AG GROWTH INTERNATIONAL (AFN-DB-H.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:AFN-DB-H - CA001181AM88
100.1 CAD
+0.1 (+0.1%)
Taking everything into account, AFN-DB-H scores 4 out of 10 in our fundamental rating. AFN-DB-H was compared to 23 industry peers in the Machinery industry. AFN-DB-H has an average financial health and profitability rating. While showing a medium growth rate, AFN-DB-H is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- AFN-DB-H had positive earnings in the past year.
- AFN-DB-H had a negative operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: AFN-DB-H reported negative net income in multiple years.
- Each year in the past 5 years AFN-DB-H had a positive operating cash flow.
1.2 Ratios
- AFN-DB-H's Return On Assets of -0.53% is fine compared to the rest of the industry. AFN-DB-H outperforms 65.22% of its industry peers.
- AFN-DB-H's Return On Equity of -2.89% is in line compared to the rest of the industry. AFN-DB-H outperforms 56.52% of its industry peers.
- AFN-DB-H's Return On Invested Capital of 9.24% is amongst the best of the industry. AFN-DB-H outperforms 82.61% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for AFN-DB-H is above the industry average of 6.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.53% | ||
| ROE | -2.89% | ||
| ROIC | 9.24% |
ROA(3y)-0.04%
ROA(5y)-0.72%
ROE(3y)-1.37%
ROE(5y)-4.72%
ROIC(3y)10.97%
ROIC(5y)7.56%
1.3 Margins
- The Operating Margin of AFN-DB-H (11.10%) is better than 86.96% of its industry peers.
- AFN-DB-H's Operating Margin has improved in the last couple of years.
- AFN-DB-H has a better Gross Margin (28.91%) than 60.87% of its industry peers.
- AFN-DB-H's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.1% | ||
| PM (TTM) | N/A | ||
| GM | 28.91% |
OM growth 3Y31.28%
OM growth 5Y11.58%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.93%
GM growth 5Y3.48%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AFN-DB-H is creating some value.
- Compared to 1 year ago, AFN-DB-H has less shares outstanding
- Compared to 5 years ago, AFN-DB-H has more shares outstanding
- Compared to 1 year ago, AFN-DB-H has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 1.87 indicates that AFN-DB-H is not a great score, but indicates only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 1.87, AFN-DB-H is in line with its industry, outperforming 47.83% of the companies in the same industry.
- AFN-DB-H has a Debt/Equity ratio of 3.04. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of AFN-DB-H (3.04) is worse than 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.04 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.87 |
ROIC/WACC1.02
WACC9.03%
2.3 Liquidity
- AFN-DB-H has a Current Ratio of 1.69. This is a normal value and indicates that AFN-DB-H is financially healthy and should not expect problems in meeting its short term obligations.
- AFN-DB-H's Current ratio of 1.69 is fine compared to the rest of the industry. AFN-DB-H outperforms 60.87% of its industry peers.
- AFN-DB-H has a Quick Ratio of 1.16. This is a normal value and indicates that AFN-DB-H is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 1.16, AFN-DB-H is doing good in the industry, outperforming 60.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
- The earnings per share for AFN-DB-H have decreased strongly by -41.72% in the last year.
- The Earnings Per Share has been growing by 16.02% on average over the past years. This is quite good.
- The Revenue has been growing slightly by 0.22% in the past year.
- AFN-DB-H shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.12% yearly.
EPS 1Y (TTM)-41.72%
EPS 3Y12.72%
EPS 5Y16.02%
EPS Q2Q%3.97%
Revenue 1Y (TTM)0.22%
Revenue growth 3Y5.43%
Revenue growth 5Y7.12%
Sales Q2Q%9.03%
3.2 Future
- Based on estimates for the next years, AFN-DB-H will show a decrease in Earnings Per Share. The EPS will decrease by -4.39% on average per year.
- Based on estimates for the next years, AFN-DB-H will show a quite strong growth in Revenue. The Revenue will grow by 8.54% on average per year.
EPS Next Y-41.94%
EPS Next 2Y-14.69%
EPS Next 3Y-4.39%
EPS Next 5YN/A
Revenue Next Year-1.69%
Revenue Next 2Y1.64%
Revenue Next 3Y2.7%
Revenue Next 5Y8.54%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 36.01, the valuation of AFN-DB-H can be described as expensive.
- Based on the Price/Earnings ratio, AFN-DB-H is valued a bit cheaper than 73.91% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.87. AFN-DB-H is valued slightly more expensive when compared to this.
- A Price/Forward Earnings ratio of 30.30 indicates a quite expensive valuation of AFN-DB-H.
- 65.22% of the companies in the same industry are more expensive than AFN-DB-H, based on the Price/Forward Earnings ratio.
- AFN-DB-H's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.96.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.01 | ||
| Fwd PE | 30.3 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, AFN-DB-H is valued a bit cheaper than 73.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.6 |
4.3 Compensation for Growth
- AFN-DB-H has a very decent profitability rating, which may justify a higher PE ratio.
- A cheap valuation may be justified as AFN-DB-H's earnings are expected to decrease with -4.39% in the coming years.
PEG (NY)N/A
PEG (5Y)2.25
EPS Next 2Y-14.69%
EPS Next 3Y-4.39%
5. Dividend
5.1 Amount
- AFN-DB-H has a Yearly Dividend Yield of 1.92%.
- Compared to an average industry Dividend Yield of 0.91, AFN-DB-H pays a bit more dividend than its industry peers.
- AFN-DB-H's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.92% |
5.2 History
- The dividend of AFN-DB-H decreases each year by -24.17%.
- AFN-DB-H is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)-24.17%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- The earnings of AFN-DB-H are negative and hence is the payout ratio. AFN-DB-H will probably not be able to sustain this dividend level.
- AFN-DB-H's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP-121.49%
EPS Next 2Y-14.69%
EPS Next 3Y-4.39%
AG GROWTH INTERNATIONAL / AFN-DB-H.CA FAQ
What is the fundamental rating for AFN-DB-H stock?
ChartMill assigns a fundamental rating of 4 / 10 to AFN-DB-H.CA.
Can you provide the valuation status for AG GROWTH INTERNATIONAL?
ChartMill assigns a valuation rating of 2 / 10 to AG GROWTH INTERNATIONAL (AFN-DB-H.CA). This can be considered as Overvalued.
How profitable is AG GROWTH INTERNATIONAL (AFN-DB-H.CA) stock?
AG GROWTH INTERNATIONAL (AFN-DB-H.CA) has a profitability rating of 6 / 10.
Can you provide the financial health for AFN-DB-H stock?
The financial health rating of AG GROWTH INTERNATIONAL (AFN-DB-H.CA) is 4 / 10.
Can you provide the dividend sustainability for AFN-DB-H stock?
The dividend rating of AG GROWTH INTERNATIONAL (AFN-DB-H.CA) is 2 / 10 and the dividend payout ratio is -121.49%.