DENTSPLY SIRONA INC (XRAY) Stock Fundamental Analysis
NASDAQ:XRAY - Nasdaq - US24906P1093 - Common Stock - Currency: USD
Taking everything into account, XRAY scores 4 out of 10 in our fundamental rating. XRAY was compared to 187 industry peers in the Health Care Equipment & Supplies industry. There are concerns on the financial health of XRAY while its profitability can be described as average. XRAY is cheap, but on the other hand it scores bad on growth.
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.
In the past 5 years XRAY always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -15.01%, XRAY is in line with its industry, outperforming 55.08% of the companies in the same industry.
The Return On Equity of XRAY (-45.17%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 4.66%, XRAY is in the better half of the industry, outperforming 78.07% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for XRAY is below the industry average of 7.89%.
The 3 year average ROIC (4.11%) for XRAY is below the current ROIC(4.66%), indicating increased profibility in the last year.
| 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
The Operating Margin of XRAY (6.75%) is better than 75.40% of its industry peers.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so XRAY 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.
Compared to 1 year ago, XRAY has a worse debt to assets ratio.
2.2 Solvency
XRAY has an Altman-Z score of 1.07. This is a bad value and indicates that XRAY is not financially healthy and even has some risk of bankruptcy.
XRAY's Altman-Z score of 1.07 is in line compared to the rest of the industry. XRAY outperforms 50.27% of its industry peers.
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.
The Debt to FCF ratio of XRAY (8.40) is better than 76.47% of its industry peers.
A Debt/Equity ratio of 0.79 indicates that XRAY is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.79, XRAY is not doing good in the industry: 73.80% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.79 | ||
| Debt/FCF | 8.4 | ||
| Altman-Z | 1.07 |
ROIC/WACC0.69
WACC6.79%
2.3 Liquidity
A Current Ratio of 1.10 indicates that XRAY should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.10, XRAY is doing worse than 87.17% of the companies in the same industry.
A Quick Ratio of 0.76 indicates that XRAY may have some problems paying its short term obligations.
With a Quick ratio value of 0.76, XRAY is not doing good in the industry: 87.70% of the companies in the same industry are doing better.
| 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%.
XRAY shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.38% yearly.
The Revenue has decreased by -5.61% in the past year.
XRAY shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.17% yearly.
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
XRAY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.35% yearly.
XRAY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.07% yearly.
EPS Next Y15.88%
EPS Next 2Y11.8%
EPS Next 3Y11.11%
EPS Next 5Y9.35%
Revenue Next Year-4.12%
Revenue Next 2Y-0.81%
Revenue Next 3Y0.45%
Revenue Next 5Y1.07%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.52 indicates a reasonable valuation of XRAY.
Based on the Price/Earnings ratio, XRAY is valued cheaper than 95.72% of the companies in the same industry.
When comparing the Price/Earnings ratio of XRAY to the average of the S&P500 Index (27.52), we can say XRAY is valued rather cheaply.
A Price/Forward Earnings ratio of 7.67 indicates a rather cheap valuation of XRAY.
Based on the Price/Forward Earnings ratio, XRAY is valued cheaper than 97.33% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of XRAY to the average of the S&P500 Index (35.58), we can say XRAY is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 7.67 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, XRAY is valued cheaply inside the industry as 93.58% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, XRAY is valued cheaper than 95.72% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.47 | ||
| EV/EBITDA | 8.71 |
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)0.6
PEG (5Y)N/A
EPS Next 2Y11.8%
EPS Next 3Y11.11%
5. Dividend
5.1 Amount
XRAY has a Yearly Dividend Yield of 3.85%.
Compared to an average industry Dividend Yield of 1.75, XRAY pays a better dividend. On top of this XRAY pays more dividend than 98.93% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, XRAY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
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 Years6
Div Non Decr Years30
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.
XRAY's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP-14.21%
EPS Next 2Y11.8%
EPS Next 3Y11.11%
16
-0.21 (-1.3%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners104.5%
Inst Owner Change0.01%
Ins Owners0.33%
Ins Owner Change6.86%
Market Cap3.19B
Analysts70.43
Price Target18.4 (15%)
Short Float %4.22%
Short Ratio3.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.85% |
Yearly Dividend0.62
Dividend Growth(5Y)11.21%
DP-14.21%
Div Incr Years6
Div Non Decr Years30
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)0%
PT rev (3m)-9.03%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.68%
EPS NY rev (1m)2.34%
EPS NY rev (3m)4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.88%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)2.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 7.67 | ||
| P/S | 0.86 | ||
| P/FCF | 11.47 | ||
| P/OCF | 7.2 | ||
| P/B | 1.59 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.71 |
EPS(TTM)1.68
EY10.5%
EPS(NY)2.09
Fwd EY13.05%
FCF(TTM)1.39
FCFY8.72%
OCF(TTM)2.22
OCFY13.89%
SpS18.66
BVpS10.09
TBVpS-4.18
PEG (NY)0.6
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 | 1.07 |
F-Score3
WACC6.79%
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 Y15.88%
EPS Next 2Y11.8%
EPS Next 3Y11.11%
EPS Next 5Y9.35%
Revenue 1Y (TTM)-5.61%
Revenue growth 3Y-3.58%
Revenue growth 5Y-1.17%
Sales Q2Q%-7.76%
Revenue Next Year-4.12%
Revenue Next 2Y-0.81%
Revenue Next 3Y0.45%
Revenue Next 5Y1.07%
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 5Y10.5%
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%