ELEVANCE HEALTH INC (ELV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ELV - US0367521038 - Common Stock
330.75 USD
-2.74 (-0.82%)
330.75 USD
0 (0%)
ELV gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 101 industry peers in the Health Care Providers & Services industry. There are concerns on the financial health of ELV while its profitability can be described as average. ELV has a correct valuation and a medium growth rate. ELV also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ELV was profitable.
In the past year ELV had a positive cash flow from operations.
Each year in the past 5 years ELV has been profitable.
In the past 5 years ELV always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 4.51%, ELV is doing good in the industry, outperforming 74.26% of the companies in the same industry.
The Return On Equity of ELV (12.59%) is better than 79.21% of its industry peers.
ELV has a Return On Invested Capital (5.60%) which is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for ELV is below the industry average of 9.22%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.51% | ||
| ROE | 12.59% | ||
| ROIC | 5.6% |
ROA(3y)5.45%
ROA(5y)5.58%
ROE(3y)15.32%
ROE(5y)15.33%
ROIC(3y)6.9%
ROIC(5y)7.19%
1.3 Margins
ELV's Profit Margin of 2.84% is fine compared to the rest of the industry. ELV outperforms 66.34% of its industry peers.
ELV's Profit Margin has declined in the last couple of years.
ELV has a Operating Margin of 4.35%. This is comparable to the rest of the industry: ELV outperforms 59.41% of its industry peers.
ELV's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.35% | ||
| PM (TTM) | 2.84% | ||
| GM | N/A |
OM growth 3Y-7.78%
OM growth 5Y-4.45%
PM growth 3Y-8.42%
PM growth 5Y-6.01%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ELV is destroying value.
The number of shares outstanding for ELV has been reduced compared to 1 year ago.
ELV has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, ELV has a worse debt to assets ratio.
2.2 Solvency
ELV has a debt to FCF ratio of 8.63. This is a slightly negative value and a sign of low solvency as ELV would need 8.63 years to pay back of all of its debts.
ELV has a Debt to FCF ratio (8.63) which is comparable to the rest of the industry.
ELV has a Debt/Equity ratio of 0.71. This is a neutral value indicating ELV is somewhat dependend on debt financing.
ELV's Debt to Equity ratio of 0.71 is in line compared to the rest of the industry. ELV outperforms 51.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 8.63 | ||
| Altman-Z | N/A |
ROIC/WACC0.68
WACC8.23%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for ELV have decreased strongly by -11.71% in the last year.
The Earnings Per Share has been growing by 11.17% on average over the past years. This is quite good.
Looking at the last year, ELV shows a quite strong growth in Revenue. The Revenue has grown by 11.96% in the last year.
ELV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.14% yearly.
EPS 1Y (TTM)-11.71%
EPS 3Y8.28%
EPS 5Y11.17%
EPS Q2Q%-27.96%
Revenue 1Y (TTM)11.96%
Revenue growth 3Y8.44%
Revenue growth 5Y11.14%
Sales Q2Q%12%
3.2 Future
ELV is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.78% yearly.
Based on estimates for the next years, ELV will show a small growth in Revenue. The Revenue will grow by 4.62% on average per year.
EPS Next Y-8.18%
EPS Next 2Y-8.53%
EPS Next 3Y-1.23%
EPS Next 5Y7.78%
Revenue Next Year13.06%
Revenue Next 2Y8.03%
Revenue Next 3Y7.01%
Revenue Next 5Y4.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 10.78, the valuation of ELV can be described as reasonable.
ELV's Price/Earnings ratio is rather cheap when compared to the industry. ELV is cheaper than 90.10% of the companies in the same industry.
ELV's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.46.
With a Price/Forward Earnings ratio of 11.99, the valuation of ELV can be described as very reasonable.
Based on the Price/Forward Earnings ratio, ELV is valued cheaply inside the industry as 85.15% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ELV to the average of the S&P500 Index (36.10), we can say ELV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 11.99 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ELV is valued a bit cheaper than 74.26% of the companies in the same industry.
65.35% of the companies in the same industry are more expensive than ELV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.75 | ||
| EV/EBITDA | 9.72 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.97
EPS Next 2Y-8.53%
EPS Next 3Y-1.23%
5. Dividend
5.1 Amount
ELV has a Yearly Dividend Yield of 2.02%. Purely for dividend investing, there may be better candidates out there.
ELV's Dividend Yield is rather good when compared to the industry average which is at 2.47. ELV pays more dividend than 91.09% of the companies in the same industry.
ELV's Dividend Yield is comparable with the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
5.2 History
The dividend of ELV is nicely growing with an annual growth rate of 15.34%!
ELV has been paying a dividend for at least 10 years, so it has a reliable track record.
ELV has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.34%
Div Incr Years13
Div Non Decr Years13
5.3 Sustainability
ELV pays out 27.56% of its income as dividend. This is a sustainable payout ratio.
The dividend of ELV is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP27.56%
EPS Next 2Y-8.53%
EPS Next 3Y-1.23%
330.75
-2.74 (-0.82%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners93.05%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner Change2.02%
Market Cap73.51B
Revenue(TTM)194.82B
Net Income(TTM)5.53B
Analysts75.17
Price Target391.07 (18.24%)
Short Float %1.82%
Short Ratio2.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
Yearly Dividend6.55
Dividend Growth(5Y)15.34%
DP27.56%
Div Incr Years13
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.38%
Min EPS beat(2)-2.26%
Max EPS beat(2)21.02%
EPS beat(4)3
Avg EPS beat(4)5.76%
Min EPS beat(4)-2.26%
Max EPS beat(4)21.02%
EPS beat(8)5
Avg EPS beat(8)0.95%
EPS beat(12)8
Avg EPS beat(12)1.31%
EPS beat(16)11
Avg EPS beat(16)1.68%
Revenue beat(2)2
Avg Revenue beat(2)0.95%
Min Revenue beat(2)0.45%
Max Revenue beat(2)1.45%
Revenue beat(4)3
Avg Revenue beat(4)1.37%
Min Revenue beat(4)-0.71%
Max Revenue beat(4)4.3%
Revenue beat(8)4
Avg Revenue beat(8)0.64%
Revenue beat(12)6
Avg Revenue beat(12)0.78%
Revenue beat(16)9
Avg Revenue beat(16)0.69%
PT rev (1m)-0.71%
PT rev (3m)5.23%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)-22.67%
EPS NY rev (1m)0.26%
EPS NY rev (3m)0.26%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)0.58%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)0.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 11.99 | ||
| P/S | 0.38 | ||
| P/FCF | 19.75 | ||
| P/OCF | 15.11 | ||
| P/B | 1.67 | ||
| P/tB | 17.61 | ||
| EV/EBITDA | 9.72 |
EPS(TTM)30.68
EY9.28%
EPS(NY)27.58
Fwd EY8.34%
FCF(TTM)16.74
FCFY5.06%
OCF(TTM)21.9
OCFY6.62%
SpS876.62
BVpS197.77
TBVpS18.79
PEG (NY)N/A
PEG (5Y)0.97
Graham Number369.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.51% | ||
| ROE | 12.59% | ||
| ROCE | 7.32% | ||
| ROIC | 5.6% | ||
| ROICexc | 6.06% | ||
| ROICexgc | 10.93% | ||
| OM | 4.35% | ||
| PM (TTM) | 2.84% | ||
| GM | N/A | ||
| FCFM | 1.91% |
ROA(3y)5.45%
ROA(5y)5.58%
ROE(3y)15.32%
ROE(5y)15.33%
ROIC(3y)6.9%
ROIC(5y)7.19%
ROICexc(3y)7.45%
ROICexc(5y)7.72%
ROICexgc(3y)13.9%
ROICexgc(5y)14.63%
ROCE(3y)9.03%
ROCE(5y)9.4%
ROICexgc growth 3Y-5.49%
ROICexgc growth 5Y-3.16%
ROICexc growth 3Y-5.02%
ROICexc growth 5Y-2.23%
OM growth 3Y-7.78%
OM growth 5Y-4.45%
PM growth 3Y-8.42%
PM growth 5Y-6.01%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover1.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 8.63 | ||
| Debt/EBITDA | 3.13 | ||
| Cap/Depr | 74.45% | ||
| Cap/Sales | 0.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 48.59% | ||
| Profit Quality | 67.25% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score4
WACC8.23%
ROIC/WACC0.68
Cap/Depr(3y)77.74%
Cap/Depr(5y)81.03%
Cap/Sales(3y)0.73%
Cap/Sales(5y)0.76%
Profit Quality(3y)103.66%
Profit Quality(5y)128.32%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.71%
EPS 3Y8.28%
EPS 5Y11.17%
EPS Q2Q%-27.96%
EPS Next Y-8.18%
EPS Next 2Y-8.53%
EPS Next 3Y-1.23%
EPS Next 5Y7.78%
Revenue 1Y (TTM)11.96%
Revenue growth 3Y8.44%
Revenue growth 5Y11.14%
Sales Q2Q%12%
Revenue Next Year13.06%
Revenue Next 2Y8.03%
Revenue Next 3Y7.01%
Revenue Next 5Y4.62%
EBIT growth 1Y-10.69%
EBIT growth 3Y0%
EBIT growth 5Y6.19%
EBIT Next Year-1.57%
EBIT Next 3Y2.35%
EBIT Next 5Y8.31%
FCF growth 1Y-54.88%
FCF growth 3Y-14.89%
FCF growth 5Y-2.08%
OCF growth 1Y-48.85%
OCF growth 3Y-11.78%
OCF growth 5Y-1.08%
ELEVANCE HEALTH INC / ELV FAQ
Can you provide the ChartMill fundamental rating for ELEVANCE HEALTH INC?
ChartMill assigns a fundamental rating of 4 / 10 to ELV.
What is the valuation status for ELV stock?
ChartMill assigns a valuation rating of 6 / 10 to ELEVANCE HEALTH INC (ELV). This can be considered as Fairly Valued.
What is the profitability of ELV stock?
ELEVANCE HEALTH INC (ELV) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for ELV stock?
The Earnings per Share (EPS) of ELEVANCE HEALTH INC (ELV) is expected to decline by -8.18% in the next year.
Is the dividend of ELEVANCE HEALTH INC sustainable?
The dividend rating of ELEVANCE HEALTH INC (ELV) is 7 / 10 and the dividend payout ratio is 27.56%.