EMBECTA CORP (EMBC) Stock Fundamental Analysis
USA - NASDAQ:EMBC - US29082K1051 - Common Stock
14.55 USD
+0.14 (+0.97%)
14.55 USD
0 (0%)
Overall EMBC gets a fundamental rating of 6 out of 10. We evaluated EMBC against 189 industry peers in the Health Care Equipment & Supplies industry. EMBC has an average financial health and profitability rating. A decent growth rate in combination with a cheap valuation! Better keep an eye on EMBC. These ratings could make EMBC a good candidate for value investing.
1. Profitability
1.1 Basic Checks
EMBC had positive earnings in the past year.
EMBC had a positive operating cash flow in the past year.
In the past 5 years EMBC has always been profitable.
In the past 5 years EMBC always reported a positive cash flow from operatings.
1.2 Ratios
EMBC has a better Return On Assets (7.22%) than 88.36% of its industry peers.
EMBC has a Return On Invested Capital of 23.87%. This is amongst the best in the industry. EMBC outperforms 98.94% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EMBC is significantly above the industry average of 8.99%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.22% | ||
| ROE | N/A | ||
| ROIC | 23.87% |
ROA(3y)10.82%
ROA(5y)28.63%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)24.33%
ROIC(5y)35.9%
1.3 Margins
With a decent Profit Margin value of 7.58%, EMBC is doing good in the industry, outperforming 77.78% of the companies in the same industry.
In the last couple of years the Profit Margin of EMBC has declined.
EMBC's Operating Margin of 28.66% is amongst the best of the industry. EMBC outperforms 96.83% of its industry peers.
EMBC's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 63.95%, EMBC is doing good in the industry, outperforming 66.67% of the companies in the same industry.
In the last couple of years the Gross Margin of EMBC has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.66% | ||
| PM (TTM) | 7.58% | ||
| GM | 63.95% |
OM growth 3Y-15.62%
OM growth 5Y-10.93%
PM growth 3Y-41.94%
PM growth 5Y-29.11%
GM growth 3Y-1.58%
GM growth 5Y-1.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), EMBC is creating value.
The number of shares outstanding for EMBC has been increased compared to 1 year ago.
Compared to 5 years ago, EMBC has more shares outstanding
EMBC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.00 indicates that EMBC is not a great score, but indicates only limited risk for bankruptcy at the moment.
EMBC has a Altman-Z score of 2.00. This is in the better half of the industry: EMBC outperforms 62.43% of its industry peers.
The Debt to FCF ratio of EMBC is 11.34, which is on the high side as it means it would take EMBC, 11.34 years of fcf income to pay off all of its debts.
EMBC's Debt to FCF ratio of 11.34 is fine compared to the rest of the industry. EMBC outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.34 | ||
| Altman-Z | 2 |
ROIC/WACC3.86
WACC6.18%
2.3 Liquidity
EMBC has a Current Ratio of 2.47. This indicates that EMBC is financially healthy and has no problem in meeting its short term obligations.
EMBC has a Current ratio (2.47) which is comparable to the rest of the industry.
A Quick Ratio of 1.78 indicates that EMBC should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.78, EMBC perfoms like the industry average, outperforming 47.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.47 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
EMBC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.88%, which is quite good.
The earnings per share for EMBC have been decreasing by -29.06% on average. This is quite bad
EMBC shows a decrease in Revenue. In the last year, the revenue decreased by -1.47%.
The Revenue has been growing slightly by 0.25% on average over the past years.
EPS 1Y (TTM)11.88%
EPS 3Y-42.79%
EPS 5Y-29.06%
EPS Q2Q%51.35%
Revenue 1Y (TTM)-1.47%
Revenue growth 3Y-1.21%
Revenue growth 5Y0.25%
Sales Q2Q%8.44%
3.2 Future
Based on estimates for the next years, EMBC will show a small growth in Earnings Per Share. The EPS will grow by 5.85% on average per year.
EMBC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.68% yearly.
EPS Next Y19.34%
EPS Next 2Y10.44%
EPS Next 3Y7.82%
EPS Next 5Y5.85%
Revenue Next Year-2.9%
Revenue Next 2Y-1.46%
Revenue Next 3Y-0.8%
Revenue Next 5Y0.68%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
EMBC is valuated cheaply with a Price/Earnings ratio of 4.98.
EMBC's Price/Earnings ratio is rather cheap when compared to the industry. EMBC is cheaper than 96.83% of the companies in the same industry.
EMBC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.89.
The Price/Forward Earnings ratio is 4.83, which indicates a rather cheap valuation of EMBC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EMBC indicates a rather cheap valuation: EMBC is cheaper than 99.47% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of EMBC to the average of the S&P500 Index (34.59), we can say EMBC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.98 | ||
| Fwd PE | 4.83 |
4.2 Price Multiples
EMBC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EMBC is cheaper than 97.35% of the companies in the same industry.
98.41% of the companies in the same industry are more expensive than EMBC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.43 | ||
| EV/EBITDA | 5.98 |
4.3 Compensation for Growth
EMBC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of EMBC may justify a higher PE ratio.
PEG (NY)0.26
PEG (5Y)N/A
EPS Next 2Y10.44%
EPS Next 3Y7.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.46%, EMBC is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.89, EMBC pays a better dividend. On top of this EMBC pays more dividend than 99.47% of the companies listed in the same industry.
EMBC's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.46% |
5.2 History
EMBC has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
EMBC pays out 41.75% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP41.75%
EPS Next 2Y10.44%
EPS Next 3Y7.82%
14.55
+0.14 (+0.97%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners101.84%
Inst Owner Change0.54%
Ins Owners0.46%
Ins Owner Change0.68%
Market Cap851.03M
Revenue(TTM)1.10B
Net Income(TTM)83.60M
Analysts51.11
Price Target17 (16.84%)
Short Float %4.83%
Short Ratio6.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.46% |
Yearly Dividend0.6
Dividend Growth(5Y)N/A
DP41.75%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)35.83%
Min EPS beat(2)29.98%
Max EPS beat(2)41.68%
EPS beat(4)4
Avg EPS beat(4)34.39%
Min EPS beat(4)21.87%
Max EPS beat(4)44.01%
EPS beat(8)8
Avg EPS beat(8)41.88%
EPS beat(12)10
Avg EPS beat(12)32.96%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)2.06%
Min Revenue beat(2)-0.01%
Max Revenue beat(2)4.13%
Revenue beat(4)3
Avg Revenue beat(4)1.56%
Min Revenue beat(4)-0.01%
Max Revenue beat(4)4.13%
Revenue beat(8)6
Avg Revenue beat(8)2.11%
Revenue beat(12)10
Avg Revenue beat(12)2.35%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-9.09%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.98%
EPS NY rev (1m)0%
EPS NY rev (3m)2.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.98 | ||
| Fwd PE | 4.83 | ||
| P/S | 0.77 | ||
| P/FCF | 6.43 | ||
| P/OCF | 6.34 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.98 |
EPS(TTM)2.92
EY20.07%
EPS(NY)3.01
Fwd EY20.7%
FCF(TTM)2.26
FCFY15.55%
OCF(TTM)2.3
OCFY15.78%
SpS18.85
BVpS-11.45
TBVpS-11.84
PEG (NY)0.26
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.22% | ||
| ROE | N/A | ||
| ROCE | 35.84% | ||
| ROIC | 23.87% | ||
| ROICexc | 32.32% | ||
| ROICexgc | 33.49% | ||
| OM | 28.66% | ||
| PM (TTM) | 7.58% | ||
| GM | 63.95% | ||
| FCFM | 12% |
ROA(3y)10.82%
ROA(5y)28.63%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)24.33%
ROIC(5y)35.9%
ROICexc(3y)39.2%
ROICexc(5y)44.82%
ROICexgc(3y)41.18%
ROICexgc(5y)47.17%
ROCE(3y)36.53%
ROCE(5y)53.9%
ROICexgc growth 3Y-18.01%
ROICexgc growth 5Y-11.68%
ROICexc growth 3Y-17.5%
ROICexc growth 5Y-11.4%
OM growth 3Y-15.62%
OM growth 5Y-10.93%
PM growth 3Y-41.94%
PM growth 5Y-29.11%
GM growth 3Y-1.58%
GM growth 5Y-1.58%
F-Score6
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.34 | ||
| Debt/EBITDA | 4.21 | ||
| Cap/Depr | 5.39% | ||
| Cap/Sales | 0.18% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 38.03% | ||
| Profit Quality | 158.25% | ||
| Current Ratio | 2.47 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 2 |
F-Score6
WACC6.18%
ROIC/WACC3.86
Cap/Depr(3y)66.88%
Cap/Depr(5y)82.76%
Cap/Sales(3y)1.97%
Cap/Sales(5y)2.62%
Profit Quality(3y)85.85%
Profit Quality(5y)92.96%
High Growth Momentum
Growth
EPS 1Y (TTM)11.88%
EPS 3Y-42.79%
EPS 5Y-29.06%
EPS Q2Q%51.35%
EPS Next Y19.34%
EPS Next 2Y10.44%
EPS Next 3Y7.82%
EPS Next 5Y5.85%
Revenue 1Y (TTM)-1.47%
Revenue growth 3Y-1.21%
Revenue growth 5Y0.25%
Sales Q2Q%8.44%
Revenue Next Year-2.9%
Revenue Next 2Y-1.46%
Revenue Next 3Y-0.8%
Revenue Next 5Y0.68%
EBIT growth 1Y38.48%
EBIT growth 3Y-16.64%
EBIT growth 5Y-10.7%
EBIT Next Year38.7%
EBIT Next 3Y10.75%
EBIT Next 5Y8.14%
FCF growth 1Y88.46%
FCF growth 3Y-63.73%
FCF growth 5Y-46.06%
OCF growth 1Y39.75%
OCF growth 3Y-57.22%
OCF growth 5Y-41.13%
EMBECTA CORP / EMBC FAQ
What is the fundamental rating for EMBC stock?
ChartMill assigns a fundamental rating of 6 / 10 to EMBC.
Can you provide the valuation status for EMBECTA CORP?
ChartMill assigns a valuation rating of 9 / 10 to EMBECTA CORP (EMBC). This can be considered as Undervalued.
What is the profitability of EMBC stock?
EMBECTA CORP (EMBC) has a profitability rating of 6 / 10.
What is the valuation of EMBECTA CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for EMBECTA CORP (EMBC) is 4.98 and the Price/Book (PB) ratio is -1.27.
Can you provide the dividend sustainability for EMBC stock?
The dividend rating of EMBECTA CORP (EMBC) is 5 / 10 and the dividend payout ratio is 41.75%.