DENTSPLY SIRONA INC (XRAY) Stock Fundamental Analysis
NASDAQ:XRAY - Nasdaq - US24906P1093 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to XRAY. XRAY was compared to 188 industry peers in the Health Care Equipment & Supplies industry. XRAY has a medium profitability rating, but doesn't score so well on its financial health evaluation. XRAY has a bad growth rate and is valued cheaply. XRAY also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year XRAY was profitable.
In the past year XRAY had a positive cash flow from operations.
XRAY had negative earnings in 4 of the past 5 years.
XRAY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
XRAY has a Return On Assets (-15.01%) which is comparable to the rest of the industry.
With a Return On Equity value of -45.17%, XRAY perfoms like the industry average, outperforming 51.60% of the companies in the same industry.
The Return On Invested Capital of XRAY (4.66%) is better than 78.72% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for XRAY is below the industry average of 7.71%.
The last Return On Invested Capital (4.66%) for XRAY is above the 3 year average (4.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.01% | ||
| ROE | -45.17% | ||
| ROIC | 4.66% |
ROA(3y)-10.01%
ROA(5y)-5.27%
ROE(3y)-25.27%
ROE(5y)-13.81%
ROIC(3y)4.11%
ROIC(5y)4.26%
1.3 Margins
Looking at the Operating Margin, with a value of 6.75%, XRAY is in the better half of the industry, outperforming 75.53% of the companies in the same industry.
In the last couple of years the Operating Margin of XRAY has declined.
XRAY has a Gross Margin (51.84%) which is in line with its industry peers.
XRAY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.75% | ||
| PM (TTM) | N/A | ||
| GM | 51.84% |
OM growth 3Y-25.8%
OM growth 5Y-12.74%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.16%
GM growth 5Y-0.95%
2. Health
2.1 Basic Checks
XRAY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
XRAY has less shares outstanding than it did 1 year ago.
XRAY has less shares outstanding than it did 5 years ago.
XRAY has a worse debt/assets ratio than last year.
2.2 Solvency
XRAY has an Altman-Z score of 1.08. This is a bad value and indicates that XRAY is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.08, XRAY is in line with its industry, outperforming 51.06% of the companies in the same industry.
The Debt to FCF ratio of XRAY is 8.40, which is on the high side as it means it would take XRAY, 8.40 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 8.40, XRAY is doing good in the industry, outperforming 76.06% of the companies in the same industry.
A Debt/Equity ratio of 0.79 indicates that XRAY is somewhat dependend on debt financing.
XRAY has a worse Debt to Equity ratio (0.79) than 72.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 8.4 | ||
| Altman-Z | 1.08 |
ROIC/WACC0.69
WACC6.78%
2.3 Liquidity
A Current Ratio of 1.10 indicates that XRAY should not have too much problems paying its short term obligations.
The Current ratio of XRAY (1.10) is worse than 85.11% of its industry peers.
A Quick Ratio of 0.76 indicates that XRAY may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.76, XRAY is doing worse than 86.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
XRAY shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.68%.
The Earnings Per Share has been decreasing by -7.38% on average over the past years.
XRAY shows a decrease in Revenue. In the last year, the revenue decreased by -5.61%.
Measured over the past years, XRAY shows a decrease in Revenue. The Revenue has been decreasing by -1.17% on average per year.
EPS 1Y (TTM)-9.68%
EPS 3Y-16.51%
EPS 5Y-7.38%
EPS Q2Q%2.38%
Revenue 1Y (TTM)-5.61%
Revenue growth 3Y-3.58%
Revenue growth 5Y-1.17%
Sales Q2Q%-7.76%
3.2 Future
Based on estimates for the next years, XRAY will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.20% on average per year.
Based on estimates for the next years, XRAY will show a small growth in Revenue. The Revenue will grow by 1.39% on average per year.
EPS Next Y13.24%
EPS Next 2Y11.26%
EPS Next 3Y10.85%
EPS Next 5Y14.2%
Revenue Next Year-4.51%
Revenue Next 2Y-1.05%
Revenue Next 3Y0.21%
Revenue Next 5Y1.39%
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
XRAY is valuated reasonably with a Price/Earnings ratio of 9.51.
XRAY's Price/Earnings ratio is rather cheap when compared to the industry. XRAY is cheaper than 95.21% of the companies in the same industry.
XRAY's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.25.
With a Price/Forward Earnings ratio of 7.73, the valuation of XRAY can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of XRAY indicates a rather cheap valuation: XRAY is cheaper than 95.21% of the companies listed in the same industry.
XRAY is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.15, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.51 | ||
| Fwd PE | 7.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, XRAY is valued cheaply inside the industry as 93.09% of the companies are valued more expensively.
XRAY's Price/Free Cash Flow ratio is rather cheap when compared to the industry. XRAY is cheaper than 93.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.46 | ||
| EV/EBITDA | 8.75 |
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)N/A
EPS Next 2Y11.26%
EPS Next 3Y10.85%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.04%, XRAY is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.86, XRAY pays a better dividend. On top of this XRAY pays more dividend than 98.94% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, XRAY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.04% |
5.2 History
The dividend of XRAY is nicely growing with an annual growth rate of 11.21%!
XRAY has been paying a dividend for at least 10 years, so it has a reliable track record.
XRAY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.21%
Div Incr Years5
Div Non Decr Years29
5.3 Sustainability
The earnings of XRAY are negative and hence is the payout ratio. XRAY will probably not be able to sustain this dividend level.
The dividend of XRAY is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-14.21%
EPS Next 2Y11.26%
EPS Next 3Y10.85%
15.98
-0.35 (-2.14%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners104.71%
Inst Owner Change0.97%
Ins Owners0.25%
Ins Owner Change2.42%
Market Cap3.18B
Analysts70.43
Price Target18.32 (14.64%)
Short Float %4.15%
Short Ratio2.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.04% |
Yearly Dividend0.62
Dividend Growth(5Y)11.21%
DP-14.21%
Div Incr Years5
Div Non Decr Years29
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)2.42%
Min EPS beat(2)-40.52%
Max EPS beat(2)45.37%
EPS beat(4)2
Avg EPS beat(4)1.53%
Min EPS beat(4)-40.52%
Max EPS beat(4)45.37%
EPS beat(8)3
Avg EPS beat(8)2.46%
EPS beat(12)6
Avg EPS beat(12)5.25%
EPS beat(16)8
Avg EPS beat(16)3.68%
Revenue beat(2)1
Avg Revenue beat(2)-1.42%
Min Revenue beat(2)-3.62%
Max Revenue beat(2)0.77%
Revenue beat(4)1
Avg Revenue beat(4)-1.66%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)0.77%
Revenue beat(8)3
Avg Revenue beat(8)-1.57%
Revenue beat(12)5
Avg Revenue beat(12)-1.53%
Revenue beat(16)6
Avg Revenue beat(16)-1.71%
PT rev (1m)-9.45%
PT rev (3m)-19.68%
EPS NQ rev (1m)10.94%
EPS NQ rev (3m)1.53%
EPS NY rev (1m)1.91%
EPS NY rev (3m)-2.68%
Revenue NQ rev (1m)1.88%
Revenue NQ rev (3m)-3.2%
Revenue NY rev (1m)1.67%
Revenue NY rev (3m)-2.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.51 | ||
| Fwd PE | 7.73 | ||
| P/S | 0.86 | ||
| P/FCF | 11.46 | ||
| P/OCF | 7.19 | ||
| P/B | 1.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.75 |
EPS(TTM)1.68
EY10.51%
EPS(NY)2.07
Fwd EY12.94%
FCF(TTM)1.39
FCFY8.73%
OCF(TTM)2.22
OCFY13.91%
SpS18.66
BVpS10.09
TBVpS-4.18
PEG (NY)0.72
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15.01% | ||
| ROE | -45.17% | ||
| ROCE | 5.9% | ||
| ROIC | 4.66% | ||
| ROICexc | 5.14% | ||
| ROICexgc | 19.54% | ||
| OM | 6.75% | ||
| PM (TTM) | N/A | ||
| GM | 51.84% | ||
| FCFM | 7.48% |
ROA(3y)-10.01%
ROA(5y)-5.27%
ROE(3y)-25.27%
ROE(5y)-13.81%
ROIC(3y)4.11%
ROIC(5y)4.26%
ROICexc(3y)4.36%
ROICexc(5y)4.5%
ROICexgc(3y)15.64%
ROICexgc(5y)20.94%
ROCE(3y)5.38%
ROCE(5y)5.49%
ROICexcg growth 3Y-31.16%
ROICexcg growth 5Y-12.42%
ROICexc growth 3Y-13.44%
ROICexc growth 5Y-4.44%
OM growth 3Y-25.8%
OM growth 5Y-12.74%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.16%
GM growth 5Y-0.95%
F-Score3
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 8.4 | ||
| Debt/EBITDA | 2.69 | ||
| Cap/Depr | 48.25% | ||
| Cap/Sales | 4.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.7% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 1.08 |
F-Score3
WACC6.78%
ROIC/WACC0.69
Cap/Depr(3y)46.81%
Cap/Depr(5y)41.51%
Cap/Sales(3y)4.1%
Cap/Sales(5y)3.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-9.68%
EPS 3Y-16.51%
EPS 5Y-7.38%
EPS Q2Q%2.38%
EPS Next Y13.24%
EPS Next 2Y11.26%
EPS Next 3Y10.85%
EPS Next 5Y14.2%
Revenue 1Y (TTM)-5.61%
Revenue growth 3Y-3.58%
Revenue growth 5Y-1.17%
Sales Q2Q%-7.76%
Revenue Next Year-4.51%
Revenue Next 2Y-1.05%
Revenue Next 3Y0.21%
Revenue Next 5Y1.39%
EBIT growth 1Y-11.93%
EBIT growth 3Y-28.45%
EBIT growth 5Y-13.75%
EBIT Next Year49.44%
EBIT Next 3Y19.3%
EBIT Next 5Y17.85%
FCF growth 1Y7.34%
FCF growth 3Y-18.29%
FCF growth 5Y-11.45%
OCF growth 1Y9.93%
OCF growth 3Y-11.14%
OCF growth 5Y-6.32%