ALPHABET INC-CL A (ABEA.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ABEA - US02079K3059 - Common Stock
280.7 EUR
-1.65 (-0.58%)
We assign a fundamental rating of 7 out of 10 to ABEA. ABEA was compared to 22 industry peers in the Interactive Media & Services industry. ABEA has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ABEA is not overvalued while it is showing excellent growth. This is an interesting combination. With these ratings, ABEA could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- ABEA had positive earnings in the past year.
- In the past year ABEA had a positive cash flow from operations.
- ABEA had positive earnings in each of the past 5 years.
- In the past 5 years ABEA always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of ABEA (23.16%) is better than 95.45% of its industry peers.
- ABEA's Return On Equity of 32.12% is amongst the best of the industry. ABEA outperforms 95.45% of its industry peers.
- ABEA has a better Return On Invested Capital (24.90%) than 81.82% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ABEA is significantly below the industry average of 89.56%.
- The last Return On Invested Capital (24.90%) for ABEA is above the 3 year average (24.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.16% | ||
| ROE | 32.12% | ||
| ROIC | 24.9% |
ROA(3y)19%
ROA(5y)18.15%
ROE(3y)26.75%
ROE(5y)25.71%
ROIC(3y)24.19%
ROIC(5y)21.8%
1.3 Margins
- Looking at the Profit Margin, with a value of 32.23%, ABEA belongs to the top of the industry, outperforming 95.45% of the companies in the same industry.
- ABEA's Profit Margin has improved in the last couple of years.
- The Operating Margin of ABEA (32.83%) is better than 81.82% of its industry peers.
- ABEA's Operating Margin has improved in the last couple of years.
- The Gross Margin of ABEA (59.17%) is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of ABEA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.83% | ||
| PM (TTM) | 32.23% | ||
| GM | 59.17% |
OM growth 3Y2.22%
OM growth 5Y8.01%
PM growth 3Y-1.04%
PM growth 5Y6.16%
GM growth 3Y0.73%
GM growth 5Y0.93%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ABEA is creating value.
- The number of shares outstanding for ABEA has been reduced compared to 1 year ago.
- ABEA has less shares outstanding than it did 5 years ago.
- ABEA has a better debt/assets ratio than last year.
2.2 Solvency
- ABEA has an Altman-Z score of 18.44. This indicates that ABEA is financially healthy and has little risk of bankruptcy at the moment.
- ABEA has a Altman-Z score of 18.44. This is amongst the best in the industry. ABEA outperforms 86.36% of its industry peers.
- ABEA has a debt to FCF ratio of 0.29. This is a very positive value and a sign of high solvency as it would only need 0.29 years to pay back of all of its debts.
- ABEA has a better Debt to FCF ratio (0.29) than 86.36% of its industry peers.
- ABEA has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
- ABEA's Debt to Equity ratio of 0.06 is amongst the best of the industry. ABEA outperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 18.44 |
ROIC/WACC2.8
WACC8.88%
2.3 Liquidity
- A Current Ratio of 1.75 indicates that ABEA should not have too much problems paying its short term obligations.
- ABEA's Current ratio of 1.75 is fine compared to the rest of the industry. ABEA outperforms 72.73% of its industry peers.
- A Quick Ratio of 1.75 indicates that ABEA should not have too much problems paying its short term obligations.
- The Quick ratio of ABEA (1.75) is better than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.75 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 30.37% over the past year.
- The Earnings Per Share has been growing by 25.25% on average over the past years. This is a very strong growth
- ABEA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.42%.
- Measured over the past years, ABEA shows a quite strong growth in Revenue. The Revenue has been growing by 16.68% on average per year.
EPS 1Y (TTM)30.37%
EPS 3Y12.78%
EPS 5Y25.25%
EPS Q2Q%46.23%
Revenue 1Y (TTM)13.42%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%15.95%
3.2 Future
- The Earnings Per Share is expected to grow by 16.87% on average over the next years. This is quite good.
- The Revenue is expected to grow by 12.67% on average over the next years. This is quite good.
EPS Next Y35.39%
EPS Next 2Y19.53%
EPS Next 3Y18.08%
EPS Next 5Y16.87%
Revenue Next Year13.91%
Revenue Next 2Y13.74%
Revenue Next 3Y13.39%
Revenue Next 5Y12.67%
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 33.42, the valuation of ABEA can be described as expensive.
- 63.64% of the companies in the same industry are more expensive than ABEA, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 27.21. ABEA is valued slightly more expensive when compared to this.
- ABEA is valuated quite expensively with a Price/Forward Earnings ratio of 28.57.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ABEA indicates a somewhat cheap valuation: ABEA is cheaper than 63.64% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.26, ABEA is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.42 | ||
| Fwd PE | 28.57 |
4.2 Price Multiples
- ABEA's Enterprise Value to EBITDA is on the same level as the industry average.
- ABEA's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 53.91 | ||
| EV/EBITDA | 26.3 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ABEA has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as ABEA's earnings are expected to grow with 18.08% in the coming years.
PEG (NY)0.94
PEG (5Y)1.32
EPS Next 2Y19.53%
EPS Next 3Y18.08%
5. Dividend
5.1 Amount
- ABEA has a yearly dividend return of 0.25%, which is pretty low.
- ABEA's Dividend Yield is a higher than the industry average which is at 1.07.
- With a Dividend Yield of 0.25, ABEA pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.25% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 8.01% of the earnings are spent on dividend by ABEA. This is a low number and sustainable payout ratio.
DP8.01%
EPS Next 2Y19.53%
EPS Next 3Y18.08%
ALPHABET INC-CL A / ABEA.DE FAQ
Can you provide the ChartMill fundamental rating for ALPHABET INC-CL A?
ChartMill assigns a fundamental rating of 7 / 10 to ABEA.DE.
What is the valuation status for ABEA stock?
ChartMill assigns a valuation rating of 4 / 10 to ALPHABET INC-CL A (ABEA.DE). This can be considered as Fairly Valued.
What is the profitability of ABEA stock?
ALPHABET INC-CL A (ABEA.DE) has a profitability rating of 8 / 10.
Can you provide the financial health for ABEA stock?
The financial health rating of ALPHABET INC-CL A (ABEA.DE) is 8 / 10.
What is the earnings growth outlook for ALPHABET INC-CL A?
The Earnings per Share (EPS) of ALPHABET INC-CL A (ABEA.DE) is expected to grow by 35.39% in the next year.