INVESCO LTD (IVZ)
BMG491BT1088 - Common Stock
Overall IVZ gets a fundamental rating of 4 out of 10. We evaluated IVZ against 218 industry peers in the Capital Markets industry. Both the profitability and financial health of IVZ have multiple concerns. IVZ may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
IVZ had positive earnings in the past year.
IVZ had a positive operating cash flow in the past year.
IVZ had positive earnings in 4 of the past 5 years.
IVZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
IVZ has a Return On Assets of -1.50%. This is amonst the worse of the industry: IVZ underperforms 83.26% of its industry peers.
IVZ has a Return On Equity of -2.80%. This is amonst the worse of the industry: IVZ underperforms 81.40% of its industry peers.
IVZ has a Return On Invested Capital of 2.04%. This is in the lower half of the industry: IVZ underperforms 66.51% of its industry peers.
IVZ had an Average Return On Invested Capital over the past 3 years of 3.52%. This is below the industry average of 6.96%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.5% | ||
| ROE | -2.8% | ||
| ROIC | 2.04% |
ROA(3y)1.8%
ROA(5y)1.66%
ROE(3y)3.73%
ROE(5y)3.79%
ROIC(3y)3.52%
ROIC(5y)3.73%
1.3 Margins
Looking at the Operating Margin, with a value of 11.78%, IVZ is doing worse than 69.30% of the companies in the same industry.
IVZ's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 66.74%, IVZ is doing good in the industry, outperforming 65.58% of the companies in the same industry.
In the last couple of years the Gross Margin of IVZ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.78% | ||
| PM (TTM) | N/A | ||
| GM | 66.74% |
OM growth 3Y-11.2%
OM growth 5Y-9.93%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.12%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
Compared to 1 year ago, IVZ has less shares outstanding
IVZ has more shares outstanding than it did 5 years ago.
The debt/assets ratio for IVZ is higher compared to a year ago.
2.2 Solvency
IVZ has an Altman-Z score of 1.00. This is a bad value and indicates that IVZ is not financially healthy and even has some risk of bankruptcy.
IVZ has a Altman-Z score (1.00) which is in line with its industry peers.
IVZ has a debt to FCF ratio of 5.07. This is a neutral value as IVZ would need 5.07 years to pay back of all of its debts.
IVZ has a Debt to FCF ratio of 5.07. This is in the better half of the industry: IVZ outperforms 63.26% of its industry peers.
IVZ has a Debt/Equity ratio of 0.51. This is a neutral value indicating IVZ is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.51, IVZ is in the better half of the industry, outperforming 69.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | 5.07 | ||
| Altman-Z | 1 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
IVZ has a Current Ratio of 0.75. This is a bad value and indicates that IVZ is not financially healthy enough and could expect problems in meeting its short term obligations.
IVZ has a worse Current ratio (0.75) than 63.26% of its industry peers.
IVZ has a Quick Ratio of 0.75. This is a bad value and indicates that IVZ is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.75, IVZ is doing worse than 62.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.78% over the past year.
Measured over the past years, IVZ shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.08% on average per year.
The Revenue has been growing slightly by 2.45% in the past year.
Measured over the past years, IVZ shows a small growth in Revenue. The Revenue has been growing by 1.47% on average per year.
EPS 1Y (TTM)16.78%
EPS 3Y-8.01%
EPS 5Y-9.08%
EPS Q2Q%25.71%
Revenue 1Y (TTM)2.45%
Revenue growth 3Y-2.38%
Revenue growth 5Y1.47%
Sales Q2Q%0.56%
3.2 Future
The Earnings Per Share is expected to grow by 5.78% on average over the next years.
The Revenue is expected to grow by 3.74% on average over the next years.
EPS Next Y12.05%
EPS Next 2Y12.52%
EPS Next 3Y12.32%
EPS Next 5Y5.78%
Revenue Next Year0.54%
Revenue Next 2Y3.26%
Revenue Next 3Y3.74%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.62, the valuation of IVZ can be described as reasonable.
Based on the Price/Earnings ratio, IVZ is valued a bit cheaper than 69.30% of the companies in the same industry.
When comparing the Price/Earnings ratio of IVZ to the average of the S&P500 Index (29.20), we can say IVZ is valued rather cheaply.
A Price/Forward Earnings ratio of 9.28 indicates a reasonable valuation of IVZ.
IVZ's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 73.49% of the companies in the same industry.
IVZ's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.62 | ||
| Fwd PE | 9.28 |
4.2 Price Multiples
IVZ's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. IVZ is cheaper than 73.49% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of IVZ indicates a rather cheap valuation: IVZ is cheaper than 82.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.42 | ||
| EV/EBITDA | 16.4 |
4.3 Compensation for Growth
IVZ's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as IVZ's earnings are expected to grow with 12.32% in the coming years.
PEG (NY)0.88
PEG (5Y)N/A
EPS Next 2Y12.52%
EPS Next 3Y12.32%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.62%, IVZ is a good candidate for dividend investing.
IVZ's Dividend Yield is comparable with the industry average which is at 9.01.
Compared to an average S&P500 Dividend Yield of 2.23, IVZ pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
5.2 History
The dividend of IVZ has a limited annual growth rate of 1.50%.
IVZ has paid a dividend for at least 10 years, which is a reliable track record.
IVZ has decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.5%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
The earnings of IVZ are negative and hence is the payout ratio. IVZ will probably not be able to sustain this dividend level.
The dividend of IVZ is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-146.45%
EPS Next 2Y12.52%
EPS Next 3Y12.32%
INVESCO LTD
NYSE:IVZ (11/22/2024, 8:04:00 PM)
After market: 17.74 0 (0%)17.74
+0.06 (+0.34%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.97B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.62% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.62 | ||
| Fwd PE | 9.28 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.88
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.5% | ||
| ROE | -2.8% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 11.78% | ||
| PM (TTM) | N/A | ||
| GM | 66.74% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)16.78%
EPS 3Y-8.01%
EPS 5Y
EPS Q2Q%
EPS Next Y12.05%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.45%
Revenue growth 3Y-2.38%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y