UNIVERSAL CORP/VA (UVV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:UVV - US9134561094 - Common Stock
53.12 USD
+0.32 (+0.61%)
53.12 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to UVV. UVV was compared to 8 industry peers in the Tobacco industry. Both the profitability and the financial health of UVV get a neutral evaluation. Nothing too spectacular is happening here. UVV is valued quite cheap, while showing a decent growth score. This is a good combination! Finally UVV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year UVV was profitable.
In the past year UVV had a positive cash flow from operations.
In the past 5 years UVV has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: UVV reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.64%, UVV is in line with its industry, outperforming 50.00% of the companies in the same industry.
UVV has a Return On Equity of 7.59%. This is amongst the best in the industry. UVV outperforms 87.50% of its industry peers.
UVV has a better Return On Invested Capital (6.93%) than 62.50% of its industry peers.
UVV had an Average Return On Invested Capital over the past 3 years of 6.47%. This is significantly below the industry average of 14.25%.
The last Return On Invested Capital (6.93%) for UVV is above the 3 year average (6.47%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.64% | ||
| ROE | 7.59% | ||
| ROIC | 6.93% |
ROA(3y)3.98%
ROA(5y)3.81%
ROE(3y)7.91%
ROE(5y)7.37%
ROIC(3y)6.47%
ROIC(5y)6.26%
1.3 Margins
UVV's Profit Margin of 3.74% is on the low side compared to the rest of the industry. UVV is outperformed by 62.50% of its industry peers.
In the last couple of years the Profit Margin of UVV has declined.
UVV has a Operating Margin (8.35%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of UVV has grown nicely.
The Gross Margin of UVV (18.86%) is worse than 62.50% of its industry peers.
In the last couple of years the Gross Margin of UVV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.35% | ||
| PM (TTM) | 3.74% | ||
| GM | 18.86% |
OM growth 3Y0.14%
OM growth 5Y2.72%
PM growth 3Y-7.81%
PM growth 5Y-2.99%
GM growth 3Y-1.41%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UVV is destroying value.
UVV has more shares outstanding than it did 1 year ago.
UVV has more shares outstanding than it did 5 years ago.
UVV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.83 indicates that UVV is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.83, UVV is doing good in the industry, outperforming 75.00% of the companies in the same industry.
UVV has a debt to FCF ratio of 7.37. This is a slightly negative value and a sign of low solvency as UVV would need 7.37 years to pay back of all of its debts.
UVV has a Debt to FCF ratio of 7.37. This is comparable to the rest of the industry: UVV outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 0.79 indicates that UVV is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.79, UVV is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 7.37 | ||
| Altman-Z | 2.83 |
ROIC/WACC0.75
WACC9.22%
2.3 Liquidity
UVV has a Current Ratio of 2.70. This indicates that UVV is financially healthy and has no problem in meeting its short term obligations.
UVV has a better Current ratio (2.70) than 75.00% of its industry peers.
A Quick Ratio of 0.91 indicates that UVV may have some problems paying its short term obligations.
The Quick ratio of UVV (0.91) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.7 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
UVV shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.89%.
UVV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.75% yearly.
UVV shows a small growth in Revenue. In the last year, the Revenue has grown by 3.01%.
The Revenue has been growing by 9.06% on average over the past years. This is quite good.
EPS 1Y (TTM)-6.89%
EPS 3Y2.88%
EPS 5Y5.75%
EPS Q2Q%31.5%
Revenue 1Y (TTM)3.01%
Revenue growth 3Y11.9%
Revenue growth 5Y9.06%
Sales Q2Q%6.11%
3.2 Future
Based on estimates for the next years, UVV will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.95% on average per year.
The Revenue is expected to grow by 2.11% on average over the next years.
EPS Next Y25.5%
EPS Next 2Y10.95%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.21%
Revenue Next 2Y2.11%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.96, the valuation of UVV can be described as very reasonable.
UVV's Price/Earnings ratio is rather cheap when compared to the industry. UVV is cheaper than 87.50% of the companies in the same industry.
When comparing the Price/Earnings ratio of UVV to the average of the S&P500 Index (26.59), we can say UVV is valued rather cheaply.
With a Price/Forward Earnings ratio of 11.41, the valuation of UVV can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UVV indicates a somewhat cheap valuation: UVV is cheaper than 75.00% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.80. UVV is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.96 | ||
| Fwd PE | 11.41 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than UVV, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, UVV is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.42 | ||
| EV/EBITDA | 6.01 |
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.
PEG (NY)0.47
PEG (5Y)2.08
EPS Next 2Y10.95%
EPS Next 3YN/A
5. Dividend
5.1 Amount
UVV has a Yearly Dividend Yield of 6.28%, which is a nice return.
Compared to an average industry Dividend Yield of 4.65, UVV pays a better dividend. On top of this UVV pays more dividend than 87.50% of the companies listed in the same industry.
UVV's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.28% |
5.2 History
The dividend of UVV has a limited annual growth rate of 1.16%.
UVV has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)1.16%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
72.07% of the earnings are spent on dividend by UVV. This is not a sustainable payout ratio.
The dividend of UVV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP72.07%
EPS Next 2Y10.95%
EPS Next 3YN/A
53.12
+0.32 (+0.61%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners86.49%
Inst Owner Change0.8%
Ins Owners1.51%
Ins Owner Change0.68%
Market Cap1.32B
Revenue(TTM)2.99B
Net Income(TTM)111.64M
Analysts0
Price Target79.56 (49.77%)
Short Float %4.63%
Short Ratio5.69
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.28% |
Yearly Dividend3.23
Dividend Growth(5Y)1.16%
DP72.07%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)8.33%
EPS NQ rev (1m)-1.03%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-0.84%
EPS NY rev (3m)5.62%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)1.67%
Revenue NY rev (3m)1.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.96 | ||
| Fwd PE | 11.41 | ||
| P/S | 0.44 | ||
| P/FCF | 8.42 | ||
| P/OCF | 6.55 | ||
| P/B | 0.9 | ||
| P/tB | 1.1 | ||
| EV/EBITDA | 6.01 |
EPS(TTM)4.44
EY8.36%
EPS(NY)4.66
Fwd EY8.77%
FCF(TTM)6.31
FCFY11.87%
OCF(TTM)8.11
OCFY15.26%
SpS119.88
BVpS58.99
TBVpS48.3
PEG (NY)0.47
PEG (5Y)2.08
Graham Number76.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.64% | ||
| ROE | 7.59% | ||
| ROCE | 11.13% | ||
| ROIC | 6.93% | ||
| ROICexc | 7.15% | ||
| ROICexgc | 7.94% | ||
| OM | 8.35% | ||
| PM (TTM) | 3.74% | ||
| GM | 18.86% | ||
| FCFM | 5.26% |
ROA(3y)3.98%
ROA(5y)3.81%
ROE(3y)7.91%
ROE(5y)7.37%
ROIC(3y)6.47%
ROIC(5y)6.26%
ROICexc(3y)6.82%
ROICexc(5y)6.64%
ROICexgc(3y)7.71%
ROICexgc(5y)7.56%
ROCE(3y)9.75%
ROCE(5y)9.14%
ROICexgc growth 3Y6.6%
ROICexgc growth 5Y6.51%
ROICexc growth 3Y7.82%
ROICexc growth 5Y5.75%
OM growth 3Y0.14%
OM growth 5Y2.72%
PM growth 3Y-7.81%
PM growth 5Y-2.99%
GM growth 3Y-1.41%
GM growth 5Y-0.14%
F-Score6
Asset Turnover0.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 7.37 | ||
| Debt/EBITDA | 3.77 | ||
| Cap/Depr | 78.02% | ||
| Cap/Sales | 1.5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.81% | ||
| Profit Quality | 140.74% | ||
| Current Ratio | 2.7 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 2.83 |
F-Score6
WACC9.22%
ROIC/WACC0.75
Cap/Depr(3y)104.44%
Cap/Depr(5y)112.55%
Cap/Sales(3y)2.22%
Cap/Sales(5y)2.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.89%
EPS 3Y2.88%
EPS 5Y5.75%
EPS Q2Q%31.5%
EPS Next Y25.5%
EPS Next 2Y10.95%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.01%
Revenue growth 3Y11.9%
Revenue growth 5Y9.06%
Sales Q2Q%6.11%
Revenue Next Year3.21%
Revenue Next 2Y2.11%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-1.46%
EBIT growth 3Y12.06%
EBIT growth 5Y12.03%
EBIT Next Year27.32%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-44.97%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-41.65%
OCF growth 3Y93.86%
OCF growth 5Y97.43%
UNIVERSAL CORP/VA / UVV FAQ
Can you provide the ChartMill fundamental rating for UNIVERSAL CORP/VA?
ChartMill assigns a fundamental rating of 5 / 10 to UVV.
What is the valuation status of UNIVERSAL CORP/VA (UVV) stock?
ChartMill assigns a valuation rating of 8 / 10 to UNIVERSAL CORP/VA (UVV). This can be considered as Undervalued.
How profitable is UNIVERSAL CORP/VA (UVV) stock?
UNIVERSAL CORP/VA (UVV) has a profitability rating of 5 / 10.
What is the valuation of UNIVERSAL CORP/VA based on its PE and PB ratios?
The Price/Earnings (PE) ratio for UNIVERSAL CORP/VA (UVV) is 11.96 and the Price/Book (PB) ratio is 0.9.
How sustainable is the dividend of UNIVERSAL CORP/VA (UVV) stock?
The dividend rating of UNIVERSAL CORP/VA (UVV) is 7 / 10 and the dividend payout ratio is 72.07%.