INVESCO LTD (IVZ) Stock Fundamental Analysis
NYSE:IVZ - BMG491BT1088 - Common Stock
21.55 USD
+0.88 (+4.26%)
21.55 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. IVZ may be in some trouble as it scores bad on both profitability and health. IVZ is not valued too expensively and it also shows a decent growth rate.
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 has a Return On Assets (1.48%) which is comparable to the rest of the industry.
IVZ's Return On Equity of 3.05% is on the low side compared to the rest of the industry. IVZ is outperformed by 67.65% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.57%, IVZ is doing worse than 63.45% of the companies in the same industry.
IVZ had an Average Return On Invested Capital over the past 3 years of 2.89%. This is below the industry average of 7.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.48% | ||
| ROE | 3.05% | ||
| ROIC | 2.57% |
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 6.87%, IVZ is doing worse than 63.87% of the companies in the same industry.
IVZ's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 14.69%, IVZ is doing worse than 64.71% of the companies in the same industry.
In the last couple of years the Operating Margin of IVZ has declined.
The Gross Margin of IVZ (66.91%) is better than 73.95% of its industry peers.
IVZ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.69% | ||
| PM (TTM) | 6.87% | ||
| GM | 66.91% |
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
IVZ has less shares outstanding than it did 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 1.04. This is a bad value and indicates that IVZ is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.04, IVZ is in line with its industry, outperforming 54.20% of the companies in the same industry.
The Debt to FCF ratio of IVZ is 7.50, which is on the high side as it means it would take IVZ, 7.50 years of fcf income to pay off all of its debts.
IVZ has a Debt to FCF ratio of 7.50. This is comparable to the rest of the industry: IVZ outperforms 57.56% of its industry peers.
A Debt/Equity ratio of 0.62 indicates that IVZ is somewhat dependend on debt financing.
IVZ's Debt to Equity ratio of 0.62 is fine compared to the rest of the industry. IVZ outperforms 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 7.5 | ||
| Altman-Z | 1.04 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
IVZ has a Current Ratio of 0.78. This is a bad value and indicates that IVZ is not financially healthy enough and could expect problems in meeting its short term obligations.
IVZ has a worse Current ratio (0.78) than 63.87% of its industry peers.
A Quick Ratio of 0.78 indicates that IVZ may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.78, IVZ is doing worse than 63.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.39% 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 5.83% in the past year.
Measured over the past years, IVZ shows a decrease in Revenue. The Revenue has been decreasing by -0.17% on average per year.
EPS 1Y (TTM)11.39%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%-16.28%
Revenue 1Y (TTM)5.83%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%1.73%
3.2 Future
IVZ is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.33% yearly.
Based on estimates for the next years, IVZ will show a small growth in Revenue. The Revenue will grow by 6.21% on average per year.
EPS Next Y5.54%
EPS Next 2Y15.36%
EPS Next 3Y14.31%
EPS Next 5Y9.33%
Revenue Next Year3.42%
Revenue Next 2Y6.59%
Revenue Next 3Y6.21%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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 12.24, IVZ is valued correctly.
IVZ's Price/Earnings ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 64.29% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.24. IVZ is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.42, the valuation of IVZ can be described as very reasonable.
Based on the Price/Forward Earnings ratio, IVZ is valued a bit cheaper than 78.99% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.81, IVZ is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 9.42 |
4.2 Price Multiples
80.67% of the companies in the same industry are more expensive than IVZ, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, IVZ is valued a bit cheaper than 76.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.31 | ||
| EV/EBITDA | 16.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates IVZ does not grow enough to justify the current Price/Earnings ratio.
IVZ's earnings are expected to grow with 14.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.21
PEG (5Y)N/A
EPS Next 2Y15.36%
EPS Next 3Y14.31%
5. Dividend
5.1 Amount
IVZ has a Yearly Dividend Yield of 4.06%, which is a nice return.
IVZ's Dividend Yield is comparable with the industry average which is at 8.00.
IVZ's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.06% |
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
144.24% of the earnings are spent on dividend by IVZ. This is not a sustainable payout ratio.
DP144.24%
EPS Next 2Y15.36%
EPS Next 3Y14.31%
21.55
+0.88 (+4.26%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners95.06%
Inst Owner Change0.59%
Ins Owners0.71%
Ins Owner Change1.9%
Market Cap9.61B
Analysts68.89
Price Target23.51 (9.1%)
Short Float %3.88%
Short Ratio2.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.06% |
Yearly Dividend1.36
Dividend Growth(5Y)-2.47%
DP144.24%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.33%
Min EPS beat(2)-12.91%
Max EPS beat(2)13.56%
EPS beat(4)3
Avg EPS beat(4)2.9%
Min EPS beat(4)-12.91%
Max EPS beat(4)13.56%
EPS beat(8)5
Avg EPS beat(8)1.85%
EPS beat(12)7
Avg EPS beat(12)-1.34%
EPS beat(16)9
Avg EPS beat(16)-2.23%
Revenue beat(2)0
Avg Revenue beat(2)-0.79%
Min Revenue beat(2)-0.92%
Max Revenue beat(2)-0.67%
Revenue beat(4)0
Avg Revenue beat(4)-0.81%
Min Revenue beat(4)-1.23%
Max Revenue beat(4)-0.41%
Revenue beat(8)0
Avg Revenue beat(8)-2.1%
Revenue beat(12)3
Avg Revenue beat(12)5.64%
Revenue beat(16)7
Avg Revenue beat(16)11.12%
PT rev (1m)33.6%
PT rev (3m)53%
EPS NQ rev (1m)0.17%
EPS NQ rev (3m)-2.49%
EPS NY rev (1m)2.75%
EPS NY rev (3m)7.66%
Revenue NQ rev (1m)1.05%
Revenue NQ rev (3m)-2.04%
Revenue NY rev (1m)2.41%
Revenue NY rev (3m)3.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 9.42 | ||
| P/S | 1.56 | ||
| P/FCF | 8.31 | ||
| P/OCF | 7.89 | ||
| P/B | 0.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.17 |
EPS(TTM)1.76
EY8.17%
EPS(NY)2.29
Fwd EY10.62%
FCF(TTM)2.59
FCFY12.03%
OCF(TTM)2.73
OCFY12.68%
SpS13.8
BVpS31.11
TBVpS-1.03
PEG (NY)2.21
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.48% | ||
| ROE | 3.05% | ||
| ROCE | 3.43% | ||
| ROIC | 2.57% | ||
| ROICexc | 2.66% | ||
| ROICexgc | 6.86% | ||
| OM | 14.69% | ||
| PM (TTM) | 6.87% | ||
| GM | 66.91% | ||
| FCFM | 18.79% |
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-Score6
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.62 | ||
| Debt/FCF | 7.5 | ||
| Debt/EBITDA | 8.08 | ||
| Cap/Depr | 36.71% | ||
| Cap/Sales | 1.01% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 113.53% | ||
| Profit Quality | 273.42% | ||
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 1.04 |
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)11.39%
EPS 3Y-17.74%
EPS 5Y-7.57%
EPS Q2Q%-16.28%
EPS Next Y5.54%
EPS Next 2Y15.36%
EPS Next 3Y14.31%
EPS Next 5Y9.33%
Revenue 1Y (TTM)5.83%
Revenue growth 3Y-4.17%
Revenue growth 5Y-0.17%
Sales Q2Q%1.73%
Revenue Next Year3.42%
Revenue Next 2Y6.59%
Revenue Next 3Y6.21%
Revenue Next 5YN/A
EBIT growth 1Y10.11%
EBIT growth 3Y-21.53%
EBIT growth 5Y-10.89%
EBIT Next Year15.35%
EBIT Next 3Y10.23%
EBIT Next 5Y7.53%
FCF growth 1Y19.54%
FCF growth 3Y4.96%
FCF growth 5Y2.62%
OCF growth 1Y2.58%
OCF growth 3Y3.35%
OCF growth 5Y1.42%