VITRU LTD (VTRU) Stock Fundamental Analysis
USA - NASDAQ:VTRU - KYG9440D1034 - Common Stock
9.07 USD
+0.22 (+2.48%)
4 USD
-5.07 (-55.9%)
We assign a fundamental rating of 5 out of 10 to VTRU. VTRU was compared to 75 industry peers in the Diversified Consumer Services industry. While VTRU belongs to the best of the industry regarding profitability, there are concerns on its financial health. An interesting combination arises when we look at growth and value: VTRU is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
In the past year VTRU was profitable.
VTRU had a positive operating cash flow in the past year.
Of the past 5 years VTRU 4 years were profitable.
Each year in the past 5 years VTRU had a positive operating cash flow.
1.2 Ratios
VTRU has a Return On Assets (1.04%) which is in line with its industry peers.
VTRU has a Return On Equity of 2.68%. This is in the better half of the industry: VTRU outperforms 60.94% of its industry peers.
VTRU has a better Return On Invested Capital (10.10%) than 84.38% of its industry peers.
VTRU had an Average Return On Invested Capital over the past 3 years of 9.13%. This is in line with the industry average of 9.60%.
The 3 year average ROIC (9.13%) for VTRU is below the current ROIC(10.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.04% | ||
| ROE | 2.68% | ||
| ROIC | 10.1% |
ROA(3y)2.71%
ROA(5y)1.03%
ROE(3y)5.22%
ROE(5y)1.27%
ROIC(3y)9.13%
ROIC(5y)7.55%
1.3 Margins
The Profit Margin of VTRU (3.00%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of VTRU has declined.
VTRU has a better Operating Margin (33.50%) than 98.44% of its industry peers.
VTRU's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 66.60%, VTRU is in the better half of the industry, outperforming 76.56% of the companies in the same industry.
VTRU's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.5% | ||
| PM (TTM) | 3% | ||
| GM | 66.6% |
OM growth 3Y8.52%
OM growth 5Y28.56%
PM growth 3Y-17.95%
PM growth 5YN/A
GM growth 3Y4.74%
GM growth 5Y4.85%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VTRU is destroying value.
The number of shares outstanding for VTRU has been reduced compared to 1 year ago.
VTRU has more shares outstanding than it did 5 years ago.
VTRU has a worse debt/assets ratio than last year.
2.2 Solvency
VTRU has an Altman-Z score of 1.08. This is a bad value and indicates that VTRU is not financially healthy and even has some risk of bankruptcy.
VTRU has a Altman-Z score (1.08) which is in line with its industry peers.
VTRU has a Debt/Equity ratio of 1.05. This is a high value indicating a heavy dependency on external financing.
VTRU has a worse Debt to Equity ratio (1.05) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.08 |
ROIC/WACC0.64
WACC15.73%
2.3 Liquidity
VTRU has a Current Ratio of 1.22. This is a normal value and indicates that VTRU is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.22, VTRU perfoms like the industry average, outperforming 48.44% of the companies in the same industry.
VTRU has a Quick Ratio of 1.22. This is a normal value and indicates that VTRU is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.22, VTRU is in line with its industry, outperforming 48.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.14% over the past year.
Measured over the past years, VTRU shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.58% on average per year.
The Revenue has grown by 27.72% in the past year. This is a very strong growth!
VTRU shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 38.62% yearly.
EPS 1Y (TTM)2.14%
EPS 3Y12.58%
EPS 5YN/A
EPS Q2Q%-84.84%
Revenue 1Y (TTM)27.72%
Revenue growth 3Y55.77%
Revenue growth 5Y38.62%
Sales Q2Q%13.53%
3.2 Future
Based on estimates for the next years, VTRU will show a very strong growth in Earnings Per Share. The EPS will grow by 22.32% on average per year.
The Revenue is expected to grow by 9.69% on average over the next years. This is quite good.
EPS Next Y21.68%
EPS Next 2Y17.47%
EPS Next 3Y31.76%
EPS Next 5Y22.32%
Revenue Next Year13.46%
Revenue Next 2Y13.58%
Revenue Next 3Y9.69%
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.
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 6.92, the valuation of VTRU can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of VTRU indicates a rather cheap valuation: VTRU is cheaper than 90.63% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of VTRU to the average of the S&P500 Index (27.02), we can say VTRU is valued rather cheaply.
With a Price/Forward Earnings ratio of 5.01, the valuation of VTRU can be described as very cheap.
Based on the Price/Forward Earnings ratio, VTRU is valued cheaper than 93.75% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.57. VTRU is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.92 | ||
| Fwd PE | 5.01 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VTRU is valued cheaper than 89.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.93 |
4.3 Compensation for Growth
VTRU's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of VTRU may justify a higher PE ratio.
A more expensive valuation may be justified as VTRU's earnings are expected to grow with 31.76% in the coming years.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y17.47%
EPS Next 3Y31.76%
5. Dividend
5.1 Amount
No dividends for VTRU!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
9.07
+0.22 (+2.48%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners0.06%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap304.21M
Analysts83.64
Price Target22.7 (150.28%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
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)-10.4%
PT rev (3m)-13.31%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)-16.43%
EPS NY rev (3m)-26.38%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.72%
Revenue NY rev (3m)-2.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.92 | ||
| Fwd PE | 5.01 | ||
| P/S | 0.81 | ||
| P/FCF | N/A | ||
| P/OCF | 6.03 | ||
| P/B | 0.72 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.93 |
EPS(TTM)1.31
EY14.44%
EPS(NY)1.81
Fwd EY19.96%
FCF(TTM)-1.9
FCFYN/A
OCF(TTM)1.5
OCFY16.58%
SpS11.24
BVpS12.57
TBVpS-11.43
PEG (NY)0.32
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.04% | ||
| ROE | 2.68% | ||
| ROCE | 12.79% | ||
| ROIC | 10.1% | ||
| ROICexc | 10.86% | ||
| ROICexgc | 87.95% | ||
| OM | 33.5% | ||
| PM (TTM) | 3% | ||
| GM | 66.6% | ||
| FCFM | N/A |
ROA(3y)2.71%
ROA(5y)1.03%
ROE(3y)5.22%
ROE(5y)1.27%
ROIC(3y)9.13%
ROIC(5y)7.55%
ROICexc(3y)10.69%
ROICexc(5y)9.95%
ROICexgc(3y)53.97%
ROICexgc(5y)85.37%
ROCE(3y)11.56%
ROCE(5y)9.56%
ROICexcg growth 3Y-35.93%
ROICexcg growth 5Y18.15%
ROICexc growth 3Y-12.84%
ROICexc growth 5Y23.98%
OM growth 3Y8.52%
OM growth 5Y28.56%
PM growth 3Y-17.95%
PM growth 5YN/A
GM growth 3Y4.74%
GM growth 5Y4.85%
F-Score6
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.05 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.67 | ||
| Cap/Depr | 285.95% | ||
| Cap/Sales | 30.23% | ||
| Interest Coverage | 1.82 | ||
| Cash Conversion | 30.35% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.22 | ||
| Altman-Z | 1.08 |
F-Score6
WACC15.73%
ROIC/WACC0.64
Cap/Depr(3y)834.9%
Cap/Depr(5y)617.34%
Cap/Sales(3y)80.63%
Cap/Sales(5y)61.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.14%
EPS 3Y12.58%
EPS 5YN/A
EPS Q2Q%-84.84%
EPS Next Y21.68%
EPS Next 2Y17.47%
EPS Next 3Y31.76%
EPS Next 5Y22.32%
Revenue 1Y (TTM)27.72%
Revenue growth 3Y55.77%
Revenue growth 5Y38.62%
Sales Q2Q%13.53%
Revenue Next Year13.46%
Revenue Next 2Y13.58%
Revenue Next 3Y9.69%
Revenue Next 5YN/A
EBIT growth 1Y39.36%
EBIT growth 3Y69.04%
EBIT growth 5Y78.21%
EBIT Next Year105.6%
EBIT Next 3Y36.83%
EBIT Next 5YN/A
FCF growth 1Y-232.34%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y260.2%
OCF growth 3Y44.6%
OCF growth 5Y35.52%