ENPHASE ENERGY INC (E0P.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:E0P - US29355A1079 - Common Stock
34.235 EUR
+0.47 (+1.39%)
Overall E0P gets a fundamental rating of 4 out of 10. We evaluated E0P against 69 industry peers in the Semiconductors & Semiconductor Equipment industry. While E0P is still in line with the averages on profitability rating, there are concerns on its financial health. E0P has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year E0P was profitable.
- In the past year E0P had a positive cash flow from operations.
- In the past 5 years E0P has always been profitable.
- E0P had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- E0P has a Return On Assets (5.89%) which is in line with its industry peers.
- E0P has a Return On Equity of 19.66%. This is in the better half of the industry: E0P outperforms 60.29% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 8.61%, E0P is in line with its industry, outperforming 48.53% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for E0P is below the industry average of 14.31%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.89% | ||
| ROE | 19.66% | ||
| ROIC | 8.61% |
ROA(3y)9.67%
ROA(5y)9.44%
ROE(3y)35.03%
ROE(5y)33.31%
ROIC(3y)10.89%
ROIC(5y)13.62%
1.3 Margins
- E0P has a Profit Margin of 12.93%. This is comparable to the rest of the industry: E0P outperforms 51.47% of its industry peers.
- E0P's Profit Margin has declined in the last couple of years.
- With a Operating Margin value of 14.31%, E0P perfoms like the industry average, outperforming 42.65% of the companies in the same industry.
- In the last couple of years the Operating Margin of E0P has declined.
- E0P has a Gross Margin of 49.11%. This is comparable to the rest of the industry: E0P outperforms 50.00% of its industry peers.
- E0P's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.31% | ||
| PM (TTM) | 12.93% | ||
| GM | 49.11% |
OM growth 3Y-24.77%
OM growth 5Y-16.62%
PM growth 3Y-9.82%
PM growth 5Y-21.45%
GM growth 3Y5.64%
GM growth 5Y5.94%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so E0P is still creating some value.
- The number of shares outstanding for E0P has been reduced compared to 1 year ago.
- Compared to 5 years ago, E0P has more shares outstanding
- E0P has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.37 indicates that E0P is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.37, E0P is not doing good in the industry: 73.53% of the companies in the same industry are doing better.
- The Debt to FCF ratio of E0P is 5.54, which is a neutral value as it means it would take E0P, 5.54 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 5.54, E0P is doing worse than 60.29% of the companies in the same industry.
- A Debt/Equity ratio of 0.57 indicates that E0P is somewhat dependend on debt financing.
- E0P has a worse Debt to Equity ratio (0.57) than 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 5.54 | ||
| Altman-Z | 2.37 |
ROIC/WACC0.89
WACC9.66%
2.3 Liquidity
- A Current Ratio of 2.04 indicates that E0P has no problem at all paying its short term obligations.
- Looking at the Current ratio, with a value of 2.04, E0P is doing worse than 64.71% of the companies in the same industry.
- E0P has a Quick Ratio of 1.88. This is a normal value and indicates that E0P is financially healthy and should not expect problems in meeting its short term obligations.
- With a decent Quick ratio value of 1.88, E0P is doing good in the industry, outperforming 66.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 62.94% over the past year.
- The Earnings Per Share has been growing by 20.06% on average over the past years. This is a very strong growth
- Looking at the last year, E0P shows a very strong growth in Revenue. The Revenue has grown by 20.97%.
- The Revenue has been growing by 16.34% on average over the past years. This is quite good.
EPS 1Y (TTM)62.94%
EPS 3Y-0.69%
EPS 5Y20.06%
EPS Q2Q%38.46%
Revenue 1Y (TTM)20.97%
Revenue growth 3Y-1.26%
Revenue growth 5Y16.34%
Sales Q2Q%7.76%
3.2 Future
- Based on estimates for the next years, E0P will show a small growth in Earnings Per Share. The EPS will grow by 7.78% on average per year.
- E0P is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.65% yearly.
EPS Next Y18.22%
EPS Next 2Y-6.7%
EPS Next 3Y4.54%
EPS Next 5Y7.78%
Revenue Next Year10.41%
Revenue Next 2Y-5.23%
Revenue Next 3Y-0.17%
Revenue Next 5Y2.65%
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 decreasing.
- 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
- E0P is valuated correctly with a Price/Earnings ratio of 12.54.
- Compared to the rest of the industry, the Price/Earnings ratio of E0P indicates a rather cheap valuation: E0P is cheaper than 97.06% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.21. E0P is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 19.48, which indicates a rather expensive current valuation of E0P.
- 79.41% of the companies in the same industry are more expensive than E0P, based on the Price/Forward Earnings ratio.
- E0P is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.54 | ||
| Fwd PE | 19.48 |
4.2 Price Multiples
- E0P's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. E0P is cheaper than 75.00% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, E0P is valued cheaper than 86.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.21 | ||
| EV/EBITDA | 13.15 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.69
PEG (5Y)0.63
EPS Next 2Y-6.7%
EPS Next 3Y4.54%
5. Dividend
5.1 Amount
- No dividends for E0P!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ENPHASE ENERGY INC / E0P.DE FAQ
Can you provide the ChartMill fundamental rating for ENPHASE ENERGY INC?
ChartMill assigns a fundamental rating of 4 / 10 to E0P.DE.
What is the valuation status of ENPHASE ENERGY INC (E0P.DE) stock?
ChartMill assigns a valuation rating of 6 / 10 to ENPHASE ENERGY INC (E0P.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for ENPHASE ENERGY INC?
ENPHASE ENERGY INC (E0P.DE) has a profitability rating of 4 / 10.
What is the valuation of ENPHASE ENERGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ENPHASE ENERGY INC (E0P.DE) is 12.54 and the Price/Book (PB) ratio is 5.29.
What is the expected EPS growth for ENPHASE ENERGY INC (E0P.DE) stock?
The Earnings per Share (EPS) of ENPHASE ENERGY INC (E0P.DE) is expected to grow by 18.22% in the next year.