256.91 USD
-2.2 (-0.85%)
258 USD
+1.09 (+0.42%)
FFIV gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 48 industry peers in the Communications Equipment industry. FFIV scores excellent points on both the profitability and health parts. This is a solid base for a good stock. FFIV is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FFIV was profitable.
In the past year FFIV had a positive cash flow from operations.
Each year in the past 5 years FFIV has been profitable.
In the past 5 years FFIV always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FFIV (10.96%) is better than 87.50% of its industry peers.
The Return On Equity of FFIV (19.28%) is better than 85.42% of its industry peers.
The Return On Invested Capital of FFIV (14.05%) is better than 87.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FFIV is in line with the industry average of 12.35%.
The 3 year average ROIC (13.16%) for FFIV is below the current ROIC(14.05%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.96% | ||
| ROE | 19.28% | ||
| ROIC | 14.05% |
ROA(3y)9.53%
ROA(5y)8.26%
ROE(3y)17.16%
ROE(5y)15.71%
ROIC(3y)13.16%
ROIC(5y)11.99%
1.3 Margins
FFIV has a better Profit Margin (22.42%) than 95.83% of its industry peers.
FFIV's Profit Margin has improved in the last couple of years.
FFIV's Operating Margin of 25.63% is amongst the best of the industry. FFIV outperforms 95.83% of its industry peers.
In the last couple of years the Operating Margin of FFIV has grown nicely.
Looking at the Gross Margin, with a value of 81.41%, FFIV belongs to the top of the industry, outperforming 97.92% of the companies in the same industry.
In the last couple of years the Gross Margin of FFIV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.63% | ||
| PM (TTM) | 22.42% | ||
| GM | 81.41% |
OM growth 3Y18.24%
OM growth 5Y7.22%
PM growth 3Y23.33%
PM growth 5Y11.39%
GM growth 3Y0.59%
GM growth 5Y-0.3%
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.
Compared to 1 year ago, FFIV has less shares outstanding
FFIV has less shares outstanding than it did 5 years ago.
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
An Altman-Z score of 5.15 indicates that FFIV is not in any danger for bankruptcy at the moment.
FFIV has a better Altman-Z score (5.15) than 79.17% 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 | 5.15 |
ROIC/WACC1.49
WACC9.4%
2.3 Liquidity
A Current Ratio of 1.56 indicates that FFIV should not have too much problems paying its short term obligations.
FFIV has a worse Current ratio (1.56) than 70.83% of its industry peers.
FFIV has a Quick Ratio of 1.51. This is a normal value and indicates that FFIV is financially healthy and should not expect problems in meeting its short term obligations.
FFIV's Quick ratio of 1.51 is in line compared to the rest of the industry. FFIV outperforms 47.92% of its industry peers.
The current and quick ratio evaluation for FFIV is rather negative, while it does have 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 | 1.56 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
FFIV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.25%, which is quite good.
FFIV shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.98% yearly.
Looking at the last year, FFIV shows a quite strong growth in Revenue. The Revenue has grown by 9.66% in the last year.
The Revenue has been growing slightly by 5.61% on average over the past years.
EPS 1Y (TTM)18.25%
EPS 3Y15.69%
EPS 5Y10.98%
EPS Q2Q%19.62%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y4.63%
Revenue growth 5Y5.61%
Sales Q2Q%8.49%
3.2 Future
The Earnings Per Share is expected to grow by 5.49% on average over the next years.
Based on estimates for the next years, FFIV will show a small growth in Revenue. The Revenue will grow by 3.83% on average per year.
EPS Next Y-3.04%
EPS Next 2Y2.23%
EPS Next 3Y3.43%
EPS Next 5Y5.49%
Revenue Next Year2.42%
Revenue Next 2Y3.23%
Revenue Next 3Y3.12%
Revenue Next 5Y3.83%
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 decreasing.
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
The Price/Earnings ratio is 16.25, which indicates a correct valuation of FFIV.
Based on the Price/Earnings ratio, FFIV is valued a bit cheaper than 79.17% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.39, FFIV is valued a bit cheaper.
With a Price/Forward Earnings ratio of 16.76, FFIV is valued correctly.
Based on the Price/Forward Earnings ratio, FFIV is valued a bit cheaper than the industry average as 72.92% of the companies are valued more expensively.
FFIV is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.84, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 16.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FFIV is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FFIV indicates a somewhat cheap valuation: FFIV is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.46 | ||
| EV/EBITDA | 15.36 |
4.3 Compensation for Growth
FFIV has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.48
EPS Next 2Y2.23%
EPS Next 3Y3.43%
5. Dividend
5.1 Amount
FFIV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
256.91
-2.2 (-0.85%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners100.82%
Inst Owner Change1.16%
Ins Owners0.61%
Ins Owner Change5.78%
Market Cap14.92B
Revenue(TTM)3.09B
Net Income(TTM)692.38M
Analysts55.79
Price Target302.03 (17.56%)
Short Float %5.65%
Short Ratio2.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)12.48%
Min EPS beat(2)8.46%
Max EPS beat(2)16.51%
EPS beat(4)4
Avg EPS beat(4)11.26%
Min EPS beat(4)8.01%
Max EPS beat(4)16.51%
EPS beat(8)7
Avg EPS beat(8)8.81%
EPS beat(12)11
Avg EPS beat(12)7.83%
EPS beat(16)15
Avg EPS beat(16)7.14%
Revenue beat(2)2
Avg Revenue beat(2)0.54%
Min Revenue beat(2)0.1%
Max Revenue beat(2)0.97%
Revenue beat(4)3
Avg Revenue beat(4)1.45%
Min Revenue beat(4)-0.29%
Max Revenue beat(4)5.04%
Revenue beat(8)4
Avg Revenue beat(8)0.24%
Revenue beat(12)4
Avg Revenue beat(12)-0.34%
Revenue beat(16)4
Avg Revenue beat(16)-0.52%
PT rev (1m)-3.48%
PT rev (3m)-9.68%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-9.57%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.52%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.48%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-2.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 16.76 | ||
| P/S | 4.83 | ||
| P/FCF | 16.46 | ||
| P/OCF | 15.71 | ||
| P/B | 4.15 | ||
| P/tB | 14.19 | ||
| EV/EBITDA | 15.36 |
EPS(TTM)15.81
EY6.15%
EPS(NY)15.33
Fwd EY5.97%
FCF(TTM)15.6
FCFY6.07%
OCF(TTM)16.35
OCFY6.36%
SpS53.16
BVpS61.84
TBVpS18.11
PEG (NY)N/A
PEG (5Y)1.48
Graham Number148.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.96% | ||
| ROE | 19.28% | ||
| ROCE | 16.81% | ||
| ROIC | 14.05% | ||
| ROICexc | 19.67% | ||
| ROICexgc | 80.42% | ||
| OM | 25.63% | ||
| PM (TTM) | 22.42% | ||
| GM | 81.41% | ||
| FCFM | 29.35% |
ROA(3y)9.53%
ROA(5y)8.26%
ROE(3y)17.16%
ROE(5y)15.71%
ROIC(3y)13.16%
ROIC(5y)11.99%
ROICexc(3y)17.7%
ROICexc(5y)16.11%
ROICexgc(3y)84.71%
ROICexgc(5y)157.51%
ROCE(3y)15.75%
ROCE(5y)14.35%
ROICexgc growth 3Y-40.39%
ROICexgc growth 5Y-26.49%
ROICexc growth 3Y12.85%
ROICexc growth 5Y3.83%
OM growth 3Y18.24%
OM growth 5Y7.22%
PM growth 3Y23.33%
PM growth 5Y11.39%
GM growth 3Y0.59%
GM growth 5Y-0.3%
F-Score8
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 46.82% | ||
| Cap/Sales | 1.4% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 107.45% | ||
| Profit Quality | 130.91% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 5.15 |
F-Score8
WACC9.4%
ROIC/WACC1.49
Cap/Depr(3y)41.11%
Cap/Depr(5y)35.8%
Cap/Sales(3y)1.47%
Cap/Sales(5y)1.37%
Profit Quality(3y)139.03%
Profit Quality(5y)145.91%
High Growth Momentum
Growth
EPS 1Y (TTM)18.25%
EPS 3Y15.69%
EPS 5Y10.98%
EPS Q2Q%19.62%
EPS Next Y-3.04%
EPS Next 2Y2.23%
EPS Next 3Y3.43%
EPS Next 5Y5.49%
Revenue 1Y (TTM)9.66%
Revenue growth 3Y4.63%
Revenue growth 5Y5.61%
Sales Q2Q%8.49%
Revenue Next Year2.42%
Revenue Next 2Y3.23%
Revenue Next 3Y3.12%
Revenue Next 5Y3.83%
EBIT growth 1Y18.61%
EBIT growth 3Y23.72%
EBIT growth 5Y13.24%
EBIT Next Year4.99%
EBIT Next 3Y4.93%
EBIT Next 5YN/A
FCF growth 1Y18.95%
FCF growth 3Y30.38%
FCF growth 5Y8.56%
OCF growth 1Y19.84%
OCF growth 3Y28.98%
OCF growth 5Y7.52%
F5 INC / FFIV FAQ
What is the ChartMill fundamental rating of F5 INC (FFIV) stock?
ChartMill assigns a fundamental rating of 6 / 10 to FFIV.
What is the valuation status for FFIV stock?
ChartMill assigns a valuation rating of 5 / 10 to F5 INC (FFIV). This can be considered as Fairly Valued.
What is the profitability of FFIV stock?
F5 INC (FFIV) has a profitability rating of 9 / 10.
How financially healthy is F5 INC?
The financial health rating of F5 INC (FFIV) is 8 / 10.