AVANOS MEDICAL INC (AVNS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AVNS - US05350V1061 - Common Stock
12.35 USD
+0.09 (+0.73%)
12.35 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to AVNS. AVNS was compared to 185 industry peers in the Health Care Equipment & Supplies industry. AVNS has an average financial health and profitability rating. AVNS is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year AVNS was profitable.
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
Looking at the Return On Assets, with a value of -43.92%, AVNS is doing worse than 63.78% of the companies in the same industry.
AVNS has a Return On Equity (-60.27%) which is comparable to the rest of the industry.
AVNS has a Return On Invested Capital of 2.68%. This is in the better half of the industry: AVNS outperforms 69.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AVNS is significantly below the industry average of 8.84%.
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
Looking at the Operating Margin, with a value of 4.46%, AVNS is in the better half of the industry, outperforming 69.19% of the companies in the same industry.
In the last couple of years the Operating Margin of AVNS has grown nicely.
Looking at the Gross Margin, with a value of 52.28%, AVNS is in line with its industry, outperforming 47.57% of the companies in the same industry.
In the last couple of years the Gross Margin of AVNS has remained more or less at the same level.
| 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
AVNS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
AVNS has less shares outstanding than it did 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
Based on the Altman-Z score of 1.14, we must say that AVNS is in the distress zone and has some risk of bankruptcy.
AVNS has a Altman-Z score (1.14) which is comparable to the rest of the industry.
The Debt to FCF ratio of AVNS is 1.38, which is an excellent value as it means it would take AVNS, only 1.38 years of fcf income to pay off all of its debts.
AVNS has a better Debt to FCF ratio (1.38) than 89.73% of its industry peers.
AVNS has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.12, AVNS is in the better half of the industry, outperforming 63.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.38 | ||
| Altman-Z | 1.14 |
ROIC/WACC0.27
WACC9.94%
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.
AVNS's Current ratio of 2.38 is in line compared to the rest of the industry. AVNS outperforms 47.57% of its industry peers.
AVNS has a Quick Ratio of 1.36. This is a normal value and indicates that AVNS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of AVNS (1.36) is worse than 62.16% 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.
Measured over the past 5 years, AVNS shows a small growth in Earnings Per Share. The EPS has been growing by 3.32% on average per year.
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
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.54, which indicates a very decent valuation of AVNS.
Compared to the rest of the industry, the Price/Earnings ratio of AVNS indicates a rather cheap valuation: AVNS is cheaper than 93.51% of the companies listed in the same industry.
AVNS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.19.
A Price/Forward Earnings ratio of 12.75 indicates a correct valuation of AVNS.
Based on the Price/Forward Earnings ratio, AVNS is valued cheaper than 92.97% of the companies in the same industry.
AVNS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.54 | ||
| Fwd PE | 12.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AVNS is valued cheaply inside the industry as 94.59% of the companies are valued more expensively.
AVNS's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AVNS is cheaper than 98.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.67 | ||
| EV/EBITDA | 8.39 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)3.47
EPS Next 2Y-12.3%
EPS Next 3Y5%
5. Dividend
5.1 Amount
AVNS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
12.35
+0.09 (+0.73%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners96.89%
Inst Owner Change0%
Ins Owners2.95%
Ins Owner Change0.25%
Market Cap573.29M
Revenue(TTM)699.90M
Net Income(TTM)-468.90M
Analysts43.33
Price TargetN/A
Short Float %6.19%
Short Ratio5.3
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)0%
EPS NY rev (3m)13.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)3.37%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.54 | ||
| Fwd PE | 12.75 | ||
| P/S | 0.82 | ||
| P/FCF | 7.67 | ||
| P/OCF | 5.5 | ||
| P/B | 0.74 | ||
| P/tB | 2.19 | ||
| EV/EBITDA | 8.39 |
EPS(TTM)1.07
EY8.66%
EPS(NY)0.97
Fwd EY7.85%
FCF(TTM)1.61
FCFY13.03%
OCF(TTM)2.24
OCFY18.18%
SpS15.08
BVpS16.76
TBVpS5.64
PEG (NY)N/A
PEG (5Y)3.47
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 | 1.14 |
F-Score6
WACC9.94%
ROIC/WACC0.27
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 for AVNS stock?
ChartMill assigns a valuation rating of 6 / 10 to AVANOS MEDICAL INC (AVNS). This can be considered as Fairly Valued.
Can you provide the profitability details for AVANOS MEDICAL INC?
AVANOS MEDICAL INC (AVNS) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for AVNS stock?
The Earnings per Share (EPS) of AVANOS MEDICAL INC (AVNS) is expected to decline by -27.14% in the next year.