AEROVIRONMENT INC (AVAV) Stock Fundamental Analysis
NASDAQ:AVAV - Nasdaq - US0080731088 - Common Stock - Currency: USD
Taking everything into account, AVAV scores 4 out of 10 in our fundamental rating. AVAV was compared to 65 industry peers in the Aerospace & Defense industry. AVAV scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. AVAV is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
AVAV had positive earnings in the past year.
In the past year AVAV has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: AVAV reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: AVAV reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.89%, AVAV is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
Looking at the Return On Equity, with a value of 4.92%, AVAV is in line with its industry, outperforming 52.31% of the companies in the same industry.
The Return On Invested Capital of AVAV (4.93%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.89% | ||
| ROE | 4.92% | ||
| ROIC | 4.93% |
ROA(3y)-3.87%
ROA(5y)-1.91%
ROE(3y)-6.6%
ROE(5y)-3.34%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AVAV has a Profit Margin (5.32%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of AVAV has declined.
AVAV's Operating Margin of 7.21% is in line compared to the rest of the industry. AVAV outperforms 49.23% of its industry peers.
In the last couple of years the Operating Margin of AVAV has declined.
AVAV has a Gross Margin of 38.83%. This is in the better half of the industry: AVAV outperforms 78.46% of its industry peers.
In the last couple of years the Gross Margin of AVAV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.21% | ||
| PM (TTM) | 5.32% | ||
| GM | 38.83% |
OM growth 3YN/A
OM growth 5Y-10.88%
PM growth 3YN/A
PM growth 5Y-13.83%
GM growth 3Y7.02%
GM growth 5Y-1.41%
2. Health
2.1 Basic Checks
AVAV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AVAV has more shares outstanding
Compared to 5 years ago, AVAV has more shares outstanding
Compared to 1 year ago, AVAV has a worse debt to assets ratio.
2.2 Solvency
AVAV has an Altman-Z score of 34.25. This indicates that AVAV is financially healthy and has little risk of bankruptcy at the moment.
AVAV's Altman-Z score of 34.25 is amongst the best of the industry. AVAV outperforms 100.00% of its industry peers.
AVAV has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
AVAV's Debt to Equity ratio of 0.03 is amongst the best of the industry. AVAV outperforms 87.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 34.25 |
ROIC/WACC0.49
WACC10.11%
2.3 Liquidity
A Current Ratio of 3.52 indicates that AVAV has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.52, AVAV is doing good in the industry, outperforming 75.38% of the companies in the same industry.
AVAV has a Quick Ratio of 2.69. This indicates that AVAV is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of AVAV (2.69) is better than 81.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.52 | ||
| Quick Ratio | 2.69 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.92% over the past year.
The Earnings Per Share has been growing by 12.43% on average over the past years. This is quite good.
The Revenue has grown by 14.51% in the past year. This is quite good.
AVAV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.44% yearly.
EPS 1Y (TTM)7.92%
EPS 3Y38.53%
EPS 5Y12.43%
EPS Q2Q%274.42%
Revenue 1Y (TTM)14.51%
Revenue growth 3Y22.57%
Revenue growth 5Y17.44%
Sales Q2Q%39.63%
3.2 Future
Based on estimates for the next years, AVAV will show a very strong growth in Earnings Per Share. The EPS will grow by 21.78% on average per year.
Based on estimates for the next years, AVAV will show a decrease in Revenue. The Revenue will decrease by -7.00% on average per year.
EPS Next Y23.83%
EPS Next 2Y25.55%
EPS Next 3Y22.2%
EPS Next 5Y21.78%
Revenue Next Year17.56%
Revenue Next 2Y19.43%
Revenue Next 3Y-12.24%
Revenue Next 5Y-7%
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 87.14, the valuation of AVAV can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of AVAV is on the same level as its industry peers.
AVAV is valuated expensively when we compare the Price/Earnings ratio to 27.15, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 70.37, which means the current valuation is very expensive for AVAV.
Based on the Price/Forward Earnings ratio, AVAV is valued a bit more expensive than the industry average as 60.00% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.60, AVAV is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.14 | ||
| Fwd PE | 70.37 |
4.2 Price Multiples
64.62% of the companies in the same industry are cheaper than AVAV, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 126.61 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AVAV does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as AVAV's earnings are expected to grow with 22.20% in the coming years.
PEG (NY)3.66
PEG (5Y)7.01
EPS Next 2Y25.55%
EPS Next 3Y22.2%
5. Dividend
5.1 Amount
No dividends for AVAV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
284.95
+6.88 (+2.47%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners62.9%
Inst Owner Change3.55%
Ins Owners0.82%
Ins Owner Change-95.74%
Market Cap13.01B
Analysts87.69
Price Target199.29 (-30.06%)
Short Float %10.13%
Short Ratio7.68
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-20.93%
Min EPS beat(2)-53.02%
Max EPS beat(2)11.16%
EPS beat(4)2
Avg EPS beat(4)-10.82%
Min EPS beat(4)-53.02%
Max EPS beat(4)34.58%
EPS beat(8)6
Avg EPS beat(8)58.45%
EPS beat(12)6
Avg EPS beat(12)12.78%
EPS beat(16)9
Avg EPS beat(16)11.66%
Revenue beat(2)1
Avg Revenue beat(2)-2.91%
Min Revenue beat(2)-16.31%
Max Revenue beat(2)10.48%
Revenue beat(4)3
Avg Revenue beat(4)-1.18%
Min Revenue beat(4)-16.31%
Max Revenue beat(4)10.48%
Revenue beat(8)7
Avg Revenue beat(8)3.11%
Revenue beat(12)10
Avg Revenue beat(12)3.41%
Revenue beat(16)11
Avg Revenue beat(16)0.87%
PT rev (1m)6.38%
PT rev (3m)5.6%
EPS NQ rev (1m)-14.66%
EPS NQ rev (3m)5.58%
EPS NY rev (1m)-6.01%
EPS NY rev (3m)-5.16%
Revenue NQ rev (1m)-6.36%
Revenue NQ rev (3m)-6.36%
Revenue NY rev (1m)110.28%
Revenue NY rev (3m)100.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 87.14 | ||
| Fwd PE | 70.37 | ||
| P/S | 15.85 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 14.67 | ||
| P/tB | 22.38 | ||
| EV/EBITDA | 126.61 |
EPS(TTM)3.27
EY1.15%
EPS(NY)4.05
Fwd EY1.42%
FCF(TTM)-0.53
FCFYN/A
OCF(TTM)-0.03
OCFYN/A
SpS17.98
BVpS19.42
TBVpS12.73
PEG (NY)3.66
PEG (5Y)7.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.89% | ||
| ROE | 4.92% | ||
| ROCE | 6.24% | ||
| ROIC | 4.93% | ||
| ROICexc | 5.15% | ||
| ROICexgc | 7.76% | ||
| OM | 7.21% | ||
| PM (TTM) | 5.32% | ||
| GM | 38.83% | ||
| FCFM | N/A |
ROA(3y)-3.87%
ROA(5y)-1.91%
ROE(3y)-6.6%
ROE(5y)-3.34%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-16.42%
ROICexc growth 3YN/A
ROICexc growth 5Y-21.5%
OM growth 3YN/A
OM growth 5Y-10.88%
PM growth 3YN/A
PM growth 5Y-13.83%
GM growth 3Y7.02%
GM growth 5Y-1.41%
F-Score2
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.3 | ||
| Cap/Depr | 55.65% | ||
| Cap/Sales | 2.78% | ||
| Interest Coverage | 33.67 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.52 | ||
| Quick Ratio | 2.69 | ||
| Altman-Z | 34.25 |
F-Score2
WACC10.11%
ROIC/WACC0.49
Cap/Depr(3y)46.34%
Cap/Depr(5y)46.82%
Cap/Sales(3y)2.98%
Cap/Sales(5y)3.36%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.92%
EPS 3Y38.53%
EPS 5Y12.43%
EPS Q2Q%274.42%
EPS Next Y23.83%
EPS Next 2Y25.55%
EPS Next 3Y22.2%
EPS Next 5Y21.78%
Revenue 1Y (TTM)14.51%
Revenue growth 3Y22.57%
Revenue growth 5Y17.44%
Sales Q2Q%39.63%
Revenue Next Year17.56%
Revenue Next 2Y19.43%
Revenue Next 3Y-12.24%
Revenue Next 5Y-7%
EBIT growth 1Y-19.8%
EBIT growth 3YN/A
EBIT growth 5Y4.66%
EBIT Next Year163.96%
EBIT Next 3Y51.62%
EBIT Next 5Y43.14%
FCF growth 1Y-162.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-108.62%
OCF growth 3YN/A
OCF growth 5YN/A