AVNET INC (AVT) Stock Fundamental Analysis
USA - NASDAQ:AVT - US0538071038 - Common Stock
46.45 USD
-0.3 (-0.64%)
46.45 USD
0 (0%)
Taking everything into account, AVT scores 5 out of 10 in our fundamental rating. AVT was compared to 123 industry peers in the Electronic Equipment, Instruments & Components industry. AVT has an average financial health and profitability rating. AVT is valued quite cheap, while showing a decent growth score. This is a good combination! AVT also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AVT was profitable.
AVT had a positive operating cash flow in the past year.
AVT had positive earnings in each of the past 5 years.
In multiple years AVT reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.88%, AVT is in line with its industry, outperforming 55.28% of the companies in the same industry.
Looking at the Return On Equity, with a value of 4.81%, AVT is in line with its industry, outperforming 57.72% of the companies in the same industry.
AVT has a better Return On Invested Capital (6.49%) than 67.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AVT is in line with the industry average of 9.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 4.81% | ||
| ROIC | 6.49% |
ROA(3y)4.08%
ROA(5y)4.21%
ROE(3y)10.38%
ROE(5y)10.47%
ROIC(3y)9.94%
ROIC(5y)9.82%
1.3 Margins
The Profit Margin of AVT (1.04%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of AVT has declined.
AVT has a Operating Margin of 2.69%. This is comparable to the rest of the industry: AVT outperforms 54.47% of its industry peers.
AVT's Operating Margin has improved in the last couple of years.
AVT has a Gross Margin of 10.63%. This is in the lower half of the industry: AVT underperforms 79.67% of its industry peers.
In the last couple of years the Gross Margin of AVT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.69% | ||
| PM (TTM) | 1.04% | ||
| GM | 10.64% |
OM growth 3Y-11.12%
OM growth 5Y17.48%
PM growth 3Y-27.56%
PM growth 5YN/A
GM growth 3Y-4.14%
GM growth 5Y-1.69%
2. Health
2.1 Basic Checks
AVT has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for AVT has been reduced compared to 1 year ago.
The number of shares outstanding for AVT has been reduced compared to 5 years ago.
AVT has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.22 indicates that AVT is not in any danger for bankruptcy at the moment.
The Altman-Z score of AVT (3.22) is comparable to the rest of the industry.
The Debt to FCF ratio of AVT is 8.96, which is on the high side as it means it would take AVT, 8.96 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 8.96, AVT perfoms like the industry average, outperforming 53.66% of the companies in the same industry.
AVT has a Debt/Equity ratio of 0.60. This is a neutral value indicating AVT is somewhat dependend on debt financing.
AVT has a Debt to Equity ratio of 0.60. This is in the lower half of the industry: AVT underperforms 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 8.96 | ||
| Altman-Z | 3.22 |
ROIC/WACC0.59
WACC10.95%
2.3 Liquidity
A Current Ratio of 2.36 indicates that AVT has no problem at all paying its short term obligations.
AVT has a Current ratio (2.36) which is comparable to the rest of the industry.
AVT has a Quick Ratio of 1.12. This is a normal value and indicates that AVT is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of AVT (1.12) is worse than 73.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
AVT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.59%.
The Earnings Per Share has been growing by 11.23% on average over the past years. This is quite good.
AVT shows a decrease in Revenue. In the last year, the revenue decreased by -2.30%.
The Revenue has been growing slightly by 4.71% on average over the past years.
EPS 1Y (TTM)-27.59%
EPS 3Y-20.9%
EPS 5Y11.23%
EPS Q2Q%-8.7%
Revenue 1Y (TTM)-2.3%
Revenue growth 3Y-2.98%
Revenue growth 5Y4.71%
Sales Q2Q%5.25%
3.2 Future
The Earnings Per Share is expected to grow by 28.28% on average over the next years. This is a very strong growth
AVT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.30% yearly.
EPS Next Y24.89%
EPS Next 2Y32.56%
EPS Next 3Y28.28%
EPS Next 5YN/A
Revenue Next Year7.95%
Revenue Next 2Y6.24%
Revenue Next 3Y6.3%
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
Based on the Price/Earnings ratio of 13.82, the valuation of AVT can be described as correct.
88.62% of the companies in the same industry are more expensive than AVT, based on the Price/Earnings ratio.
AVT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.89.
AVT is valuated cheaply with a Price/Forward Earnings ratio of 7.68.
97.56% of the companies in the same industry are more expensive than AVT, based on the Price/Forward Earnings ratio.
AVT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.82 | ||
| Fwd PE | 7.68 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AVT is valued cheaper than 86.99% of the companies in the same industry.
92.68% of the companies in the same industry are more expensive than AVT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.33 | ||
| EV/EBITDA | 9.64 |
4.3 Compensation for Growth
AVT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AVT's earnings are expected to grow with 28.28% in the coming years.
PEG (NY)0.56
PEG (5Y)1.23
EPS Next 2Y32.56%
EPS Next 3Y28.28%
5. Dividend
5.1 Amount
AVT has a Yearly Dividend Yield of 2.99%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.17, AVT pays a better dividend. On top of this AVT pays more dividend than 97.56% of the companies listed in the same industry.
AVT's Dividend Yield is a higher than the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.99% |
5.2 History
On average, the dividend of AVT grows each year by 9.63%, which is quite nice.
AVT has paid a dividend for at least 10 years, which is a reliable track record.
AVT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)9.63%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
AVT pays out 48.46% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of AVT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP48.46%
EPS Next 2Y32.56%
EPS Next 3Y28.28%
46.45
-0.3 (-0.64%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners107.07%
Inst Owner Change-2.1%
Ins Owners0.57%
Ins Owner Change3.2%
Market Cap3.78B
Revenue(TTM)22.50B
Net Income(TTM)233.01M
Analysts49.23
Price Target53.81 (15.84%)
Short Float %8.78%
Short Ratio7.97
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.99% |
Yearly Dividend1.31
Dividend Growth(5Y)9.63%
DP48.46%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.74%
Min EPS beat(2)2.27%
Max EPS beat(2)7.22%
EPS beat(4)3
Avg EPS beat(4)5.7%
Min EPS beat(4)-3.18%
Max EPS beat(4)16.48%
EPS beat(8)5
Avg EPS beat(8)6.7%
EPS beat(12)9
Avg EPS beat(12)8.27%
EPS beat(16)13
Avg EPS beat(16)10.24%
Revenue beat(2)2
Avg Revenue beat(2)2.64%
Min Revenue beat(2)1.82%
Max Revenue beat(2)3.46%
Revenue beat(4)4
Avg Revenue beat(4)1.48%
Min Revenue beat(4)0.22%
Max Revenue beat(4)3.46%
Revenue beat(8)6
Avg Revenue beat(8)1.06%
Revenue beat(12)9
Avg Revenue beat(12)1.22%
Revenue beat(16)13
Avg Revenue beat(16)2.33%
PT rev (1m)0%
PT rev (3m)2.93%
EPS NQ rev (1m)-3.83%
EPS NQ rev (3m)-13.75%
EPS NY rev (1m)-4.13%
EPS NY rev (3m)-15.6%
Revenue NQ rev (1m)2.96%
Revenue NQ rev (3m)3.05%
Revenue NY rev (1m)2.13%
Revenue NY rev (3m)3.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.82 | ||
| Fwd PE | 7.68 | ||
| P/S | 0.17 | ||
| P/FCF | 11.33 | ||
| P/OCF | 7.98 | ||
| P/B | 0.78 | ||
| P/tB | 0.94 | ||
| EV/EBITDA | 9.64 |
EPS(TTM)3.36
EY7.23%
EPS(NY)6.04
Fwd EY13.01%
FCF(TTM)4.1
FCFY8.82%
OCF(TTM)5.82
OCFY12.54%
SpS276.59
BVpS59.61
TBVpS49.55
PEG (NY)0.56
PEG (5Y)1.23
Graham Number67.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 4.81% | ||
| ROCE | 7.52% | ||
| ROIC | 6.49% | ||
| ROICexc | 6.63% | ||
| ROICexgc | 7.39% | ||
| OM | 2.69% | ||
| PM (TTM) | 1.04% | ||
| GM | 10.64% | ||
| FCFM | 1.48% |
ROA(3y)4.08%
ROA(5y)4.21%
ROE(3y)10.38%
ROE(5y)10.47%
ROIC(3y)9.94%
ROIC(5y)9.82%
ROICexc(3y)10.3%
ROICexc(5y)10.14%
ROICexgc(3y)11.47%
ROICexgc(5y)11.47%
ROCE(3y)11.38%
ROCE(5y)11.24%
ROICexgc growth 3Y-21.7%
ROICexgc growth 5Y12.78%
ROICexc growth 3Y-21.06%
ROICexc growth 5Y14.08%
OM growth 3Y-11.12%
OM growth 5Y17.48%
PM growth 3Y-27.56%
PM growth 5YN/A
GM growth 3Y-4.14%
GM growth 5Y-1.69%
F-Score5
Asset Turnover1.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 8.96 | ||
| Debt/EBITDA | 4.3 | ||
| Cap/Depr | 204.58% | ||
| Cap/Sales | 0.62% | ||
| Interest Coverage | 2.19 | ||
| Cash Conversion | 70.38% | ||
| Profit Quality | 143.05% | ||
| Current Ratio | 2.36 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 3.22 |
F-Score5
WACC10.95%
ROIC/WACC0.59
Cap/Depr(3y)228.96%
Cap/Depr(5y)154.57%
Cap/Sales(3y)0.78%
Cap/Sales(5y)0.56%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.59%
EPS 3Y-20.9%
EPS 5Y11.23%
EPS Q2Q%-8.7%
EPS Next Y24.89%
EPS Next 2Y32.56%
EPS Next 3Y28.28%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.3%
Revenue growth 3Y-2.98%
Revenue growth 5Y4.71%
Sales Q2Q%5.25%
Revenue Next Year7.95%
Revenue Next 2Y6.24%
Revenue Next 3Y6.3%
Revenue Next 5YN/A
EBIT growth 1Y-24.9%
EBIT growth 3Y-13.77%
EBIT growth 5Y23.02%
EBIT Next Year32.2%
EBIT Next 3Y17.69%
EBIT Next 5YN/A
FCF growth 1Y194.56%
FCF growth 3YN/A
FCF growth 5Y-2.55%
OCF growth 1Y530.93%
OCF growth 3YN/A
OCF growth 5Y-0.16%
AVNET INC / AVT FAQ
Can you provide the ChartMill fundamental rating for AVNET INC?
ChartMill assigns a fundamental rating of 5 / 10 to AVT.
Can you provide the valuation status for AVNET INC?
ChartMill assigns a valuation rating of 8 / 10 to AVNET INC (AVT). This can be considered as Undervalued.
Can you provide the profitability details for AVNET INC?
AVNET INC (AVT) has a profitability rating of 4 / 10.
What are the PE and PB ratios of AVNET INC (AVT) stock?
The Price/Earnings (PE) ratio for AVNET INC (AVT) is 13.82 and the Price/Book (PB) ratio is 0.78.
What is the expected EPS growth for AVNET INC (AVT) stock?
The Earnings per Share (EPS) of AVNET INC (AVT) is expected to grow by 24.89% in the next year.