Uncover the potential of LIVANOVA PLC (NASDAQ:LIVN) as our stock screener's choice for an undervalued stock. LIVN maintains a strong financial position and offers an appealing valuation. We'll delve into the specifics below.

Deciphering LIVN's Valuation Rating
To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. LIVN has achieved a 8 out of 10:
- Based on the Price/Earnings ratio of 10.41, the valuation of LIVN can be described as reasonable.
- Based on the Price/Earnings ratio, LIVN is valued cheaply inside the industry as 93.68% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 28.13. LIVN is valued rather cheaply when compared to this.
- LIVN is valuated reasonably with a Price/Forward Earnings ratio of 9.58.
- LIVN's Price/Forward Earnings ratio is rather cheap when compared to the industry. LIVN is cheaper than 95.26% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 21.03. LIVN is valued rather cheaply when compared to this.
- Based on the Enterprise Value to EBITDA ratio, LIVN is valued cheaper than 88.42% of the companies in the same industry.
- LIVN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. LIVN is cheaper than 91.05% of the companies in the same industry.
- LIVN has a very decent profitability rating, which may justify a higher PE ratio.
Profitability Examination for LIVN
ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For LIVN, the assigned 6 is a significant indicator of profitability:
- With a decent Return On Assets value of 2.52%, LIVN is doing good in the industry, outperforming 77.37% of the companies in the same industry.
- LIVN's Return On Equity of 4.79% is fine compared to the rest of the industry. LIVN outperforms 78.95% of its industry peers.
- LIVN's Return On Invested Capital of 5.49% is fine compared to the rest of the industry. LIVN outperforms 79.47% of its industry peers.
- The 3 year average ROIC (3.45%) for LIVN is below the current ROIC(5.49%), indicating increased profibility in the last year.
- With a decent Profit Margin value of 5.04%, LIVN is doing good in the industry, outperforming 76.84% of the companies in the same industry.
- LIVN has a better Operating Margin (12.93%) than 81.05% of its industry peers.
- In the last couple of years the Operating Margin of LIVN has grown nicely.
- LIVN has a better Gross Margin (69.48%) than 77.37% of its industry peers.
A Closer Look at Health for LIVN
A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. LIVN has received a 5 out of 10:
- Looking at the Debt to FCF ratio, with a value of 4.62, LIVN belongs to the top of the industry, outperforming 82.11% of the companies in the same industry.
- LIVN has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
- LIVN has a Current Ratio of 2.87. This indicates that LIVN is financially healthy and has no problem in meeting its short term obligations.
- LIVN has a Quick Ratio of 2.50. This indicates that LIVN is financially healthy and has no problem in meeting its short term obligations.
A Closer Look at Growth for LIVN
To evaluate a stock's growth potential, ChartMill utilizes a Growth Rating on a scale of 0 to 10. This comprehensive assessment considers various growth aspects, including historical and estimated EPS and revenue growth. LIVN has achieved a 5 out of 10:
- LIVN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.93%, which is quite good.
- Looking at the last year, LIVN shows a quite strong growth in Revenue. The Revenue has grown by 8.66% in the last year.
- The Earnings Per Share is expected to grow by 10.69% on average over the next years. This is quite good.
- 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.
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Our latest full fundamental report of LIVN contains the most current fundamental analsysis.
Keep in mind
This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.