13.5 USD
-0.32 (-2.32%)
13.48 USD
-0.02 (-0.15%)
Taking everything into account, VOD scores 4 out of 10 in our fundamental rating. VOD was compared to 22 industry peers in the Wireless Telecommunication Services industry. VOD scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. VOD has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year VOD was profitable.
VOD had a positive operating cash flow in the past year.
Of the past 5 years VOD 4 years were profitable.
VOD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VOD has a worse Return On Assets (-3.24%) than 81.82% of its industry peers.
VOD's Return On Equity of -7.90% is on the low side compared to the rest of the industry. VOD is outperformed by 81.82% of its industry peers.
VOD has a Return On Invested Capital (3.69%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for VOD is below the industry average of 6.34%.
The 3 year average ROIC (2.95%) for VOD is below the current ROIC(3.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.24% | ||
| ROE | -7.9% | ||
| ROIC | 3.69% |
ROA(3y)1.72%
ROA(5y)1.33%
ROE(3y)4.22%
ROE(5y)3.37%
ROIC(3y)2.95%
ROIC(5y)3.04%
1.3 Margins
Looking at the Operating Margin, with a value of 13.19%, VOD is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Operating Margin of VOD has declined.
With a Gross Margin value of 33.43%, VOD is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
VOD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.19% | ||
| PM (TTM) | N/A | ||
| GM | 33.43% |
OM growth 3Y3.5%
OM growth 5Y-6.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.51%
GM growth 5Y1.02%
2. Health
2.1 Basic Checks
VOD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, VOD has less shares outstanding
Compared to 5 years ago, VOD has less shares outstanding
The debt/assets ratio for VOD is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.65, we must say that VOD is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.65, VOD is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
VOD has a debt to FCF ratio of 6.72. This is a slightly negative value and a sign of low solvency as VOD would need 6.72 years to pay back of all of its debts.
VOD has a Debt to FCF ratio of 6.72. This is comparable to the rest of the industry: VOD outperforms 50.00% of its industry peers.
VOD has a Debt/Equity ratio of 0.87. This is a neutral value indicating VOD is somewhat dependend on debt financing.
VOD has a Debt to Equity ratio of 0.87. This is comparable to the rest of the industry: VOD outperforms 45.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 6.72 | ||
| Altman-Z | -0.65 |
ROIC/WACC0.63
WACC5.89%
2.3 Liquidity
VOD has a Current Ratio of 1.26. This is a normal value and indicates that VOD is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of VOD (1.26) is better than 81.82% of its industry peers.
VOD has a Quick Ratio of 1.23. This is a normal value and indicates that VOD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.23, VOD belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.33% over the past year.
Measured over the past 5 years, VOD shows a small growth in Earnings Per Share. The EPS has been growing by 5.84% on average per year.
VOD shows a small growth in Revenue. In the last year, the Revenue has grown by 1.99%.
Measured over the past years, VOD shows a decrease in Revenue. The Revenue has been decreasing by -3.60% on average per year.
EPS 1Y (TTM)5.33%
EPS 3Y-10.45%
EPS 5Y5.84%
EPS Q2Q%-14.07%
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-6.34%
Revenue growth 5Y-3.6%
Sales Q2Q%7.29%
3.2 Future
Based on estimates for the next years, VOD will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.41% on average per year.
Based on estimates for the next years, VOD will show a small growth in Revenue. The Revenue will grow by 1.73% on average per year.
EPS Next Y6.68%
EPS Next 2Y9.52%
EPS Next 3Y11.06%
EPS Next 5Y13.41%
Revenue Next Year6.57%
Revenue Next 2Y4.67%
Revenue Next 3Y3.68%
Revenue Next 5Y1.73%
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.
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
VOD is valuated correctly with a Price/Earnings ratio of 14.21.
Based on the Price/Earnings ratio, VOD is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of VOD to the average of the S&P500 Index (27.19), we can say VOD is valued slightly cheaper.
VOD is valuated reasonably with a Price/Forward Earnings ratio of 11.80.
The rest of the industry has a similar Price/Forward Earnings ratio as VOD.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, VOD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.21 | ||
| Fwd PE | 11.8 |
4.2 Price Multiples
90.91% of the companies in the same industry are more expensive than VOD, based on the Enterprise Value to EBITDA ratio.
95.45% of the companies in the same industry are more expensive than VOD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.49 | ||
| EV/EBITDA | 3.37 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.13
PEG (5Y)2.44
EPS Next 2Y9.52%
EPS Next 3Y11.06%
5. Dividend
5.1 Amount
VOD has a Yearly Dividend Yield of 3.97%.
VOD's Dividend Yield is comparable with the industry average which is at 5.49.
Compared to an average S&P500 Dividend Yield of 1.94, VOD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
5.2 History
The dividend of VOD decreases each year by -4.17%.
VOD has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-4.17%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
VOD has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-27.44%
EPS Next 2Y9.52%
EPS Next 3Y11.06%
13.5
-0.32 (-2.32%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners61.35%
Inst Owner Change0%
Ins Owners0.84%
Ins Owner ChangeN/A
Market Cap32.18B
Revenue(TTM)37.45B
Net Income(TTM)-4.17B
Analysts54.81
Price Target12.71 (-5.85%)
Short Float %0.52%
Short Ratio1.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
Yearly Dividend0.83
Dividend Growth(5Y)-4.17%
DP-27.44%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)7.73%
PT rev (3m)9.66%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-4.3%
EPS NY rev (3m)-7.48%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.21 | ||
| Fwd PE | 11.8 | ||
| P/S | 0.74 | ||
| P/FCF | 3.49 | ||
| P/OCF | 1.86 | ||
| P/B | 0.52 | ||
| P/tB | 1.43 | ||
| EV/EBITDA | 3.37 |
EPS(TTM)0.95
EY7.04%
EPS(NY)1.14
Fwd EY8.47%
FCF(TTM)3.87
FCFY28.68%
OCF(TTM)7.26
OCFY53.77%
SpS18.34
BVpS25.83
TBVpS9.46
PEG (NY)2.13
PEG (5Y)2.44
Graham Number23.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.24% | ||
| ROE | -7.9% | ||
| ROCE | 4.67% | ||
| ROIC | 3.69% | ||
| ROICexc | 4.47% | ||
| ROICexgc | 7.24% | ||
| OM | 13.19% | ||
| PM (TTM) | N/A | ||
| GM | 33.43% | ||
| FCFM | 21.11% |
ROA(3y)1.72%
ROA(5y)1.33%
ROE(3y)4.22%
ROE(5y)3.37%
ROIC(3y)2.95%
ROIC(5y)3.04%
ROICexc(3y)3.44%
ROICexc(5y)3.51%
ROICexgc(3y)5.61%
ROICexgc(5y)6.14%
ROCE(3y)3.86%
ROCE(5y)3.97%
ROICexgc growth 3Y-3.2%
ROICexgc growth 5Y-6.95%
ROICexc growth 3Y3.53%
ROICexc growth 5Y-4.45%
OM growth 3Y3.5%
OM growth 5Y-6.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.51%
GM growth 5Y1.02%
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 6.72 | ||
| Debt/EBITDA | 2.8 | ||
| Cap/Depr | 59.99% | ||
| Cap/Sales | 18.47% | ||
| Interest Coverage | 2.24 | ||
| Cash Conversion | 90% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | -0.65 |
F-Score6
WACC5.89%
ROIC/WACC0.63
Cap/Depr(3y)65.18%
Cap/Depr(5y)64.45%
Cap/Sales(3y)18.91%
Cap/Sales(5y)19.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.33%
EPS 3Y-10.45%
EPS 5Y5.84%
EPS Q2Q%-14.07%
EPS Next Y6.68%
EPS Next 2Y9.52%
EPS Next 3Y11.06%
EPS Next 5Y13.41%
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-6.34%
Revenue growth 5Y-3.6%
Sales Q2Q%7.29%
Revenue Next Year6.57%
Revenue Next 2Y4.67%
Revenue Next 3Y3.68%
Revenue Next 5Y1.73%
EBIT growth 1Y33.65%
EBIT growth 3Y-3.06%
EBIT growth 5Y-9.83%
EBIT Next Year168.65%
EBIT Next 3Y45.04%
EBIT Next 5Y23.96%
FCF growth 1Y-7.75%
FCF growth 3Y-1.3%
FCF growth 5Y-2.36%
OCF growth 1Y-14.42%
OCF growth 3Y-5.26%
OCF growth 5Y-2.42%
VODAFONE GROUP PLC-SP ADR / VOD FAQ
What is the fundamental rating for VOD stock?
ChartMill assigns a fundamental rating of 4 / 10 to VOD.
What is the valuation status of VODAFONE GROUP PLC-SP ADR (VOD) stock?
ChartMill assigns a valuation rating of 6 / 10 to VODAFONE GROUP PLC-SP ADR (VOD). This can be considered as Fairly Valued.
What is the profitability of VOD stock?
VODAFONE GROUP PLC-SP ADR (VOD) has a profitability rating of 3 / 10.
What is the expected EPS growth for VODAFONE GROUP PLC-SP ADR (VOD) stock?
The Earnings per Share (EPS) of VODAFONE GROUP PLC-SP ADR (VOD) is expected to grow by 6.68% in the next year.
Can you provide the dividend sustainability for VOD stock?
The dividend rating of VODAFONE GROUP PLC-SP ADR (VOD) is 3 / 10 and the dividend payout ratio is -27.44%.