INTERNATIONAL GAME TECHNOLOG (IGT) Stock Fundamental Analysis
USA - NYSE:IGT - GB00BVG7F061 - Common Stock
16.29 USD
+0.48 (+3.04%)
16.29 USD
0 (0%)
Overall IGT gets a fundamental rating of 6 out of 10. We evaluated IGT against 135 industry peers in the Hotels, Restaurants & Leisure industry. Both the profitability and the financial health of IGT get a neutral evaluation. Nothing too spectacular is happening here. IGT has a bad growth rate and is valued cheaply. These ratings could make IGT a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year IGT was profitable.
IGT had a positive operating cash flow in the past year.
Of the past 5 years IGT 4 years were profitable.
IGT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 2.83%, IGT perfoms like the industry average, outperforming 55.56% of the companies in the same industry.
IGT has a Return On Equity of 17.85%. This is in the better half of the industry: IGT outperforms 76.30% of its industry peers.
The Return On Invested Capital of IGT (7.27%) is better than 61.48% of its industry peers.
IGT had an Average Return On Invested Capital over the past 3 years of 7.65%. This is below the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 17.85% | ||
| ROIC | 7.27% |
ROA(3y)2.5%
ROA(5y)0.97%
ROE(3y)17.02%
ROE(5y)-5.38%
ROIC(3y)7.65%
ROIC(5y)6.46%
1.3 Margins
The Profit Margin of IGT (10.21%) is better than 75.56% of its industry peers.
IGT's Profit Margin has improved in the last couple of years.
IGT's Operating Margin of 25.12% is amongst the best of the industry. IGT outperforms 89.63% of its industry peers.
In the last couple of years the Operating Margin of IGT has grown nicely.
IGT's Gross Margin of 45.71% is in line compared to the rest of the industry. IGT outperforms 45.19% of its industry peers.
IGT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.12% | ||
| PM (TTM) | 10.21% | ||
| GM | 45.71% |
OM growth 3Y9.13%
OM growth 5Y15.18%
PM growth 3Y5.43%
PM growth 5YN/A
GM growth 3Y-0.98%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
IGT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, IGT has more shares outstanding
IGT has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, IGT has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of IGT is 5.72, which is a neutral value as it means it would take IGT, 5.72 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of IGT (5.72) is better than 78.52% of its industry peers.
IGT has a Debt/Equity ratio of 3.33. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.33, IGT is in line with its industry, outperforming 43.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.33 | ||
| Debt/FCF | 5.72 | ||
| Altman-Z | N/A |
ROIC/WACC1.29
WACC5.65%
2.3 Liquidity
A Current Ratio of 2.48 indicates that IGT has no problem at all paying its short term obligations.
IGT's Current ratio of 2.48 is amongst the best of the industry. IGT outperforms 90.37% of its industry peers.
IGT has a Quick Ratio of 2.43. This indicates that IGT is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 2.43, IGT belongs to the best of the industry, outperforming 91.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.48 | ||
| Quick Ratio | 2.43 |
3. Growth
3.1 Past
The earnings per share for IGT have decreased strongly by -12.73% in the last year.
Measured over the past years, IGT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.63% on average per year.
The Revenue for IGT has decreased by -33.52% in the past year. This is quite bad
The Revenue has been decreasing by -9.03% on average over the past years.
EPS 1Y (TTM)-12.73%
EPS 3Y-21.54%
EPS 5Y9.63%
EPS Q2Q%-67.5%
Revenue 1Y (TTM)-33.52%
Revenue growth 3Y-14.99%
Revenue growth 5Y-9.03%
Sales Q2Q%-45.36%
3.2 Future
The Earnings Per Share is expected to decrease by -10.95% on average over the next years. This is quite bad
The Revenue is expected to grow by 16.47% on average over the next years. This is quite good.
EPS Next Y-46.15%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
EPS Next 5YN/A
Revenue Next Year0.75%
Revenue Next 2Y1.07%
Revenue Next 3Y1.36%
Revenue Next 5Y16.47%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.31 indicates a reasonable valuation of IGT.
Based on the Price/Earnings ratio, IGT is valued cheaply inside the industry as 93.33% of the companies are valued more expensively.
IGT is valuated cheaply when we compare the Price/Earnings ratio to 27.40, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.65, the valuation of IGT can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IGT indicates a rather cheap valuation: IGT is cheaper than 85.19% of the companies listed in the same industry.
IGT 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 | 11.31 | ||
| Fwd PE | 11.65 |
4.2 Price Multiples
IGT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. IGT is cheaper than 71.85% of the companies in the same industry.
100.00% of the companies in the same industry are more expensive than IGT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.31 | ||
| EV/EBITDA | 9.78 |
4.3 Compensation for Growth
The decent profitability rating of IGT may justify a higher PE ratio.
A cheap valuation may be justified as IGT's earnings are expected to decrease with -10.95% in the coming years.
PEG (NY)N/A
PEG (5Y)1.18
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
5. Dividend
5.1 Amount
IGT has a Yearly Dividend Yield of 4.91%, which is a nice return.
IGT's Dividend Yield is rather good when compared to the industry average which is at 5.94. IGT pays more dividend than 94.07% of the companies in the same industry.
IGT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.91% |
5.2 History
The dividend of IGT decreases each year by -0.01%.
IGT has paid a dividend for at least 10 years, which is a reliable track record.
IGT has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.01%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
IGT pays out 68.60% of its income as dividend. This is not a sustainable payout ratio.
IGT's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP68.6%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
16.29
+0.48 (+3.04%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner Change0.05%
Ins OwnersN/A
Ins Owner Change0%
Market Cap3.29B
Analysts72.73
Price Target19.57 (20.14%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.91% |
Yearly Dividend0.8
Dividend Growth(5Y)-0.01%
DP68.6%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)98.59%
Min EPS beat(2)12.91%
Max EPS beat(2)184.28%
EPS beat(4)2
Avg EPS beat(4)19.69%
Min EPS beat(4)-80.94%
Max EPS beat(4)184.28%
EPS beat(8)5
Avg EPS beat(8)20.76%
EPS beat(12)7
Avg EPS beat(12)0.06%
EPS beat(16)11
Avg EPS beat(16)38.21%
Revenue beat(2)0
Avg Revenue beat(2)-5.04%
Min Revenue beat(2)-8.06%
Max Revenue beat(2)-2.02%
Revenue beat(4)0
Avg Revenue beat(4)-3.45%
Min Revenue beat(4)-8.06%
Max Revenue beat(4)-1.74%
Revenue beat(8)4
Avg Revenue beat(8)-0.78%
Revenue beat(12)7
Avg Revenue beat(12)0.25%
Revenue beat(16)10
Avg Revenue beat(16)1.02%
PT rev (1m)-2.46%
PT rev (3m)-18.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-40.58%
EPS NY rev (1m)12.27%
EPS NY rev (3m)-0.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.31 | ||
| Fwd PE | 11.65 | ||
| P/S | 1.15 | ||
| P/FCF | 3.31 | ||
| P/OCF | 2.9 | ||
| P/B | 2.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.78 |
EPS(TTM)1.44
EY8.84%
EPS(NY)1.4
Fwd EY8.58%
FCF(TTM)4.92
FCFY30.18%
OCF(TTM)5.61
OCFY34.46%
SpS14.21
BVpS8.12
TBVpS-5.51
PEG (NY)N/A
PEG (5Y)1.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 17.85% | ||
| ROCE | 9.21% | ||
| ROIC | 7.27% | ||
| ROICexc | 7.91% | ||
| ROICexgc | 12.81% | ||
| OM | 25.12% | ||
| PM (TTM) | 10.21% | ||
| GM | 45.71% | ||
| FCFM | 34.6% |
ROA(3y)2.5%
ROA(5y)0.97%
ROE(3y)17.02%
ROE(5y)-5.38%
ROIC(3y)7.65%
ROIC(5y)6.46%
ROICexc(3y)8.23%
ROICexc(5y)6.95%
ROICexgc(3y)25.25%
ROICexgc(5y)21.43%
ROCE(3y)9.69%
ROCE(5y)8.2%
ROICexcg growth 3Y-19.39%
ROICexcg growth 5Y-0.9%
ROICexc growth 3Y0.35%
ROICexc growth 5Y13.64%
OM growth 3Y9.13%
OM growth 5Y15.18%
PM growth 3Y5.43%
PM growth 5YN/A
GM growth 3Y-0.98%
GM growth 5Y2.02%
F-Score5
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.33 | ||
| Debt/FCF | 5.72 | ||
| Debt/EBITDA | 6.4 | ||
| Cap/Depr | 106.82% | ||
| Cap/Sales | 4.91% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 132.94% | ||
| Profit Quality | 338.91% | ||
| Current Ratio | 2.48 | ||
| Quick Ratio | 2.43 | ||
| Altman-Z | N/A |
F-Score5
WACC5.65%
ROIC/WACC1.29
Cap/Depr(3y)71.25%
Cap/Depr(5y)60.8%
Cap/Sales(3y)9.74%
Cap/Sales(5y)8.64%
Profit Quality(3y)292.14%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-12.73%
EPS 3Y-21.54%
EPS 5Y9.63%
EPS Q2Q%-67.5%
EPS Next Y-46.15%
EPS Next 2Y-9.58%
EPS Next 3Y-10.95%
EPS Next 5YN/A
Revenue 1Y (TTM)-33.52%
Revenue growth 3Y-14.99%
Revenue growth 5Y-9.03%
Sales Q2Q%-45.36%
Revenue Next Year0.75%
Revenue Next 2Y1.07%
Revenue Next 3Y1.36%
Revenue Next 5Y16.47%
EBIT growth 1Y-31.79%
EBIT growth 3Y-7.23%
EBIT growth 5Y4.78%
EBIT Next Year61.74%
EBIT Next 3Y20.59%
EBIT Next 5Y25.02%
FCF growth 1Y45.39%
FCF growth 3Y5.99%
FCF growth 5Y6.24%
OCF growth 1Y11.07%
OCF growth 3Y1.74%
OCF growth 5Y-1.18%