AVISTA CORP (AVA) Stock Fundamental Analysis
USA - NYSE:AVA - US05379B1070 - Common Stock
40.84 USD
+0.42 (+1.04%)
40.84 USD
0 (0%)
AVA gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 26 industry peers in the Multi-Utilities industry. AVA may be in some trouble as it scores bad on both profitability and health. AVA is quite expensive at the moment. It does show a decent growth rate. Finally AVA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AVA was profitable.
AVA had a positive operating cash flow in the past year.
In the past 5 years AVA has always been profitable.
Each year in the past 5 years AVA had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.22%, AVA is doing worse than 80.77% of the companies in the same industry.
AVA's Return On Equity of 6.75% is on the low side compared to the rest of the industry. AVA is outperformed by 84.62% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.43%, AVA is doing worse than 76.92% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AVA is in line with the industry average of 3.89%.
The last Return On Invested Capital (3.43%) for AVA is above the 3 year average (2.73%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.22% | ||
| ROE | 6.75% | ||
| ROIC | 3.43% |
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
Looking at the Profit Margin, with a value of 9.14%, AVA is doing worse than 84.62% of the companies in the same industry.
In the last couple of years the Profit Margin of AVA has declined.
AVA has a worse Operating Margin (17.02%) than 76.92% of its industry peers.
AVA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.02% | ||
| PM (TTM) | 9.14% | ||
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AVA is destroying value.
Compared to 1 year ago, AVA has more shares outstanding
AVA has more shares outstanding than it did 5 years ago.
The debt/assets ratio for AVA has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.89, we must say that AVA is in the distress zone and has some risk of bankruptcy.
AVA's Altman-Z score of 0.89 is fine compared to the rest of the industry. AVA outperforms 61.54% of its industry peers.
AVA has a Debt/Equity ratio of 1.17. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of AVA (1.17) is better than 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.89 |
ROIC/WACC0.54
WACC6.34%
2.3 Liquidity
AVA has a Current Ratio of 1.00. 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 Current ratio of 1.00. This is in the better half of the industry: AVA outperforms 61.54% of its industry peers.
A Quick Ratio of 0.68 indicates that AVA may have some problems paying its short term obligations.
AVA has a Quick ratio (0.68) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The earnings per share for AVA have decreased by -6.72% in the last year.
The Earnings Per Share has been growing slightly by 2.97% on average over the past years.
AVA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.64%.
AVA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.57% yearly.
EPS 1Y (TTM)-6.72%
EPS 3Y2.94%
EPS 5Y2.97%
EPS Q2Q%56.52%
Revenue 1Y (TTM)10.64%
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.
Based on estimates for the next years, AVA will show a small growth in Revenue. The Revenue will grow by 4.37% on average per year.
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 5Y4.37%
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
Based on the Price/Earnings ratio of 17.31, the valuation of AVA can be described as rather expensive.
AVA's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.83, AVA is valued a bit cheaper.
With a Price/Forward Earnings ratio of 14.75, AVA is valued correctly.
Based on the Price/Forward Earnings ratio, AVA is valued a bit cheaper than 69.23% of the companies in the same industry.
AVA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 32.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.31 | ||
| Fwd PE | 14.75 |
4.2 Price Multiples
61.54% of the companies in the same industry are more expensive than AVA, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.94 |
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)1.68
PEG (5Y)5.83
EPS Next 2Y10.19%
EPS Next 3Y8.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.85%, AVA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.53, AVA pays a better dividend. On top of this AVA pays more dividend than 84.62% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, AVA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.85% |
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 86.15% 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.
DP86.15%
EPS Next 2Y10.19%
EPS Next 3Y8.42%
40.84
+0.42 (+1.04%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners89.89%
Inst Owner Change-0.55%
Ins Owners0.59%
Ins Owner Change2.89%
Market Cap3.31B
Revenue(TTM)1.94B
Net Income(TTM)178.65M
Analysts52.31
Price Target41.41 (1.4%)
Short Float %3.59%
Short Ratio5.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.85% |
Yearly Dividend1.9
Dividend Growth(5Y)4.18%
DP86.15%
Div Incr Years22
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-24.99%
Min EPS beat(2)-44.54%
Max EPS beat(2)-5.45%
EPS beat(4)1
Avg EPS beat(4)6.77%
Min EPS beat(4)-44.54%
Max EPS beat(4)79.31%
EPS beat(8)3
Avg EPS beat(8)9.12%
EPS beat(12)5
Avg EPS beat(12)-4.89%
EPS beat(16)8
Avg EPS beat(16)10.05%
Revenue beat(2)0
Avg Revenue beat(2)-2.2%
Min Revenue beat(2)-3.32%
Max Revenue beat(2)-1.09%
Revenue beat(4)2
Avg Revenue beat(4)1.37%
Min Revenue beat(4)-3.32%
Max Revenue beat(4)9.75%
Revenue beat(8)5
Avg Revenue beat(8)4.62%
Revenue beat(12)8
Avg Revenue beat(12)7.17%
Revenue beat(16)11
Avg Revenue beat(16)7.08%
PT rev (1m)-0.98%
PT rev (3m)-3.91%
EPS NQ rev (1m)-8.81%
EPS NQ rev (3m)2.22%
EPS NY rev (1m)-0.43%
EPS NY rev (3m)-1.18%
Revenue NQ rev (1m)1.77%
Revenue NQ rev (3m)2.27%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.31 | ||
| Fwd PE | 14.75 | ||
| P/S | 1.69 | ||
| P/FCF | N/A | ||
| P/OCF | 7.51 | ||
| P/B | 1.25 | ||
| P/tB | 1.28 | ||
| EV/EBITDA | 9.94 |
EPS(TTM)2.36
EY5.78%
EPS(NY)2.77
Fwd EY6.78%
FCF(TTM)-1.07
FCFYN/A
OCF(TTM)5.44
OCFY13.31%
SpS24.1
BVpS32.61
TBVpS31.97
PEG (NY)1.68
PEG (5Y)5.83
Graham Number41.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.22% | ||
| ROE | 6.75% | ||
| ROCE | 4.5% | ||
| ROIC | 3.43% | ||
| ROICexc | 3.43% | ||
| ROICexgc | 3.45% | ||
| OM | 17.02% | ||
| PM (TTM) | 9.14% | ||
| 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 | 1.17 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.06 | ||
| Cap/Depr | 187.67% | ||
| Cap/Sales | 27% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 71.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 0.89 |
F-Score4
WACC6.34%
ROIC/WACC0.54
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)10.64%
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 5Y4.37%
EBIT growth 1Y13.65%
EBIT growth 3Y10.27%
EBIT growth 5Y5.87%
EBIT Next Year97.09%
EBIT Next 3Y31.85%
EBIT Next 5YN/A
FCF growth 1Y69.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y134.7%
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 3 / 10 to AVISTA CORP (AVA). This can be considered as Overvalued.
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 17.31 and the Price/Book (PB) ratio is 1.25.
What is the financial health of AVISTA CORP (AVA) stock?
The financial health rating of AVISTA CORP (AVA) is 2 / 10.