718.99 USD
+10.14 (+1.43%)
718.99 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to ESLT. ESLT was compared to 73 industry peers in the Aerospace & Defense industry. ESLT has an average financial health and profitability rating. ESLT is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
- In the past year ESLT was profitable.
- In the past year ESLT had a positive cash flow from operations.
- ESLT had positive earnings in each of the past 5 years.
- In the past 5 years ESLT always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.71%, ESLT is in line with its industry, outperforming 58.90% of the companies in the same industry.
- ESLT's Return On Equity of 11.37% is fine compared to the rest of the industry. ESLT outperforms 72.60% of its industry peers.
- With a decent Return On Invested Capital value of 8.13%, ESLT is doing good in the industry, outperforming 69.86% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for ESLT is below the industry average of 8.56%.
- The last Return On Invested Capital (8.13%) for ESLT is above the 3 year average (6.54%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.71% | ||
| ROE | 11.37% | ||
| ROIC | 8.13% |
ROA(3y)2.71%
ROA(5y)2.73%
ROE(3y)9.03%
ROE(5y)9.45%
ROIC(3y)6.54%
ROIC(5y)6.55%
1.3 Margins
- Looking at the Profit Margin, with a value of 5.91%, ESLT is in the better half of the industry, outperforming 63.01% of the companies in the same industry.
- ESLT's Profit Margin has been stable in the last couple of years.
- Looking at the Operating Margin, with a value of 8.04%, ESLT is in line with its industry, outperforming 53.42% of the companies in the same industry.
- In the last couple of years the Operating Margin of ESLT has remained more or less at the same level.
- The Gross Margin of ESLT (24.23%) is comparable to the rest of the industry.
- ESLT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.04% | ||
| PM (TTM) | 5.91% | ||
| GM | 24.23% |
OM growth 3Y-3.33%
OM growth 5Y0.08%
PM growth 3Y1.23%
PM growth 5Y-1.43%
GM growth 3Y-2.23%
GM growth 5Y-0.94%
2. Health
2.1 Basic Checks
- ESLT 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, ESLT has more shares outstanding
- ESLT has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, ESLT has an improved debt to assets ratio.
2.2 Solvency
- The Debt to FCF ratio of ESLT is 0.68, which is an excellent value as it means it would take ESLT, only 0.68 years of fcf income to pay off all of its debts.
- ESLT has a better Debt to FCF ratio (0.68) than 97.26% of its industry peers.
- A Debt/Equity ratio of 0.10 indicates that ESLT is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.10, ESLT is doing good in the industry, outperforming 79.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 0.68 | ||
| Altman-Z | N/A |
ROIC/WACC0.83
WACC9.77%
2.3 Liquidity
- ESLT has a Current Ratio of 1.32. This is a normal value and indicates that ESLT is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.32, ESLT is not doing good in the industry: 76.71% of the companies in the same industry are doing better.
- ESLT has a Quick Ratio of 1.32. This is a bad value and indicates that ESLT is not financially healthy enough and could expect problems in meeting its short term obligations.
- ESLT's Quick ratio of 0.76 is on the low side compared to the rest of the industry. ESLT is outperformed by 82.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 54.18% over the past year.
- The Earnings Per Share has been growing slightly by 6.67% on average over the past years.
- ESLT shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.35%.
- ESLT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.66% yearly.
EPS 1Y (TTM)54.18%
EPS 3Y1.86%
EPS 5Y6.67%
EPS Q2Q%51.58%
Revenue 1Y (TTM)18.35%
Revenue growth 3Y8.96%
Revenue growth 5Y8.66%
Sales Q2Q%11.88%
3.2 Future
- ESLT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.73% yearly.
- Based on estimates for the next years, ESLT will show a quite strong growth in Revenue. The Revenue will grow by 12.56% on average per year.
EPS Next Y33.34%
EPS Next 2Y27.24%
EPS Next 3Y22.73%
EPS Next 5YN/A
Revenue Next Year18.16%
Revenue Next 2Y14.49%
Revenue Next 3Y12.56%
Revenue Next 5YN/A
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 60.88, ESLT can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as ESLT.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, ESLT is valued quite expensively.
- ESLT is valuated quite expensively with a Price/Forward Earnings ratio of 50.70.
- ESLT's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 24.26. ESLT is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.88 | ||
| Fwd PE | 50.7 |
4.2 Price Multiples
- ESLT's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, ESLT is valued a bit cheaper than 72.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.27 | ||
| EV/EBITDA | 40.33 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- ESLT has a very decent profitability rating, which may justify a higher PE ratio.
- ESLT's earnings are expected to grow with 22.73% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.83
PEG (5Y)9.12
EPS Next 2Y27.24%
EPS Next 3Y22.73%
5. Dividend
5.1 Amount
- ESLT has a yearly dividend return of 0.38%, which is pretty low.
- ESLT's Dividend Yield is a higher than the industry average which is at 0.34.
- Compared to an average S&P500 Dividend Yield of 1.82, ESLT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
5.2 History
- The dividend of ESLT has a limited annual growth rate of 2.56%.
- ESLT has paid a dividend for at least 10 years, which is a reliable track record.
- ESLT has decreased its dividend recently.
Dividend Growth(5Y)2.56%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
- ESLT pays out 21.73% of its income as dividend. This is a sustainable payout ratio.
- The dividend of ESLT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP21.73%
EPS Next 2Y27.24%
EPS Next 3Y22.73%
ELBIT SYSTEMS LTD / ESLT FAQ
Can you provide the ChartMill fundamental rating for ELBIT SYSTEMS LTD?
ChartMill assigns a fundamental rating of 5 / 10 to ESLT.
What is the valuation status for ESLT stock?
ChartMill assigns a valuation rating of 3 / 10 to ELBIT SYSTEMS LTD (ESLT). This can be considered as Overvalued.
How profitable is ELBIT SYSTEMS LTD (ESLT) stock?
ELBIT SYSTEMS LTD (ESLT) has a profitability rating of 6 / 10.
What is the expected EPS growth for ELBIT SYSTEMS LTD (ESLT) stock?
The Earnings per Share (EPS) of ELBIT SYSTEMS LTD (ESLT) is expected to grow by 33.34% in the next year.
How sustainable is the dividend of ELBIT SYSTEMS LTD (ESLT) stock?
The dividend rating of ELBIT SYSTEMS LTD (ESLT) is 5 / 10 and the dividend payout ratio is 21.73%.