AUTOLIV INC (ALV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALV - US0528001094 - Common Stock
117.89 USD
-0.69 (-0.58%)
117.89 USD
0 (0%)
Overall ALV gets a fundamental rating of 6 out of 10. We evaluated ALV against 82 industry peers in the Automobile Components industry. ALV scores excellent on profitability, but 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
In the past year ALV was profitable.
ALV had a positive operating cash flow in the past year.
Each year in the past 5 years ALV has been profitable.
Each year in the past 5 years ALV had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 8.89%, ALV belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
ALV has a Return On Equity of 29.50%. This is amongst the best in the industry. ALV outperforms 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 8.52%.
The 3 year average ROIC (14.52%) for ALV is below the current ROIC(18.53%), indicating increased profibility in the last year.
| 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
The Profit Margin of ALV (7.08%) is better than 93.90% of its industry peers.
ALV's Profit Margin has improved in the last couple of years.
ALV has a Operating Margin of 10.64%. This is comparable to the rest of the industry: ALV outperforms 46.34% of its industry peers.
ALV's Operating Margin has improved in the last couple of years.
ALV's Gross Margin of 19.51% is on the low side compared to the rest of the industry. ALV is outperformed by 71.95% of its industry peers.
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ALV is creating value.
Compared to 1 year ago, ALV has less shares outstanding
The number of shares outstanding for ALV has been reduced compared to 5 years ago.
ALV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.96 indicates that ALV is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.96, ALV is doing good in the industry, outperforming 64.63% of the companies in the same industry.
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.
Looking at the Debt to FCF ratio, with a value of 3.55, ALV belongs to the top 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's Debt to Equity ratio of 0.68 is on the low side compared to the rest of the industry. ALV is outperformed by 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 3.55 | ||
| Altman-Z | 2.96 |
ROIC/WACC2.77
WACC6.69%
2.3 Liquidity
ALV has a Current 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 Current ratio of ALV (0.95) is worse than 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.
With a Quick ratio value of 0.70, ALV is not doing good in the industry: 89.02% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
ALV shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.75%.
Measured over the past 5 years, ALV shows a small growth in Earnings Per Share. The EPS has been growing by 7.83% on average per year.
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
Based on estimates for the next years, ALV will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.64% on average per year.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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 12.12, which indicates a correct valuation of ALV.
67.07% of the companies in the same industry are more expensive than ALV, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ALV to the average of the S&P500 Index (26.15), we can say ALV is valued rather cheaply.
The Price/Forward Earnings ratio is 10.44, which indicates a very decent valuation of ALV.
ALV's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of ALV to the average of the S&P500 Index (36.22), we can say ALV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.12 | ||
| Fwd PE | 10.44 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ALV.
The rest of the industry has a similar Price/Free Cash Flow ratio as ALV.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.67 | ||
| EV/EBITDA | 6.84 |
4.3 Compensation for Growth
ALV's 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)0.76
PEG (5Y)1.55
EPS Next 2Y16.37%
EPS Next 3Y16.27%
5. Dividend
5.1 Amount
ALV has a Yearly Dividend Yield of 2.94%.
Compared to an average industry Dividend Yield of 4.29, ALV has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, ALV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
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
30.32% of the earnings are spent on dividend by ALV. This is a low number and 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%
117.89
-0.69 (-0.58%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners73.41%
Inst Owner Change-3.99%
Ins Owners0.24%
Ins Owner Change-0.33%
Market Cap8.95B
Revenue(TTM)10.61B
Net Income(TTM)752.00M
Analysts78.4
Price Target138.01 (17.07%)
Short Float %3.14%
Short Ratio3.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.94% |
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)3.91%
PT rev (3m)6.41%
EPS NQ rev (1m)-1.41%
EPS NQ rev (3m)-1.47%
EPS NY rev (1m)0.1%
EPS NY rev (3m)2.41%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)1.57%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.12 | ||
| Fwd PE | 10.44 | ||
| P/S | 0.84 | ||
| P/FCF | 15.67 | ||
| P/OCF | 8.66 | ||
| P/B | 3.51 | ||
| P/tB | 7.7 | ||
| EV/EBITDA | 6.84 |
EPS(TTM)9.73
EY8.25%
EPS(NY)11.29
Fwd EY9.58%
FCF(TTM)7.52
FCFY6.38%
OCF(TTM)13.61
OCFY11.54%
SpS139.81
BVpS33.57
TBVpS15.31
PEG (NY)0.76
PEG (5Y)1.55
Graham Number85.73
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 | 2.96 |
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 6 / 10 and the dividend payout ratio is 30.32%.