ADDUS HOMECARE CORP (ADUS) Stock Fundamental Analysis
NASDAQ:ADUS - Nasdaq - US0067391062 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to ADUS. ADUS was compared to 102 industry peers in the Health Care Providers & Services industry. ADUS scores excellent on profitability, but there are some minor concerns on its financial health. ADUS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ADUS was profitable.
ADUS had a positive operating cash flow in the past year.
ADUS had positive earnings in each of the past 5 years.
In the past 5 years ADUS always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.21%, ADUS is in the better half of the industry, outperforming 79.05% of the companies in the same industry.
ADUS has a better Return On Equity (7.58%) than 67.62% of its industry peers.
ADUS has a better Return On Invested Capital (6.17%) than 62.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ADUS is in line with the industry average of 9.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.21% | ||
| ROE | 7.58% | ||
| ROIC | 6.17% |
ROA(3y)5.41%
ROA(5y)4.94%
ROE(3y)7.9%
ROE(5y)7.59%
ROIC(3y)7.23%
ROIC(5y)6.68%
1.3 Margins
Looking at the Profit Margin, with a value of 6.37%, ADUS belongs to the top of the industry, outperforming 81.90% of the companies in the same industry.
In the last couple of years the Profit Margin of ADUS has grown nicely.
ADUS's Operating Margin of 8.89% is fine compared to the rest of the industry. ADUS outperforms 78.10% of its industry peers.
In the last couple of years the Operating Margin of ADUS has grown nicely.
ADUS has a Gross Margin (32.48%) which is in line with its industry peers.
In the last couple of years the Gross Margin of ADUS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.89% | ||
| PM (TTM) | 6.37% | ||
| GM | 32.48% |
OM growth 3Y3.25%
OM growth 5Y11.69%
PM growth 3Y6.89%
PM growth 5Y10.42%
GM growth 3Y1.33%
GM growth 5Y3.3%
2. Health
2.1 Basic Checks
ADUS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ADUS has more shares outstanding
ADUS has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ADUS is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.00 indicates that ADUS is not in any danger for bankruptcy at the moment.
The Altman-Z score of ADUS (4.00) is better than 77.14% of its industry peers.
ADUS has a debt to FCF ratio of 1.98. This is a very positive value and a sign of high solvency as it would only need 1.98 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.98, ADUS belongs to the top of the industry, outperforming 82.86% of the companies in the same industry.
A Debt/Equity ratio of 0.23 indicates that ADUS is not too dependend on debt financing.
The Debt to Equity ratio of ADUS (0.23) is better than 68.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.98 | ||
| Altman-Z | 4 |
ROIC/WACC0.73
WACC8.41%
2.3 Liquidity
ADUS has a Current Ratio of 1.67. This is a normal value and indicates that ADUS is financially healthy and should not expect problems in meeting its short term obligations.
ADUS has a Current ratio (1.67) which is comparable to the rest of the industry.
ADUS has a Quick Ratio of 1.67. This is a normal value and indicates that ADUS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ADUS (1.67) is better than 63.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.19% over the past year.
ADUS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.61% yearly.
Looking at the last year, ADUS shows a quite strong growth in Revenue. The Revenue has grown by 9.06% in the last year.
The Revenue has been growing by 12.22% on average over the past years. This is quite good.
EPS 1Y (TTM)16.19%
EPS 3Y14.18%
EPS 5Y16.61%
EPS Q2Q%4.55%
Revenue 1Y (TTM)9.06%
Revenue growth 3Y10.13%
Revenue growth 5Y12.22%
Sales Q2Q%7.52%
3.2 Future
Based on estimates for the next years, ADUS will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.50% on average per year.
ADUS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.53% yearly.
EPS Next Y17.67%
EPS Next 2Y13.8%
EPS Next 3Y12.85%
EPS Next 5Y10.5%
Revenue Next Year22.18%
Revenue Next 2Y13.7%
Revenue Next 3Y11.71%
Revenue Next 5Y8.53%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.19, the valuation of ADUS can be described as rather expensive.
ADUS's Price/Earnings ratio is a bit cheaper when compared to the industry. ADUS is cheaper than 67.62% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.78, ADUS is valued a bit cheaper.
ADUS is valuated correctly with a Price/Forward Earnings ratio of 16.31.
Based on the Price/Forward Earnings ratio, ADUS is valued a bit cheaper than the industry average as 73.33% of the companies are valued more expensively.
ADUS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.32, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.19 | ||
| Fwd PE | 16.31 |
4.2 Price Multiples
ADUS's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, ADUS is valued a bit cheaper than 72.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.56 | ||
| EV/EBITDA | 16.75 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ADUS has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ADUS's earnings are expected to grow with 12.85% in the coming years.
PEG (NY)1.09
PEG (5Y)1.16
EPS Next 2Y13.8%
EPS Next 3Y12.85%
5. Dividend
5.1 Amount
ADUS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
100.58
+1.04 (+1.04%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners103.89%
Inst Owner Change-49.54%
Ins Owners1.73%
Ins Owner Change4.47%
Market Cap1.83B
Analysts82.22
Price Target138.41 (37.61%)
Short Float %3.63%
Short Ratio2.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.1%
Min EPS beat(2)-0.68%
Max EPS beat(2)0.48%
EPS beat(4)3
Avg EPS beat(4)4.41%
Min EPS beat(4)-0.68%
Max EPS beat(4)9%
EPS beat(8)7
Avg EPS beat(8)5.58%
EPS beat(12)10
Avg EPS beat(12)4.98%
EPS beat(16)11
Avg EPS beat(16)3.83%
Revenue beat(2)0
Avg Revenue beat(2)-0.95%
Min Revenue beat(2)-1.83%
Max Revenue beat(2)-0.07%
Revenue beat(4)0
Avg Revenue beat(4)-1.19%
Min Revenue beat(4)-1.83%
Max Revenue beat(4)-0.07%
Revenue beat(8)0
Avg Revenue beat(8)-1.07%
Revenue beat(12)0
Avg Revenue beat(12)-1.47%
Revenue beat(16)0
Avg Revenue beat(16)-1.97%
PT rev (1m)-0.42%
PT rev (3m)-2.82%
EPS NQ rev (1m)1.27%
EPS NQ rev (3m)-2.59%
EPS NY rev (1m)1.49%
EPS NY rev (3m)2.07%
Revenue NQ rev (1m)-0.47%
Revenue NQ rev (3m)1.23%
Revenue NY rev (1m)-0.62%
Revenue NY rev (3m)-1.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.19 | ||
| Fwd PE | 16.31 | ||
| P/S | 1.58 | ||
| P/FCF | 16.56 | ||
| P/OCF | 15.7 | ||
| P/B | 1.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.75 |
EPS(TTM)5.24
EY5.21%
EPS(NY)6.17
Fwd EY6.13%
FCF(TTM)6.08
FCFY6.04%
OCF(TTM)6.41
OCFY6.37%
SpS63.54
BVpS53.41
TBVpS-6.04
PEG (NY)1.09
PEG (5Y)1.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.21% | ||
| ROE | 7.58% | ||
| ROCE | 8.17% | ||
| ROIC | 6.17% | ||
| ROICexc | 6.69% | ||
| ROICexgc | 99.81% | ||
| OM | 8.89% | ||
| PM (TTM) | 6.37% | ||
| GM | 32.48% | ||
| FCFM | 9.56% |
ROA(3y)5.41%
ROA(5y)4.94%
ROE(3y)7.9%
ROE(5y)7.59%
ROIC(3y)7.23%
ROIC(5y)6.68%
ROICexc(3y)7.89%
ROICexc(5y)7.67%
ROICexgc(3y)101.25%
ROICexgc(5y)84.78%
ROCE(3y)9.58%
ROCE(5y)8.86%
ROICexcg growth 3Y20.44%
ROICexcg growth 5Y33.14%
ROICexc growth 3Y-5.68%
ROICexc growth 5Y3.17%
OM growth 3Y3.25%
OM growth 5Y11.69%
PM growth 3Y6.89%
PM growth 5Y10.42%
GM growth 3Y1.33%
GM growth 5Y3.3%
F-Score5
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 1.98 | ||
| Debt/EBITDA | 1.88 | ||
| Cap/Depr | 44.72% | ||
| Cap/Sales | 0.52% | ||
| Interest Coverage | 15.75 | ||
| Cash Conversion | 100.18% | ||
| Profit Quality | 149.98% | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 4 |
F-Score5
WACC8.41%
ROIC/WACC0.73
Cap/Depr(3y)56.89%
Cap/Depr(5y)51.78%
Cap/Sales(3y)0.76%
Cap/Sales(5y)0.74%
Profit Quality(3y)174.92%
Profit Quality(5y)182.39%
High Growth Momentum
Growth
EPS 1Y (TTM)16.19%
EPS 3Y14.18%
EPS 5Y16.61%
EPS Q2Q%4.55%
EPS Next Y17.67%
EPS Next 2Y13.8%
EPS Next 3Y12.85%
EPS Next 5Y10.5%
Revenue 1Y (TTM)9.06%
Revenue growth 3Y10.13%
Revenue growth 5Y12.22%
Sales Q2Q%7.52%
Revenue Next Year22.18%
Revenue Next 2Y13.7%
Revenue Next 3Y11.71%
Revenue Next 5Y8.53%
EBIT growth 1Y10.59%
EBIT growth 3Y13.7%
EBIT growth 5Y25.34%
EBIT Next Year43.94%
EBIT Next 3Y18.5%
EBIT Next 5Y14.43%
FCF growth 1Y7.38%
FCF growth 3Y46.87%
FCF growth 5Y71.69%
OCF growth 1Y3.73%
OCF growth 3Y43.4%
OCF growth 5Y57.54%