EDWARDS LIFESCIENCES CORP (1EW.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1EW • US28176E1082
70.76 EUR
+4.28 (+6.44%)
Last: Jan 26, 2026, 07:00 PM
1EW gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 68 industry peers in the Health Care Equipment & Supplies industry. 1EW gets an excellent profitability rating and is at the same time showing great financial health properties. 1EW is valied quite expensively at the moment, while it does show a decent growth rate. This makes 1EW very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- 1EW had positive earnings in the past year.
- In the past year 1EW had a positive cash flow from operations.
- 1EW had positive earnings in each of the past 5 years.
- Each year in the past 5 years 1EW had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of 1EW (10.31%) is better than 90.16% of its industry peers.
- Looking at the Return On Equity, with a value of 13.40%, 1EW is in the better half of the industry, outperforming 78.69% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 12.50%, 1EW belongs to the best of the industry, outperforming 88.52% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for 1EW is significantly above the industry average of 9.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.31% | ||
| ROE | 13.4% | ||
| ROIC | 12.5% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)15.82%
ROIC(5y)17.27%
1.3 Margins
- 1EW's Profit Margin of 23.25% is amongst the best of the industry. 1EW outperforms 93.44% of its industry peers.
- 1EW's Profit Margin has improved in the last couple of years.
- The Operating Margin of 1EW (27.73%) is better than 98.36% of its industry peers.
- In the last couple of years the Operating Margin of 1EW has remained more or less at the same level.
- 1EW's Gross Margin of 78.19% is amongst the best of the industry. 1EW outperforms 91.80% of its industry peers.
- In the last couple of years the Gross Margin of 1EW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.73% | ||
| PM (TTM) | 23.25% | ||
| GM | 78.19% |
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1EW is creating value.
- The number of shares outstanding for 1EW has been reduced compared to 1 year ago.
- 1EW has less shares outstanding than it did 5 years ago.
- 1EW has a better debt/assets ratio than last year.
2.2 Solvency
- 1EW has an Altman-Z score of 12.38. This indicates that 1EW is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of 1EW (12.38) is better than 95.08% of its industry peers.
- 1EW has a debt to FCF ratio of 0.75. This is a very positive value and a sign of high solvency as it would only need 0.75 years to pay back of all of its debts.
- 1EW has a better Debt to FCF ratio (0.75) than 93.44% of its industry peers.
- A Debt/Equity ratio of 0.06 indicates that 1EW is not too dependend on debt financing.
- With an excellent Debt to Equity ratio value of 0.06, 1EW belongs to the best of the industry, outperforming 86.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Altman-Z | 12.38 |
ROIC/WACC1.45
WACC8.62%
2.3 Liquidity
- 1EW has a Current Ratio of 4.00. This indicates that 1EW is financially healthy and has no problem in meeting its short term obligations.
- 1EW has a Current ratio of 4.00. This is amongst the best in the industry. 1EW outperforms 91.80% of its industry peers.
- A Quick Ratio of 3.29 indicates that 1EW has no problem at all paying its short term obligations.
- 1EW has a Quick ratio of 3.29. This is amongst the best in the industry. 1EW outperforms 91.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4 | ||
| Quick Ratio | 3.29 |
3. Growth
3.1 Past
- 1EW shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.75%.
- The Earnings Per Share has been growing slightly by 7.13% on average over the past years.
- Looking at the last year, 1EW shows a small growth in Revenue. The Revenue has grown by 4.67% in the last year.
- The Revenue has been growing slightly by 4.58% on average over the past years.
EPS 1Y (TTM)-3.75%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%0%
Revenue 1Y (TTM)4.67%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%14.67%
3.2 Future
- 1EW is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.50% yearly.
- 1EW is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.55% yearly.
EPS Next Y0.42%
EPS Next 2Y5.67%
EPS Next 3Y7.57%
EPS Next 5Y9.5%
Revenue Next Year4.33%
Revenue Next 2Y7.03%
Revenue Next 3Y7.98%
Revenue Next 5Y8.55%
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
- With a Price/Earnings ratio of 31.73, 1EW can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as 1EW.
- 1EW is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.32, which is the current average of the S&P500 Index.
- The Price/Forward Earnings ratio is 27.86, which means the current valuation is very expensive for 1EW.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 1EW is on the same level as its industry peers.
- When comparing the Price/Forward Earnings ratio of 1EW to the average of the S&P500 Index (25.57), we can say 1EW is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.73 | ||
| Fwd PE | 27.86 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1EW indicates a slightly more expensive valuation: 1EW is more expensive than 60.66% of the companies listed in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as 1EW.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 59.16 | ||
| EV/EBITDA | 25.01 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 1EW has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)74.87
PEG (5Y)4.45
EPS Next 2Y5.67%
EPS Next 3Y7.57%
5. Dividend
5.1 Amount
- 1EW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EDWARDS LIFESCIENCES CORP / 1EW.MI FAQ
Can you provide the ChartMill fundamental rating for EDWARDS LIFESCIENCES CORP?
ChartMill assigns a fundamental rating of 7 / 10 to 1EW.MI.
What is the valuation status of EDWARDS LIFESCIENCES CORP (1EW.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to EDWARDS LIFESCIENCES CORP (1EW.MI). This can be considered as Overvalued.
How profitable is EDWARDS LIFESCIENCES CORP (1EW.MI) stock?
EDWARDS LIFESCIENCES CORP (1EW.MI) has a profitability rating of 8 / 10.
What is the valuation of EDWARDS LIFESCIENCES CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EDWARDS LIFESCIENCES CORP (1EW.MI) is 31.73 and the Price/Book (PB) ratio is 4.64.
What is the expected EPS growth for EDWARDS LIFESCIENCES CORP (1EW.MI) stock?
The Earnings per Share (EPS) of EDWARDS LIFESCIENCES CORP (1EW.MI) is expected to grow by 0.42% in the next year.