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EDWARDS LIFESCIENCES CORP (1EW.MI) Stock Fundamental Analysis

BIT:1EW - Euronext Milan - US28176E1082 - Common Stock - Currency: EUR

66.48  -5.89 (-8.14%)

Fundamental Rating

7

Overall 1EW gets a fundamental rating of 7 out of 10. We evaluated 1EW against 57 industry peers in the Health Care Equipment & Supplies industry. 1EW scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, 1EW is valued expensive at the moment. These ratings would make 1EW suitable for quality investing!


Dividend Valuation Growth Profitability Health

9

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.
1EW.MI Yearly Net Income VS EBIT VS OCF VS FCF1EW.MI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

1.2 Ratios

Looking at the Return On Assets, with a value of 31.98%, 1EW belongs to the top of the industry, outperforming 98.33% of the companies in the same industry.
1EW's Return On Equity of 41.75% is amongst the best of the industry. 1EW outperforms 96.67% of its industry peers.
The Return On Invested Capital of 1EW (11.51%) is better than 90.00% of its industry peers.
1EW had an Average Return On Invested Capital over the past 3 years of 15.82%. This is significantly above the industry average of 8.08%.
The last Return On Invested Capital (11.51%) for 1EW is well below the 3 year average (15.82%), which needs to be investigated, but indicates that 1EW had better years and this may not be a problem.
Industry RankSector 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%
1EW.MI Yearly ROA, ROE, ROIC1EW.MI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

1.3 Margins

The Profit Margin of 1EW (76.28%) is better than 98.33% of its industry peers.
1EW's Profit Margin has improved in the last couple of years.
1EW has a Operating Margin of 27.13%. This is amongst the best in the industry. 1EW outperforms 96.67% of its industry peers.
1EW's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 79.23%, 1EW belongs to the best 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 RankSector 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%
1EW.MI Yearly Profit, Operating, Gross Margins1EW.MI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60 80

9

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.
The number of shares outstanding for 1EW has been reduced compared to 1 year ago.
Compared to 5 years ago, 1EW has less shares outstanding
1EW has a better debt/assets ratio than last year.
1EW.MI Yearly Shares Outstanding1EW.MI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M
1EW.MI Yearly Total Debt VS Total Assets1EW.MI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

An Altman-Z score of 11.00 indicates that 1EW is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1EW (11.00) is better than 98.33% of its industry peers.
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.
With an excellent Debt to FCF ratio value of 2.30, 1EW belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
1EW has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
1EW has a better Debt to Equity ratio (0.06) than 93.33% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 2.3
Altman-Z 11
ROIC/WACC1.3
WACC8.87%
1EW.MI Yearly LT Debt VS Equity VS FCF1EW.MI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

2.3 Liquidity

1EW has a Current Ratio of 4.18. This indicates that 1EW is financially healthy and has no problem in meeting its short term obligations.
1EW has a Current ratio of 4.18. This is amongst the best in 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 better Quick ratio (3.45) than 90.00% of its industry peers.
Industry RankSector Rank
Current Ratio 4.18
Quick Ratio 3.45
1EW.MI Yearly Current Assets VS Current Liabilites1EW.MI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

5

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 4.38% over the past year.
Measured over the past 5 years, 1EW shows a small growth in Earnings Per Share. The EPS has been growing by 7.13% on average per year.
Looking at the last year, 1EW shows a decrease in Revenue. The Revenue has decreased by -8.86% in the last year.
1EW shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.58% yearly.
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

The Earnings Per Share is expected to grow by 9.63% on average over the next years. This is quite good.
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
1EW.MI Yearly Revenue VS Estimates1EW.MI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B 8B
1EW.MI Yearly EPS VS Estimates1EW.MI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 1 2 3 4

3

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 27.59, the valuation of 1EW can be described as expensive.
Based on the Price/Earnings ratio, 1EW is valued a bit cheaper than 66.67% of the companies in the same industry.
1EW's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.30.
1EW is valuated quite expensively with a Price/Forward Earnings ratio of 28.67.
1EW's Price/Forward Earnings is on the same level as the industry average.
1EW's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.76.
Industry RankSector Rank
PE 27.59
Fwd PE 28.67
1EW.MI Price Earnings VS Forward Price Earnings1EW.MI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

1EW's Enterprise Value to EBITDA is on the same level as the industry average.
1EW's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 163.75
EV/EBITDA 23.32
1EW.MI Per share data1EW.MI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

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%

0

5. Dividend

5.1 Amount

No dividends for 1EW!.
Industry RankSector Rank
Dividend Yield N/A

EDWARDS LIFESCIENCES CORP

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)02-11 2025-02-11/amc
Earnings (Next)04-23 2025-04-23/amc
Inst Owners88.15%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap39.08B
Analysts73.66
Price Target77.45 (16.5%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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 RankSector 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
Profitability
Industry RankSector 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%
ROICexcg growth 3Y-5.47%
ROICexcg 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 RankSector 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%