ABBOTT LABORATORIES (ABL.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ABL - US0028241000 - Common Stock
90.47 EUR
-0.59 (-0.65%)
Overall ABL gets a fundamental rating of 6 out of 10. We evaluated ABL against 63 industry peers in the Health Care Equipment & Supplies industry. Both the health and profitability get an excellent rating, making ABL a very profitable company, without any liquidiy or solvency issues. ABL has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- ABL had positive earnings in the past year.
- In the past year ABL had a positive cash flow from operations.
- ABL had positive earnings in 4 of the past 5 years.
- ABL had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 16.60%, ABL belongs to the best of the industry, outperforming 93.65% of the companies in the same industry.
- The Return On Equity of ABL (27.43%) is better than 96.83% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 9.90%, ABL is in the better half of the industry, outperforming 79.37% of the companies in the same industry.
- ABL had an Average Return On Invested Capital over the past 3 years of 10.45%. This is in line with the industry average of 9.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.6% | ||
| ROE | 27.43% | ||
| ROIC | 9.9% |
ROA(3y)11.2%
ROA(5y)9.84%
ROE(3y)20.61%
ROE(5y)19.06%
ROIC(3y)10.45%
ROIC(5y)10.18%
1.3 Margins
- With an excellent Profit Margin value of 31.88%, ABL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- In the last couple of years the Profit Margin of ABL has grown nicely.
- With a decent Operating Margin value of 18.29%, ABL is doing good in the industry, outperforming 76.19% of the companies in the same industry.
- In the last couple of years the Operating Margin of ABL has grown nicely.
- ABL has a Gross Margin of 56.19%. This is comparable to the rest of the industry: ABL outperforms 50.79% of its industry peers.
- ABL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.29% | ||
| PM (TTM) | 31.88% | ||
| GM | 56.19% |
OM growth 3Y-5.79%
OM growth 5Y2.63%
PM growth 3Y24.85%
PM growth 5Y22.55%
GM growth 3Y-0.89%
GM growth 5Y-1.07%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ABL is creating some value.
- There is no outstanding debt for ABL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 5.18 indicates that ABL is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 5.18, ABL belongs to the best of the industry, outperforming 84.13% of the companies in the same industry.
- ABL has a debt to FCF ratio of 1.87. This is a very positive value and a sign of high solvency as it would only need 1.87 years to pay back of all of its debts.
- ABL has a Debt to FCF ratio of 1.87. This is amongst the best in the industry. ABL outperforms 80.95% of its industry peers.
- A Debt/Equity ratio of 0.23 indicates that ABL is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.23, ABL is doing good in the industry, outperforming 69.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.87 | ||
| Altman-Z | 5.18 |
ROIC/WACC1
WACC9.9%
2.3 Liquidity
- A Current Ratio of 1.70 indicates that ABL should not have too much problems paying its short term obligations.
- ABL's Current ratio of 1.70 is in line compared to the rest of the industry. ABL outperforms 55.56% of its industry peers.
- A Quick Ratio of 1.24 indicates that ABL should not have too much problems paying its short term obligations.
- ABL has a Quick ratio (1.24) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.7 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 10.28% over the past year.
- ABL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.13% yearly.
EPS 1Y (TTM)10.28%
EPS 3Y-1.2%
EPS 5Y7.13%
EPS Q2Q%11.94%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%4.42%
3.2 Future
- Based on estimates for the next years, ABL will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.18% on average per year.
- Based on estimates for the next years, ABL will show a small growth in Revenue. The Revenue will grow by 7.15% on average per year.
EPS Next Y11.35%
EPS Next 2Y10.76%
EPS Next 3Y9.84%
EPS Next 5Y10.18%
Revenue Next Year7.19%
Revenue Next 2Y7.26%
Revenue Next 3Y7.21%
Revenue Next 5Y7.15%
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.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 20.80 indicates a rather expensive valuation of ABL.
- 82.54% of the companies in the same industry are more expensive than ABL, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, ABL is valued a bit cheaper.
- ABL is valuated rather expensively with a Price/Forward Earnings ratio of 18.67.
- 68.25% of the companies in the same industry are more expensive than ABL, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, ABL is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.8 | ||
| Fwd PE | 18.67 |
4.2 Price Multiples
- ABL's Enterprise Value to EBITDA is on the same level as the industry average.
- 65.08% of the companies in the same industry are more expensive than ABL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.92 | ||
| EV/EBITDA | 17.25 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ABL does not grow enough to justify the current Price/Earnings ratio.
- ABL has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.83
PEG (5Y)2.92
EPS Next 2Y10.76%
EPS Next 3Y9.84%
5. Dividend
5.1 Amount
- ABL has a Yearly Dividend Yield of 2.32%. Purely for dividend investing, there may be better candidates out there.
- ABL's Dividend Yield is rather good when compared to the industry average which is at 0.96. ABL pays more dividend than 84.13% of the companies in the same industry.
- ABL's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
5.2 History
- The dividend of ABL is nicely growing with an annual growth rate of 11.40%!
Dividend Growth(5Y)11.4%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- 28.93% of the earnings are spent on dividend by ABL. This is a low number and sustainable payout ratio.
- ABL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.93%
EPS Next 2Y10.76%
EPS Next 3Y9.84%
ABBOTT LABORATORIES / ABL.DE FAQ
What is the fundamental rating for ABL stock?
ChartMill assigns a fundamental rating of 6 / 10 to ABL.DE.
Can you provide the valuation status for ABBOTT LABORATORIES?
ChartMill assigns a valuation rating of 4 / 10 to ABBOTT LABORATORIES (ABL.DE). This can be considered as Fairly Valued.
What is the profitability of ABL stock?
ABBOTT LABORATORIES (ABL.DE) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for ABL stock?
The Price/Earnings (PE) ratio for ABBOTT LABORATORIES (ABL.DE) is 20.8 and the Price/Book (PB) ratio is 3.65.
How sustainable is the dividend of ABBOTT LABORATORIES (ABL.DE) stock?
The dividend rating of ABBOTT LABORATORIES (ABL.DE) is 6 / 10 and the dividend payout ratio is 28.93%.