ADIENT PLC (ADNT) Stock Fundamental Analysis
NYSE:ADNT - New York Stock Exchange, Inc. - IE00BD845X29 - Common Stock - Currency: USD
ADNT gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 83 industry peers in the Automobile Components industry. ADNT may be in some trouble as it scores bad on both profitability and health. ADNT is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year ADNT was profitable.
In the past year ADNT had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: ADNT reported negative net income in multiple years.
Each year in the past 5 years ADNT had a positive operating cash flow.
1.2 Ratios
ADNT has a Return On Assets of -0.02%. This is in the lower half of the industry: ADNT underperforms 78.31% of its industry peers.
ADNT's Return On Equity of -0.11% is on the low side compared to the rest of the industry. ADNT is outperformed by 77.11% of its industry peers.
ADNT has a worse Return On Invested Capital (5.97%) than 72.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ADNT is below the industry average of 9.58%.
The last Return On Invested Capital (5.97%) for ADNT is above the 3 year average (5.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.02% | ||
| ROE | -0.11% | ||
| ROIC | 5.97% |
ROA(3y)0.35%
ROA(5y)1.2%
ROE(3y)1.42%
ROE(5y)1.16%
ROIC(3y)5.11%
ROIC(5y)4.23%
1.3 Margins
ADNT's Profit Margin has declined in the last couple of years.
The Operating Margin of ADNT (2.86%) is worse than 79.52% of its industry peers.
In the last couple of years the Operating Margin of ADNT has grown nicely.
Looking at the Gross Margin, with a value of 6.18%, ADNT is doing worse than 91.57% of the companies in the same industry.
ADNT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.86% | ||
| PM (TTM) | N/A | ||
| GM | 6.18% |
OM growth 3Y-7.97%
OM growth 5Y33.2%
PM growth 3Y-75.27%
PM growth 5YN/A
GM growth 3Y-5.89%
GM growth 5Y5.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ADNT is creating some value.
Compared to 1 year ago, ADNT has less shares outstanding
ADNT has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ADNT has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.88 indicates that ADNT is not a great score, but indicates only limited risk for bankruptcy at the moment.
ADNT has a Altman-Z score of 1.88. This is in the lower half of the industry: ADNT underperforms 73.49% of its industry peers.
ADNT has a debt to FCF ratio of 7.15. This is a slightly negative value and a sign of low solvency as ADNT would need 7.15 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.15, ADNT is doing worse than 71.08% of the companies in the same industry.
A Debt/Equity ratio of 1.28 is on the high side and indicates that ADNT has dependencies on debt financing.
ADNT's Debt to Equity ratio of 1.28 is on the low side compared to the rest of the industry. ADNT is outperformed by 87.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 7.15 | ||
| Altman-Z | 1.88 |
ROIC/WACC1.19
WACC5.01%
2.3 Liquidity
ADNT has a Current Ratio of 1.08. This is a normal value and indicates that ADNT is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.08, ADNT is not doing good in the industry: 91.57% of the companies in the same industry are doing better.
A Quick Ratio of 0.86 indicates that ADNT may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.86, ADNT is doing worse than 84.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
The earnings per share for ADNT have decreased strongly by -14.62% in the last year.
The Earnings Per Share has been growing slightly by 2.56% on average over the past years.
The Revenue has decreased by -5.42% in the past year.
The Revenue has been decreasing by -2.33% on average over the past years.
EPS 1Y (TTM)-14.62%
EPS 3Y-3.98%
EPS 5Y2.56%
EPS Q2Q%-12.9%
Revenue 1Y (TTM)-5.42%
Revenue growth 3Y2.4%
Revenue growth 5Y-2.33%
Sales Q2Q%-4.51%
3.2 Future
Based on estimates for the next years, ADNT will show a very strong growth in Earnings Per Share. The EPS will grow by 34.76% on average per year.
The Revenue is expected to grow by 1.52% on average over the next years.
EPS Next Y-4.49%
EPS Next 2Y20.77%
EPS Next 3Y29.58%
EPS Next 5Y34.76%
Revenue Next Year-4.72%
Revenue Next 2Y-1.7%
Revenue Next 3Y-0.67%
Revenue Next 5Y1.52%
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
Based on the Price/Earnings ratio of 9.36, the valuation of ADNT can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of ADNT indicates a somewhat cheap valuation: ADNT is cheaper than 73.49% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of ADNT to the average of the S&P500 Index (29.63), we can say ADNT is valued rather cheaply.
The Price/Forward Earnings ratio is 6.28, which indicates a rather cheap valuation of ADNT.
Based on the Price/Forward Earnings ratio, ADNT is valued cheaper than 83.13% of the companies in the same industry.
ADNT is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.36 | ||
| Fwd PE | 6.28 |
4.2 Price Multiples
77.11% of the companies in the same industry are more expensive than ADNT, based on the Enterprise Value to EBITDA ratio.
ADNT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ADNT is cheaper than 87.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.23 | ||
| EV/EBITDA | 3.98 |
4.3 Compensation for Growth
A more expensive valuation may be justified as ADNT's earnings are expected to grow with 29.58% in the coming years.
PEG (NY)N/A
PEG (5Y)3.65
EPS Next 2Y20.77%
EPS Next 3Y29.58%
5. Dividend
5.1 Amount
No dividends for ADNT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.94
-0.29 (-1.68%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners102.52%
Inst Owner Change-98.27%
Ins Owners0.86%
Ins Owner Change14.61%
Market Cap1.42B
Analysts52.5
Price Target21.8 (28.69%)
Short Float %6.46%
Short Ratio4.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.62%
Min EPS beat(2)27.59%
Max EPS beat(2)39.64%
EPS beat(4)3
Avg EPS beat(4)10.71%
Min EPS beat(4)-49.75%
Max EPS beat(4)39.64%
EPS beat(8)4
Avg EPS beat(8)9.65%
EPS beat(12)6
Avg EPS beat(12)12.16%
EPS beat(16)8
Avg EPS beat(16)-9.78%
Revenue beat(2)1
Avg Revenue beat(2)0.76%
Min Revenue beat(2)-0.06%
Max Revenue beat(2)1.57%
Revenue beat(4)1
Avg Revenue beat(4)-1.55%
Min Revenue beat(4)-4.77%
Max Revenue beat(4)1.57%
Revenue beat(8)3
Avg Revenue beat(8)-0.98%
Revenue beat(12)4
Avg Revenue beat(12)-0.7%
Revenue beat(16)6
Avg Revenue beat(16)-0.83%
PT rev (1m)-11.35%
PT rev (3m)-17.39%
EPS NQ rev (1m)-21.36%
EPS NQ rev (3m)-67.49%
EPS NY rev (1m)-11.74%
EPS NY rev (3m)-32.83%
Revenue NQ rev (1m)-4.58%
Revenue NQ rev (3m)-11.32%
Revenue NY rev (1m)-1.98%
Revenue NY rev (3m)-4.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.36 | ||
| Fwd PE | 6.28 | ||
| P/S | 0.1 | ||
| P/FCF | 4.23 | ||
| P/OCF | 2.33 | ||
| P/B | 0.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.98 |
EPS(TTM)1.81
EY10.68%
EPS(NY)2.7
Fwd EY15.93%
FCF(TTM)4
FCFY23.63%
OCF(TTM)7.28
OCFY42.97%
SpS173.04
BVpS22.36
TBVpS-6.65
PEG (NY)N/A
PEG (5Y)3.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.02% | ||
| ROE | -0.11% | ||
| ROCE | 7.86% | ||
| ROIC | 5.97% | ||
| ROICexc | 7.13% | ||
| ROICexgc | 15.86% | ||
| OM | 2.86% | ||
| PM (TTM) | N/A | ||
| GM | 6.18% | ||
| FCFM | 2.31% |
ROA(3y)0.35%
ROA(5y)1.2%
ROE(3y)1.42%
ROE(5y)1.16%
ROIC(3y)5.11%
ROIC(5y)4.23%
ROICexc(3y)6.22%
ROICexc(5y)5.21%
ROICexgc(3y)13.54%
ROICexgc(5y)10.98%
ROCE(3y)6.73%
ROCE(5y)5.58%
ROICexcg growth 3Y4.55%
ROICexcg growth 5Y38.95%
ROICexc growth 3Y0.66%
ROICexc growth 5Y34.59%
OM growth 3Y-7.97%
OM growth 5Y33.2%
PM growth 3Y-75.27%
PM growth 5YN/A
GM growth 3Y-5.89%
GM growth 5Y5.44%
F-Score4
Asset Turnover1.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.28 | ||
| Debt/FCF | 7.15 | ||
| Debt/EBITDA | 3.22 | ||
| Cap/Depr | 83.59% | ||
| Cap/Sales | 1.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 1.88 |
F-Score4
WACC5.01%
ROIC/WACC1.19
Cap/Depr(3y)73.03%
Cap/Depr(5y)79.22%
Cap/Sales(3y)1.69%
Cap/Sales(5y)1.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.62%
EPS 3Y-3.98%
EPS 5Y2.56%
EPS Q2Q%-12.9%
EPS Next Y-4.49%
EPS Next 2Y20.77%
EPS Next 3Y29.58%
EPS Next 5Y34.76%
Revenue 1Y (TTM)-5.42%
Revenue growth 3Y2.4%
Revenue growth 5Y-2.33%
Sales Q2Q%-4.51%
Revenue Next Year-4.72%
Revenue Next 2Y-1.7%
Revenue Next 3Y-0.67%
Revenue Next 5Y1.52%
EBIT growth 1Y-15.65%
EBIT growth 3Y-5.76%
EBIT growth 5Y30.09%
EBIT Next Year64.81%
EBIT Next 3Y24.36%
EBIT Next 5Y24.16%
FCF growth 1Y223.08%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y84.04%
OCF growth 3Y30.56%
OCF growth 5Y12.01%