FACTSET RESEARCH SYSTEMS INC (FDS) Stock Fundamental Analysis
USA - NYSE:FDS - US3030751057 - Common Stock
286.67 USD
+8.66 (+3.11%)
286.67 USD
0 (0%)
FDS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. While FDS has a great profitability rating, there are some minor concerns on its financial health. FDS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
FDS had positive earnings in the past year.
In the past year FDS had a positive cash flow from operations.
Each year in the past 5 years FDS has been profitable.
FDS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FDS has a better Return On Assets (13.87%) than 94.94% of its industry peers.
The Return On Equity of FDS (27.31%) is better than 93.25% of its industry peers.
FDS has a Return On Invested Capital of 16.34%. This is amongst the best in the industry. FDS outperforms 91.98% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FDS is significantly above the industry average of 7.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.87% | ||
| ROE | 27.31% | ||
| ROIC | 16.34% |
ROA(3y)12.98%
ROA(5y)13.36%
ROE(3y)28.1%
ROE(5y)30.68%
ROIC(3y)16.37%
ROIC(5y)16.42%
1.3 Margins
FDS's Profit Margin of 25.72% is fine compared to the rest of the industry. FDS outperforms 66.24% of its industry peers.
FDS's Profit Margin has been stable in the last couple of years.
FDS has a Operating Margin of 32.23%. This is comparable to the rest of the industry: FDS outperforms 59.07% of its industry peers.
In the last couple of years the Operating Margin of FDS has grown nicely.
With a decent Gross Margin value of 52.72%, FDS is doing good in the industry, outperforming 62.45% of the companies in the same industry.
FDS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.23% | ||
| PM (TTM) | 25.72% | ||
| GM | 52.72% |
OM growth 3Y3.26%
OM growth 5Y1.84%
PM growth 3Y6.11%
PM growth 5Y0.6%
GM growth 3Y-0.03%
GM growth 5Y-0.28%
2. Health
2.1 Basic Checks
FDS has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FDS has less shares outstanding
The debt/assets ratio for FDS has been reduced compared to a year ago.
2.2 Solvency
FDS has a debt to FCF ratio of 2.22. This is a good value and a sign of high solvency as FDS would need 2.22 years to pay back of all of its debts.
The Debt to FCF ratio of FDS (2.22) is better than 86.50% of its industry peers.
FDS has a Debt/Equity ratio of 0.63. This is a neutral value indicating FDS is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.63, FDS is in the better half of the industry, outperforming 61.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 2.22 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.40 indicates that FDS should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.40, FDS is in the better half of the industry, outperforming 62.87% of the companies in the same industry.
FDS has a Quick Ratio of 1.40. This is a normal value and indicates that FDS is financially healthy and should not expect problems in meeting its short term obligations.
FDS's Quick ratio of 1.40 is fine compared to the rest of the industry. FDS outperforms 63.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
FDS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.16%.
The Earnings Per Share has been growing by 9.32% on average over the past years. This is quite good.
Looking at the last year, FDS shows a small growth in Revenue. The Revenue has grown by 5.39% in the last year.
The Revenue has been growing by 9.22% on average over the past years. This is quite good.
EPS 1Y (TTM)3.16%
EPS 3Y8.16%
EPS 5Y9.32%
EPS Q2Q%8.29%
Revenue 1Y (TTM)5.39%
Revenue growth 3Y7.98%
Revenue growth 5Y9.22%
Sales Q2Q%6.17%
3.2 Future
FDS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.19% yearly.
FDS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.45% yearly.
EPS Next Y5.13%
EPS Next 2Y6.49%
EPS Next 3Y6.55%
EPS Next 5Y8.19%
Revenue Next Year5.3%
Revenue Next 2Y5.37%
Revenue Next 3Y5.42%
Revenue Next 5Y5.45%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 16.89, the valuation of FDS can be described as correct.
The rest of the industry has a similar Price/Earnings ratio as FDS.
FDS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.40.
Based on the Price/Forward Earnings ratio of 16.07, the valuation of FDS can be described as correct.
FDS's Price/Forward Earnings ratio is in line with the industry average.
FDS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.89 | ||
| Fwd PE | 16.07 |
4.2 Price Multiples
83.97% of the companies in the same industry are more expensive than FDS, based on the Enterprise Value to EBITDA ratio.
60.76% of the companies in the same industry are more expensive than FDS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.55 | ||
| EV/EBITDA | 12.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of FDS may justify a higher PE ratio.
PEG (NY)3.29
PEG (5Y)1.81
EPS Next 2Y6.49%
EPS Next 3Y6.55%
5. Dividend
5.1 Amount
FDS has a Yearly Dividend Yield of 1.58%.
The stock price of FDS dropped by -33.69% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
FDS's Dividend Yield is slightly below the industry average, which is at 8.24.
FDS's Dividend Yield is slightly below the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
On average, the dividend of FDS grows each year by 7.80%, which is quite nice.
FDS has been paying a dividend for at least 10 years, so it has a reliable track record.
FDS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.8%
Div Incr Years25
Div Non Decr Years25
5.3 Sustainability
26.79% of the earnings are spent on dividend by FDS. This is a low number and sustainable payout ratio.
FDS's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP26.79%
EPS Next 2Y6.49%
EPS Next 3Y6.55%
286.67
+8.66 (+3.11%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners95.79%
Inst Owner Change0.25%
Ins Owners0.21%
Ins Owner Change2.4%
Market Cap10.84B
Analysts52.14
Price Target355.92 (24.16%)
Short Float %4.63%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend4.22
Dividend Growth(5Y)7.8%
DP26.79%
Div Incr Years25
Div Non Decr Years25
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.21%
Min EPS beat(2)-2.87%
Max EPS beat(2)-1.55%
EPS beat(4)2
Avg EPS beat(4)-0.29%
Min EPS beat(4)-2.87%
Max EPS beat(4)1.83%
EPS beat(8)5
Avg EPS beat(8)2.35%
EPS beat(12)8
Avg EPS beat(12)1.43%
EPS beat(16)11
Avg EPS beat(16)2.83%
Revenue beat(2)0
Avg Revenue beat(2)-0.27%
Min Revenue beat(2)-0.42%
Max Revenue beat(2)-0.13%
Revenue beat(4)0
Avg Revenue beat(4)-0.48%
Min Revenue beat(4)-0.98%
Max Revenue beat(4)-0.13%
Revenue beat(8)1
Avg Revenue beat(8)-0.36%
Revenue beat(12)1
Avg Revenue beat(12)-0.62%
Revenue beat(16)5
Avg Revenue beat(16)-0.25%
PT rev (1m)-19.98%
PT rev (3m)-20.92%
EPS NQ rev (1m)-3.72%
EPS NQ rev (3m)-4.5%
EPS NY rev (1m)-3.5%
EPS NY rev (3m)-3.96%
Revenue NQ rev (1m)-0.44%
Revenue NQ rev (3m)-0.44%
Revenue NY rev (1m)-0.4%
Revenue NY rev (3m)-0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.89 | ||
| Fwd PE | 16.07 | ||
| P/S | 4.67 | ||
| P/FCF | 17.55 | ||
| P/OCF | 14.92 | ||
| P/B | 4.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.28 |
EPS(TTM)16.97
EY5.92%
EPS(NY)17.84
Fwd EY6.22%
FCF(TTM)16.33
FCFY5.7%
OCF(TTM)19.21
OCFY6.7%
SpS61.41
BVpS57.83
TBVpS-26.83
PEG (NY)3.29
PEG (5Y)1.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.87% | ||
| ROE | 27.31% | ||
| ROCE | 19.78% | ||
| ROIC | 16.34% | ||
| ROICexc | 18.04% | ||
| ROICexgc | 272.31% | ||
| OM | 32.23% | ||
| PM (TTM) | 25.72% | ||
| GM | 52.72% | ||
| FCFM | 26.59% |
ROA(3y)12.98%
ROA(5y)13.36%
ROE(3y)28.1%
ROE(5y)30.68%
ROIC(3y)16.37%
ROIC(5y)16.42%
ROICexc(3y)18.7%
ROICexc(5y)20.73%
ROICexgc(3y)690.47%
ROICexgc(5y)490.38%
ROCE(3y)19.82%
ROCE(5y)19.87%
ROICexcg growth 3Y2.77%
ROICexcg growth 5Y22.71%
ROICexc growth 3Y7.12%
ROICexc growth 5Y-9.81%
OM growth 3Y3.26%
OM growth 5Y1.84%
PM growth 3Y6.11%
PM growth 5Y0.6%
GM growth 3Y-0.03%
GM growth 5Y-0.28%
F-Score6
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 2.22 | ||
| Debt/EBITDA | 1.46 | ||
| Cap/Depr | 57.67% | ||
| Cap/Sales | 4.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.51% | ||
| Profit Quality | 103.42% | ||
| Current Ratio | 1.4 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | N/A |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)52.29%
Cap/Depr(5y)50.69%
Cap/Sales(3y)3.83%
Cap/Sales(5y)3.62%
Profit Quality(3y)114.25%
Profit Quality(5y)117.82%
High Growth Momentum
Growth
EPS 1Y (TTM)3.16%
EPS 3Y8.16%
EPS 5Y9.32%
EPS Q2Q%8.29%
EPS Next Y5.13%
EPS Next 2Y6.49%
EPS Next 3Y6.55%
EPS Next 5Y8.19%
Revenue 1Y (TTM)5.39%
Revenue growth 3Y7.98%
Revenue growth 5Y9.22%
Sales Q2Q%6.17%
Revenue Next Year5.3%
Revenue Next 2Y5.37%
Revenue Next 3Y5.42%
Revenue Next 5Y5.45%
EBIT growth 1Y6%
EBIT growth 3Y11.5%
EBIT growth 5Y11.22%
EBIT Next Year12.71%
EBIT Next 3Y7.32%
EBIT Next 5Y8.99%
FCF growth 1Y0.46%
FCF growth 3Y8.22%
FCF growth 5Y7.59%
OCF growth 1Y3.7%
OCF growth 3Y10.5%
OCF growth 5Y7.5%