QORVO INC (QRVO) Stock Fundamental Analysis
NASDAQ:QRVO - Nasdaq - US74736K1016 - Common Stock - Currency: USD
Overall QRVO gets a fundamental rating of 5 out of 10. We evaluated QRVO against 110 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the profitability and the financial health of QRVO get a neutral evaluation. Nothing too spectacular is happening here. QRVO has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
QRVO had positive earnings in the past year.
QRVO had a positive operating cash flow in the past year.
Of the past 5 years QRVO 4 years were profitable.
Each year in the past 5 years QRVO had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 0.93%, QRVO perfoms like the industry average, outperforming 49.09% of the companies in the same industry.
The Return On Equity of QRVO (1.63%) is comparable to the rest of the industry.
QRVO has a better Return On Invested Capital (5.48%) than 66.36% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for QRVO is significantly below the industry average of 10.65%.
The last Return On Invested Capital (5.48%) for QRVO is above the 3 year average (4.84%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.93% | ||
| ROE | 1.63% | ||
| ROIC | 5.48% |
ROA(3y)0.47%
ROA(5y)5.07%
ROE(3y)0.77%
ROE(5y)8.17%
ROIC(3y)4.84%
ROIC(5y)8.01%
1.3 Margins
QRVO has a Profit Margin (1.49%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of QRVO has declined.
Looking at the Operating Margin, with a value of 9.61%, QRVO is in the better half of the industry, outperforming 60.91% of the companies in the same industry.
In the last couple of years the Operating Margin of QRVO has declined.
The Gross Margin of QRVO (41.62%) is comparable to the rest of the industry.
QRVO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.61% | ||
| PM (TTM) | 1.49% | ||
| GM | 41.62% |
OM growth 3Y-28.11%
OM growth 5Y-7.16%
PM growth 3Y-59.24%
PM growth 5Y-31.95%
GM growth 3Y-5.12%
GM growth 5Y0.08%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), QRVO is destroying value.
The number of shares outstanding for QRVO has been reduced compared to 1 year ago.
Compared to 5 years ago, QRVO has less shares outstanding
QRVO has a better debt/assets ratio than last year.
2.2 Solvency
QRVO has an Altman-Z score of 3.04. This indicates that QRVO is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.04, QRVO perfoms like the industry average, outperforming 46.36% of the companies in the same industry.
QRVO has a debt to FCF ratio of 3.20. This is a good value and a sign of high solvency as QRVO would need 3.20 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.20, QRVO perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
A Debt/Equity ratio of 0.46 indicates that QRVO is not too dependend on debt financing.
QRVO has a worse Debt to Equity ratio (0.46) than 71.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 3.2 | ||
| Altman-Z | 3.04 |
ROIC/WACC0.49
WACC11.17%
2.3 Liquidity
QRVO has a Current Ratio of 2.77. This indicates that QRVO is financially healthy and has no problem in meeting its short term obligations.
QRVO has a Current ratio (2.77) which is comparable to the rest of the industry.
QRVO has a Quick Ratio of 1.95. This is a normal value and indicates that QRVO is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.95, QRVO perfoms like the industry average, outperforming 43.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.95 |
3. Growth
3.1 Past
QRVO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.07%.
The Earnings Per Share has been decreasing by -1.74% on average over the past years.
QRVO shows a decrease in Revenue. In the last year, the revenue decreased by -1.34%.
QRVO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.80% yearly.
EPS 1Y (TTM)-7.07%
EPS 3Y-22.36%
EPS 5Y-1.74%
EPS Q2Q%2.16%
Revenue 1Y (TTM)-1.34%
Revenue growth 3Y-7.15%
Revenue growth 5Y2.8%
Sales Q2Q%-7.6%
3.2 Future
QRVO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.43% yearly.
Based on estimates for the next years, QRVO will show a small growth in Revenue. The Revenue will grow by 3.03% on average per year.
EPS Next Y-4.23%
EPS Next 2Y6.83%
EPS Next 3Y8.25%
EPS Next 5Y6.43%
Revenue Next Year-0.82%
Revenue Next 2Y2.11%
Revenue Next 3Y2.79%
Revenue Next 5Y3.03%
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 stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.32, QRVO is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of QRVO indicates a rather cheap valuation: QRVO is cheaper than 87.27% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.50. QRVO is valued slightly cheaper when compared to this.
QRVO is valuated correctly with a Price/Forward Earnings ratio of 16.00.
QRVO's Price/Forward Earnings ratio is rather cheap when compared to the industry. QRVO is cheaper than 80.91% of the companies in the same industry.
QRVO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.32 | ||
| Fwd PE | 16 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of QRVO indicates a somewhat cheap valuation: QRVO is cheaper than 79.09% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, QRVO is valued cheaper than 88.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.99 | ||
| EV/EBITDA | 13.38 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y6.83%
EPS Next 3Y8.25%
5. Dividend
5.1 Amount
No dividends for QRVO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
88.57
-0.06 (-0.07%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners101.01%
Inst Owner Change-0.03%
Ins Owners0.47%
Ins Owner Change11.03%
Market Cap8.22B
Analysts66.67
Price Target84.52 (-4.57%)
Short Float %6.72%
Short Ratio3.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)34.96%
Min EPS beat(2)31.03%
Max EPS beat(2)38.89%
EPS beat(4)3
Avg EPS beat(4)22.35%
Min EPS beat(4)-0.5%
Max EPS beat(4)38.89%
EPS beat(8)7
Avg EPS beat(8)34.94%
EPS beat(12)11
Avg EPS beat(12)32.99%
EPS beat(16)15
Avg EPS beat(16)26.41%
Revenue beat(2)1
Avg Revenue beat(2)-0.06%
Min Revenue beat(2)-0.35%
Max Revenue beat(2)0.24%
Revenue beat(4)2
Avg Revenue beat(4)0.45%
Min Revenue beat(4)-0.35%
Max Revenue beat(4)2.04%
Revenue beat(8)4
Avg Revenue beat(8)1.76%
Revenue beat(12)6
Avg Revenue beat(12)1.14%
Revenue beat(16)7
Avg Revenue beat(16)0.69%
PT rev (1m)0.2%
PT rev (3m)-9.37%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.24%
EPS NY rev (1m)0.39%
EPS NY rev (3m)-2.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.08%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)-0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.32 | ||
| Fwd PE | 16 | ||
| P/S | 2.21 | ||
| P/FCF | 16.99 | ||
| P/OCF | 13.22 | ||
| P/B | 2.42 | ||
| P/tB | 11.28 | ||
| EV/EBITDA | 13.38 |
EPS(TTM)5.78
EY6.53%
EPS(NY)5.54
Fwd EY6.25%
FCF(TTM)5.21
FCFY5.89%
OCF(TTM)6.7
OCFY7.56%
SpS40.05
BVpS36.53
TBVpS7.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.93% | ||
| ROE | 1.63% | ||
| ROCE | 6.94% | ||
| ROIC | 5.48% | ||
| ROICexc | 6.84% | ||
| ROICexgc | 19.26% | ||
| OM | 9.61% | ||
| PM (TTM) | 1.49% | ||
| GM | 41.62% | ||
| FCFM | 13.01% |
ROA(3y)0.47%
ROA(5y)5.07%
ROE(3y)0.77%
ROE(5y)8.17%
ROIC(3y)4.84%
ROIC(5y)8.01%
ROICexc(3y)5.94%
ROICexc(5y)9.75%
ROICexgc(3y)18.11%
ROICexgc(5y)26.71%
ROCE(3y)6.13%
ROCE(5y)10.14%
ROICexcg growth 3Y-21.21%
ROICexcg growth 5Y0.35%
ROICexc growth 3Y-24.98%
ROICexc growth 5Y0.35%
OM growth 3Y-28.11%
OM growth 5Y-7.16%
PM growth 3Y-59.24%
PM growth 5Y-31.95%
GM growth 3Y-5.12%
GM growth 5Y0.08%
F-Score8
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 3.2 | ||
| Debt/EBITDA | 2.37 | ||
| Cap/Depr | 46.53% | ||
| Cap/Sales | 3.71% | ||
| Interest Coverage | 4.7 | ||
| Cash Conversion | 95.12% | ||
| Profit Quality | 873.49% | ||
| Current Ratio | 2.77 | ||
| Quick Ratio | 1.95 | ||
| Altman-Z | 3.04 |
F-Score8
WACC11.17%
ROIC/WACC0.49
Cap/Depr(3y)44.37%
Cap/Depr(5y)46.64%
Cap/Sales(3y)3.85%
Cap/Sales(5y)4.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.07%
EPS 3Y-22.36%
EPS 5Y-1.74%
EPS Q2Q%2.16%
EPS Next Y-4.23%
EPS Next 2Y6.83%
EPS Next 3Y8.25%
EPS Next 5Y6.43%
Revenue 1Y (TTM)-1.34%
Revenue growth 3Y-7.15%
Revenue growth 5Y2.8%
Sales Q2Q%-7.6%
Revenue Next Year-0.82%
Revenue Next 2Y2.11%
Revenue Next 3Y2.79%
Revenue Next 5Y3.03%
EBIT growth 1Y10.27%
EBIT growth 3Y-33.25%
EBIT growth 5Y-4.56%
EBIT Next Year32.78%
EBIT Next 3Y20.83%
EBIT Next 5YN/A
FCF growth 1Y-31.44%
FCF growth 3Y-16.64%
FCF growth 5Y-9.14%
OCF growth 1Y-25.35%
OCF growth 3Y-15.99%
OCF growth 5Y-8.04%