ODP CORP/THE (ODP)
US88337F1057 - Common Stock
Overall ODP gets a fundamental rating of 4 out of 10. We evaluated ODP against 126 industry peers in the Specialty Retail industry. There are concerns on the financial health of ODP while its profitability can be described as average. ODP has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year ODP was profitable.
In the past year ODP has reported a negative cash flow from operations.
In multiple years ODP reported negative net income over the last 5 years.
ODP had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 3.58%, ODP is doing good in the industry, outperforming 62.70% of the companies in the same industry.
With a decent Return On Equity value of 12.62%, ODP is doing good in the industry, outperforming 69.05% of the companies in the same industry.
ODP has a better Return On Invested Capital (9.46%) than 70.63% of its industry peers.
ODP had an Average Return On Invested Capital over the past 3 years of 8.47%. This is significantly below the industry average of 13.62%.
The 3 year average ROIC (8.47%) for ODP is below the current ROIC(9.46%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 12.62% | ||
| ROIC | 9.46% |
ROA(3y)1.1%
ROA(5y)-0.22%
ROE(3y)3.69%
ROE(5y)-0.27%
ROIC(3y)8.47%
ROIC(5y)7.55%
1.3 Margins
ODP's Profit Margin of 1.77% is in line compared to the rest of the industry. ODP outperforms 57.14% of its industry peers.
ODP's Profit Margin has improved in the last couple of years.
The Operating Margin of ODP (3.70%) is comparable to the rest of the industry.
ODP's Operating Margin has improved in the last couple of years.
The Gross Margin of ODP (22.55%) is worse than 76.98% of its industry peers.
In the last couple of years the Gross Margin of ODP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.7% | ||
| PM (TTM) | 1.77% | ||
| GM | 22.55% |
OM growth 3Y6.22%
OM growth 5Y2.64%
PM growth 3YN/A
PM growth 5Y13.46%
GM growth 3Y0.89%
GM growth 5Y-0.53%
2. Health
2.1 Basic Checks
ODP has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ODP has been reduced compared to 1 year ago.
Compared to 5 years ago, ODP has less shares outstanding
Compared to 1 year ago, ODP has an improved debt to assets ratio.
2.2 Solvency
ODP has an Altman-Z score of 2.46. This is not the best score and indicates that ODP is in the grey zone with still only limited risk for bankruptcy at the moment.
ODP has a Altman-Z score of 2.46. This is comparable to the rest of the industry: ODP outperforms 53.17% of its industry peers.
ODP has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ODP (0.15) is better than 65.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.46 |
ROIC/WACC1.06
WACC8.93%
2.3 Liquidity
ODP has a Current Ratio of 0.99. This is a bad value and indicates that ODP is not financially healthy enough and could expect problems in meeting its short term obligations.
ODP has a Current ratio of 0.99. This is amonst the worse of the industry: ODP underperforms 82.54% of its industry peers.
ODP has a Quick Ratio of 0.99. This is a bad value and indicates that ODP is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ODP (0.54) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.88% over the past year.
Measured over the past years, ODP shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -30.76% on average per year.
ODP shows a decrease in Revenue. In the last year, the revenue decreased by -7.76%.
The Revenue has been decreasing by -6.60% on average over the past years.
EPS 1Y (TTM)26.88%
EPS 3Y-26.94%
EPS 5Y-30.76%
EPS growth Q2Q8.24%
Revenue 1Y (TTM)-7.76%
Revenue growth 3Y-6.92%
Revenue growth 5Y-6.6%
Revenue growth Q2Q-14.25%
3.2 Future
The Earnings Per Share is expected to grow by 10.74% on average over the next years. This is quite good.
The Revenue is expected to decrease by -1.86% on average over the next years.
EPS Next Y3.84%
EPS Next 2Y11.53%
EPS Next 3Y10.74%
EPS Next 5YN/A
Revenue Next Year-4.07%
Revenue Next 2Y-1.97%
Revenue Next 3Y-1.86%
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
A Price/Earnings ratio of 7.29 indicates a rather cheap valuation of ODP.
Based on the Price/Earnings ratio, ODP is valued cheaply inside the industry as 99.21% of the companies are valued more expensively.
ODP is valuated cheaply when we compare the Price/Earnings ratio to 28.83, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.02 indicates a rather cheap valuation of ODP.
Based on the Price/Forward Earnings ratio, ODP is valued cheaper than 95.24% of the companies in the same industry.
ODP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.47.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.29 | ||
| Fwd PE | 7.02 |
4.2 Price Multiples
97.62% of the companies in the same industry are more expensive than ODP, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ODP does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)1.9
PEG (5Y)N/A
EPS Next 2Y11.53%
EPS Next 3Y10.74%
5. Dividend
5.1 Amount
ODP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ODP CORP/THE
NASDAQ:ODP (5/16/2024, 7:08:34 PM)
After market: 40.67 +0.07 (+0.17%)40.6
-0.12 (-0.29%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.49B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.29 | ||
| Fwd PE | 7.02 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.9
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 12.62% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 3.7% | ||
| PM (TTM) | 1.77% | ||
| GM | 22.55% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover2.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)26.88%
EPS 3Y-26.94%
EPS 5Y
EPS growth Q2Q
EPS Next Y3.84%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-7.76%
Revenue growth 3Y-6.92%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y