ADIENT PLC (ADNT) Stock Fundamental Analysis
NYSE:ADNT - New York Stock Exchange, Inc. - IE00BD845X29 - Common Stock - Currency: USD
Taking everything into account, ADNT scores 3 out of 10 in our fundamental rating. ADNT was compared to 80 industry peers in the Automobile Components industry. ADNT may be in some trouble as it scores bad on both profitability and health. ADNT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ADNT had positive earnings in the past year.
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 worse Return On Assets (-3.11%) than 82.50% of its industry peers.
ADNT's Return On Equity of -16.16% is on the low side compared to the rest of the industry. ADNT is outperformed by 82.50% of its industry peers.
The Return On Invested Capital of ADNT (6.40%) is worse than 70.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ADNT is below the industry average of 9.12%.
The 3 year average ROIC (5.11%) for ADNT is below the current ROIC(6.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.11% | ||
| ROE | -16.16% | ||
| ROIC | 6.4% |
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 (2.98%) is worse than 80.00% of its industry peers.
ADNT's Operating Margin has improved in the last couple of years.
The Gross Margin of ADNT (6.52%) is worse than 93.75% of its industry peers.
In the last couple of years the Gross Margin of ADNT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.98% | ||
| PM (TTM) | N/A | ||
| GM | 6.52% |
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.
The number of shares outstanding for ADNT has been reduced compared to 1 year ago.
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
ADNT has an Altman-Z score of 1.86. This is not the best score and indicates that ADNT is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 1.86, ADNT is not doing good in the industry: 78.75% of the companies in the same industry are doing better.
The Debt to FCF ratio of ADNT is 10.24, which is on the high side as it means it would take ADNT, 10.24 years of fcf income to pay off all of its debts.
ADNT's Debt to FCF ratio of 10.24 is on the low side compared to the rest of the industry. ADNT is outperformed by 72.50% of its industry peers.
ADNT has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.45, ADNT is doing worse than 88.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 10.24 | ||
| Altman-Z | 1.86 |
ROIC/WACC1.17
WACC5.47%
2.3 Liquidity
A Current Ratio of 1.11 indicates that ADNT should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.11, ADNT is doing worse than 91.25% of the companies in the same industry.
A Quick Ratio of 0.90 indicates that ADNT may have some problems paying its short term obligations.
ADNT's Quick ratio of 0.90 is on the low side compared to the rest of the industry. ADNT is outperformed by 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
ADNT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.24%.
The Earnings Per Share has been growing slightly by 2.56% on average over the past years.
The Revenue has decreased by -5.33% in the past year.
ADNT shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.33% yearly.
EPS 1Y (TTM)-16.24%
EPS 3Y-3.98%
EPS 5Y2.56%
EPS Q2Q%27.78%
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y2.4%
Revenue growth 5Y-2.33%
Sales Q2Q%-3.71%
3.2 Future
ADNT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 33.50% yearly.
ADNT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.10% yearly.
EPS Next Y-2.14%
EPS Next 2Y11.19%
EPS Next 3Y26.54%
EPS Next 5Y33.5%
Revenue Next Year-3.84%
Revenue Next 2Y-2.15%
Revenue Next 3Y-0.52%
Revenue Next 5Y1.1%
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
The Price/Earnings ratio is 11.60, which indicates a very decent valuation of ADNT.
62.50% of the companies in the same industry are more expensive than ADNT, based on the Price/Earnings ratio.
ADNT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.30.
With a Price/Forward Earnings ratio of 9.94, the valuation of ADNT can be described as very reasonable.
ADNT's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, ADNT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 9.94 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ADNT is valued a bit cheaper than the industry average as 68.75% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ADNT is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.16 | ||
| EV/EBITDA | 4.72 |
4.3 Compensation for Growth
ADNT's earnings are expected to grow with 26.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)4.52
EPS Next 2Y11.19%
EPS Next 3Y26.54%
5. Dividend
5.1 Amount
ADNT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
22.73
-0.14 (-0.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners97.63%
Inst Owner Change-0.06%
Ins Owners0.95%
Ins Owner Change2.71%
Market Cap1.91B
Analysts51.25
Price Target17.15 (-24.55%)
Short Float %8.04%
Short Ratio5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
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)70.49%
Min EPS beat(2)39.64%
Max EPS beat(2)101.33%
EPS beat(4)3
Avg EPS beat(4)29.7%
Min EPS beat(4)-49.75%
Max EPS beat(4)101.33%
EPS beat(8)5
Avg EPS beat(8)25.6%
EPS beat(12)7
Avg EPS beat(12)31.37%
EPS beat(16)8
Avg EPS beat(16)-9.81%
Revenue beat(2)1
Avg Revenue beat(2)1.37%
Min Revenue beat(2)-0.06%
Max Revenue beat(2)2.79%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-4.77%
Max Revenue beat(4)2.79%
Revenue beat(8)3
Avg Revenue beat(8)-0.9%
Revenue beat(12)5
Avg Revenue beat(12)-0.41%
Revenue beat(16)6
Avg Revenue beat(16)-0.9%
PT rev (1m)17.98%
PT rev (3m)-17.48%
EPS NQ rev (1m)2.74%
EPS NQ rev (3m)-16.78%
EPS NY rev (1m)1.33%
EPS NY rev (3m)2.49%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)1.14%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 9.94 | ||
| P/S | 0.13 | ||
| P/FCF | 8.16 | ||
| P/OCF | 3.94 | ||
| P/B | 1.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.72 |
EPS(TTM)1.96
EY8.62%
EPS(NY)2.29
Fwd EY10.06%
FCF(TTM)2.79
FCFY12.25%
OCF(TTM)5.77
OCFY25.4%
SpS171.2
BVpS19.66
TBVpS-5.57
PEG (NY)N/A
PEG (5Y)4.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.11% | ||
| ROE | -16.16% | ||
| ROCE | 8.43% | ||
| ROIC | 6.4% | ||
| ROICexc | 7.51% | ||
| ROICexgc | 14.72% | ||
| OM | 2.98% | ||
| PM (TTM) | N/A | ||
| GM | 6.52% | ||
| FCFM | 1.63% |
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 Turnover1.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 10.24 | ||
| Debt/EBITDA | 3.17 | ||
| Cap/Depr | 76.99% | ||
| Cap/Sales | 1.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 64.32% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 1.86 |
F-Score4
WACC5.47%
ROIC/WACC1.17
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)-16.24%
EPS 3Y-3.98%
EPS 5Y2.56%
EPS Q2Q%27.78%
EPS Next Y-2.14%
EPS Next 2Y11.19%
EPS Next 3Y26.54%
EPS Next 5Y33.5%
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y2.4%
Revenue growth 5Y-2.33%
Sales Q2Q%-3.71%
Revenue Next Year-3.84%
Revenue Next 2Y-2.15%
Revenue Next 3Y-0.52%
Revenue Next 5Y1.1%
EBIT growth 1Y-13.88%
EBIT growth 3Y-5.76%
EBIT growth 5Y30.09%
EBIT Next Year63.86%
EBIT Next 3Y22.46%
EBIT Next 5Y23.5%
FCF growth 1Y15.84%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y13.05%
OCF growth 3Y30.56%
OCF growth 5Y12.01%