AMPLIFON SPA (AMP.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:AMP - IT0004056880 - Common Stock
13.92 EUR
+0.01 (+0.07%)
We assign a fundamental rating of 4 out of 10 to AMP. AMP was compared to 26 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of AMP while its profitability can be described as average. AMP has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year AMP was profitable.
- AMP had a positive operating cash flow in the past year.
- Each year in the past 5 years AMP has been profitable.
- In the past 5 years AMP always reported a positive cash flow from operatings.
1.2 Ratios
- AMP has a Return On Assets (3.01%) which is in line with its industry peers.
- AMP has a Return On Equity of 11.92%. This is comparable to the rest of the industry: AMP outperforms 57.69% of its industry peers.
- The Return On Invested Capital of AMP (6.20%) is comparable to the rest of the industry.
- AMP had an Average Return On Invested Capital over the past 3 years of 7.80%. This is in line with the industry average of 6.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.01% | ||
| ROE | 11.92% | ||
| ROIC | 6.2% |
ROA(3y)4.28%
ROA(5y)4.09%
ROE(3y)14.64%
ROE(5y)14.72%
ROIC(3y)7.8%
ROIC(5y)7.14%
1.3 Margins
- With an excellent Profit Margin value of 4.80%, AMP belongs to the best of the industry, outperforming 80.77% of the companies in the same industry.
- In the last couple of years the Profit Margin of AMP has remained more or less at the same level.
- Looking at the Operating Margin, with a value of 9.57%, AMP belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
- In the last couple of years the Operating Margin of AMP has remained more or less at the same level.
- The Gross Margin of AMP (22.49%) is comparable to the rest of the industry.
- AMP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.57% | ||
| PM (TTM) | 4.8% | ||
| GM | 22.49% |
OM growth 3Y-6.79%
OM growth 5Y-1.1%
PM growth 3Y-9.35%
PM growth 5Y-0.78%
GM growth 3Y4.15%
GM growth 5Y3.26%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AMP is still creating some value.
- Compared to 1 year ago, AMP has about the same amount of shares outstanding.
- The number of shares outstanding for AMP has been increased compared to 5 years ago.
- The debt/assets ratio for AMP is higher compared to a year ago.
2.2 Solvency
- AMP has an Altman-Z score of 1.76. This is a bad value and indicates that AMP is not financially healthy and even has some risk of bankruptcy.
- The Altman-Z score of AMP (1.76) is comparable to the rest of the industry.
- AMP has a debt to FCF ratio of 6.58. This is a slightly negative value and a sign of low solvency as AMP would need 6.58 years to pay back of all of its debts.
- AMP has a Debt to FCF ratio of 6.58. This is in the better half of the industry: AMP outperforms 61.54% of its industry peers.
- A Debt/Equity ratio of 1.52 is on the high side and indicates that AMP has dependencies on debt financing.
- AMP has a Debt to Equity ratio of 1.52. This is in the lower half of the industry: AMP underperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.52 | ||
| Debt/FCF | 6.58 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.93
WACC6.66%
2.3 Liquidity
- A Current Ratio of 0.62 indicates that AMP may have some problems paying its short term obligations.
- With a Current ratio value of 0.62, AMP is not doing good in the industry: 80.77% of the companies in the same industry are doing better.
- A Quick Ratio of 0.54 indicates that AMP may have some problems paying its short term obligations.
- With a Quick ratio value of 0.54, AMP is not doing good in the industry: 80.77% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
- AMP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.50%.
- AMP shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.89% yearly.
- Looking at the last year, AMP shows a small growth in Revenue. The Revenue has grown by 2.05% in the last year.
- AMP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.82% yearly.
EPS 1Y (TTM)-22.5%
EPS 3Y-1.47%
EPS 5Y-0.89%
EPS Q2Q%-62.5%
Revenue 1Y (TTM)2.05%
Revenue growth 3Y7.34%
Revenue growth 5Y6.82%
Sales Q2Q%110.53%
3.2 Future
- AMP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.25% yearly.
- Based on estimates for the next years, AMP will show a small growth in Revenue. The Revenue will grow by 4.46% on average per year.
EPS Next Y-5.12%
EPS Next 2Y6.8%
EPS Next 3Y11.71%
EPS Next 5Y14.25%
Revenue Next Year0.45%
Revenue Next 2Y2.52%
Revenue Next 3Y3.74%
Revenue Next 5Y4.46%
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.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 26.26, AMP can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Earnings ratio of AMP indicates a slightly more expensive valuation: AMP is more expensive than 69.23% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.21. AMP is around the same levels.
- AMP is valuated rather expensively with a Price/Forward Earnings ratio of 18.49.
- 69.23% of the companies in the same industry are cheaper than AMP, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. AMP is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.26 | ||
| Fwd PE | 18.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AMP is on the same level as its industry peers.
- AMP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.96 | ||
| EV/EBITDA | 8.74 |
4.3 Compensation for Growth
- The decent profitability rating of AMP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y6.8%
EPS Next 3Y11.71%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.11%, AMP has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.72, AMP pays a bit more dividend than its industry peers.
- AMP's Dividend Yield is comparable with the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.11% |
5.2 History
- On average, the dividend of AMP grows each year by 16.13%, which is quite nice.
Dividend Growth(5Y)16.13%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 56.48% of the earnings are spent on dividend by AMP. This is a bit on the high side, but may be sustainable.
- AMP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP56.48%
EPS Next 2Y6.8%
EPS Next 3Y11.71%
AMPLIFON SPA / AMP.MI FAQ
What is the ChartMill fundamental rating of AMPLIFON SPA (AMP.MI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to AMP.MI.
What is the valuation status for AMP stock?
ChartMill assigns a valuation rating of 3 / 10 to AMPLIFON SPA (AMP.MI). This can be considered as Overvalued.
What is the profitability of AMP stock?
AMPLIFON SPA (AMP.MI) has a profitability rating of 6 / 10.
What are the PE and PB ratios of AMPLIFON SPA (AMP.MI) stock?
The Price/Earnings (PE) ratio for AMPLIFON SPA (AMP.MI) is 26.26 and the Price/Book (PB) ratio is 3.25.
How financially healthy is AMPLIFON SPA?
The financial health rating of AMPLIFON SPA (AMP.MI) is 1 / 10.