AVANOS MEDICAL INC (AVNS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AVNS - US05350V1061 - Common Stock
11.86 USD
+0.11 (+0.94%)
11.86 USD
0 (0%)
AVNS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 187 industry peers in the Health Care Equipment & Supplies industry. AVNS has only an average score on both its financial health and profitability. AVNS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
AVNS had positive earnings in the past year.
In the past year AVNS had a positive cash flow from operations.
In multiple years AVNS reported negative net income over the last 5 years.
Of the past 5 years AVNS 4 years had a positive operating cash flow.
1.2 Ratios
AVNS has a worse Return On Assets (-43.92%) than 62.57% of its industry peers.
The Return On Equity of AVNS (-60.27%) is comparable to the rest of the industry.
The Return On Invested Capital of AVNS (2.68%) is better than 69.52% of its industry peers.
AVNS had an Average Return On Invested Capital over the past 3 years of 2.58%. This is significantly below the industry average of 8.82%.
The last Return On Invested Capital (2.68%) for AVNS is above the 3 year average (2.58%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -43.92% | ||
| ROE | -60.27% | ||
| ROIC | 2.68% |
ROA(3y)-11.6%
ROA(5y)-7.22%
ROE(3y)-16.14%
ROE(5y)-10.03%
ROIC(3y)2.58%
ROIC(5y)N/A
1.3 Margins
AVNS's Operating Margin of 4.46% is fine compared to the rest of the industry. AVNS outperforms 69.52% of its industry peers.
In the last couple of years the Operating Margin of AVNS has grown nicely.
AVNS's Gross Margin of 52.28% is in line compared to the rest of the industry. AVNS outperforms 47.06% of its industry peers.
AVNS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.46% | ||
| PM (TTM) | N/A | ||
| GM | 52.28% |
OM growth 3Y42.57%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.25%
GM growth 5Y-0.78%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AVNS is destroying value.
The number of shares outstanding for AVNS has been reduced compared to 1 year ago.
Compared to 5 years ago, AVNS has less shares outstanding
Compared to 1 year ago, AVNS has a worse debt to assets ratio.
2.2 Solvency
AVNS has an Altman-Z score of 1.10. This is a bad value and indicates that AVNS is not financially healthy and even has some risk of bankruptcy.
AVNS has a Altman-Z score (1.10) which is comparable to the rest of the industry.
AVNS has a debt to FCF ratio of 1.38. This is a very positive value and a sign of high solvency as it would only need 1.38 years to pay back of all of its debts.
AVNS's Debt to FCF ratio of 1.38 is amongst the best of the industry. AVNS outperforms 89.84% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that AVNS is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.12, AVNS is doing good in the industry, outperforming 64.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.38 | ||
| Altman-Z | 1.1 |
ROIC/WACC0.33
WACC8.22%
2.3 Liquidity
AVNS has a Current Ratio of 2.38. This indicates that AVNS is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.38, AVNS perfoms like the industry average, outperforming 46.52% of the companies in the same industry.
A Quick Ratio of 1.36 indicates that AVNS should not have too much problems paying its short term obligations.
AVNS has a Quick ratio of 1.36. This is in the lower half of the industry: AVNS underperforms 63.10% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.38 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
The earnings per share for AVNS have decreased by -7.76% in the last year.
AVNS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.32% yearly.
AVNS shows a small growth in Revenue. In the last year, the Revenue has grown by 2.70%.
AVNS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.28% yearly.
EPS 1Y (TTM)-7.76%
EPS 3Y3.09%
EPS 5Y3.32%
EPS Q2Q%-38.89%
Revenue 1Y (TTM)2.7%
Revenue growth 3Y-2.61%
Revenue growth 5Y-0.28%
Sales Q2Q%4.34%
3.2 Future
Based on estimates for the next years, AVNS will show a small growth in Earnings Per Share. The EPS will grow by 5.00% on average per year.
AVNS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.56% yearly.
EPS Next Y-27.14%
EPS Next 2Y-12.3%
EPS Next 3Y5%
EPS Next 5YN/A
Revenue Next Year1.39%
Revenue Next 2Y1.77%
Revenue Next 3Y1.56%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.08, the valuation of AVNS can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of AVNS indicates a rather cheap valuation: AVNS is cheaper than 93.58% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.55, AVNS is valued rather cheaply.
A Price/Forward Earnings ratio of 12.24 indicates a correct valuation of AVNS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AVNS indicates a rather cheap valuation: AVNS is cheaper than 91.44% of the companies listed in the same industry.
AVNS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.08 | ||
| Fwd PE | 12.24 |
4.2 Price Multiples
94.12% of the companies in the same industry are more expensive than AVNS, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, AVNS is valued cheaper than 97.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.37 | ||
| EV/EBITDA | 8.13 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.34
EPS Next 2Y-12.3%
EPS Next 3Y5%
5. Dividend
5.1 Amount
No dividends for AVNS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
11.86
+0.11 (+0.94%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners96.79%
Inst Owner Change0.57%
Ins Owners2.95%
Ins Owner Change0.25%
Market Cap550.54M
Revenue(TTM)699.90M
Net Income(TTM)-468.90M
Analysts43.33
Price Target17.34 (46.21%)
Short Float %6.28%
Short Ratio5.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)2
Avg EPS beat(2)45.42%
Min EPS beat(2)11.11%
Max EPS beat(2)79.74%
EPS beat(4)4
Avg EPS beat(4)33.85%
Min EPS beat(4)2.94%
Max EPS beat(4)79.74%
EPS beat(8)4
Avg EPS beat(8)13.31%
EPS beat(12)7
Avg EPS beat(12)15.99%
EPS beat(16)10
Avg EPS beat(16)13.31%
Revenue beat(2)2
Avg Revenue beat(2)4.82%
Min Revenue beat(2)3.67%
Max Revenue beat(2)5.97%
Revenue beat(4)3
Avg Revenue beat(4)2.62%
Min Revenue beat(4)-0.66%
Max Revenue beat(4)5.97%
Revenue beat(8)3
Avg Revenue beat(8)0.51%
Revenue beat(12)3
Avg Revenue beat(12)-1.11%
Revenue beat(16)3
Avg Revenue beat(16)-4.54%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)13.07%
EPS NY rev (3m)13.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.37%
Revenue NY rev (1m)2.81%
Revenue NY rev (3m)2.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.08 | ||
| Fwd PE | 12.24 | ||
| P/S | 0.79 | ||
| P/FCF | 7.37 | ||
| P/OCF | 5.28 | ||
| P/B | 0.71 | ||
| P/tB | 2.1 | ||
| EV/EBITDA | 8.13 |
EPS(TTM)1.07
EY9.02%
EPS(NY)0.97
Fwd EY8.17%
FCF(TTM)1.61
FCFY13.57%
OCF(TTM)2.24
OCFY18.93%
SpS15.08
BVpS16.76
TBVpS5.64
PEG (NY)N/A
PEG (5Y)3.34
Graham Number20.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -43.92% | ||
| ROE | -60.27% | ||
| ROCE | 3.39% | ||
| ROIC | 2.68% | ||
| ROICexc | 2.9% | ||
| ROICexgc | 7.4% | ||
| OM | 4.46% | ||
| PM (TTM) | N/A | ||
| GM | 52.28% | ||
| FCFM | 10.67% |
ROA(3y)-11.6%
ROA(5y)-7.22%
ROE(3y)-16.14%
ROE(5y)-10.03%
ROIC(3y)2.58%
ROIC(5y)N/A
ROICexc(3y)2.84%
ROICexc(5y)N/A
ROICexgc(3y)9.32%
ROICexgc(5y)N/A
ROCE(3y)3.26%
ROCE(5y)N/A
ROICexgc growth 3Y51.11%
ROICexgc growth 5YN/A
ROICexc growth 3Y59.93%
ROICexc growth 5YN/A
OM growth 3Y42.57%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.25%
GM growth 5Y-0.78%
F-Score6
Asset Turnover0.66
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.38 | ||
| Debt/EBITDA | 1.3 | ||
| Cap/Depr | 72.84% | ||
| Cap/Sales | 4.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 145.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.38 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 1.1 |
F-Score6
WACC8.22%
ROIC/WACC0.33
Cap/Depr(3y)39.4%
Cap/Depr(5y)44.02%
Cap/Sales(3y)2.53%
Cap/Sales(5y)2.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.76%
EPS 3Y3.09%
EPS 5Y3.32%
EPS Q2Q%-38.89%
EPS Next Y-27.14%
EPS Next 2Y-12.3%
EPS Next 3Y5%
EPS Next 5YN/A
Revenue 1Y (TTM)2.7%
Revenue growth 3Y-2.61%
Revenue growth 5Y-0.28%
Sales Q2Q%4.34%
Revenue Next Year1.39%
Revenue Next 2Y1.77%
Revenue Next 3Y1.56%
Revenue Next 5YN/A
EBIT growth 1Y-18.96%
EBIT growth 3Y38.85%
EBIT growth 5YN/A
EBIT Next Year51.47%
EBIT Next 3Y22.03%
EBIT Next 5YN/A
FCF growth 1Y104.1%
FCF growth 3Y7.73%
FCF growth 5YN/A
OCF growth 1Y95.13%
OCF growth 3Y4.87%
OCF growth 5YN/A
AVANOS MEDICAL INC / AVNS FAQ
Can you provide the ChartMill fundamental rating for AVANOS MEDICAL INC?
ChartMill assigns a fundamental rating of 4 / 10 to AVNS.
What is the valuation status of AVANOS MEDICAL INC (AVNS) stock?
ChartMill assigns a valuation rating of 6 / 10 to AVANOS MEDICAL INC (AVNS). This can be considered as Fairly Valued.
What is the profitability of AVNS stock?
AVANOS MEDICAL INC (AVNS) has a profitability rating of 4 / 10.
What are the PE and PB ratios of AVANOS MEDICAL INC (AVNS) stock?
The Price/Earnings (PE) ratio for AVANOS MEDICAL INC (AVNS) is 11.08 and the Price/Book (PB) ratio is 0.71.
What is the earnings growth outlook for AVANOS MEDICAL INC?
The Earnings per Share (EPS) of AVANOS MEDICAL INC (AVNS) is expected to decline by -27.14% in the next year.