UNIVERSAL CORP/VA (UVV) Stock Fundamental Analysis
USA - NYSE:UVV - US9134561094 - Common Stock
52.17 USD
-0.75 (-1.42%)
53.2 USD
+1.03 (+1.97%)
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. Both the profitability and the financial health of UVV get a neutral evaluation. Nothing too spectacular is happening here. UVV may be a bit undervalued, certainly considering the very reasonable score on growth UVV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UVV had positive earnings in the past year.
In the past year UVV had a positive cash flow from operations.
Each year in the past 5 years UVV has 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's Return On Assets of 3.64% is in line compared to the rest of the industry. UVV outperforms 50.00% of its industry peers.
Looking at the Return On Equity, with a value of 7.59%, UVV belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
With a decent Return On Invested Capital value of 6.93%, UVV is doing good in the industry, outperforming 62.50% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for UVV is significantly below the industry average of 14.16%.
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 in line with its industry peers.
UVV's Operating Margin has improved in the last couple of years.
The Gross Margin of UVV (18.86%) is worse than 62.50% of its industry peers.
UVV's Gross Margin has been stable in the last couple of years.
| 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.
Compared to 5 years ago, UVV has more shares outstanding
Compared to 1 year ago, UVV has a worse debt to assets ratio.
2.2 Solvency
UVV has an Altman-Z score of 2.83. 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.
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.
The Debt to FCF ratio of UVV is 7.37, which is on the high side as it means it would take UVV, 7.37 years of fcf income to pay off 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.
UVV has a better Debt to Equity ratio (0.79) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 7.37 | ||
| Altman-Z | 2.83 |
ROIC/WACC0.75
WACC9.22%
2.3 Liquidity
A Current Ratio of 2.70 indicates that UVV has no problem at all paying its short term obligations.
UVV's Current ratio of 2.70 is fine compared to the rest of the industry. UVV outperforms 75.00% of its industry peers.
A Quick Ratio of 0.91 indicates that UVV may have some problems paying its short term obligations.
UVV's Quick ratio of 0.91 is fine compared to the rest of the industry. UVV outperforms 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.7 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for UVV have decreased by -6.89% in the last year.
UVV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.75% yearly.
Looking at the last year, UVV shows a small growth in Revenue. The Revenue has grown by 3.01% in the last year.
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 1.24% on average over the next years.
EPS Next Y26.56%
EPS Next 2Y10.95%
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 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
UVV is valuated reasonably with a Price/Earnings ratio of 11.75.
Compared to the rest of the industry, the Price/Earnings ratio of UVV indicates a somewhat cheap valuation: UVV is cheaper than 75.00% of the companies listed in the same industry.
UVV is valuated cheaply when we compare the Price/Earnings ratio to 25.56, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 11.20 indicates a reasonable valuation of UVV.
Based on the Price/Forward Earnings ratio, UVV is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of UVV to the average of the S&P500 Index (34.62), we can say UVV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.75 | ||
| Fwd PE | 11.2 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UVV is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
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 | 8.26 | ||
| EV/EBITDA | 6.02 |
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)0.44
PEG (5Y)2.04
EPS Next 2Y10.95%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.20%, UVV is a good candidate for dividend investing.
UVV's Dividend Yield is rather good when compared to the industry average which is at 4.60. UVV pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, UVV pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.2% |
5.2 History
The dividend of UVV has a limited annual growth rate of 1.16%.
UVV has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.16%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
UVV pays out 72.07% of its income as dividend. 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
52.17
-0.75 (-1.42%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryTobacco
Earnings (Last)
Earnings (Next)
Inst Owners85.07%
Inst Owner Change0.75%
Ins Owners1.53%
Ins Owner Change6.73%
Market Cap1.30B
Revenue(TTM)2.99B
Net Income(TTM)111.64M
Analysts0
Price Target79.56 (52.5%)
Short Float %3.61%
Short Ratio4.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.2% |
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)N/A
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.75 | ||
| Fwd PE | 11.2 | ||
| P/S | 0.43 | ||
| P/FCF | 8.26 | ||
| P/OCF | 6.43 | ||
| P/B | 0.88 | ||
| P/tB | 1.08 | ||
| EV/EBITDA | 6.02 |
EPS(TTM)4.44
EY8.51%
EPS(NY)4.66
Fwd EY8.92%
FCF(TTM)6.31
FCFY12.1%
OCF(TTM)8.12
OCFY15.56%
SpS120.02
BVpS59.06
TBVpS48.35
PEG (NY)0.44
PEG (5Y)2.04
Graham Number76.81
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 Y26.56%
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 Year1.52%
Revenue Next 2Y1.24%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-1.46%
EBIT growth 3Y12.06%
EBIT growth 5Y12.03%
EBIT Next Year33.84%
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 7 / 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 11.75 and the Price/Book (PB) ratio is 0.88.
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%.