COOPER COS INC/THE (COO) Stock Fundamental Analysis
NASDAQ:COO - Nasdaq - US2166485019 - Common Stock - Currency: USD
Taking everything into account, COO scores 5 out of 10 in our fundamental rating. COO was compared to 190 industry peers in the Health Care Equipment & Supplies industry. COO has an excellent profitability rating, but there are some minor concerns on its financial health. COO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
COO had positive earnings in the past year.
COO had a positive operating cash flow in the past year.
Each year in the past 5 years COO has been profitable.
Each year in the past 5 years COO had a positive operating cash flow.
1.2 Ratios
COO's Return On Assets of 3.40% is fine compared to the rest of the industry. COO outperforms 79.47% of its industry peers.
The Return On Equity of COO (5.11%) is better than 79.47% of its industry peers.
COO has a Return On Invested Capital of 4.52%. This is in the better half of the industry: COO outperforms 76.84% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for COO is below the industry average of 7.68%.
The last Return On Invested Capital (4.52%) for COO is above the 3 year average (3.86%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.4% | ||
| ROE | 5.11% | ||
| ROIC | 4.52% |
ROA(3y)3.02%
ROA(5y)8.65%
ROE(3y)4.71%
ROE(5y)12.56%
ROIC(3y)3.86%
ROIC(5y)3.93%
1.3 Margins
Looking at the Profit Margin, with a value of 10.57%, COO belongs to the top of the industry, outperforming 86.32% of the companies in the same industry.
In the last couple of years the Profit Margin of COO has declined.
COO's Operating Margin of 18.70% is amongst the best of the industry. COO outperforms 91.05% of its industry peers.
COO's Operating Margin has declined in the last couple of years.
COO has a Gross Margin of 67.00%. This is in the better half of the industry: COO outperforms 71.05% of its industry peers.
In the last couple of years the Gross Margin of COO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.7% | ||
| PM (TTM) | 10.57% | ||
| GM | 67% |
OM growth 3Y0.82%
OM growth 5Y-2.83%
PM growth 3Y-53.59%
PM growth 5Y-10.55%
GM growth 3Y-0.14%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), COO is destroying value.
COO has more shares outstanding than it did 1 year ago.
COO has less shares outstanding than it did 5 years ago.
COO has a better debt/assets ratio than last year.
2.2 Solvency
COO has an Altman-Z score of 3.79. This indicates that COO is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.79, COO is in the better half of the industry, outperforming 76.32% of the companies in the same industry.
COO has a debt to FCF ratio of 6.60. This is a slightly negative value and a sign of low solvency as COO would need 6.60 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 6.60, COO is doing good in the industry, outperforming 77.37% of the companies in the same industry.
COO has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
COO has a Debt to Equity ratio (0.31) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 6.6 | ||
| Altman-Z | 3.79 |
ROIC/WACC0.52
WACC8.61%
2.3 Liquidity
A Current Ratio of 1.99 indicates that COO should not have too much problems paying its short term obligations.
The Current ratio of COO (1.99) is worse than 64.21% of its industry peers.
COO has a Quick Ratio of 1.14. This is a normal value and indicates that COO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.14, COO is doing worse than 69.47% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.38% over the past year.
The Earnings Per Share has been growing slightly by 3.69% on average over the past years.
The Revenue has been growing slightly by 7.15% in the past year.
COO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.98% yearly.
EPS 1Y (TTM)13.38%
EPS 3Y3.78%
EPS 5Y3.69%
EPS Q2Q%8.24%
Revenue 1Y (TTM)7.15%
Revenue growth 3Y10.05%
Revenue growth 5Y7.98%
Sales Q2Q%3.55%
3.2 Future
Based on estimates for the next years, COO will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.90% on average per year.
COO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.03% yearly.
EPS Next Y8.89%
EPS Next 2Y10.01%
EPS Next 3Y10.4%
EPS Next 5Y8.9%
Revenue Next Year5.48%
Revenue Next 2Y6.02%
Revenue Next 3Y6.19%
Revenue Next 5Y6.03%
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 21.09, the valuation of COO can be described as rather expensive.
80.53% of the companies in the same industry are more expensive than COO, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.29. COO is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 17.76, COO is valued on the expensive side.
82.11% of the companies in the same industry are more expensive than COO, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, COO is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.09 | ||
| Fwd PE | 17.76 |
4.2 Price Multiples
78.42% of the companies in the same industry are more expensive than COO, based on the Enterprise Value to EBITDA ratio.
COO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. COO is cheaper than 75.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.33 | ||
| EV/EBITDA | 16.57 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
COO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.37
PEG (5Y)5.72
EPS Next 2Y10.01%
EPS Next 3Y10.4%
5. Dividend
5.1 Amount
With a yearly dividend of 0.02%, COO is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.93, COO pays a better dividend. On top of this COO pays more dividend than 90.00% of the companies listed in the same industry.
With a Dividend Yield of 0.02, COO pays less dividend than the S&P500 average, which is at 2.52.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
5.2 History
COO has been paying a dividend for at least 10 years, so it has a reliable track record.
COO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years15
5.3 Sustainability
DP0%
EPS Next 2Y10.01%
EPS Next 3Y10.4%
79.51
+1.28 (+1.64%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners100.1%
Inst Owner Change0%
Ins Owners0.55%
Ins Owner Change12.84%
Market Cap15.90B
Analysts79.17
Price Target110.65 (39.16%)
Short Float %1.56%
Short Ratio1.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.02% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years15
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.45%
Min EPS beat(2)-0.21%
Max EPS beat(2)3.11%
EPS beat(4)3
Avg EPS beat(4)2.24%
Min EPS beat(4)-0.21%
Max EPS beat(4)4.45%
EPS beat(8)5
Avg EPS beat(8)1.9%
EPS beat(12)6
Avg EPS beat(12)0.07%
EPS beat(16)9
Avg EPS beat(16)0.72%
Revenue beat(2)0
Avg Revenue beat(2)-2.07%
Min Revenue beat(2)-2.35%
Max Revenue beat(2)-1.79%
Revenue beat(4)0
Avg Revenue beat(4)-1.53%
Min Revenue beat(4)-2.35%
Max Revenue beat(4)-0.42%
Revenue beat(8)3
Avg Revenue beat(8)-0.43%
Revenue beat(12)7
Avg Revenue beat(12)-0.07%
Revenue beat(16)11
Avg Revenue beat(16)0.72%
PT rev (1m)-4%
PT rev (3m)-4.49%
EPS NQ rev (1m)-0.02%
EPS NQ rev (3m)-0.68%
EPS NY rev (1m)0.31%
EPS NY rev (3m)0.17%
Revenue NQ rev (1m)-0.1%
Revenue NQ rev (3m)-0.59%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.09 | ||
| Fwd PE | 17.76 | ||
| P/S | 4.05 | ||
| P/FCF | 41.33 | ||
| P/OCF | 20.46 | ||
| P/B | 1.96 | ||
| P/tB | 6.13 | ||
| EV/EBITDA | 16.57 |
EPS(TTM)3.77
EY4.74%
EPS(NY)4.48
Fwd EY5.63%
FCF(TTM)1.92
FCFY2.42%
OCF(TTM)3.89
OCFY4.89%
SpS19.64
BVpS40.64
TBVpS12.98
PEG (NY)2.37
PEG (5Y)5.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.4% | ||
| ROE | 5.11% | ||
| ROCE | 6.55% | ||
| ROIC | 4.52% | ||
| ROICexc | 4.56% | ||
| ROICexgc | 9.03% | ||
| OM | 18.7% | ||
| PM (TTM) | 10.57% | ||
| GM | 67% | ||
| FCFM | 9.79% |
ROA(3y)3.02%
ROA(5y)8.65%
ROE(3y)4.71%
ROE(5y)12.56%
ROIC(3y)3.86%
ROIC(5y)3.93%
ROICexc(3y)3.91%
ROICexc(5y)3.98%
ROICexgc(3y)7.96%
ROICexgc(5y)8.62%
ROCE(3y)5.65%
ROCE(5y)5.73%
ROICexcg growth 3Y7.03%
ROICexcg growth 5Y-21.56%
ROICexc growth 3Y2.56%
ROICexc growth 5Y-10.24%
OM growth 3Y0.82%
OM growth 5Y-2.83%
PM growth 3Y-53.59%
PM growth 5Y-10.55%
GM growth 3Y-0.14%
GM growth 5Y0.13%
F-Score8
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 6.6 | ||
| Debt/EBITDA | 2.3 | ||
| Cap/Depr | 106.28% | ||
| Cap/Sales | 9.99% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.4% | ||
| Profit Quality | 92.61% | ||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | 3.79 |
F-Score8
WACC8.61%
ROIC/WACC0.52
Cap/Depr(3y)96.32%
Cap/Depr(5y)93.28%
Cap/Sales(3y)9.68%
Cap/Sales(5y)9.83%
Profit Quality(3y)87.75%
Profit Quality(5y)70.99%
High Growth Momentum
Growth
EPS 1Y (TTM)13.38%
EPS 3Y3.78%
EPS 5Y3.69%
EPS Q2Q%8.24%
EPS Next Y8.89%
EPS Next 2Y10.01%
EPS Next 3Y10.4%
EPS Next 5Y8.9%
Revenue 1Y (TTM)7.15%
Revenue growth 3Y10.05%
Revenue growth 5Y7.98%
Sales Q2Q%3.55%
Revenue Next Year5.48%
Revenue Next 2Y6.02%
Revenue Next 3Y6.19%
Revenue Next 5Y6.03%
EBIT growth 1Y26.29%
EBIT growth 3Y10.95%
EBIT growth 5Y4.93%
EBIT Next Year27.65%
EBIT Next 3Y15.54%
EBIT Next 5Y12.69%
FCF growth 1Y-9.5%
FCF growth 3Y-18.09%
FCF growth 5Y-7.31%
OCF growth 1Y12.15%
OCF growth 3Y-1.34%
OCF growth 5Y-0.11%