EQUITABLE HOLDINGS INC (EQH) Stock Fundamental Analysis
USA - NYSE:EQH - US29452E1010 - Common Stock
43.8 USD
-0.2 (-0.45%)
43.8 USD
0 (0%)
Taking everything into account, EQH scores 4 out of 10 in our fundamental rating. EQH was compared to 99 industry peers in the Financial Services industry. Both the profitability and the financial health of EQH get a neutral evaluation. Nothing too spectacular is happening here. EQH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
EQH had positive earnings in the past year.
In the past year EQH had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: EQH reported negative net income in multiple years.
EQH had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
EQH has a worse Return On Assets (0.13%) than 70.71% of its industry peers.
EQH's Return On Equity of 35.42% is amongst the best of the industry. EQH outperforms 93.94% of its industry peers.
EQH has a worse Return On Invested Capital (0.82%) than 62.63% of its industry peers.
EQH had an Average Return On Invested Capital over the past 3 years of 0.99%. This is significantly below the industry average of 8.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.13% | ||
| ROE | 35.42% | ||
| ROIC | 0.82% |
ROA(3y)0.51%
ROA(5y)0.22%
ROE(3y)81.75%
ROE(5y)47.25%
ROIC(3y)0.99%
ROIC(5y)0.93%
1.3 Margins
The Profit Margin of EQH (2.57%) is worse than 64.65% of its industry peers.
EQH's Operating Margin of 17.41% is fine compared to the rest of the industry. EQH outperforms 62.63% of its industry peers.
In the last couple of years the Operating Margin of EQH has grown nicely.
The Gross Margin of EQH (51.52%) is better than 69.70% of its industry peers.
In the last couple of years the Gross Margin of EQH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.41% | ||
| PM (TTM) | 2.57% | ||
| GM | 51.52% |
OM growth 3Y-0.53%
OM growth 5Y12.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.39%
GM growth 5Y3.29%
2. Health
2.1 Basic Checks
EQH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, EQH has less shares outstanding
EQH has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EQH has been reduced compared to a year ago.
2.2 Solvency
EQH has an Altman-Z score of 0.19. This is a bad value and indicates that EQH is not financially healthy and even has some risk of bankruptcy.
EQH has a Altman-Z score of 0.19. This is comparable to the rest of the industry: EQH outperforms 44.44% of its industry peers.
EQH has a debt to FCF ratio of 15.30. This is a negative value and a sign of low solvency as EQH would need 15.30 years to pay back of all of its debts.
With a Debt to FCF ratio value of 15.30, EQH perfoms like the industry average, outperforming 47.47% of the companies in the same industry.
EQH has a Debt/Equity ratio of 13.37. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of EQH (13.37) is worse than 87.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.37 | ||
| Debt/FCF | 15.3 | ||
| Altman-Z | 0.19 |
ROIC/WACC0.19
WACC4.41%
2.3 Liquidity
A Current Ratio of 1.67 indicates that EQH should not have too much problems paying its short term obligations.
EQH's Current ratio of 1.67 is fine compared to the rest of the industry. EQH outperforms 72.73% of its industry peers.
A Quick Ratio of 1.67 indicates that EQH should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.67, EQH is in the better half of the industry, outperforming 74.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
EQH shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.72%.
EQH shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.12% yearly.
The Revenue has decreased by -4.25% in the past year.
Measured over the past years, EQH shows a small growth in Revenue. The Revenue has been growing by 4.47% on average per year.
EPS 1Y (TTM)-4.72%
EPS 3Y-3.05%
EPS 5Y4.12%
EPS Q2Q%-3.27%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y3.04%
Revenue growth 5Y4.47%
Sales Q2Q%-52.86%
3.2 Future
EQH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.18% yearly.
Based on estimates for the next years, EQH will show a small growth in Revenue. The Revenue will grow by 6.11% on average per year.
EPS Next Y-1.31%
EPS Next 2Y16.89%
EPS Next 3Y17.13%
EPS Next 5Y16.18%
Revenue Next Year-4.24%
Revenue Next 2Y-0.69%
Revenue Next 3Y1.65%
Revenue Next 5Y6.11%
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
The Price/Earnings ratio is 8.04, which indicates a very decent valuation of EQH.
Compared to the rest of the industry, the Price/Earnings ratio of EQH indicates a somewhat cheap valuation: EQH is cheaper than 75.76% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.07, EQH is valued rather cheaply.
A Price/Forward Earnings ratio of 5.38 indicates a rather cheap valuation of EQH.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EQH indicates a rather cheap valuation: EQH is cheaper than 83.84% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.08. EQH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.04 | ||
| Fwd PE | 5.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EQH is valued cheaply inside the industry as 89.90% of the companies are valued more expensively.
73.74% of the companies in the same industry are more expensive than EQH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.68 | ||
| EV/EBITDA | 5.19 |
4.3 Compensation for Growth
EQH's earnings are expected to grow with 17.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.95
EPS Next 2Y16.89%
EPS Next 3Y17.13%
5. Dividend
5.1 Amount
EQH has a Yearly Dividend Yield of 2.39%.
Compared to an average industry Dividend Yield of 4.68, EQH pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.44, EQH has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
5.2 History
On average, the dividend of EQH grows each year by 15.63%, which is quite nice.
EQH has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)15.63%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EQH pays out 93.12% of its income as dividend. This is not a sustainable payout ratio.
The dividend of EQH is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP93.12%
EPS Next 2Y16.89%
EPS Next 3Y17.13%
43.8
-0.2 (-0.45%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners100.63%
Inst Owner Change1.07%
Ins Owners0.5%
Ins Owner Change-4.16%
Market Cap13.12B
Revenue(TTM)15.06B
Net Income(TTM)407.00M
Analysts80
Price Target66.3 (51.37%)
Short Float %2.61%
Short Ratio2.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.39% |
Yearly Dividend1.19
Dividend Growth(5Y)15.63%
DP93.12%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-13.94%
Min EPS beat(2)-15.26%
Max EPS beat(2)-12.62%
EPS beat(4)0
Avg EPS beat(4)-8.2%
Min EPS beat(4)-15.26%
Max EPS beat(4)-1.05%
EPS beat(8)3
Avg EPS beat(8)-3.27%
EPS beat(12)4
Avg EPS beat(12)-3.84%
EPS beat(16)7
Avg EPS beat(16)-0.99%
Revenue beat(2)1
Avg Revenue beat(2)-13.78%
Min Revenue beat(2)-40.44%
Max Revenue beat(2)12.88%
Revenue beat(4)1
Avg Revenue beat(4)-14.99%
Min Revenue beat(4)-40.44%
Max Revenue beat(4)12.88%
Revenue beat(8)2
Avg Revenue beat(8)-18.05%
Revenue beat(12)4
Avg Revenue beat(12)-15.36%
Revenue beat(16)6
Avg Revenue beat(16)-13.5%
PT rev (1m)-0.76%
PT rev (3m)-2.34%
EPS NQ rev (1m)-0.63%
EPS NQ rev (3m)-7%
EPS NY rev (1m)-0.62%
EPS NY rev (3m)-8.04%
Revenue NQ rev (1m)-1.14%
Revenue NQ rev (3m)-1.22%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)-1.35%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.04 | ||
| Fwd PE | 5.38 | ||
| P/S | 0.83 | ||
| P/FCF | 8.68 | ||
| P/OCF | 8.29 | ||
| P/B | 11.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.19 |
EPS(TTM)5.45
EY12.44%
EPS(NY)8.14
Fwd EY18.59%
FCF(TTM)5.04
FCFY11.52%
OCF(TTM)5.28
OCFY12.06%
SpS52.91
BVpS3.84
TBVpS-14
PEG (NY)N/A
PEG (5Y)1.95
Graham Number21.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.13% | ||
| ROE | 35.42% | ||
| ROCE | 0.96% | ||
| ROIC | 0.82% | ||
| ROICexc | 0.86% | ||
| ROICexgc | 1.86% | ||
| OM | 17.41% | ||
| PM (TTM) | 2.57% | ||
| GM | 51.52% | ||
| FCFM | 9.53% |
ROA(3y)0.51%
ROA(5y)0.22%
ROE(3y)81.75%
ROE(5y)47.25%
ROIC(3y)0.99%
ROIC(5y)0.93%
ROICexc(3y)1.01%
ROICexc(5y)0.95%
ROICexgc(3y)2.3%
ROICexgc(5y)2.17%
ROCE(3y)1.15%
ROCE(5y)1.08%
ROICexgc growth 3Y0.46%
ROICexgc growth 5Y11.98%
ROICexc growth 3Y2.18%
ROICexc growth 5Y13.84%
OM growth 3Y-0.53%
OM growth 5Y12.57%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.39%
GM growth 5Y3.29%
F-Score5
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.37 | ||
| Debt/FCF | 15.3 | ||
| Debt/EBITDA | 4.24 | ||
| Cap/Depr | 8.22% | ||
| Cap/Sales | 0.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 43.67% | ||
| Profit Quality | 371.25% | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 0.19 |
F-Score5
WACC4.41%
ROIC/WACC0.19
Cap/Depr(3y)17.57%
Cap/Depr(5y)16.59%
Cap/Sales(3y)1.02%
Cap/Sales(5y)0.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.72%
EPS 3Y-3.05%
EPS 5Y4.12%
EPS Q2Q%-3.27%
EPS Next Y-1.31%
EPS Next 2Y16.89%
EPS Next 3Y17.13%
EPS Next 5Y16.18%
Revenue 1Y (TTM)-4.25%
Revenue growth 3Y3.04%
Revenue growth 5Y4.47%
Sales Q2Q%-52.86%
Revenue Next Year-4.24%
Revenue Next 2Y-0.69%
Revenue Next 3Y1.65%
Revenue Next 5Y6.11%
EBIT growth 1Y-31.71%
EBIT growth 3Y2.49%
EBIT growth 5Y17.6%
EBIT Next Year8.74%
EBIT Next 3Y14.53%
EBIT Next 5YN/A
FCF growth 1Y303.64%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y394.6%
OCF growth 3YN/A
OCF growth 5YN/A
EQUITABLE HOLDINGS INC / EQH FAQ
Can you provide the ChartMill fundamental rating for EQUITABLE HOLDINGS INC?
ChartMill assigns a fundamental rating of 4 / 10 to EQH.
What is the valuation status of EQUITABLE HOLDINGS INC (EQH) stock?
ChartMill assigns a valuation rating of 6 / 10 to EQUITABLE HOLDINGS INC (EQH). This can be considered as Fairly Valued.
Can you provide the profitability details for EQUITABLE HOLDINGS INC?
EQUITABLE HOLDINGS INC (EQH) has a profitability rating of 4 / 10.
How financially healthy is EQUITABLE HOLDINGS INC?
The financial health rating of EQUITABLE HOLDINGS INC (EQH) is 4 / 10.
Is the dividend of EQUITABLE HOLDINGS INC sustainable?
The dividend rating of EQUITABLE HOLDINGS INC (EQH) is 4 / 10 and the dividend payout ratio is 93.12%.