UNIVERSAL CORP/VA (UVV) Stock Fundamental Analysis
NYSE:UVV - US9134561094 - Common Stock
55.51 USD
+0.58 (+1.06%)
55.51 USD
0 (0%)
Taking everything into account, UVV scores 5 out of 10 in our fundamental rating. UVV was compared to 8 industry peers in the Tobacco industry. UVV has a medium profitability rating, but doesn't score so well on its financial health evaluation. UVV is not valued too expensively and it also shows a decent growth rate. 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
UVV has a Return On Assets (3.24%) which is comparable to the rest of the industry.
UVV's Return On Equity of 7.09% is amongst the best of the industry. UVV outperforms 87.50% of its industry peers.
UVV's Return On Invested Capital of 7.03% is fine compared to the rest of the industry. UVV outperforms 62.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for UVV is significantly below the industry average of 14.45%.
The last Return On Invested Capital (7.03%) for UVV is above the 3 year average (6.47%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.24% | ||
| ROE | 7.09% | ||
| ROIC | 7.03% |
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
The Profit Margin of UVV (3.51%) is worse than 62.50% of its industry peers.
In the last couple of years the Profit Margin of UVV has declined.
UVV's Operating Margin of 8.87% is in line compared to the rest of the industry. UVV outperforms 50.00% of its industry peers.
In the last couple of years the Operating Margin of UVV has grown nicely.
With a Gross Margin value of 19.25%, UVV is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
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 | 8.87% | ||
| PM (TTM) | 3.51% | ||
| GM | 19.25% |
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
UVV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for UVV has been increased compared to 1 year ago.
Compared to 5 years ago, UVV has more shares outstanding
UVV has a worse debt/assets ratio than last year.
2.2 Solvency
UVV has an Altman-Z score of 2.72. This is not the best score and indicates that UVV is in the grey zone with still only limited risk for bankruptcy at the moment.
UVV's Altman-Z score of 2.72 is fine compared to the rest of the industry. UVV outperforms 75.00% of its industry peers.
The Debt to FCF ratio of UVV is 9.36, which is on the high side as it means it would take UVV, 9.36 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of UVV (9.36) is worse than 62.50% of its industry peers.
A Debt/Equity ratio of 0.85 indicates that UVV is somewhat dependend on debt financing.
UVV has a Debt to Equity ratio (0.85) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 9.36 | ||
| Altman-Z | 2.72 |
ROIC/WACC0.86
WACC8.16%
2.3 Liquidity
UVV has a Current Ratio of 2.49. This indicates that UVV is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.49, UVV is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
UVV has a Quick Ratio of 2.49. This is a bad value and indicates that UVV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.89, UVV is doing good in the industry, outperforming 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.49 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
UVV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.35%.
Measured over the past 5 years, UVV shows a small growth in Earnings Per Share. The EPS has been growing by 5.75% on average per year.
UVV shows a small growth in Revenue. In the last year, the Revenue has grown by 4.11%.
UVV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.06% yearly.
EPS 1Y (TTM)-15.35%
EPS 3Y2.88%
EPS 5Y5.75%
EPS Q2Q%6401.92%
Revenue 1Y (TTM)4.11%
Revenue growth 3Y11.9%
Revenue growth 5Y9.06%
Sales Q2Q%-0.55%
3.2 Future
Based on estimates for the next years, UVV will show a small growth in Earnings Per Share. The EPS will grow by 6.65% on average per year.
Based on estimates for the next years, UVV will show a small growth in Revenue. The Revenue will grow by 1.24% on average per year.
EPS Next Y18.82%
EPS Next 2Y6.65%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.52%
Revenue Next 2Y1.24%
Revenue Next 3YN/A
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.51, which indicates a correct valuation of UVV.
75.00% of the companies in the same industry are more expensive than UVV, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.06, UVV is valued rather cheaply.
The Price/Forward Earnings ratio is 12.90, which indicates a correct valuation of UVV.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UVV indicates a somewhat cheap valuation: UVV is cheaper than 62.50% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of UVV to the average of the S&P500 Index (22.69), we can say UVV is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.51 | ||
| Fwd PE | 12.9 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UVV indicates a rather cheap valuation: UVV is cheaper than 100.00% of the companies listed in the same industry.
UVV's Price/Free Cash Flow ratio is rather cheap when compared to the industry. UVV is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.43 | ||
| EV/EBITDA | 5.69 |
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)0.72
PEG (5Y)2.35
EPS Next 2Y6.65%
EPS Next 3YN/A
5. Dividend
5.1 Amount
UVV has a Yearly Dividend Yield of 5.97%, which is a nice return.
UVV's Dividend Yield is rather good when compared to the industry average which is at 3.74. UVV pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, UVV pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.97% |
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
77.40% 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.
DP77.4%
EPS Next 2Y6.65%
EPS Next 3YN/A
55.51
+0.58 (+1.06%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners84.81%
Inst Owner Change-1.13%
Ins Owners1.53%
Ins Owner Change5.7%
Market Cap1.38B
Analysts0
Price Target73.44 (32.3%)
Short Float %2.54%
Short Ratio2.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.97% |
Yearly Dividend3.23
Dividend Growth(5Y)1.16%
DP77.4%
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)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.51 | ||
| Fwd PE | 12.9 | ||
| P/S | 0.47 | ||
| P/FCF | 10.43 | ||
| P/OCF | 7.5 | ||
| P/B | 0.95 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 5.69 |
EPS(TTM)4.11
EY7.4%
EPS(NY)4.3
Fwd EY7.75%
FCF(TTM)5.32
FCFY9.58%
OCF(TTM)7.41
OCFY13.34%
SpS118.28
BVpS58.61
TBVpS47.8
PEG (NY)0.72
PEG (5Y)2.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.24% | ||
| ROE | 7.09% | ||
| ROCE | 11.62% | ||
| ROIC | 7.03% | ||
| ROICexc | 7.5% | ||
| ROICexgc | 8.33% | ||
| OM | 8.87% | ||
| PM (TTM) | 3.51% | ||
| GM | 19.25% | ||
| FCFM | 4.5% |
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%
ROICexcg growth 3Y6.6%
ROICexcg 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-Score4
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 9.36 | ||
| Debt/EBITDA | 3.87 | ||
| Cap/Depr | 88.29% | ||
| Cap/Sales | 1.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 57.62% | ||
| Profit Quality | 128.04% | ||
| Current Ratio | 2.49 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 2.72 |
F-Score4
WACC8.16%
ROIC/WACC0.86
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)-15.35%
EPS 3Y2.88%
EPS 5Y5.75%
EPS Q2Q%6401.92%
EPS Next Y18.82%
EPS Next 2Y6.65%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)4.11%
Revenue growth 3Y11.9%
Revenue growth 5Y9.06%
Sales Q2Q%-0.55%
Revenue Next Year1.52%
Revenue Next 2Y1.24%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y12.67%
EBIT growth 3Y12.06%
EBIT growth 5Y12.03%
EBIT Next Year28.86%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y146.3%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y65.57%
OCF growth 3Y93.86%
OCF growth 5Y97.43%