ANDREW PELLER LTD -A (ADW-A.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ADW-A - CA03444Q1000 - Common Stock
5.12 CAD
-0.06 (-1.16%)
Overall ADW-A gets a fundamental rating of 6 out of 10. We evaluated ADW-A against 10 industry peers in the Beverages industry. ADW-A has only an average score on both its financial health and profitability. ADW-A is valued quite cheap, while showing a decent growth score. This is a good combination! Finally ADW-A also has an excellent dividend rating. This makes ADW-A very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
- In the past year ADW-A was profitable.
- ADW-A had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: ADW-A reported negative net income in multiple years.
- Each year in the past 5 years ADW-A had a positive operating cash flow.
1.2 Ratios
- ADW-A's Return On Assets of 3.85% is fine compared to the rest of the industry. ADW-A outperforms 80.00% of its industry peers.
- ADW-A has a Return On Equity of 8.05%. This is in the better half of the industry: ADW-A outperforms 80.00% of its industry peers.
- With a decent Return On Invested Capital value of 6.18%, ADW-A is doing good in the industry, outperforming 80.00% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for ADW-A is below the industry average of 6.91%.
- The last Return On Invested Capital (6.18%) for ADW-A is above the 3 year average (3.12%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.85% | ||
| ROE | 8.05% | ||
| ROIC | 6.18% |
ROA(3y)0.31%
ROA(5y)1.66%
ROE(3y)0.68%
ROE(5y)3.44%
ROIC(3y)3.12%
ROIC(5y)3.48%
1.3 Margins
- The Profit Margin of ADW-A (5.30%) is better than 80.00% of its industry peers.
- ADW-A's Profit Margin has declined in the last couple of years.
- ADW-A has a Operating Margin of 11.80%. This is in the better half of the industry: ADW-A outperforms 80.00% of its industry peers.
- In the last couple of years the Operating Margin of ADW-A has declined.
- ADW-A has a Gross Margin (41.80%) which is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of ADW-A has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.8% | ||
| PM (TTM) | 5.3% | ||
| GM | 41.8% |
OM growth 3Y28.29%
OM growth 5Y-2.54%
PM growth 3Y-5.15%
PM growth 5Y-14.23%
GM growth 3Y4.75%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
- ADW-A has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ADW-A has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, ADW-A has less shares outstanding
- ADW-A has a better debt/assets ratio than last year.
2.2 Solvency
- ADW-A has an Altman-Z score of 2.40. This is not the best score and indicates that ADW-A is in the grey zone with still only limited risk for bankruptcy at the moment.
- ADW-A's Altman-Z score of 2.40 is in line compared to the rest of the industry. ADW-A outperforms 60.00% of its industry peers.
- ADW-A has a debt to FCF ratio of 4.32. This is a neutral value as ADW-A would need 4.32 years to pay back of all of its debts.
- ADW-A has a Debt to FCF ratio of 4.32. This is in the better half of the industry: ADW-A outperforms 80.00% of its industry peers.
- ADW-A has a Debt/Equity ratio of 0.69. This is a neutral value indicating ADW-A is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.69, ADW-A is in line with its industry, outperforming 50.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.32 | ||
| Altman-Z | 2.4 |
ROIC/WACC0.99
WACC6.27%
2.3 Liquidity
- A Current Ratio of 3.22 indicates that ADW-A has no problem at all paying its short term obligations.
- The Current ratio of ADW-A (3.22) is better than 90.00% of its industry peers.
- A Quick Ratio of 1.10 indicates that ADW-A should not have too much problems paying its short term obligations.
- The Quick ratio of ADW-A (1.10) is better than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.22 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
- ADW-A shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 769.76%, which is quite impressive.
- Measured over the past years, ADW-A shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.21% on average per year.
- The Revenue has decreased by -2.11% in the past year.
- The Revenue has been growing slightly by 0.38% on average over the past years.
EPS 1Y (TTM)769.76%
EPS 3Y-5.3%
EPS 5Y-14.21%
EPS Q2Q%86.09%
Revenue 1Y (TTM)-2.11%
Revenue growth 3Y1.38%
Revenue growth 5Y0.38%
Sales Q2Q%-3.42%
3.2 Future
- Based on estimates for the next years, ADW-A will show a very strong growth in Earnings Per Share. The EPS will grow by 74.01% on average per year.
- Based on estimates for the next years, ADW-A will show a decrease in Revenue. The Revenue will decrease by -0.13% on average per year.
EPS Next Y172.22%
EPS Next 2Y74.01%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.61%
Revenue Next 2Y-0.13%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- ADW-A is valuated reasonably with a Price/Earnings ratio of 10.89.
- Based on the Price/Earnings ratio, ADW-A is valued cheaper than 100.00% of the companies in the same industry.
- ADW-A is valuated cheaply when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
- ADW-A is valuated reasonably with a Price/Forward Earnings ratio of 9.12.
- Based on the Price/Forward Earnings ratio, ADW-A is valued a bit cheaper than 80.00% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.72, ADW-A is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.89 | ||
| Fwd PE | 9.12 |
4.2 Price Multiples
- ADW-A's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ADW-A is cheaper than 100.00% of the companies in the same industry.
- 100.00% of the companies in the same industry are more expensive than ADW-A, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.38 | ||
| EV/EBITDA | 5.78 |
4.3 Compensation for Growth
- ADW-A's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ADW-A's earnings are expected to grow with 74.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.06
PEG (5Y)N/A
EPS Next 2Y74.01%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.74%, ADW-A is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 2.98, ADW-A pays a bit more dividend than its industry peers.
- ADW-A's Dividend Yield is rather good when compared to the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
5.2 History
- The dividend of ADW-A has a limited annual growth rate of 2.90%.
- ADW-A has paid a dividend for at least 10 years, which is a reliable track record.
- ADW-A has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.9%
Div Incr Years1
Div Non Decr Years34
5.3 Sustainability
- 50.93% of the earnings are spent on dividend by ADW-A. This is a bit on the high side, but may be sustainable.
- The dividend of ADW-A is growing, but earnings are growing more, so the dividend growth is sustainable.
DP50.93%
EPS Next 2Y74.01%
EPS Next 3YN/A
ANDREW PELLER LTD -A / ADW-A.CA FAQ
What is the fundamental rating for ADW-A stock?
ChartMill assigns a fundamental rating of 6 / 10 to ADW-A.CA.
What is the valuation status of ANDREW PELLER LTD -A (ADW-A.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to ANDREW PELLER LTD -A (ADW-A.CA). This can be considered as Undervalued.
Can you provide the profitability details for ANDREW PELLER LTD -A?
ANDREW PELLER LTD -A (ADW-A.CA) has a profitability rating of 5 / 10.
What is the financial health of ANDREW PELLER LTD -A (ADW-A.CA) stock?
The financial health rating of ANDREW PELLER LTD -A (ADW-A.CA) is 6 / 10.
What is the earnings growth outlook for ANDREW PELLER LTD -A?
The Earnings per Share (EPS) of ANDREW PELLER LTD -A (ADW-A.CA) is expected to grow by 172.22% in the next year.