AVISTA CORP (AVA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AVA - US05379B1070 - Common Stock
38.71 USD
+0.1 (+0.26%)
38.71 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to AVA. AVA was compared to 26 industry peers in the Multi-Utilities industry. AVA may be in some trouble as it scores bad on both profitability and health. AVA has a valuation in line with the averages, but it does not seem to be growing. Finally AVA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
AVA had positive earnings in the past year.
In the past year AVA had a positive cash flow from operations.
Each year in the past 5 years AVA has been profitable.
Each year in the past 5 years AVA had a positive operating cash flow.
1.2 Ratios
AVA's Return On Assets of 2.32% is on the low side compared to the rest of the industry. AVA is outperformed by 69.23% of its industry peers.
With a Return On Equity value of 7.15%, AVA is not doing good in the industry: 76.92% of the companies in the same industry are doing better.
With a Return On Invested Capital value of 3.52%, AVA is not doing good in the industry: 80.77% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for AVA is in line with the industry average of 3.96%.
The 3 year average ROIC (2.73%) for AVA is below the current ROIC(3.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.32% | ||
| ROE | 7.15% | ||
| ROIC | 3.52% |
ROA(3y)2.19%
ROA(5y)2.15%
ROE(3y)6.83%
ROE(5y)6.74%
ROIC(3y)2.73%
ROIC(5y)2.82%
1.3 Margins
AVA's Profit Margin of 9.63% is on the low side compared to the rest of the industry. AVA is outperformed by 61.54% of its industry peers.
AVA's Profit Margin has declined in the last couple of years.
AVA has a worse Operating Margin (17.51%) than 76.92% of its industry peers.
AVA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.51% | ||
| PM (TTM) | 9.63% | ||
| GM | N/A |
OM growth 3Y-0.15%
OM growth 5Y-1.58%
PM growth 3Y-3.19%
PM growth 5Y-8.7%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AVA is destroying value.
Compared to 1 year ago, AVA has more shares outstanding
The number of shares outstanding for AVA has been increased compared to 5 years ago.
AVA has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.86, we must say that AVA is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of AVA (0.86) is comparable to the rest of the industry.
AVA has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
AVA's Debt to Equity ratio of 1.18 is fine compared to the rest of the industry. AVA outperforms 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.86 |
ROIC/WACC0.56
WACC6.29%
2.3 Liquidity
A Current Ratio of 0.91 indicates that AVA may have some problems paying its short term obligations.
AVA has a Current ratio of 0.91. This is comparable to the rest of the industry: AVA outperforms 50.00% of its industry peers.
AVA has a Quick Ratio of 0.91. This is a bad value and indicates that AVA is not financially healthy enough and could expect problems in meeting its short term obligations.
AVA has a worse Quick ratio (0.60) than 80.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
AVA shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.72%.
Measured over the past 5 years, AVA shows a small growth in Earnings Per Share. The EPS has been growing by 2.97% on average per year.
The Revenue has been growing slightly by 2.14% in the past year.
Measured over the past years, AVA shows a small growth in Revenue. The Revenue has been growing by 7.57% on average per year.
EPS 1Y (TTM)-6.72%
EPS 3Y2.94%
EPS 5Y2.97%
EPS Q2Q%56.52%
Revenue 1Y (TTM)2.14%
Revenue growth 3Y10.44%
Revenue growth 5Y7.57%
Sales Q2Q%2.35%
3.2 Future
AVA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.23% yearly.
AVA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.99% yearly.
EPS Next Y10.3%
EPS Next 2Y10.19%
EPS Next 3Y8.42%
EPS Next 5Y7.23%
Revenue Next Year5.74%
Revenue Next 2Y3.43%
Revenue Next 3Y2.84%
Revenue Next 5Y2.99%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.40, the valuation of AVA can be described as correct.
65.38% of the companies in the same industry are more expensive than AVA, based on the Price/Earnings ratio.
AVA is valuated rather cheaply when we compare the Price/Earnings ratio to 26.46, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 13.98, AVA is valued correctly.
Based on the Price/Forward Earnings ratio, AVA is valued a bit cheaper than 65.38% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.10, AVA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.4 | ||
| Fwd PE | 13.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AVA is valued a bit cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.42 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.59
PEG (5Y)5.53
EPS Next 2Y10.19%
EPS Next 3Y8.42%
5. Dividend
5.1 Amount
AVA has a Yearly Dividend Yield of 5.08%, which is a nice return.
Compared to an average industry Dividend Yield of 3.37, AVA pays a better dividend. On top of this AVA pays more dividend than 96.15% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, AVA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.08% |
5.2 History
The dividend of AVA has a limited annual growth rate of 4.18%.
AVA has paid a dividend for at least 10 years, which is a reliable track record.
AVA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.18%
Div Incr Years22
Div Non Decr Years25
5.3 Sustainability
AVA pays out 82.75% of its income as dividend. This is not a sustainable payout ratio.
AVA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP82.75%
EPS Next 2Y10.19%
EPS Next 3Y8.42%
38.71
+0.1 (+0.26%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners88.99%
Inst Owner Change-0.68%
Ins Owners0.59%
Ins Owner Change0.08%
Market Cap3.15B
Revenue(TTM)1.96B
Net Income(TTM)189.16M
Analysts52.31
Price Target42.02 (8.55%)
Short Float %3.89%
Short Ratio5.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.08% |
Yearly Dividend1.9
Dividend Growth(5Y)4.18%
DP82.75%
Div Incr Years22
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.78%
Min EPS beat(2)-44.54%
Max EPS beat(2)24.98%
EPS beat(4)1
Avg EPS beat(4)-6.82%
Min EPS beat(4)-44.54%
Max EPS beat(4)24.98%
EPS beat(8)3
Avg EPS beat(8)8.16%
EPS beat(12)6
Avg EPS beat(12)10.54%
EPS beat(16)8
Avg EPS beat(16)-1.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.79%
Min Revenue beat(2)-4.5%
Max Revenue beat(2)-1.09%
Revenue beat(4)1
Avg Revenue beat(4)0.21%
Min Revenue beat(4)-4.5%
Max Revenue beat(4)9.75%
Revenue beat(8)4
Avg Revenue beat(8)3.29%
Revenue beat(12)7
Avg Revenue beat(12)5.57%
Revenue beat(16)10
Avg Revenue beat(16)6.75%
PT rev (1m)0.49%
PT rev (3m)0.49%
EPS NQ rev (1m)2.15%
EPS NQ rev (3m)8.01%
EPS NY rev (1m)-0.41%
EPS NY rev (3m)-1.39%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-1.58%
Revenue NY rev (3m)-1.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.4 | ||
| Fwd PE | 13.98 | ||
| P/S | 1.6 | ||
| P/FCF | N/A | ||
| P/OCF | 6.51 | ||
| P/B | 1.19 | ||
| P/tB | 1.21 | ||
| EV/EBITDA | 9.42 |
EPS(TTM)2.36
EY6.1%
EPS(NY)2.77
Fwd EY7.15%
FCF(TTM)-0.28
FCFYN/A
OCF(TTM)5.95
OCFY15.36%
SpS24.13
BVpS32.51
TBVpS31.87
PEG (NY)1.59
PEG (5Y)5.53
Graham Number41.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.32% | ||
| ROE | 7.15% | ||
| ROCE | 4.63% | ||
| ROIC | 3.52% | ||
| ROICexc | 3.54% | ||
| ROICexgc | 3.56% | ||
| OM | 17.51% | ||
| PM (TTM) | 9.63% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2.19%
ROA(5y)2.15%
ROE(3y)6.83%
ROE(5y)6.74%
ROIC(3y)2.73%
ROIC(5y)2.82%
ROICexc(3y)2.74%
ROICexc(5y)2.83%
ROICexgc(3y)2.76%
ROICexgc(5y)2.85%
ROCE(3y)3.65%
ROCE(5y)3.74%
ROICexgc growth 3Y3.49%
ROICexgc growth 5Y0.28%
ROICexc growth 3Y3.54%
ROICexc growth 5Y0.32%
OM growth 3Y-0.15%
OM growth 5Y-1.58%
PM growth 3Y-3.19%
PM growth 5Y-8.7%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.96 | ||
| Cap/Depr | 176.91% | ||
| Cap/Sales | 25.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 0.86 |
F-Score4
WACC6.29%
ROIC/WACC0.56
Cap/Depr(3y)187%
Cap/Depr(5y)186.15%
Cap/Sales(3y)27.47%
Cap/Sales(5y)28.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.72%
EPS 3Y2.94%
EPS 5Y2.97%
EPS Q2Q%56.52%
EPS Next Y10.3%
EPS Next 2Y10.19%
EPS Next 3Y8.42%
EPS Next 5Y7.23%
Revenue 1Y (TTM)2.14%
Revenue growth 3Y10.44%
Revenue growth 5Y7.57%
Sales Q2Q%2.35%
Revenue Next Year5.74%
Revenue Next 2Y3.43%
Revenue Next 3Y2.84%
Revenue Next 5Y2.99%
EBIT growth 1Y13.36%
EBIT growth 3Y10.27%
EBIT growth 5Y5.87%
EBIT Next Year97.09%
EBIT Next 3Y31.85%
EBIT Next 5Y20.97%
FCF growth 1Y86.83%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y57.54%
OCF growth 3Y25.95%
OCF growth 5Y6.04%
AVISTA CORP / AVA FAQ
Can you provide the ChartMill fundamental rating for AVISTA CORP?
ChartMill assigns a fundamental rating of 3 / 10 to AVA.
What is the valuation status for AVA stock?
ChartMill assigns a valuation rating of 4 / 10 to AVISTA CORP (AVA). This can be considered as Fairly Valued.
How profitable is AVISTA CORP (AVA) stock?
AVISTA CORP (AVA) has a profitability rating of 3 / 10.
What are the PE and PB ratios of AVISTA CORP (AVA) stock?
The Price/Earnings (PE) ratio for AVISTA CORP (AVA) is 16.4 and the Price/Book (PB) ratio is 1.19.
What is the financial health of AVISTA CORP (AVA) stock?
The financial health rating of AVISTA CORP (AVA) is 1 / 10.