IDEXX LABORATORIES INC (IDXX) Stock Fundamental Analysis
USA - NASDAQ:IDXX - US45168D1046 - Common Stock
639.15 USD
+2.24 (+0.35%)
639.49 USD
+0.34 (+0.05%)
Taking everything into account, IDXX scores 7 out of 10 in our fundamental rating. IDXX was compared to 191 industry peers in the Health Care Equipment & Supplies industry. Both the health and profitability get an excellent rating, making IDXX a very profitable company, without any liquidiy or solvency issues. IDXX is not valued too expensively and it also shows a decent growth rate. These ratings would make IDXX suitable for quality investing!
1. Profitability
1.1 Basic Checks
IDXX had positive earnings in the past year.
In the past year IDXX had a positive cash flow from operations.
Each year in the past 5 years IDXX has been profitable.
IDXX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of IDXX (29.59%) is better than 98.95% of its industry peers.
IDXX has a better Return On Equity (67.56%) than 99.48% of its industry peers.
IDXX has a better Return On Invested Capital (37.30%) than 99.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IDXX is significantly above the industry average of 8.89%.
The last Return On Invested Capital (37.30%) for IDXX is above the 3 year average (35.08%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.59% | ||
| ROE | 67.56% | ||
| ROIC | 37.3% |
ROA(3y)25.87%
ROA(5y)26.7%
ROE(3y)74.71%
ROE(5y)84.83%
ROIC(3y)35.08%
ROIC(5y)36.07%
1.3 Margins
IDXX has a better Profit Margin (24.41%) than 94.24% of its industry peers.
In the last couple of years the Profit Margin of IDXX has grown nicely.
IDXX has a better Operating Margin (31.09%) than 97.91% of its industry peers.
In the last couple of years the Operating Margin of IDXX has grown nicely.
Looking at the Gross Margin, with a value of 61.54%, IDXX is in the better half of the industry, outperforming 62.83% of the companies in the same industry.
In the last couple of years the Gross Margin of IDXX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.09% | ||
| PM (TTM) | 24.41% | ||
| GM | 61.54% |
OM growth 3Y0.02%
OM growth 5Y4.78%
PM growth 3Y-0.55%
PM growth 5Y5.09%
GM growth 3Y1.27%
GM growth 5Y1.47%
2. Health
2.1 Basic Checks
IDXX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, IDXX has less shares outstanding
Compared to 5 years ago, IDXX has less shares outstanding
Compared to 1 year ago, IDXX has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 21.36 indicates that IDXX is not in any danger for bankruptcy at the moment.
IDXX's Altman-Z score of 21.36 is amongst the best of the industry. IDXX outperforms 95.81% of its industry peers.
The Debt to FCF ratio of IDXX is 1.43, which is an excellent value as it means it would take IDXX, only 1.43 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.43, IDXX belongs to the top of the industry, outperforming 90.05% of the companies in the same industry.
IDXX has a Debt/Equity ratio of 0.71. This is a neutral value indicating IDXX is somewhat dependend on debt financing.
IDXX has a worse Debt to Equity ratio (0.71) than 70.16% of its industry peers.
Although IDXX does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 21.36 |
ROIC/WACC4.13
WACC9.04%
2.3 Liquidity
A Current Ratio of 1.11 indicates that IDXX should not have too much problems paying its short term obligations.
With a Current ratio value of 1.11, IDXX is not doing good in the industry: 85.86% of the companies in the same industry are doing better.
A Quick Ratio of 0.79 indicates that IDXX may have some problems paying its short term obligations.
The Quick ratio of IDXX (0.79) is worse than 84.82% of its industry peers.
The current and quick ratio evaluation for IDXX 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 | 1.11 | ||
| Quick Ratio | 0.79 |
3. Growth
3.1 Past
IDXX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.45%, which is quite good.
The Earnings Per Share has been growing by 18.18% on average over the past years. This is quite good.
Looking at the last year, IDXX shows a small growth in Revenue. The Revenue has grown by 6.68% in the last year.
The Revenue has been growing by 10.12% on average over the past years. This is quite good.
EPS 1Y (TTM)12.45%
EPS 3Y9.32%
EPS 5Y18.18%
EPS Q2Q%20.2%
Revenue 1Y (TTM)6.68%
Revenue growth 3Y6.62%
Revenue growth 5Y10.12%
Sales Q2Q%10.55%
3.2 Future
The Earnings Per Share is expected to grow by 11.68% on average over the next years. This is quite good.
IDXX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.69% yearly.
EPS Next Y14.22%
EPS Next 2Y13.24%
EPS Next 3Y13.08%
EPS Next 5Y11.68%
Revenue Next Year9.07%
Revenue Next 2Y8.66%
Revenue Next 3Y8.62%
Revenue Next 5Y8.69%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 53.22, IDXX can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of IDXX indicates a somewhat cheap valuation: IDXX is cheaper than 68.06% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.53, IDXX is valued quite expensively.
A Price/Forward Earnings ratio of 44.30 indicates a quite expensive valuation of IDXX.
Based on the Price/Forward Earnings ratio, IDXX is valued a bit cheaper than the industry average as 70.16% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.04, IDXX is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.22 | ||
| Fwd PE | 44.3 |
4.2 Price Multiples
69.11% of the companies in the same industry are more expensive than IDXX, based on the Enterprise Value to EBITDA ratio.
73.30% of the companies in the same industry are more expensive than IDXX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 66.03 | ||
| EV/EBITDA | 36.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
IDXX has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as IDXX's earnings are expected to grow with 13.08% in the coming years.
PEG (NY)3.74
PEG (5Y)2.93
EPS Next 2Y13.24%
EPS Next 3Y13.08%
5. Dividend
5.1 Amount
No dividends for IDXX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
639.15
+2.24 (+0.35%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.04%
Inst Owner Change-0.04%
Ins Owners0.2%
Ins Owner Change2.22%
Market Cap51.13B
Analysts79.05
Price Target694.47 (8.66%)
Short Float %2.67%
Short Ratio3.61
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)4.76%
Min EPS beat(2)1.72%
Max EPS beat(2)7.81%
EPS beat(4)4
Avg EPS beat(4)4.73%
Min EPS beat(4)1.72%
Max EPS beat(4)7.81%
EPS beat(8)8
Avg EPS beat(8)4.6%
EPS beat(12)12
Avg EPS beat(12)4.41%
EPS beat(16)14
Avg EPS beat(16)3.9%
Revenue beat(2)1
Avg Revenue beat(2)-0.02%
Min Revenue beat(2)-1.92%
Max Revenue beat(2)1.88%
Revenue beat(4)2
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-2.33%
Max Revenue beat(4)1.88%
Revenue beat(8)2
Avg Revenue beat(8)-1.32%
Revenue beat(12)2
Avg Revenue beat(12)-1.2%
Revenue beat(16)3
Avg Revenue beat(16)-1.19%
PT rev (1m)0.43%
PT rev (3m)32.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.24%
EPS NY rev (1m)-0.04%
EPS NY rev (3m)3.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.44%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)2.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.22 | ||
| Fwd PE | 44.3 | ||
| P/S | 12.66 | ||
| P/FCF | 66.03 | ||
| P/OCF | 56.45 | ||
| P/B | 35.05 | ||
| P/tB | 54.36 | ||
| EV/EBITDA | 36.97 |
EPS(TTM)12.01
EY1.88%
EPS(NY)14.43
Fwd EY2.26%
FCF(TTM)9.68
FCFY1.51%
OCF(TTM)11.32
OCFY1.77%
SpS50.47
BVpS18.24
TBVpS11.76
PEG (NY)3.74
PEG (5Y)2.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.59% | ||
| ROE | 67.56% | ||
| ROCE | 59.57% | ||
| ROIC | 37.3% | ||
| ROICexc | 39.73% | ||
| ROICexgc | 50.01% | ||
| OM | 31.09% | ||
| PM (TTM) | 24.41% | ||
| GM | 61.54% | ||
| FCFM | 19.18% |
ROA(3y)25.87%
ROA(5y)26.7%
ROE(3y)74.71%
ROE(5y)84.83%
ROIC(3y)35.08%
ROIC(5y)36.07%
ROICexc(3y)39.8%
ROICexc(5y)41.54%
ROICexgc(3y)51.52%
ROICexgc(5y)54.69%
ROCE(3y)52.73%
ROCE(5y)50.92%
ROICexcg growth 3Y-5.99%
ROICexcg growth 5Y4.29%
ROICexc growth 3Y-3.86%
ROICexc growth 5Y4.07%
OM growth 3Y0.02%
OM growth 5Y4.78%
PM growth 3Y-0.55%
PM growth 5Y5.09%
GM growth 3Y1.27%
GM growth 5Y1.47%
F-Score7
Asset Turnover1.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.43 | ||
| Debt/EBITDA | 0.74 | ||
| Cap/Depr | 95.5% | ||
| Cap/Sales | 3.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.03% | ||
| Profit Quality | 78.56% | ||
| Current Ratio | 1.11 | ||
| Quick Ratio | 0.79 | ||
| Altman-Z | 21.36 |
F-Score7
WACC9.04%
ROIC/WACC4.13
Cap/Depr(3y)119.66%
Cap/Depr(5y)117.12%
Cap/Sales(3y)3.91%
Cap/Sales(5y)3.89%
Profit Quality(3y)79.31%
Profit Quality(5y)83.23%
High Growth Momentum
Growth
EPS 1Y (TTM)12.45%
EPS 3Y9.32%
EPS 5Y18.18%
EPS Q2Q%20.2%
EPS Next Y14.22%
EPS Next 2Y13.24%
EPS Next 3Y13.08%
EPS Next 5Y11.68%
Revenue 1Y (TTM)6.68%
Revenue growth 3Y6.62%
Revenue growth 5Y10.12%
Sales Q2Q%10.55%
Revenue Next Year9.07%
Revenue Next 2Y8.66%
Revenue Next 3Y8.62%
Revenue Next 5Y8.69%
EBIT growth 1Y15.86%
EBIT growth 3Y6.64%
EBIT growth 5Y15.38%
EBIT Next Year31.91%
EBIT Next 3Y16.8%
EBIT Next 5Y14.07%
FCF growth 1Y30.65%
FCF growth 3Y7.86%
FCF growth 5Y21.29%
OCF growth 1Y21.32%
OCF growth 3Y7.13%
OCF growth 5Y15.13%