BAXTER INTERNATIONAL INC (1BAX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1BAX - US0718131099 - Common Stock
30.905 EUR
+0.18 (+0.57%)
We assign a fundamental rating of 3 out of 10 to 1BAX. 1BAX was compared to 63 industry peers in the Health Care Equipment & Supplies industry. 1BAX may be in some trouble as it scores bad on both profitability and health. 1BAX has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1BAX had positive earnings in the past year.
In the past year 1BAX had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: 1BAX reported negative net income in multiple years.
1BAX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -2.52%, 1BAX is in line with its industry, outperforming 40.35% of the companies in the same industry.
Looking at the Return On Equity, with a value of -9.32%, 1BAX is in line with its industry, outperforming 40.35% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 3.45%, 1BAX is in line with its industry, outperforming 49.12% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1BAX is significantly below the industry average of 9.35%.
The last Return On Invested Capital (3.45%) for 1BAX is above the 3 year average (3.20%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.52% | ||
| ROE | -9.32% | ||
| ROIC | 3.45% |
ROA(3y)-0.58%
ROA(5y)1.52%
ROE(3y)-6.47%
ROE(5y)1.48%
ROIC(3y)3.2%
ROIC(5y)4.54%
1.3 Margins
1BAX's Operating Margin of 7.67% is in line compared to the rest of the industry. 1BAX outperforms 56.14% of its industry peers.
In the last couple of years the Operating Margin of 1BAX has declined.
1BAX has a Gross Margin of 38.01%. This is in the lower half of the industry: 1BAX underperforms 71.93% of its industry peers.
1BAX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.67% | ||
| PM (TTM) | N/A | ||
| GM | 38.01% |
OM growth 3Y-25.59%
OM growth 5Y-17.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.94%
GM growth 5Y-2.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1BAX is destroying value.
The number of shares outstanding for 1BAX has been increased compared to 1 year ago.
1BAX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1BAX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.10 indicates that 1BAX is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.10, 1BAX perfoms like the industry average, outperforming 57.89% of the companies in the same industry.
The Debt to FCF ratio of 1BAX is 22.91, which is on the high side as it means it would take 1BAX, 22.91 years of fcf income to pay off all of its debts.
1BAX's Debt to FCF ratio of 22.91 is in line compared to the rest of the industry. 1BAX outperforms 50.88% of its industry peers.
1BAX has a Debt/Equity ratio of 1.79. This is a high value indicating a heavy dependency on external financing.
1BAX has a worse Debt to Equity ratio (1.79) than 82.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.79 | ||
| Debt/FCF | 22.91 | ||
| Altman-Z | 2.1 |
ROIC/WACC0.53
WACC6.49%
2.3 Liquidity
1BAX has a Current Ratio of 1.36. This is a normal value and indicates that 1BAX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.36, 1BAX is in line with its industry, outperforming 45.61% of the companies in the same industry.
1BAX has a Quick Ratio of 1.05. This is a normal value and indicates that 1BAX is financially healthy and should not expect problems in meeting its short term obligations.
1BAX has a Quick ratio (1.05) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
1BAX shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.37%.
The Earnings Per Share has been decreasing by -4.21% on average over the past years.
1BAX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.21%.
1BAX shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.31% yearly.
EPS 1Y (TTM)0.37%
EPS 3Y-9.2%
EPS 5Y-4.21%
EPS Q2Q%-34.09%
Revenue 1Y (TTM)-13.21%
Revenue growth 3Y-5.95%
Revenue growth 5Y-1.31%
Sales Q2Q%-29.14%
3.2 Future
1BAX is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.87% yearly.
Based on estimates for the next years, 1BAX will show a small growth in Revenue. The Revenue will grow by 5.61% on average per year.
EPS Next Y-7.17%
EPS Next 2Y0.96%
EPS Next 3Y3.75%
EPS Next 5Y6.87%
Revenue Next Year6.13%
Revenue Next 2Y5.12%
Revenue Next 3Y4.71%
Revenue Next 5Y5.61%
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
A Price/Earnings ratio of 12.61 indicates a correct valuation of 1BAX.
1BAX's Price/Earnings ratio is rather cheap when compared to the industry. 1BAX is cheaper than 89.47% of the companies in the same industry.
When comparing the Price/Earnings ratio of 1BAX to the average of the S&P500 Index (25.47), we can say 1BAX is valued rather cheaply.
1BAX is valuated correctly with a Price/Forward Earnings ratio of 13.58.
75.44% of the companies in the same industry are more expensive than 1BAX, based on the Price/Forward Earnings ratio.
1BAX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 13.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1BAX is valued a bit cheaper than 78.95% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1BAX is valued a bit cheaper than 73.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.59 | ||
| EV/EBITDA | 13.5 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y0.96%
EPS Next 3Y3.75%
5. Dividend
5.1 Amount
1BAX has a Yearly Dividend Yield of 2.17%. Purely for dividend investing, there may be better candidates out there.
1BAX's Dividend Yield is rather good when compared to the industry average which is at 2.22. 1BAX pays more dividend than 80.70% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, 1BAX has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.17% |
5.2 History
On average, the dividend of 1BAX grows each year by 6.89%, which is quite nice.
Dividend Growth(5Y)6.89%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
The earnings of 1BAX are negative and hence is the payout ratio. 1BAX will probably not be able to sustain this dividend level.
The dividend of 1BAX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP-90.91%
EPS Next 2Y0.96%
EPS Next 3Y3.75%
BIT:1BAX (3/26/2025, 7:00:00 PM)
30.905
+0.18 (+0.57%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.07%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap15.85B
Revenue(TTM)12.86B
Net Income(TTM)-649.00M
Analysts68.18
Price Target35.44 (14.67%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.17% |
Yearly Dividend1.05
Dividend Growth(5Y)6.89%
DP-90.91%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.32%
Min EPS beat(2)1.94%
Max EPS beat(2)10.69%
EPS beat(4)4
Avg EPS beat(4)5.06%
Min EPS beat(4)1.64%
Max EPS beat(4)10.69%
EPS beat(8)7
Avg EPS beat(8)3.73%
EPS beat(12)8
Avg EPS beat(12)2.99%
EPS beat(16)12
Avg EPS beat(16)4.13%
Revenue beat(2)1
Avg Revenue beat(2)0.5%
Min Revenue beat(2)-0.93%
Max Revenue beat(2)1.93%
Revenue beat(4)3
Avg Revenue beat(4)0.4%
Min Revenue beat(4)-0.93%
Max Revenue beat(4)1.93%
Revenue beat(8)4
Avg Revenue beat(8)-0.57%
Revenue beat(12)4
Avg Revenue beat(12)-1.99%
Revenue beat(16)5
Avg Revenue beat(16)-2.54%
PT rev (1m)-3.81%
PT rev (3m)-3.81%
EPS NQ rev (1m)-31.48%
EPS NQ rev (3m)-31.48%
EPS NY rev (1m)-22.05%
EPS NY rev (3m)-22.05%
Revenue NQ rev (1m)-30.35%
Revenue NQ rev (3m)-30.35%
Revenue NY rev (1m)-28.82%
Revenue NY rev (3m)-28.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.61 | ||
| Fwd PE | 13.58 | ||
| P/S | 1.36 | ||
| P/FCF | 30.59 | ||
| P/OCF | 17.2 | ||
| P/B | 2.52 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.5 |
EPS(TTM)2.45
EY7.93%
EPS(NY)2.28
Fwd EY7.36%
FCF(TTM)1.01
FCFY3.27%
OCF(TTM)1.8
OCFY5.81%
SpS22.67
BVpS12.28
TBVpS-6.23
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.52% | ||
| ROE | -9.32% | ||
| ROCE | 5.12% | ||
| ROIC | 3.45% | ||
| ROICexc | 3.76% | ||
| ROICexgc | 8.07% | ||
| OM | 7.67% | ||
| PM (TTM) | N/A | ||
| GM | 38.01% | ||
| FCFM | 4.46% |
ROA(3y)-0.58%
ROA(5y)1.52%
ROE(3y)-6.47%
ROE(5y)1.48%
ROIC(3y)3.2%
ROIC(5y)4.54%
ROICexc(3y)3.57%
ROICexc(5y)5.33%
ROICexgc(3y)9.57%
ROICexgc(5y)12.38%
ROCE(3y)4.43%
ROCE(5y)6.16%
ROICexgc growth 3Y-30.34%
ROICexgc growth 5Y-21.96%
ROICexc growth 3Y-22.52%
ROICexc growth 5Y-26.32%
OM growth 3Y-25.59%
OM growth 5Y-17.42%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.94%
GM growth 5Y-2.16%
F-Score3
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.79 | ||
| Debt/FCF | 22.91 | ||
| Debt/EBITDA | 6.3 | ||
| Cap/Depr | 44.73% | ||
| Cap/Sales | 3.47% | ||
| Interest Coverage | 4.42 | ||
| Cash Conversion | 51.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 2.1 |
F-Score3
WACC6.49%
ROIC/WACC0.53
Cap/Depr(3y)49.31%
Cap/Depr(5y)63.51%
Cap/Sales(3y)5.12%
Cap/Sales(5y)5.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.37%
EPS 3Y-9.2%
EPS 5Y-4.21%
EPS Q2Q%-34.09%
EPS Next Y-7.17%
EPS Next 2Y0.96%
EPS Next 3Y3.75%
EPS Next 5Y6.87%
Revenue 1Y (TTM)-13.21%
Revenue growth 3Y-5.95%
Revenue growth 5Y-1.31%
Sales Q2Q%-29.14%
Revenue Next Year6.13%
Revenue Next 2Y5.12%
Revenue Next 3Y4.71%
Revenue Next 5Y5.61%
EBIT growth 1Y-21.12%
EBIT growth 3Y-30.01%
EBIT growth 5Y-18.5%
EBIT Next Year69.69%
EBIT Next 3Y22.35%
EBIT Next 5Y25.92%
FCF growth 1Y-44.58%
FCF growth 3Y-27.1%
FCF growth 5Y-16.46%
OCF growth 1Y-40.96%
OCF growth 3Y-22.88%
OCF growth 5Y-13.5%
BAXTER INTERNATIONAL INC / 1BAX.MI FAQ
What is the ChartMill fundamental rating of BAXTER INTERNATIONAL INC (1BAX.MI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to 1BAX.MI.
What is the valuation status for 1BAX stock?
ChartMill assigns a valuation rating of 5 / 10 to BAXTER INTERNATIONAL INC (1BAX.MI). This can be considered as Fairly Valued.
What is the profitability of 1BAX stock?
BAXTER INTERNATIONAL INC (1BAX.MI) has a profitability rating of 3 / 10.
What are the PE and PB ratios of BAXTER INTERNATIONAL INC (1BAX.MI) stock?
The Price/Earnings (PE) ratio for BAXTER INTERNATIONAL INC (1BAX.MI) is 12.61 and the Price/Book (PB) ratio is 2.52.
How financially healthy is BAXTER INTERNATIONAL INC?
The financial health rating of BAXTER INTERNATIONAL INC (1BAX.MI) is 3 / 10.