F5 INC (FFIV)
US3156161024 - Common Stock
Overall FFIV gets a fundamental rating of 7 out of 10. We evaluated FFIV against 51 industry peers in the Communications Equipment industry. FFIV has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. FFIV has a correct valuation and a medium growth rate. These ratings would make FFIV suitable for quality investing!
1. Profitability
1.1 Basic Checks
FFIV had positive earnings in the past year.
FFIV had a positive operating cash flow in the past year.
In the past 5 years FFIV has always been profitable.
FFIV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FFIV has a Return On Assets of 10.10%. This is amongst the best in the industry. FFIV outperforms 88.24% of its industry peers.
Looking at the Return On Equity, with a value of 18.11%, FFIV belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
FFIV has a Return On Invested Capital of 13.17%. This is amongst the best in the industry. FFIV outperforms 88.24% of its industry peers.
FFIV had an Average Return On Invested Capital over the past 3 years of 11.56%. This is in line with the industry average of 11.02%.
The 3 year average ROIC (11.56%) for FFIV is below the current ROIC(13.17%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 18.11% | ||
| ROIC | 13.17% |
ROA(3y)7.91%
ROA(5y)7.39%
ROE(3y)15.09%
ROE(5y)14.61%
ROIC(3y)11.56%
ROIC(5y)10.98%
1.3 Margins
FFIV has a Profit Margin of 20.13%. This is amongst the best in the industry. FFIV outperforms 98.04% of its industry peers.
FFIV's Profit Margin has been stable in the last couple of years.
FFIV has a Operating Margin of 23.69%. This is amongst the best in the industry. FFIV outperforms 94.12% of its industry peers.
FFIV's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 80.20%, FFIV belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
FFIV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.69% | ||
| PM (TTM) | 20.13% | ||
| GM | 80.2% |
OM growth 3Y11.57%
OM growth 5Y0.25%
PM growth 3Y16.52%
PM growth 5Y1.08%
GM growth 3Y-0.45%
GM growth 5Y-0.95%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FFIV is creating some value.
The number of shares outstanding for FFIV has been reduced compared to 1 year ago.
Compared to 5 years ago, FFIV has less shares outstanding
There is no outstanding debt for FFIV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
FFIV has an Altman-Z score of 5.38. This indicates that FFIV is financially healthy and has little risk of bankruptcy at the moment.
FFIV has a better Altman-Z score (5.38) than 86.27% of its industry peers.
FFIV has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.38 |
ROIC/WACC1.4
WACC9.38%
2.3 Liquidity
A Current Ratio of 1.42 indicates that FFIV should not have too much problems paying its short term obligations.
With a Current ratio value of 1.42, FFIV is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
A Quick Ratio of 1.36 indicates that FFIV should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.36, FFIV is in line with its industry, outperforming 49.02% of the companies in the same industry.
FFIV does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
FFIV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.18%, which is quite good.
The Earnings Per Share has been growing slightly by 5.19% on average over the past years.
Looking at the last year, FFIV shows a small growth in Revenue. The Revenue has grown by 0.10% in the last year.
The Revenue has been growing slightly by 4.66% on average over the past years.
EPS 1Y (TTM)14.18%
EPS 3Y7.18%
EPS 5Y5.19%
EPS Q2Q%4.86%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y2.65%
Revenue growth 5Y4.66%
Sales Q2Q%5.62%
3.2 Future
The Earnings Per Share is expected to grow by 9.22% on average over the next years. This is quite good.
FFIV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.40% yearly.
EPS Next Y8.86%
EPS Next 2Y8.38%
EPS Next 3Y8.08%
EPS Next 5Y9.22%
Revenue Next Year5.29%
Revenue Next 2Y4.54%
Revenue Next 3Y4.22%
Revenue Next 5Y5.4%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 18.87, which indicates a rather expensive current valuation of FFIV.
78.43% of the companies in the same industry are more expensive than FFIV, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of FFIV to the average of the S&P500 Index (27.20), we can say FFIV is valued slightly cheaper.
A Price/Forward Earnings ratio of 17.33 indicates a rather expensive valuation of FFIV.
68.63% of the companies in the same industry are more expensive than FFIV, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.73, FFIV is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.87 | ||
| Fwd PE | 17.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FFIV is valued a bit cheaper than the industry average as 68.63% of the companies are valued more expensively.
FFIV's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FFIV is cheaper than 74.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.4 | ||
| EV/EBITDA | 17.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FFIV does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of FFIV may justify a higher PE ratio.
PEG (NY)2.13
PEG (5Y)3.63
EPS Next 2Y8.38%
EPS Next 3Y8.08%
5. Dividend
5.1 Amount
No dividends for FFIV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
F5 INC
NASDAQ:FFIV (12/20/2024, 8:10:47 PM)
After market: 252.247 0 (0%)252.25
+1.84 (+0.73%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners100.9%
Inst Owner Change-1.29%
Ins Owners0.56%
Ins Owner Change8.3%
Market Cap14.78B
Analysts54.74
Price Target242.51 (-3.86%)
Short Float %3.7%
Short Ratio3.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/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)7.59%
Min EPS beat(2)4.33%
Max EPS beat(2)10.85%
EPS beat(4)3
Avg EPS beat(4)6.36%
Min EPS beat(4)-0.43%
Max EPS beat(4)10.85%
EPS beat(8)7
Avg EPS beat(8)6.11%
EPS beat(12)11
Avg EPS beat(12)5.77%
EPS beat(16)15
Avg EPS beat(16)5.74%
Revenue beat(2)1
Avg Revenue beat(2)-0.2%
Min Revenue beat(2)-0.61%
Max Revenue beat(2)0.2%
Revenue beat(4)1
Avg Revenue beat(4)-0.97%
Min Revenue beat(4)-2.53%
Max Revenue beat(4)0.2%
Revenue beat(8)1
Avg Revenue beat(8)-1.24%
Revenue beat(12)1
Avg Revenue beat(12)-1.17%
Revenue beat(16)2
Avg Revenue beat(16)-1.06%
PT rev (1m)17.11%
PT rev (3m)18.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.45%
EPS NY rev (1m)0%
EPS NY rev (3m)0.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.87 | ||
| Fwd PE | 17.33 | ||
| P/S | 5.25 | ||
| P/FCF | 19.4 | ||
| P/OCF | 18.66 | ||
| P/B | 4.72 | ||
| P/tB | 20.96 | ||
| EV/EBITDA | 17.71 |
EPS(TTM)13.37
EY5.3%
EPS(NY)14.55
Fwd EY5.77%
FCF(TTM)13
FCFY5.15%
OCF(TTM)13.52
OCFY5.36%
SpS48.05
BVpS53.39
TBVpS12.04
PEG (NY)2.13
PEG (5Y)3.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 18.11% | ||
| ROCE | 16.18% | ||
| ROIC | 13.17% | ||
| ROICexc | 17.81% | ||
| ROICexgc | 86.91% | ||
| OM | 23.69% | ||
| PM (TTM) | 20.13% | ||
| GM | 80.2% | ||
| FCFM | 27.06% |
ROA(3y)7.91%
ROA(5y)7.39%
ROE(3y)15.09%
ROE(5y)14.61%
ROIC(3y)11.56%
ROIC(5y)10.98%
ROICexc(3y)15.29%
ROICexc(5y)15.03%
ROICexgc(3y)179.61%
ROICexgc(5y)210.71%
ROCE(3y)14.2%
ROCE(5y)13.49%
ROICexcg growth 3Y-16.59%
ROICexcg growth 5Y-22.41%
ROICexc growth 3Y9.92%
ROICexc growth 5Y-11.36%
OM growth 3Y11.57%
OM growth 5Y0.25%
PM growth 3Y16.52%
PM growth 5Y1.08%
GM growth 3Y-0.45%
GM growth 5Y-0.95%
F-Score8
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 28.42% | ||
| Cap/Sales | 1.08% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 102.35% | ||
| Profit Quality | 134.45% | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 5.38 |
F-Score8
WACC9.38%
ROIC/WACC1.4
Cap/Depr(3y)35.19%
Cap/Depr(5y)38.93%
Cap/Sales(3y)1.42%
Cap/Sales(5y)1.6%
Profit Quality(3y)137.71%
Profit Quality(5y)158.83%
High Growth Momentum
Growth
EPS 1Y (TTM)14.18%
EPS 3Y7.18%
EPS 5Y5.19%
EPS Q2Q%4.86%
EPS Next Y8.86%
EPS Next 2Y8.38%
EPS Next 3Y8.08%
EPS Next 5Y9.22%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y2.65%
Revenue growth 5Y4.66%
Sales Q2Q%5.62%
Revenue Next Year5.29%
Revenue Next 2Y4.54%
Revenue Next 3Y4.22%
Revenue Next 5Y5.4%
EBIT growth 1Y24.07%
EBIT growth 3Y14.53%
EBIT growth 5Y4.92%
EBIT Next Year18.14%
EBIT Next 3Y7.43%
EBIT Next 5YN/A
FCF growth 1Y27.17%
FCF growth 3Y7.43%
FCF growth 5Y3.41%
OCF growth 1Y21.28%
OCF growth 3Y7.09%
OCF growth 5Y1.17%