AFYA LTD-CLASS A (AFYA) Stock Fundamental Analysis
USA - NASDAQ:AFYA - KYG011251066 - Common Stock
14.12 USD
-0.21 (-1.47%)
14.12 USD
0 (0%)
AFYA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 78 industry peers in the Diversified Consumer Services industry. While AFYA has a great profitability rating, there are some minor concerns on its financial health. AFYA is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
In the past year AFYA was profitable.
AFYA had a positive operating cash flow in the past year.
AFYA had positive earnings in each of the past 5 years.
Each year in the past 5 years AFYA had a positive operating cash flow.
1.2 Ratios
AFYA's Return On Assets of 7.51% is fine compared to the rest of the industry. AFYA outperforms 76.92% of its industry peers.
AFYA's Return On Equity of 15.10% is fine compared to the rest of the industry. AFYA outperforms 76.92% of its industry peers.
AFYA has a Return On Invested Capital of 12.57%. This is amongst the best in the industry. AFYA outperforms 89.74% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AFYA is in line with the industry average of 9.50%.
The 3 year average ROIC (9.34%) for AFYA is below the current ROIC(12.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.51% | ||
| ROE | 15.1% | ||
| ROIC | 12.57% |
ROA(3y)5.81%
ROA(5y)5.4%
ROE(3y)12.4%
ROE(5y)11.05%
ROIC(3y)9.34%
ROIC(5y)8.2%
1.3 Margins
Looking at the Profit Margin, with a value of 19.58%, AFYA belongs to the top of the industry, outperforming 91.03% of the companies in the same industry.
In the last couple of years the Profit Margin of AFYA has declined.
AFYA has a Operating Margin of 32.42%. This is amongst the best in the industry. AFYA outperforms 97.44% of its industry peers.
AFYA's Operating Margin has improved in the last couple of years.
The Gross Margin of AFYA (64.56%) is better than 75.64% of its industry peers.
AFYA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.42% | ||
| PM (TTM) | 19.58% | ||
| GM | 64.56% |
OM growth 3Y6.1%
OM growth 5Y2.29%
PM growth 3Y13.74%
PM growth 5Y-3.65%
GM growth 3Y0.61%
GM growth 5Y1.44%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AFYA is creating some value.
Compared to 1 year ago, AFYA has about the same amount of shares outstanding.
The number of shares outstanding for AFYA has been increased compared to 5 years ago.
AFYA has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.10 indicates that AFYA is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of AFYA (2.10) is better than 66.67% of its industry peers.
AFYA has a debt to FCF ratio of 2.94. This is a good value and a sign of high solvency as AFYA would need 2.94 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.94, AFYA is doing good in the industry, outperforming 73.08% of the companies in the same industry.
A Debt/Equity ratio of 0.43 indicates that AFYA is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.43, AFYA is in line with its industry, outperforming 47.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.94 | ||
| Altman-Z | 2.1 |
ROIC/WACC1.19
WACC10.56%
2.3 Liquidity
AFYA has a Current Ratio of 0.94. This is a bad value and indicates that AFYA is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.94, AFYA is in line with its industry, outperforming 42.31% of the companies in the same industry.
AFYA has a Quick Ratio of 0.94. This is a bad value and indicates that AFYA is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.94, AFYA perfoms like the industry average, outperforming 43.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
AFYA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.15%, which is quite good.
Measured over the past years, AFYA shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.00% on average per year.
The Revenue has grown by 15.60% in the past year. This is quite good.
The Revenue has been growing by 34.50% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)14.15%
EPS 3Y30.22%
EPS 5Y25%
EPS Q2Q%-0.87%
Revenue 1Y (TTM)15.6%
Revenue growth 3Y24.33%
Revenue growth 5Y34.5%
Sales Q2Q%13.52%
3.2 Future
AFYA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.24% yearly.
Based on estimates for the next years, AFYA will show a quite strong growth in Revenue. The Revenue will grow by 9.37% on average per year.
EPS Next Y1.13%
EPS Next 2Y7.99%
EPS Next 3Y9.24%
EPS Next 5YN/A
Revenue Next Year12.37%
Revenue Next 2Y10.33%
Revenue Next 3Y9.37%
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 decreasing.
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
Based on the Price/Earnings ratio of 8.16, the valuation of AFYA can be described as reasonable.
Based on the Price/Earnings ratio, AFYA is valued cheaper than 91.03% of the companies in the same industry.
When comparing the Price/Earnings ratio of AFYA to the average of the S&P500 Index (25.67), we can say AFYA is valued rather cheaply.
The Price/Forward Earnings ratio is 7.33, which indicates a rather cheap valuation of AFYA.
Based on the Price/Forward Earnings ratio, AFYA is valued cheaper than 94.87% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 31.86, AFYA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.16 | ||
| Fwd PE | 7.33 |
4.2 Price Multiples
84.62% of the companies in the same industry are more expensive than AFYA, based on the Enterprise Value to EBITDA ratio.
AFYA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AFYA is cheaper than 94.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.52 | ||
| EV/EBITDA | 6.23 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of AFYA may justify a higher PE ratio.
PEG (NY)7.25
PEG (5Y)0.33
EPS Next 2Y7.99%
EPS Next 3Y9.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.63%, AFYA has a reasonable but not impressive dividend return.
AFYA's Dividend Yield is rather good when compared to the industry average which is at 2.04. AFYA pays more dividend than 91.03% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.40, AFYA is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
5.2 History
AFYA does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y7.99%
EPS Next 3Y9.24%
14.12
-0.21 (-1.47%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners19.3%
Inst Owner Change-0.8%
Ins Owners9.76%
Ins Owner ChangeN/A
Market Cap1.32B
Revenue(TTM)3.55B
Net Income(TTM)694.24M
Analysts77.14
Price Target19.23 (36.19%)
Short Float %1.86%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.63% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11%
Min EPS beat(2)7.76%
Max EPS beat(2)14.25%
EPS beat(4)3
Avg EPS beat(4)8.36%
Min EPS beat(4)-10.08%
Max EPS beat(4)21.5%
EPS beat(8)6
Avg EPS beat(8)9.45%
EPS beat(12)6
Avg EPS beat(12)4.28%
EPS beat(16)9
Avg EPS beat(16)5.94%
Revenue beat(2)0
Avg Revenue beat(2)-2.01%
Min Revenue beat(2)-3.1%
Max Revenue beat(2)-0.92%
Revenue beat(4)0
Avg Revenue beat(4)-1.84%
Min Revenue beat(4)-3.1%
Max Revenue beat(4)-0.92%
Revenue beat(8)1
Avg Revenue beat(8)-1.2%
Revenue beat(12)3
Avg Revenue beat(12)-1.12%
Revenue beat(16)5
Avg Revenue beat(16)-0.81%
PT rev (1m)1.15%
PT rev (3m)-5.38%
EPS NQ rev (1m)-1.39%
EPS NQ rev (3m)-0.52%
EPS NY rev (1m)-2.16%
EPS NY rev (3m)-3.87%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)-0.66%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.66%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.16 | ||
| Fwd PE | 7.33 | ||
| P/S | 2.02 | ||
| P/FCF | 6.52 | ||
| P/OCF | 4.65 | ||
| P/B | 1.55 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.23 |
EPS(TTM)1.73
EY12.25%
EPS(NY)1.93
Fwd EY13.64%
FCF(TTM)2.17
FCFY15.34%
OCF(TTM)3.04
OCFY21.51%
SpS7.01
BVpS9.08
TBVpS-1.95
PEG (NY)7.25
PEG (5Y)0.33
Graham Number18.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.51% | ||
| ROE | 15.1% | ||
| ROCE | 15.91% | ||
| ROIC | 12.57% | ||
| ROICexc | 14.82% | ||
| ROICexgc | 166.98% | ||
| OM | 32.42% | ||
| PM (TTM) | 19.58% | ||
| GM | 64.56% | ||
| FCFM | 30.92% |
ROA(3y)5.81%
ROA(5y)5.4%
ROE(3y)12.4%
ROE(5y)11.05%
ROIC(3y)9.34%
ROIC(5y)8.2%
ROICexc(3y)10.67%
ROICexc(5y)9.63%
ROICexgc(3y)53.37%
ROICexgc(5y)48.58%
ROCE(3y)11.82%
ROCE(5y)10.37%
ROICexgc growth 3Y23.68%
ROICexgc growth 5Y4.99%
ROICexc growth 3Y18.62%
ROICexc growth 5Y3.52%
OM growth 3Y6.1%
OM growth 5Y2.29%
PM growth 3Y13.74%
PM growth 5Y-3.65%
GM growth 3Y0.61%
GM growth 5Y1.44%
F-Score6
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.94 | ||
| Debt/EBITDA | 1.3 | ||
| Cap/Depr | 123.59% | ||
| Cap/Sales | 12.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 102.05% | ||
| Profit Quality | 157.94% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z | 2.1 |
F-Score6
WACC10.56%
ROIC/WACC1.19
Cap/Depr(3y)115.53%
Cap/Depr(5y)130.54%
Cap/Sales(3y)11.06%
Cap/Sales(5y)12.14%
Profit Quality(3y)172.56%
Profit Quality(5y)151.27%
High Growth Momentum
Growth
EPS 1Y (TTM)14.15%
EPS 3Y30.22%
EPS 5Y25%
EPS Q2Q%-0.87%
EPS Next Y1.13%
EPS Next 2Y7.99%
EPS Next 3Y9.24%
EPS Next 5YN/A
Revenue 1Y (TTM)15.6%
Revenue growth 3Y24.33%
Revenue growth 5Y34.5%
Sales Q2Q%13.52%
Revenue Next Year12.37%
Revenue Next 2Y10.33%
Revenue Next 3Y9.37%
Revenue Next 5YN/A
EBIT growth 1Y30.49%
EBIT growth 3Y31.92%
EBIT growth 5Y37.58%
EBIT Next Year60.99%
EBIT Next 3Y23.03%
EBIT Next 5YN/A
FCF growth 1Y64.44%
FCF growth 3Y43.21%
FCF growth 5Y42.42%
OCF growth 1Y61.2%
OCF growth 3Y31.44%
OCF growth 5Y36.78%
AFYA LTD-CLASS A / AFYA FAQ
What is the ChartMill fundamental rating of AFYA LTD-CLASS A (AFYA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to AFYA.
What is the valuation status of AFYA LTD-CLASS A (AFYA) stock?
ChartMill assigns a valuation rating of 8 / 10 to AFYA LTD-CLASS A (AFYA). This can be considered as Undervalued.
How profitable is AFYA LTD-CLASS A (AFYA) stock?
AFYA LTD-CLASS A (AFYA) has a profitability rating of 8 / 10.
What is the financial health of AFYA LTD-CLASS A (AFYA) stock?
The financial health rating of AFYA LTD-CLASS A (AFYA) is 4 / 10.