APTIV PLC (APTV) Stock Fundamental Analysis
NYSE:APTV - New York Stock Exchange, Inc. - JE00BTDN8H13 - Common Stock - Currency: USD
Overall APTV gets a fundamental rating of 5 out of 10. We evaluated APTV against 80 industry peers in the Automobile Components industry. While APTV belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. APTV scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year APTV was profitable.
In the past year APTV had a positive cash flow from operations.
In the past 5 years APTV has always been profitable.
Each year in the past 5 years APTV had a positive operating cash flow.
1.2 Ratios
The Return On Assets of APTV (6.74%) is better than 90.00% of its industry peers.
APTV's Return On Equity of 17.39% is amongst the best of the industry. APTV outperforms 93.75% of its industry peers.
APTV has a Return On Invested Capital of 10.10%. This is amongst the best in the industry. APTV outperforms 90.00% of its industry peers.
APTV had an Average Return On Invested Capital over the past 3 years of 8.46%. This is in line with the industry average of 9.12%.
The last Return On Invested Capital (10.10%) for APTV is above the 3 year average (8.46%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.74% | ||
| ROE | 17.39% | ||
| ROIC | 10.1% |
ROA(3y)7.32%
ROA(5y)7%
ROE(3y)17.18%
ROE(5y)16.05%
ROIC(3y)8.46%
ROIC(5y)7.76%
1.3 Margins
With an excellent Profit Margin value of 7.93%, APTV belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
In the last couple of years the Profit Margin of APTV has grown nicely.
APTV has a Operating Margin (10.50%) which is comparable to the rest of the industry.
APTV's Operating Margin has been stable in the last couple of years.
APTV has a worse Gross Margin (19.11%) than 75.00% of its industry peers.
In the last couple of years the Gross Margin of APTV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.5% | ||
| PM (TTM) | 7.93% | ||
| GM | 19.11% |
OM growth 3Y10.28%
OM growth 5Y0.86%
PM growth 3Y39.02%
PM growth 5Y5.62%
GM growth 3Y6.65%
GM growth 5Y0.52%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), APTV is creating value.
The number of shares outstanding for APTV has been reduced compared to 1 year ago.
The number of shares outstanding for APTV has been reduced compared to 5 years ago.
Compared to 1 year ago, APTV has a worse debt to assets ratio.
2.2 Solvency
APTV has an Altman-Z score of 2.34. This is not the best score and indicates that APTV is in the grey zone with still only limited risk for bankruptcy at the moment.
APTV has a Altman-Z score (2.34) which is in line with its industry peers.
The Debt to FCF ratio of APTV is 4.60, which is a neutral value as it means it would take APTV, 4.60 years of fcf income to pay off all of its debts.
APTV has a Debt to FCF ratio of 4.60. This is in the lower half of the industry: APTV underperforms 63.75% of its industry peers.
APTV has a Debt/Equity ratio of 0.85. This is a neutral value indicating APTV is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.85, APTV is doing worse than 82.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 4.6 | ||
| Altman-Z | 2.34 |
ROIC/WACC2.27
WACC4.45%
2.3 Liquidity
APTV has a Current Ratio of 1.61. This is a normal value and indicates that APTV is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.61, APTV is not doing good in the industry: 81.25% of the companies in the same industry are doing better.
APTV has a Quick Ratio of 1.11. This is a normal value and indicates that APTV is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.11, APTV is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 33.86% over the past year.
The Earnings Per Share has been growing slightly by 5.19% on average over the past years.
The Revenue has decreased by -2.47% in the past year.
The Revenue has been growing slightly by 6.55% on average over the past years.
EPS 1Y (TTM)33.86%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%45.69%
Revenue 1Y (TTM)-2.47%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%-1.55%
3.2 Future
The Earnings Per Share is expected to grow by 14.53% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.07% on average over the next years.
EPS Next Y15.46%
EPS Next 2Y13.71%
EPS Next 3Y13.68%
EPS Next 5Y14.53%
Revenue Next Year-0.03%
Revenue Next 2Y2.31%
Revenue Next 3Y3.4%
Revenue Next 5Y5.07%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 10.13 indicates a reasonable valuation of APTV.
APTV's Price/Earnings ratio is a bit cheaper when compared to the industry. APTV is cheaper than 68.75% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.30, APTV is valued rather cheaply.
The Price/Forward Earnings ratio is 8.49, which indicates a very decent valuation of APTV.
APTV's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. APTV is cheaper than 65.00% of the companies in the same industry.
APTV is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.13 | ||
| Fwd PE | 8.49 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of APTV is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, APTV is valued a bit cheaper than 66.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.81 | ||
| EV/EBITDA | 7.2 |
4.3 Compensation for Growth
APTV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of APTV may justify a higher PE ratio.
A more expensive valuation may be justified as APTV's earnings are expected to grow with 13.68% in the coming years.
PEG (NY)0.66
PEG (5Y)1.95
EPS Next 2Y13.71%
EPS Next 3Y13.68%
5. Dividend
5.1 Amount
No dividends for APTV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
69.28
-1.3 (-1.84%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners106.72%
Inst Owner Change0.06%
Ins Owners0.53%
Ins Owner Change19.39%
Market Cap15.08B
Analysts78.57
Price Target76.09 (9.83%)
Short Float %2.76%
Short Ratio2.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.12
Dividend Growth(5Y)-33.36%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.89%
Min EPS beat(2)3.45%
Max EPS beat(2)8.33%
EPS beat(4)4
Avg EPS beat(4)6.91%
Min EPS beat(4)3.45%
Max EPS beat(4)9.15%
EPS beat(8)8
Avg EPS beat(8)8.4%
EPS beat(12)10
Avg EPS beat(12)2.68%
EPS beat(16)12
Avg EPS beat(16)1.27%
Revenue beat(2)0
Avg Revenue beat(2)-1.41%
Min Revenue beat(2)-1.7%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-4.52%
Min Revenue beat(4)-8.47%
Max Revenue beat(4)-1.13%
Revenue beat(8)1
Avg Revenue beat(8)-2.89%
Revenue beat(12)4
Avg Revenue beat(12)-1.31%
Revenue beat(16)8
Avg Revenue beat(16)-0.19%
PT rev (1m)0.83%
PT rev (3m)-7.76%
EPS NQ rev (1m)0.71%
EPS NQ rev (3m)-0.68%
EPS NY rev (1m)1.06%
EPS NY rev (3m)-1.65%
Revenue NQ rev (1m)0.31%
Revenue NQ rev (3m)-0.83%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)-1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.13 | ||
| Fwd PE | 8.49 | ||
| P/S | 0.77 | ||
| P/FCF | 8.81 | ||
| P/OCF | 6.09 | ||
| P/B | 1.68 | ||
| P/tB | 8.53 | ||
| EV/EBITDA | 7.2 |
EPS(TTM)6.84
EY9.87%
EPS(NY)8.16
Fwd EY11.78%
FCF(TTM)7.87
FCFY11.36%
OCF(TTM)11.37
OCFY16.41%
SpS90.19
BVpS41.16
TBVpS8.12
PEG (NY)0.66
PEG (5Y)1.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.74% | ||
| ROE | 17.39% | ||
| ROCE | 11.26% | ||
| ROIC | 10.1% | ||
| ROICexc | 10.74% | ||
| ROICexgc | 18.45% | ||
| OM | 10.5% | ||
| PM (TTM) | 7.93% | ||
| GM | 19.11% | ||
| FCFM | 8.72% |
ROA(3y)7.32%
ROA(5y)7%
ROE(3y)17.18%
ROE(5y)16.05%
ROIC(3y)8.46%
ROIC(5y)7.76%
ROICexc(3y)9.26%
ROICexc(5y)8.99%
ROICexgc(3y)16.73%
ROICexgc(5y)15.2%
ROCE(3y)9.44%
ROCE(5y)8.65%
ROICexcg growth 3Y8.25%
ROICexcg growth 5Y-4.19%
ROICexc growth 3Y2.51%
ROICexc growth 5Y-5.11%
OM growth 3Y10.28%
OM growth 5Y0.86%
PM growth 3Y39.02%
PM growth 5Y5.62%
GM growth 3Y6.65%
GM growth 5Y0.52%
F-Score6
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 4.6 | ||
| Debt/EBITDA | 2.52 | ||
| Cap/Depr | 78.07% | ||
| Cap/Sales | 3.88% | ||
| Interest Coverage | 6.72 | ||
| Cash Conversion | 81.47% | ||
| Profit Quality | 109.95% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 2.34 |
F-Score6
WACC4.45%
ROIC/WACC2.27
Cap/Depr(3y)98.73%
Cap/Depr(5y)90.34%
Cap/Sales(3y)4.52%
Cap/Sales(5y)4.39%
Profit Quality(3y)67.79%
Profit Quality(5y)73.23%
High Growth Momentum
Growth
EPS 1Y (TTM)33.86%
EPS 3Y34.39%
EPS 5Y5.19%
EPS Q2Q%45.69%
EPS Next Y15.46%
EPS Next 2Y13.71%
EPS Next 3Y13.68%
EPS Next 5Y14.53%
Revenue 1Y (TTM)-2.47%
Revenue growth 3Y8.07%
Revenue growth 5Y6.55%
Sales Q2Q%-1.55%
Revenue Next Year-0.03%
Revenue Next 2Y2.31%
Revenue Next 3Y3.4%
Revenue Next 5Y5.07%
EBIT growth 1Y9.27%
EBIT growth 3Y19.18%
EBIT growth 5Y7.47%
EBIT Next Year35.84%
EBIT Next 3Y15.15%
EBIT Next 5Y13.86%
FCF growth 1Y190.34%
FCF growth 3Y38.29%
FCF growth 5Y13.9%
OCF growth 1Y69.99%
OCF growth 3Y26.03%
OCF growth 5Y8.54%