EDWARDS LIFESCIENCES CORP (1EW.MI) Stock Fundamental Analysis
Europe - BIT:1EW - US28176E1082 - Common Stock
66.48 EUR
-5.89 (-8.14%)
1EW gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 60 industry peers in the Health Care Equipment & Supplies industry. Both the health and profitability get an excellent rating, making 1EW a very profitable company, without any liquidiy or solvency issues. 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.
1EW had a positive operating cash flow in the past year.
1EW had positive earnings in each of the past 5 years.
In the past 5 years 1EW always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 31.98%, 1EW belongs to the best of the industry, outperforming 98.33% of the companies in the same industry.
With an excellent Return On Equity value of 41.75%, 1EW belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
1EW has a Return On Invested Capital of 11.51%. This is amongst the best in the industry. 1EW outperforms 90.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1EW is significantly above the industry average of 9.00%.
The 3 year average ROIC (15.82%) for 1EW is well above the current ROIC(11.51%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.98% | ||
| ROE | 41.75% | ||
| ROIC | 11.51% |
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 76.28% is amongst the best of the industry. 1EW outperforms 98.33% of its industry peers.
In the last couple of years the Profit Margin of 1EW has grown nicely.
The Operating Margin of 1EW (27.13%) is better than 96.67% of its industry peers.
1EW's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 79.23%, 1EW belongs to the top of the industry, outperforming 86.67% of the companies in the same industry.
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 | 27.13% | ||
| PM (TTM) | 76.28% | ||
| GM | 79.23% |
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
1EW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, 1EW has less shares outstanding
The number of shares outstanding for 1EW has been reduced compared to 5 years ago.
The debt/assets ratio for 1EW has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 11.00 indicates that 1EW is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 11.00, 1EW belongs to the best of the industry, outperforming 98.33% of the companies in the same industry.
1EW has a debt to FCF ratio of 2.30. This is a good value and a sign of high solvency as 1EW would need 2.30 years to pay back of all of its debts.
1EW has a Debt to FCF ratio of 2.30. This is amongst the best in the industry. 1EW outperforms 85.00% of its industry peers.
A Debt/Equity ratio of 0.06 indicates that 1EW is not too dependend on debt financing.
1EW has a better Debt to Equity ratio (0.06) than 93.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 2.3 | ||
| Altman-Z | 11 |
ROIC/WACC1.3
WACC8.87%
2.3 Liquidity
A Current Ratio of 4.18 indicates that 1EW has no problem at all paying its short term obligations.
1EW's Current ratio of 4.18 is amongst the best of the industry. 1EW outperforms 88.33% of its industry peers.
A Quick Ratio of 3.45 indicates that 1EW has no problem at all paying its short term obligations.
1EW has a Quick ratio of 3.45. This is amongst the best in the industry. 1EW outperforms 90.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.45 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 4.38% over the past year.
1EW shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.13% yearly.
1EW shows a decrease in Revenue. In the last year, the revenue decreased by -8.86%.
The Revenue has been growing slightly by 4.58% on average over the past years.
EPS 1Y (TTM)4.38%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-7.81%
Revenue 1Y (TTM)-8.86%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-9.67%
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 9.63% yearly.
The Revenue is expected to grow by 8.38% on average over the next years. This is quite good.
EPS Next Y-3.61%
EPS Next 2Y3.91%
EPS Next 3Y6.64%
EPS Next 5Y9.63%
Revenue Next Year0.84%
Revenue Next 2Y5.19%
Revenue Next 3Y6.87%
Revenue Next 5Y8.38%
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 27.59 indicates a quite expensive valuation of 1EW.
Compared to the rest of the industry, the Price/Earnings ratio of 1EW indicates a somewhat cheap valuation: 1EW is cheaper than 66.67% of the companies listed in the same industry.
1EW's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.13.
The Price/Forward Earnings ratio is 28.67, which means the current valuation is very expensive for 1EW.
1EW's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.35. 1EW is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.59 | ||
| Fwd PE | 28.67 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1EW is on the same level as its industry peers.
1EW's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 163.75 | ||
| EV/EBITDA | 23.32 |
4.3 Compensation for Growth
The excellent profitability rating of 1EW may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)3.87
EPS Next 2Y3.91%
EPS Next 3Y6.64%
5. Dividend
5.1 Amount
1EW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1EW (3/5/2025, 7:00:00 PM)
66.48
-5.89 (-8.14%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners88.15%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap39.08B
Revenue(TTM)5.47B
Net Income(TTM)4.17B
Analysts73.66
Price Target77.45 (16.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.48%
Min EPS beat(2)1.57%
Max EPS beat(2)3.4%
EPS beat(4)2
Avg EPS beat(4)0.64%
Min EPS beat(4)-2.08%
Max EPS beat(4)3.4%
EPS beat(8)2
Avg EPS beat(8)-0.63%
EPS beat(12)4
Avg EPS beat(12)-0.95%
EPS beat(16)6
Avg EPS beat(16)-0.03%
Revenue beat(2)0
Avg Revenue beat(2)-7.33%
Min Revenue beat(2)-13.79%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-8.85%
Min Revenue beat(4)-16.65%
Max Revenue beat(4)-0.87%
Revenue beat(8)1
Avg Revenue beat(8)-4.76%
Revenue beat(12)1
Avg Revenue beat(12)-4.1%
Revenue beat(16)3
Avg Revenue beat(16)-3.23%
PT rev (1m)8.46%
PT rev (3m)8.46%
EPS NQ rev (1m)-19.08%
EPS NQ rev (3m)-19.08%
EPS NY rev (1m)0.08%
EPS NY rev (3m)0.08%
Revenue NQ rev (1m)-19.6%
Revenue NQ rev (3m)-19.6%
Revenue NY rev (1m)-2.16%
Revenue NY rev (3m)-2.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.59 | ||
| Fwd PE | 28.67 | ||
| P/S | 7.78 | ||
| P/FCF | 163.75 | ||
| P/OCF | 78.48 | ||
| P/B | 4.26 | ||
| P/tB | 6.04 | ||
| EV/EBITDA | 23.32 |
EPS(TTM)2.41
EY3.63%
EPS(NY)2.32
Fwd EY3.49%
FCF(TTM)0.41
FCFY0.61%
OCF(TTM)0.85
OCFY1.27%
SpS8.55
BVpS15.62
TBVpS11.01
PEG (NY)N/A
PEG (5Y)3.87
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.98% | ||
| ROE | 41.75% | ||
| ROCE | 12.86% | ||
| ROIC | 11.51% | ||
| ROICexc | 17.55% | ||
| ROICexgc | 28.77% | ||
| OM | 27.13% | ||
| PM (TTM) | 76.28% | ||
| GM | 79.23% | ||
| FCFM | 4.75% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)15.82%
ROIC(5y)17.27%
ROICexc(3y)20.51%
ROICexc(5y)22.13%
ROICexgc(3y)29.09%
ROICexgc(5y)31.03%
ROCE(3y)17.66%
ROCE(5y)19.29%
ROICexgc growth 3Y-5.47%
ROICexgc growth 5Y-8.01%
ROICexc growth 3Y-11.82%
ROICexc growth 5Y-8.6%
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%
F-Score7
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 2.3 | ||
| Debt/EBITDA | 0.36 | ||
| Cap/Depr | 181.96% | ||
| Cap/Sales | 5.16% | ||
| Interest Coverage | 75.76 | ||
| Cash Conversion | 33.07% | ||
| Profit Quality | 6.23% | ||
| Current Ratio | 4.18 | ||
| Quick Ratio | 3.45 | ||
| Altman-Z | 11 |
F-Score7
WACC8.87%
ROIC/WACC1.3
Cap/Depr(3y)185.14%
Cap/Depr(5y)236.01%
Cap/Sales(3y)5.48%
Cap/Sales(5y)6.41%
Profit Quality(3y)37.92%
Profit Quality(5y)57.13%
High Growth Momentum
Growth
EPS 1Y (TTM)4.38%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-7.81%
EPS Next Y-3.61%
EPS Next 2Y3.91%
EPS Next 3Y6.64%
EPS Next 5Y9.63%
Revenue 1Y (TTM)-8.86%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-9.67%
Revenue Next Year0.84%
Revenue Next 2Y5.19%
Revenue Next 3Y6.87%
Revenue Next 5Y8.38%
EBIT growth 1Y-15.39%
EBIT growth 3Y-4.72%
EBIT growth 5Y3.49%
EBIT Next Year10.11%
EBIT Next 3Y13.2%
EBIT Next 5Y10.38%
FCF growth 1Y-58.71%
FCF growth 3Y-42.99%
FCF growth 5Y-22.01%
OCF growth 1Y-39.46%
OCF growth 3Y-32.1%
OCF growth 5Y-14.39%
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 for 1EW stock?
ChartMill assigns a valuation rating of 3 / 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 9 / 10.
Can you provide the expected EPS growth for 1EW stock?
The Earnings per Share (EPS) of EDWARDS LIFESCIENCES CORP (1EW.MI) is expected to decline by -3.61% in the next year.