EDWARDS LIFESCIENCES CORP (EWL.DE) Stock Fundamental Analysis
FRA:EWL - Deutsche Boerse Ag - US28176E1082 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to EWL. EWL was compared to 58 industry peers in the Health Care Equipment & Supplies industry. EWL scores excellent points on both the profitability and health parts. This is a solid base for a good stock. While showing a medium growth rate, EWL is valued expensive at the moment. With these ratings, EWL could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
In the past year EWL was profitable.
EWL had a positive operating cash flow in the past year.
Each year in the past 5 years EWL has been profitable.
In the past 5 years EWL always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 32.10%, EWL belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
EWL has a Return On Equity of 41.28%. This is amongst the best in the industry. EWL outperforms 98.28% of its industry peers.
EWL's Return On Invested Capital of 9.29% is fine compared to the rest of the industry. EWL outperforms 79.31% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EWL is above the industry average of 8.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 32.1% | ||
| ROE | 41.28% | ||
| ROIC | 9.29% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)12.44%
ROIC(5y)13.58%
1.3 Margins
EWL has a better Profit Margin (75.48%) than 100.00% of its industry peers.
EWL's Profit Margin has improved in the last couple of years.
The Operating Margin of EWL (27.71%) is better than 94.83% of its industry peers.
EWL's Operating Margin has been stable in the last couple of years.
EWL has a better Gross Margin (79.38%) than 87.93% of its industry peers.
EWL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.71% | ||
| PM (TTM) | 75.48% | ||
| GM | 79.38% |
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), EWL is creating some value.
Compared to 1 year ago, EWL has less shares outstanding
The number of shares outstanding for EWL has been reduced compared to 5 years ago.
Compared to 1 year ago, EWL has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 12.06 indicates that EWL is not in any danger for bankruptcy at the moment.
EWL has a better Altman-Z score (12.06) than 94.83% of its industry peers.
EWL has a debt to FCF ratio of 0.96. This is a very positive value and a sign of high solvency as it would only need 0.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.96, EWL belongs to the top of the industry, outperforming 91.38% of the companies in the same industry.
EWL has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
EWL has a better Debt to Equity ratio (0.06) than 89.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.96 | ||
| Altman-Z | 12.06 |
ROIC/WACC1.05
WACC8.89%
2.3 Liquidity
A Current Ratio of 4.45 indicates that EWL has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.45, EWL belongs to the top of the industry, outperforming 91.38% of the companies in the same industry.
EWL has a Quick Ratio of 3.66. This indicates that EWL is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of EWL (3.66) is better than 91.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.45 | ||
| Quick Ratio | 3.66 |
3. Growth
3.1 Past
EWL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.96%.
The Earnings Per Share has been growing slightly by 7.13% on average over the past years.
Looking at the last year, EWL shows a decrease in Revenue. The Revenue has decreased by -6.00% in the last year.
EWL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.58% yearly.
EPS 1Y (TTM)1.96%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-3.03%
Revenue 1Y (TTM)-6%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-11.61%
3.2 Future
EWL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.07% yearly.
The Revenue is expected to grow by 8.27% on average over the next years. This is quite good.
EPS Next Y-2.49%
EPS Next 2Y4.29%
EPS Next 3Y6.72%
EPS Next 5Y9.07%
Revenue Next Year2.36%
Revenue Next 2Y5.89%
Revenue Next 3Y7.35%
Revenue Next 5Y8.27%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
EWL is valuated quite expensively with a Price/Earnings ratio of 29.56.
Compared to the rest of the industry, the Price/Earnings ratio of EWL indicates a somewhat cheap valuation: EWL is cheaper than 68.97% of the companies listed in the same industry.
EWL is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.45, which is the current average of the S&P500 Index.
EWL is valuated quite expensively with a Price/Forward Earnings ratio of 26.97.
The rest of the industry has a similar Price/Forward Earnings ratio as EWL.
EWL's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.56 | ||
| Fwd PE | 26.97 |
4.2 Price Multiples
EWL's Enterprise Value to EBITDA ratio is in line with the industry average.
EWL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 72.37 | ||
| EV/EBITDA | 24.31 |
4.3 Compensation for Growth
The excellent profitability rating of EWL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)4.15
EPS Next 2Y4.29%
EPS Next 3Y6.72%
5. Dividend
5.1 Amount
No dividends for EWL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:EWL (7/3/2025, 7:00:00 PM)
65.33
+0.52 (+0.8%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners89.36%
Inst Owner ChangeN/A
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap38.32B
Analysts74.15
Price Target71.74 (9.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.76%
Min EPS beat(2)3.4%
Max EPS beat(2)4.11%
EPS beat(4)3
Avg EPS beat(4)1.75%
Min EPS beat(4)-2.08%
Max EPS beat(4)4.11%
EPS beat(8)3
Avg EPS beat(8)-0.01%
EPS beat(12)4
Avg EPS beat(12)-0.74%
EPS beat(16)6
Avg EPS beat(16)-0.44%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-2.1%
Max Revenue beat(2)-0.87%
Revenue beat(4)0
Avg Revenue beat(4)-5.21%
Min Revenue beat(4)-13.79%
Max Revenue beat(4)-0.87%
Revenue beat(8)0
Avg Revenue beat(8)-3.29%
Revenue beat(12)1
Avg Revenue beat(12)-2.9%
Revenue beat(16)2
Avg Revenue beat(16)-2.48%
PT rev (1m)-1.13%
PT rev (3m)-0.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.82%
EPS NY rev (1m)0.07%
EPS NY rev (3m)0.75%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.56 | ||
| Fwd PE | 26.97 | ||
| P/S | 8.14 | ||
| P/FCF | 72.37 | ||
| P/OCF | 51.47 | ||
| P/B | 4.45 | ||
| P/tB | 6.28 | ||
| EV/EBITDA | 24.31 |
EPS(TTM)2.21
EY3.38%
EPS(NY)2.42
Fwd EY3.71%
FCF(TTM)0.9
FCFY1.38%
OCF(TTM)1.27
OCFY1.94%
SpS8.02
BVpS14.67
TBVpS10.39
PEG (NY)N/A
PEG (5Y)4.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 32.1% | ||
| ROE | 41.28% | ||
| ROCE | 13.2% | ||
| ROIC | 9.29% | ||
| ROICexc | 13.98% | ||
| ROICexgc | 22.62% | ||
| OM | 27.71% | ||
| PM (TTM) | 75.48% | ||
| GM | 79.38% | ||
| FCFM | 11.25% |
ROA(3y)21.77%
ROA(5y)18.87%
ROE(3y)29.68%
ROE(5y)26.56%
ROIC(3y)12.44%
ROIC(5y)13.58%
ROICexc(3y)16.13%
ROICexc(5y)17.4%
ROICexgc(3y)22.87%
ROICexgc(5y)24.4%
ROCE(3y)17.66%
ROCE(5y)19.29%
ROICexcg growth 3Y-5.47%
ROICexcg growth 5Y-8.01%
ROICexc growth 3Y-11.82%
ROICexc growth 5Y-8.6%
OM growth 3Y-5.94%
OM growth 5Y-1.04%
PM growth 3Y38.76%
PM growth 5Y26.09%
GM growth 3Y1.43%
GM growth 5Y1.33%
F-Score7
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.96 | ||
| Debt/EBITDA | 0.35 | ||
| Cap/Depr | 165.1% | ||
| Cap/Sales | 4.57% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.91% | ||
| Profit Quality | 14.9% | ||
| Current Ratio | 4.45 | ||
| Quick Ratio | 3.66 | ||
| Altman-Z | 12.06 |
F-Score7
WACC8.89%
ROIC/WACC1.05
Cap/Depr(3y)185.14%
Cap/Depr(5y)236.01%
Cap/Sales(3y)5.48%
Cap/Sales(5y)6.41%
Profit Quality(3y)37.92%
Profit Quality(5y)57.13%
High Growth Momentum
Growth
EPS 1Y (TTM)1.96%
EPS 3Y5.52%
EPS 5Y7.13%
EPS Q2Q%-3.03%
EPS Next Y-2.49%
EPS Next 2Y4.29%
EPS Next 3Y6.72%
EPS Next 5Y9.07%
Revenue 1Y (TTM)-6%
Revenue growth 3Y1.3%
Revenue growth 5Y4.58%
Sales Q2Q%-11.61%
Revenue Next Year2.36%
Revenue Next 2Y5.89%
Revenue Next 3Y7.35%
Revenue Next 5Y8.27%
EBIT growth 1Y-8.81%
EBIT growth 3Y-4.72%
EBIT growth 5Y3.49%
EBIT Next Year8.84%
EBIT Next 3Y11%
EBIT Next 5Y11.13%
FCF growth 1Y-36.77%
FCF growth 3Y-42.99%
FCF growth 5Y-22.01%
OCF growth 1Y-29.28%
OCF growth 3Y-32.1%
OCF growth 5Y-14.39%