AUTOLIV INC (ALV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALV - US0528001094 - Common Stock
116.67 USD
+3.98 (+3.53%)
116.67 USD
0 (0%)
Taking everything into account, ALV scores 6 out of 10 in our fundamental rating. ALV was compared to 82 industry peers in the Automobile Components industry. While ALV has a great profitability rating, there are some minor concerns on its financial health. ALV has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
ALV had positive earnings in the past year.
In the past year ALV had a positive cash flow from operations.
Each year in the past 5 years ALV has been profitable.
ALV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ALV (8.89%) is better than 92.68% of its industry peers.
ALV has a better Return On Equity (29.50%) than 100.00% of its industry peers.
ALV has a better Return On Invested Capital (18.53%) than 98.78% of its industry peers.
ALV had an Average Return On Invested Capital over the past 3 years of 14.52%. This is significantly above the industry average of 8.55%.
The last Return On Invested Capital (18.53%) for ALV is above the 3 year average (14.52%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.89% | ||
| ROE | 29.5% | ||
| ROIC | 18.53% |
ROA(3y)6.54%
ROA(5y)5.54%
ROE(3y)21.22%
ROE(5y)17.59%
ROIC(3y)14.52%
ROIC(5y)12.08%
1.3 Margins
Looking at the Profit Margin, with a value of 7.08%, ALV belongs to the top of the industry, outperforming 93.90% of the companies in the same industry.
ALV's Profit Margin has improved in the last couple of years.
The Operating Margin of ALV (10.64%) is comparable to the rest of the industry.
ALV's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 19.51%, ALV is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
ALV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.64% | ||
| PM (TTM) | 7.08% | ||
| GM | 19.51% |
OM growth 3Y5.44%
OM growth 5Y2.52%
PM growth 3Y5.56%
PM growth 5Y2.86%
GM growth 3Y0.34%
GM growth 5Y0.01%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ALV is creating value.
ALV has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ALV has been reduced compared to 5 years ago.
The debt/assets ratio for ALV is higher compared to a year ago.
2.2 Solvency
ALV has an Altman-Z score of 2.91. This is not the best score and indicates that ALV is in the grey zone with still only limited risk for bankruptcy at the moment.
ALV has a better Altman-Z score (2.91) than 64.63% of its industry peers.
The Debt to FCF ratio of ALV is 3.55, which is a good value as it means it would take ALV, 3.55 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 3.55, ALV belongs to the best of the industry, outperforming 87.80% of the companies in the same industry.
ALV has a Debt/Equity ratio of 0.68. This is a neutral value indicating ALV is somewhat dependend on debt financing.
ALV has a Debt to Equity ratio of 0.68. This is in the lower half of the industry: ALV underperforms 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 3.55 | ||
| Altman-Z | 2.91 |
ROIC/WACC2.77
WACC6.69%
2.3 Liquidity
A Current Ratio of 0.95 indicates that ALV may have some problems paying its short term obligations.
ALV's Current ratio of 0.95 is on the low side compared to the rest of the industry. ALV is outperformed by 92.68% of its industry peers.
ALV has a Quick Ratio of 0.95. This is a bad value and indicates that ALV is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ALV (0.70) is worse than 89.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.75% over the past year.
ALV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.83% yearly.
ALV shows a small growth in Revenue. In the last year, the Revenue has grown by 0.84%.
Measured over the past years, ALV shows a small growth in Revenue. The Revenue has been growing by 3.98% on average per year.
EPS 1Y (TTM)7.75%
EPS 3Y18.44%
EPS 5Y7.83%
EPS Q2Q%26.09%
Revenue 1Y (TTM)0.84%
Revenue growth 3Y8.08%
Revenue growth 5Y3.98%
Sales Q2Q%5.91%
3.2 Future
The Earnings Per Share is expected to grow by 13.64% on average over the next years. This is quite good.
ALV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.71% yearly.
EPS Next Y16.03%
EPS Next 2Y16.37%
EPS Next 3Y16.27%
EPS Next 5Y13.64%
Revenue Next Year2.64%
Revenue Next 2Y3.55%
Revenue Next 3Y4.03%
Revenue Next 5Y3.71%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.99, which indicates a very decent valuation of ALV.
Based on the Price/Earnings ratio, ALV is valued a bit cheaper than 64.63% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.45. ALV is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 10.33, the valuation of ALV can be described as very reasonable.
ALV's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 34.46. ALV is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.99 | ||
| Fwd PE | 10.33 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ALV.
ALV's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.52 | ||
| EV/EBITDA | 6.55 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of ALV may justify a higher PE ratio.
ALV's earnings are expected to grow with 16.27% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.75
PEG (5Y)1.53
EPS Next 2Y16.37%
EPS Next 3Y16.27%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.09%, ALV has a reasonable but not impressive dividend return.
ALV's Dividend Yield is comparable with the industry average which is at 4.44.
Compared to an average S&P500 Dividend Yield of 2.42, ALV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
5.2 History
The dividend of ALV has a limited annual growth rate of 1.88%.
ALV has been paying a dividend for at least 10 years, so it has a reliable track record.
ALV has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.88%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
ALV pays out 30.32% of its income as dividend. This is a sustainable payout ratio.
The dividend of ALV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP30.32%
EPS Next 2Y16.37%
EPS Next 3Y16.27%
116.67
+3.98 (+3.53%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners73.41%
Inst Owner Change-4.34%
Ins Owners0.24%
Ins Owner Change-0.44%
Market Cap8.86B
Revenue(TTM)10.61B
Net Income(TTM)752.00M
Analysts78.4
Price Target138.01 (18.29%)
Short Float %2.87%
Short Ratio3.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.09% |
Yearly Dividend2.73
Dividend Growth(5Y)1.88%
DP30.32%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.54%
Min EPS beat(2)1.65%
Max EPS beat(2)11.44%
EPS beat(4)4
Avg EPS beat(4)11.78%
Min EPS beat(4)1.65%
Max EPS beat(4)27.32%
EPS beat(8)6
Avg EPS beat(8)5.78%
EPS beat(12)8
Avg EPS beat(12)5.3%
EPS beat(16)10
Avg EPS beat(16)9.81%
Revenue beat(2)2
Avg Revenue beat(2)0.86%
Min Revenue beat(2)0.04%
Max Revenue beat(2)1.69%
Revenue beat(4)3
Avg Revenue beat(4)-0.28%
Min Revenue beat(4)-4.21%
Max Revenue beat(4)1.69%
Revenue beat(8)3
Avg Revenue beat(8)-1.07%
Revenue beat(12)5
Avg Revenue beat(12)-0.62%
Revenue beat(16)6
Avg Revenue beat(16)-1.02%
PT rev (1m)4.97%
PT rev (3m)7.49%
EPS NQ rev (1m)-5.8%
EPS NQ rev (3m)0.2%
EPS NY rev (1m)2.45%
EPS NY rev (3m)8.54%
Revenue NQ rev (1m)-0.61%
Revenue NQ rev (3m)1.38%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)0.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.99 | ||
| Fwd PE | 10.33 | ||
| P/S | 0.84 | ||
| P/FCF | 15.52 | ||
| P/OCF | 8.58 | ||
| P/B | 3.48 | ||
| P/tB | 7.63 | ||
| EV/EBITDA | 6.55 |
EPS(TTM)9.73
EY8.34%
EPS(NY)11.29
Fwd EY9.68%
FCF(TTM)7.52
FCFY6.44%
OCF(TTM)13.6
OCFY11.65%
SpS139.71
BVpS33.55
TBVpS15.3
PEG (NY)0.75
PEG (5Y)1.53
Graham Number85.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.89% | ||
| ROE | 29.5% | ||
| ROCE | 26.12% | ||
| ROIC | 18.53% | ||
| ROICexc | 19.46% | ||
| ROICexgc | 28.23% | ||
| OM | 10.64% | ||
| PM (TTM) | 7.08% | ||
| GM | 19.51% | ||
| FCFM | 5.38% |
ROA(3y)6.54%
ROA(5y)5.54%
ROE(3y)21.22%
ROE(5y)17.59%
ROIC(3y)14.52%
ROIC(5y)12.08%
ROICexc(3y)16.2%
ROICexc(5y)14.02%
ROICexgc(3y)25.07%
ROICexgc(5y)21.86%
ROCE(3y)19.64%
ROCE(5y)16.17%
ROICexgc growth 3Y10.72%
ROICexgc growth 5Y5.98%
ROICexc growth 3Y12.07%
ROICexc growth 5Y6.39%
OM growth 3Y5.44%
OM growth 5Y2.52%
PM growth 3Y5.56%
PM growth 5Y2.86%
GM growth 3Y0.34%
GM growth 5Y0.01%
F-Score7
Asset Turnover1.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 3.55 | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 116.37% | ||
| Cap/Sales | 4.35% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.69% | ||
| Profit Quality | 75.93% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 2.91 |
F-Score7
WACC6.69%
ROIC/WACC2.77
Cap/Depr(3y)154.12%
Cap/Depr(5y)134.24%
Cap/Sales(3y)5.89%
Cap/Sales(5y)5.57%
Profit Quality(3y)62.94%
Profit Quality(5y)105.41%
High Growth Momentum
Growth
EPS 1Y (TTM)7.75%
EPS 3Y18.44%
EPS 5Y7.83%
EPS Q2Q%26.09%
EPS Next Y16.03%
EPS Next 2Y16.37%
EPS Next 3Y16.27%
EPS Next 5Y13.64%
Revenue 1Y (TTM)0.84%
Revenue growth 3Y8.08%
Revenue growth 5Y3.98%
Sales Q2Q%5.91%
Revenue Next Year2.64%
Revenue Next 2Y3.55%
Revenue Next 3Y4.03%
Revenue Next 5Y3.71%
EBIT growth 1Y16.39%
EBIT growth 3Y13.96%
EBIT growth 5Y6.6%
EBIT Next Year50.04%
EBIT Next 3Y21.6%
EBIT Next 5YN/A
FCF growth 1Y38.59%
FCF growth 3Y17.62%
FCF growth 5Y25%
OCF growth 1Y3.4%
OCF growth 3Y12.04%
OCF growth 5Y10.57%
AUTOLIV INC / ALV FAQ
Can you provide the ChartMill fundamental rating for AUTOLIV INC?
ChartMill assigns a fundamental rating of 6 / 10 to ALV.
What is the valuation status for ALV stock?
ChartMill assigns a valuation rating of 6 / 10 to AUTOLIV INC (ALV). This can be considered as Fairly Valued.
Can you provide the profitability details for AUTOLIV INC?
AUTOLIV INC (ALV) has a profitability rating of 8 / 10.
How financially healthy is AUTOLIV INC?
The financial health rating of AUTOLIV INC (ALV) is 4 / 10.
Is the dividend of AUTOLIV INC sustainable?
The dividend rating of AUTOLIV INC (ALV) is 5 / 10 and the dividend payout ratio is 30.32%.