This is not a sustainable payout ratio.
DP88.94%
EPS Next 2Y21.53%
EPS Next 3Y18.86%
25.21
+0.82 (+3.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners94.95%
Inst Owner Change-3.41%
Ins Owners0.69%
Ins Owner Change-1.95%
Market Cap11.22B
Revenue(TTM)6.28B
Net Income(TTM)668.90M
Analysts69.47
Price Target26.79 (6.27%)
Short Float %3.49%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.42% |
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)3.64%
PT rev (3m)13.99%
EPS NQ rev (1m)3.11%
EPS NQ rev (3m)10.12%
EPS NY rev (1m)7.47%
EPS NY rev (3m)8.8%
Revenue NQ rev (1m)1.05%
Revenue NQ rev (3m)2.88%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)1.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.06 | ||
| Fwd PE | 9.92 | ||
| P/S | 1.79 | ||
| P/FCF | 8.42 | ||
| P/OCF | 8.09 | ||
| P/B | 0.8 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.52 |
EPS(TTM)1.93
EY7.66%
EPS(NY)2.54
Fwd EY10.08%
FCF(TTM)2.99
FCFY11.88%
OCF(TTM)3.12
OCFY12.36%
SpS14.11
BVpS31.47
TBVpS-0.42
PEG (NY)0.88
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 | 1.12 |
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 Y14.83%
EPS Next 2Y21.53%
EPS Next 3Y18.86%
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 Year5.14%
Revenue Next 2Y8.14%
Revenue Next 3Y7.02%
Revenue Next 5YN/A
EBIT growth 1Y54.81%
EBIT growth 3Y-21.53%
EBIT growth 5Y-10.89%
EBIT Next Year16.45%
EBIT Next 3Y13.36%
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 13.06 and the Price/Book (PB) ratio is 0.8.
How sustainable is the dividend of INVESCO LTD (IVZ) stock?
The dividend rating of INVESCO LTD (IVZ) is 3 / 10 and the dividend payout ratio is 88.94%.