UNISYS CORP (UIS) Stock Fundamental Analysis
NYSE:UIS - New York Stock Exchange, Inc. - US9092143067 - Common Stock - Currency: USD
UIS gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 82 industry peers in the IT Services industry. UIS has a bad profitability rating. Also its financial health evaluation is rather negative. UIS may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year UIS was profitable.
UIS had a positive operating cash flow in the past year.
UIS had negative earnings in 4 of the past 5 years.
UIS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
UIS has a Return On Assets of -10.33%. This is in the lower half of the industry: UIS underperforms 69.51% of its industry peers.
UIS has a better Return On Invested Capital (9.04%) than 70.73% of its industry peers.
UIS had an Average Return On Invested Capital over the past 3 years of 6.25%. This is significantly below the industry average of 22.65%.
The last Return On Invested Capital (9.04%) for UIS is above the 3 year average (6.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.33% | ||
| ROE | N/A | ||
| ROIC | 9.04% |
ROA(3y)-12.46%
ROA(5y)-5.64%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.25%
ROIC(5y)6.03%
1.3 Margins
UIS has a Operating Margin of 7.09%. This is comparable to the rest of the industry: UIS outperforms 59.76% of its industry peers.
In the last couple of years the Operating Margin of UIS has grown nicely.
Looking at the Gross Margin, with a value of 29.17%, UIS is doing worse than 64.63% of the companies in the same industry.
In the last couple of years the Gross Margin of UIS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.09% | ||
| PM (TTM) | N/A | ||
| GM | 29.17% |
OM growth 3Y-2.57%
OM growth 5Y2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y3.96%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so UIS is destroying value.
The number of shares outstanding for UIS has been increased compared to 1 year ago.
Compared to 5 years ago, UIS has more shares outstanding
UIS has a worse debt/assets ratio than last year.
2.2 Solvency
UIS has an Altman-Z score of 0.04. This is a bad value and indicates that UIS is not financially healthy and even has some risk of bankruptcy.
UIS's Altman-Z score of 0.04 is on the low side compared to the rest of the industry. UIS is outperformed by 79.27% of its industry peers.
UIS has a debt to FCF ratio of 8.92. This is a slightly negative value and a sign of low solvency as UIS would need 8.92 years to pay back of all of its debts.
UIS has a Debt to FCF ratio (8.92) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 8.92 | ||
| Altman-Z | 0.04 |
ROIC/WACC0.98
WACC9.22%
2.3 Liquidity
A Current Ratio of 1.56 indicates that UIS should not have too much problems paying its short term obligations.
UIS has a Current ratio of 1.56. This is comparable to the rest of the industry: UIS outperforms 52.44% of its industry peers.
A Quick Ratio of 1.54 indicates that UIS should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.54, UIS perfoms like the industry average, outperforming 51.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 176.92% over the past year.
UIS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -26.58% yearly.
UIS shows a decrease in Revenue. In the last year, the revenue decreased by -0.35%.
Measured over the past years, UIS shows a decrease in Revenue. The Revenue has been decreasing by -2.01% on average per year.
EPS 1Y (TTM)176.92%
EPS 3Y-36.41%
EPS 5Y-26.58%
EPS Q2Q%-225%
Revenue 1Y (TTM)-0.35%
Revenue growth 3Y-0.75%
Revenue growth 5Y-2.01%
Sales Q2Q%-11.42%
3.2 Future
Based on estimates for the next years, UIS will show a very strong growth in Earnings Per Share. The EPS will grow by 40.27% on average per year.
The Revenue is expected to grow by 0.59% on average over the next years.
EPS Next Y9.98%
EPS Next 2Y40.27%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.77%
Revenue Next 2Y0.59%
Revenue Next 3YN/A
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
UIS is valuated correctly with a Price/Earnings ratio of 12.58.
UIS's Price/Earnings ratio is rather cheap when compared to the industry. UIS is cheaper than 87.80% of the companies in the same industry.
UIS is valuated cheaply when we compare the Price/Earnings ratio to 28.18, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 5.12, the valuation of UIS can be described as very cheap.
Based on the Price/Forward Earnings ratio, UIS is valued cheaply inside the industry as 95.12% of the companies are valued more expensively.
UIS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.58 | ||
| Fwd PE | 5.12 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UIS indicates a rather cheap valuation: UIS is cheaper than 96.34% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UIS indicates a rather cheap valuation: UIS is cheaper than 96.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.82 | ||
| EV/EBITDA | 1.76 |
4.3 Compensation for Growth
UIS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as UIS's earnings are expected to grow with 40.27% in the coming years.
PEG (NY)1.26
PEG (5Y)N/A
EPS Next 2Y40.27%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for UIS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
4.53
+0.48 (+11.85%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners86.54%
Inst Owner Change-0.36%
Ins Owners5.38%
Ins Owner Change18.54%
Market Cap321.95M
Analysts46.67
Price Target7.4 (63.36%)
Short Float %1.51%
Short Ratio1.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-75.25%
Min EPS beat(2)-159.41%
Max EPS beat(2)8.91%
EPS beat(4)3
Avg EPS beat(4)625.94%
Min EPS beat(4)-159.41%
Max EPS beat(4)2475.05%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-0.42%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)1.15%
Revenue beat(4)2
Avg Revenue beat(4)-0.85%
Min Revenue beat(4)-2.57%
Max Revenue beat(4)1.15%
Revenue beat(8)6
Avg Revenue beat(8)1.52%
Revenue beat(12)8
Avg Revenue beat(12)0.89%
Revenue beat(16)9
Avg Revenue beat(16)0.73%
PT rev (1m)0%
PT rev (3m)-3.33%
EPS NQ rev (1m)-4.69%
EPS NQ rev (3m)-419.04%
EPS NY rev (1m)0%
EPS NY rev (3m)-51.8%
Revenue NQ rev (1m)-0.9%
Revenue NQ rev (3m)-12.61%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.58 | ||
| Fwd PE | 5.12 | ||
| P/S | 0.16 | ||
| P/FCF | 5.82 | ||
| P/OCF | 2.38 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 1.76 |
EPS(TTM)0.36
EY7.95%
EPS(NY)0.89
Fwd EY19.55%
FCF(TTM)0.78
FCFY17.18%
OCF(TTM)1.9
OCFY41.96%
SpS28.26
BVpS-3.99
TBVpS-10.3
PEG (NY)1.26
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.33% | ||
| ROE | N/A | ||
| ROCE | 11.44% | ||
| ROIC | 9.04% | ||
| ROICexc | 12.96% | ||
| ROICexgc | 26.82% | ||
| OM | 7.09% | ||
| PM (TTM) | N/A | ||
| GM | 29.17% | ||
| FCFM | 2.75% |
ROA(3y)-12.46%
ROA(5y)-5.64%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.25%
ROIC(5y)6.03%
ROICexc(3y)8.87%
ROICexc(5y)9.15%
ROICexgc(3y)18.5%
ROICexgc(5y)17.77%
ROCE(3y)7.91%
ROCE(5y)7.63%
ROICexcg growth 3Y8.22%
ROICexcg growth 5Y10.65%
ROICexc growth 3Y5.09%
ROICexc growth 5Y4.3%
OM growth 3Y-2.57%
OM growth 5Y2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y3.96%
F-Score6
Asset Turnover1.07
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 8.92 | ||
| Debt/EBITDA | 1.96 | ||
| Cap/Depr | 75% | ||
| Cap/Sales | 3.97% | ||
| Interest Coverage | 4.02 | ||
| Cash Conversion | 54.3% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 0.04 |
F-Score6
WACC9.22%
ROIC/WACC0.98
Cap/Depr(3y)59.5%
Cap/Depr(5y)63.42%
Cap/Sales(3y)4.07%
Cap/Sales(5y)4.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)176.92%
EPS 3Y-36.41%
EPS 5Y-26.58%
EPS Q2Q%-225%
EPS Next Y9.98%
EPS Next 2Y40.27%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.35%
Revenue growth 3Y-0.75%
Revenue growth 5Y-2.01%
Sales Q2Q%-11.42%
Revenue Next Year-1.77%
Revenue Next 2Y0.59%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y60.36%
EBIT growth 3Y-3.3%
EBIT growth 5Y0.63%
EBIT Next Year78.13%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1328.89%
FCF growth 3Y19.63%
FCF growth 5YN/A
OCF growth 1Y82.08%
OCF growth 3Y0.65%
OCF growth 5Y1.75%