FORTIVE CORP (FTV) Stock Fundamental Analysis
USA - NYSE:FTV - US34959J1088 - Common Stock
51.23 USD
+0.15 (+0.29%)
51.23 USD
0 (0%)
FTV gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 130 industry peers in the Machinery industry. FTV has an average financial health and profitability rating. FTV has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year FTV was profitable.
In the past year FTV had a positive cash flow from operations.
Each year in the past 5 years FTV has been profitable.
FTV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.07%, FTV is in line with its industry, outperforming 56.15% of the companies in the same industry.
Looking at the Return On Equity, with a value of 9.26%, FTV is in line with its industry, outperforming 53.85% of the companies in the same industry.
With a Return On Invested Capital value of 8.52%, FTV perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
FTV had an Average Return On Invested Capital over the past 3 years of 6.67%. This is below the industry average of 10.24%.
The 3 year average ROIC (6.67%) for FTV is below the current ROIC(8.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.07% | ||
| ROE | 9.26% | ||
| ROIC | 8.52% |
ROA(3y)4.92%
ROA(5y)5.57%
ROE(3y)8.12%
ROE(5y)9.53%
ROIC(3y)6.67%
ROIC(5y)5.86%
1.3 Margins
With a decent Profit Margin value of 10.68%, FTV is doing good in the industry, outperforming 76.15% of the companies in the same industry.
In the last couple of years the Profit Margin of FTV has declined.
FTV has a Operating Margin of 16.42%. This is in the better half of the industry: FTV outperforms 76.92% of its industry peers.
FTV's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 60.33%, FTV belongs to the best of the industry, outperforming 96.92% of the companies in the same industry.
In the last couple of years the Gross Margin of FTV has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.42% | ||
| PM (TTM) | 10.68% | ||
| GM | 60.33% |
OM growth 3Y6.19%
OM growth 5Y12.39%
PM growth 3Y6.96%
PM growth 5Y-1.86%
GM growth 3Y1.52%
GM growth 5Y1.93%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FTV is destroying value.
The number of shares outstanding for FTV has been reduced compared to 1 year ago.
The number of shares outstanding for FTV has been increased compared to 5 years ago.
FTV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.21 indicates that FTV is not in any danger for bankruptcy at the moment.
The Altman-Z score of FTV (3.21) is comparable to the rest of the industry.
FTV has a debt to FCF ratio of 2.98. This is a good value and a sign of high solvency as FTV would need 2.98 years to pay back of all of its debts.
FTV has a better Debt to FCF ratio (2.98) than 70.00% of its industry peers.
FTV has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.33, FTV is doing good in the industry, outperforming 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.98 | ||
| Altman-Z | 3.21 |
ROIC/WACC0.9
WACC9.43%
2.3 Liquidity
FTV has a Current Ratio of 0.70. This is a bad value and indicates that FTV is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.70, FTV is not doing good in the industry: 92.31% of the companies in the same industry are doing better.
FTV has a Quick Ratio of 0.70. This is a bad value and indicates that FTV is not financially healthy enough and could expect problems in meeting its short term obligations.
FTV has a Quick ratio of 0.58. This is amonst the worse of the industry: FTV underperforms 86.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.58 |
3. Growth
3.1 Past
FTV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -11.59%.
Measured over the past 5 years, FTV shows a small growth in Earnings Per Share. The EPS has been growing by 2.25% on average per year.
Looking at the last year, FTV shows a decrease in Revenue. The Revenue has decreased by -8.96% in the last year.
FTV shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.43% yearly.
EPS 1Y (TTM)-11.59%
EPS 3Y12.49%
EPS 5Y2.25%
EPS Q2Q%-29.9%
Revenue 1Y (TTM)-8.96%
Revenue growth 3Y5.85%
Revenue growth 5Y6.43%
Sales Q2Q%-33.07%
3.2 Future
Based on estimates for the next years, FTV will show a decrease in Earnings Per Share. The EPS will decrease by -0.22% on average per year.
Based on estimates for the next years, FTV will show a decrease in Revenue. The Revenue will decrease by -5.05% on average per year.
EPS Next Y-32.82%
EPS Next 2Y-14.49%
EPS Next 3Y-7.13%
EPS Next 5Y-0.22%
Revenue Next Year-33.92%
Revenue Next 2Y-17.47%
Revenue Next 3Y-10.92%
Revenue Next 5Y-5.05%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.62, the valuation of FTV can be described as correct.
FTV's Price/Earnings ratio is a bit cheaper when compared to the industry. FTV is cheaper than 80.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.83. FTV is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 17.97, which indicates a rather expensive current valuation of FTV.
FTV's Price/Forward Earnings is on the same level as the industry average.
FTV is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.62 | ||
| Fwd PE | 17.97 |
4.2 Price Multiples
FTV's Enterprise Value to EBITDA ratio is in line with the industry average.
77.69% of the companies in the same industry are more expensive than FTV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.65 | ||
| EV/EBITDA | 14.56 |
4.3 Compensation for Growth
The decent profitability rating of FTV may justify a higher PE ratio.
FTV's earnings are expected to decrease with -7.13% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)6.95
EPS Next 2Y-14.49%
EPS Next 3Y-7.13%
5. Dividend
5.1 Amount
With a yearly dividend of 0.47%, FTV is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.83, FTV has a dividend in line with its industry peers.
With a Dividend Yield of 0.47, FTV pays less dividend than the S&P500 average, which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
The dividend of FTV decreases each year by -7.91%.
FTV has paid a dividend for at least 10 years, which is a reliable track record.
As FTV did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)-7.91%
Div Incr Years2
Div Non Decr Years8
5.3 Sustainability
16.72% of the earnings are spent on dividend by FTV. This is a low number and sustainable payout ratio.
The Dividend Rate of FTV has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP16.72%
EPS Next 2Y-14.49%
EPS Next 3Y-7.13%
51.23
+0.15 (+0.29%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners100.46%
Inst Owner Change0.33%
Ins Owners0.17%
Ins Owner Change0.03%
Market Cap17.33B
Revenue(TTM)5.64B
Net Income(TTM)602.30M
Analysts67.5
Price Target56.9 (11.07%)
Short Float %2.45%
Short Ratio2.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend0.32
Dividend Growth(5Y)-7.91%
DP16.72%
Div Incr Years2
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.32%
Min EPS beat(2)-3.21%
Max EPS beat(2)17.85%
EPS beat(4)2
Avg EPS beat(4)4.27%
Min EPS beat(4)-3.21%
Max EPS beat(4)17.85%
EPS beat(8)6
Avg EPS beat(8)3.46%
EPS beat(12)9
Avg EPS beat(12)3%
EPS beat(16)13
Avg EPS beat(16)3.03%
Revenue beat(2)1
Avg Revenue beat(2)0.12%
Min Revenue beat(2)-0.65%
Max Revenue beat(2)0.89%
Revenue beat(4)1
Avg Revenue beat(4)-0.8%
Min Revenue beat(4)-2.24%
Max Revenue beat(4)0.89%
Revenue beat(8)2
Avg Revenue beat(8)-1.04%
Revenue beat(12)5
Avg Revenue beat(12)-0.66%
Revenue beat(16)7
Avg Revenue beat(16)-0.55%
PT rev (1m)-1.62%
PT rev (3m)-10.39%
EPS NQ rev (1m)3.04%
EPS NQ rev (3m)6.55%
EPS NY rev (1m)3.34%
EPS NY rev (3m)1.13%
Revenue NQ rev (1m)-0.27%
Revenue NQ rev (3m)-0.9%
Revenue NY rev (1m)0.19%
Revenue NY rev (3m)-1.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.62 | ||
| Fwd PE | 17.97 | ||
| P/S | 3.07 | ||
| P/FCF | 15.65 | ||
| P/OCF | 14.21 | ||
| P/B | 2.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.56 |
EPS(TTM)3.28
EY6.4%
EPS(NY)2.85
Fwd EY5.57%
FCF(TTM)3.27
FCFY6.39%
OCF(TTM)3.6
OCFY7.04%
SpS16.67
BVpS19.22
TBVpS-8.99
PEG (NY)N/A
PEG (5Y)6.95
Graham Number37.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.07% | ||
| ROE | 9.26% | ||
| ROCE | 9.84% | ||
| ROIC | 8.52% | ||
| ROICexc | 8.93% | ||
| ROICexgc | N/A | ||
| OM | 16.42% | ||
| PM (TTM) | 10.68% | ||
| GM | 60.33% | ||
| FCFM | 19.64% |
ROA(3y)4.92%
ROA(5y)5.57%
ROE(3y)8.12%
ROE(5y)9.53%
ROIC(3y)6.67%
ROIC(5y)5.86%
ROICexc(3y)7.24%
ROICexc(5y)6.49%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)7.7%
ROCE(5y)6.77%
ROICexgc growth 3YN/A
ROICexgc growth 5Y22.28%
ROICexc growth 3Y6.66%
ROICexc growth 5Y17.49%
OM growth 3Y6.19%
OM growth 5Y12.39%
PM growth 3Y6.96%
PM growth 5Y-1.86%
GM growth 3Y1.52%
GM growth 5Y1.93%
F-Score7
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2.98 | ||
| Debt/EBITDA | 1.53 | ||
| Cap/Depr | 24.22% | ||
| Cap/Sales | 1.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.89% | ||
| Profit Quality | 183.93% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.58 | ||
| Altman-Z | 3.21 |
F-Score7
WACC9.43%
ROIC/WACC0.9
Cap/Depr(3y)22.1%
Cap/Depr(5y)19.73%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.59%
Profit Quality(3y)157.54%
Profit Quality(5y)143.9%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.59%
EPS 3Y12.49%
EPS 5Y2.25%
EPS Q2Q%-29.9%
EPS Next Y-32.82%
EPS Next 2Y-14.49%
EPS Next 3Y-7.13%
EPS Next 5Y-0.22%
Revenue 1Y (TTM)-8.96%
Revenue growth 3Y5.85%
Revenue growth 5Y6.43%
Sales Q2Q%-33.07%
Revenue Next Year-33.92%
Revenue Next 2Y-17.47%
Revenue Next 3Y-10.92%
Revenue Next 5Y-5.05%
EBIT growth 1Y-21.25%
EBIT growth 3Y12.4%
EBIT growth 5Y19.62%
EBIT Next Year-9.69%
EBIT Next 3Y0.7%
EBIT Next 5Y3.03%
FCF growth 1Y-12.16%
FCF growth 3Y15.57%
FCF growth 5Y3.95%
OCF growth 1Y-11.05%
OCF growth 3Y16.68%
OCF growth 5Y3.73%
FORTIVE CORP / FTV FAQ
Can you provide the ChartMill fundamental rating for FORTIVE CORP?
ChartMill assigns a fundamental rating of 4 / 10 to FTV.
What is the valuation status for FTV stock?
ChartMill assigns a valuation rating of 4 / 10 to FORTIVE CORP (FTV). This can be considered as Fairly Valued.
Can you provide the profitability details for FORTIVE CORP?
FORTIVE CORP (FTV) has a profitability rating of 6 / 10.
What are the PE and PB ratios of FORTIVE CORP (FTV) stock?
The Price/Earnings (PE) ratio for FORTIVE CORP (FTV) is 15.62 and the Price/Book (PB) ratio is 2.67.
What is the earnings growth outlook for FORTIVE CORP?
The Earnings per Share (EPS) of FORTIVE CORP (FTV) is expected to decline by -32.82% in the next year.