KEYSIGHT TECHNOLOGIES IN (KEYS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KEYS - US49338L1035 - Common Stock
205.33 USD
+0.08 (+0.04%)
205.33 USD
0 (0%)
Taking everything into account, KEYS scores 6 out of 10 in our fundamental rating. KEYS was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. KEYS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. KEYS has a decent growth rate and is not valued too expensively. This makes KEYS very considerable for quality investing!
1. Profitability
1.1 Basic Checks
KEYS had positive earnings in the past year.
In the past year KEYS had a positive cash flow from operations.
KEYS had positive earnings in each of the past 5 years.
KEYS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of KEYS (7.49%) is better than 86.29% of its industry peers.
KEYS has a Return On Equity of 14.40%. This is amongst the best in the industry. KEYS outperforms 80.65% of its industry peers.
KEYS has a better Return On Invested Capital (7.02%) than 70.16% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KEYS is in line with the industry average of 9.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 14.4% | ||
| ROIC | 7.02% |
ROA(3y)8.76%
ROA(5y)10.33%
ROE(3y)16.38%
ROE(5y)19.95%
ROIC(3y)10.18%
ROIC(5y)11.65%
1.3 Margins
Looking at the Profit Margin, with a value of 15.74%, KEYS belongs to the top of the industry, outperforming 92.74% of the companies in the same industry.
In the last couple of years the Profit Margin of KEYS has remained more or less at the same level.
KEYS has a Operating Margin of 16.30%. This is amongst the best in the industry. KEYS outperforms 91.13% of its industry peers.
KEYS's Operating Margin has been stable in the last couple of years.
The Gross Margin of KEYS (62.08%) is better than 94.35% of its industry peers.
KEYS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.3% | ||
| PM (TTM) | 15.74% | ||
| GM | 62.08% |
OM growth 3Y-12.84%
OM growth 5Y-1.26%
PM growth 3Y-8.78%
PM growth 5Y1.16%
GM growth 3Y-0.83%
GM growth 5Y0.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KEYS is still creating some value.
KEYS has less shares outstanding than it did 1 year ago.
KEYS has less shares outstanding than it did 5 years ago.
KEYS has a worse debt/assets ratio than last year.
2.2 Solvency
KEYS has an Altman-Z score of 5.77. This indicates that KEYS is financially healthy and has little risk of bankruptcy at the moment.
KEYS has a Altman-Z score of 5.77. This is in the better half of the industry: KEYS outperforms 78.23% of its industry peers.
KEYS has a debt to FCF ratio of 1.98. This is a very positive value and a sign of high solvency as it would only need 1.98 years to pay back of all of its debts.
KEYS has a better Debt to FCF ratio (1.98) than 77.42% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that KEYS is not too dependend on debt financing.
KEYS's Debt to Equity ratio of 0.43 is on the low side compared to the rest of the industry. KEYS is outperformed by 65.32% of its industry peers.
Although KEYS 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 | 0.43 | ||
| Debt/FCF | 1.98 | ||
| Altman-Z | 5.77 |
ROIC/WACC0.8
WACC8.78%
2.3 Liquidity
A Current Ratio of 2.35 indicates that KEYS has no problem at all paying its short term obligations.
With a Current ratio value of 2.35, KEYS perfoms like the industry average, outperforming 50.81% of the companies in the same industry.
KEYS has a Quick Ratio of 1.78. This is a normal value and indicates that KEYS is financially healthy and should not expect problems in meeting its short term obligations.
KEYS has a Quick ratio of 1.78. This is comparable to the rest of the industry: KEYS outperforms 54.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.78 |
3. Growth
3.1 Past
KEYS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.22%, which is quite good.
KEYS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.07% yearly.
Looking at the last year, KEYS shows a small growth in Revenue. The Revenue has grown by 7.95% in the last year.
Measured over the past years, KEYS shows a small growth in Revenue. The Revenue has been growing by 4.95% on average per year.
EPS 1Y (TTM)14.22%
EPS 3Y-2.14%
EPS 5Y8.07%
EPS Q2Q%15.76%
Revenue 1Y (TTM)7.95%
Revenue growth 3Y-0.28%
Revenue growth 5Y4.95%
Sales Q2Q%10.26%
3.2 Future
KEYS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.90% yearly.
The Revenue is expected to grow by 6.23% on average over the next years.
EPS Next Y15.1%
EPS Next 2Y14.75%
EPS Next 3Y13.49%
EPS Next 5Y12.9%
Revenue Next Year14.98%
Revenue Next 2Y10.56%
Revenue Next 3Y9.18%
Revenue Next 5Y6.23%
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
A Price/Earnings ratio of 28.72 indicates a quite expensive valuation of KEYS.
Compared to the rest of the industry, the Price/Earnings ratio of KEYS indicates a somewhat cheap valuation: KEYS is cheaper than 63.71% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, KEYS is valued at the same level.
KEYS is valuated rather expensively with a Price/Forward Earnings ratio of 24.95.
Based on the Price/Forward Earnings ratio, KEYS is valued a bit cheaper than the industry average as 60.48% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.03, KEYS is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.72 | ||
| Fwd PE | 24.95 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KEYS is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, KEYS is valued a bit cheaper than 70.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.44 | ||
| EV/EBITDA | 31.09 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of KEYS may justify a higher PE ratio.
KEYS's earnings are expected to grow with 13.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.9
PEG (5Y)3.56
EPS Next 2Y14.75%
EPS Next 3Y13.49%
5. Dividend
5.1 Amount
No dividends for KEYS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
205.33
+0.08 (+0.04%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners91.95%
Inst Owner Change13.86%
Ins Owners0.54%
Ins Owner Change1.12%
Market Cap35.15B
Revenue(TTM)5.38B
Net Income(TTM)846.00M
Analysts79
Price Target216.73 (5.55%)
Short Float %2.01%
Short Ratio2.71
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)1.55%
Min EPS beat(2)0.93%
Max EPS beat(2)2.17%
EPS beat(4)4
Avg EPS beat(4)2.5%
Min EPS beat(4)0.93%
Max EPS beat(4)5.63%
EPS beat(8)7
Avg EPS beat(8)3.45%
EPS beat(12)11
Avg EPS beat(12)4.22%
EPS beat(16)15
Avg EPS beat(16)4.86%
Revenue beat(2)2
Avg Revenue beat(2)0.55%
Min Revenue beat(2)0.5%
Max Revenue beat(2)0.6%
Revenue beat(4)3
Avg Revenue beat(4)0.35%
Min Revenue beat(4)-0.31%
Max Revenue beat(4)0.61%
Revenue beat(8)4
Avg Revenue beat(8)-0.06%
Revenue beat(12)5
Avg Revenue beat(12)-0.38%
Revenue beat(16)8
Avg Revenue beat(16)-0.18%
PT rev (1m)13.61%
PT rev (3m)13.19%
EPS NQ rev (1m)8.07%
EPS NQ rev (3m)7.61%
EPS NY rev (1m)2.69%
EPS NY rev (3m)2.59%
Revenue NQ rev (1m)8.87%
Revenue NQ rev (3m)12.46%
Revenue NY rev (1m)8.19%
Revenue NY rev (3m)8.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.72 | ||
| Fwd PE | 24.95 | ||
| P/S | 6.54 | ||
| P/FCF | 27.44 | ||
| P/OCF | 24.95 | ||
| P/B | 5.98 | ||
| P/tB | 30.38 | ||
| EV/EBITDA | 31.09 |
EPS(TTM)7.15
EY3.48%
EPS(NY)8.23
Fwd EY4.01%
FCF(TTM)7.48
FCFY3.64%
OCF(TTM)8.23
OCFY4.01%
SpS31.4
BVpS34.33
TBVpS6.76
PEG (NY)1.9
PEG (5Y)3.56
Graham Number74.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 14.4% | ||
| ROCE | 9.28% | ||
| ROIC | 7.02% | ||
| ROICexc | 8.75% | ||
| ROICexgc | 23.25% | ||
| OM | 16.3% | ||
| PM (TTM) | 15.74% | ||
| GM | 62.08% | ||
| FCFM | 23.83% |
ROA(3y)8.76%
ROA(5y)10.33%
ROE(3y)16.38%
ROE(5y)19.95%
ROIC(3y)10.18%
ROIC(5y)11.65%
ROICexc(3y)14.62%
ROICexc(5y)16.81%
ROICexgc(3y)29.1%
ROICexgc(5y)30.96%
ROCE(3y)13.46%
ROCE(5y)15.4%
ROICexgc growth 3Y-12.8%
ROICexgc growth 5Y0.81%
ROICexc growth 3Y-26.12%
ROICexc growth 5Y-7.11%
OM growth 3Y-12.84%
OM growth 5Y-1.26%
PM growth 3Y-8.78%
PM growth 5Y1.16%
GM growth 3Y-0.83%
GM growth 5Y0.68%
F-Score5
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 1.98 | ||
| Debt/EBITDA | 2.2 | ||
| Cap/Depr | 46.38% | ||
| Cap/Sales | 2.38% | ||
| Interest Coverage | 11.38 | ||
| Cash Conversion | 122.31% | ||
| Profit Quality | 151.42% | ||
| Current Ratio | 2.35 | ||
| Quick Ratio | 1.78 | ||
| Altman-Z | 5.77 |
F-Score5
WACC8.78%
ROIC/WACC0.8
Cap/Depr(3y)65.29%
Cap/Depr(5y)67.64%
Cap/Sales(3y)3.02%
Cap/Sales(5y)3.2%
Profit Quality(3y)137.45%
Profit Quality(5y)125.21%
High Growth Momentum
Growth
EPS 1Y (TTM)14.22%
EPS 3Y-2.14%
EPS 5Y8.07%
EPS Q2Q%15.76%
EPS Next Y15.1%
EPS Next 2Y14.75%
EPS Next 3Y13.49%
EPS Next 5Y12.9%
Revenue 1Y (TTM)7.95%
Revenue growth 3Y-0.28%
Revenue growth 5Y4.95%
Sales Q2Q%10.26%
Revenue Next Year14.98%
Revenue Next 2Y10.56%
Revenue Next 3Y9.18%
Revenue Next 5Y6.23%
EBIT growth 1Y5.16%
EBIT growth 3Y-13.08%
EBIT growth 5Y3.63%
EBIT Next Year30.51%
EBIT Next 3Y15.75%
EBIT Next 5YN/A
FCF growth 1Y42.65%
FCF growth 3Y10.13%
FCF growth 5Y7.34%
OCF growth 1Y33.94%
OCF growth 3Y7.19%
OCF growth 5Y6.76%
KEYSIGHT TECHNOLOGIES IN / KEYS FAQ
Can you provide the ChartMill fundamental rating for KEYSIGHT TECHNOLOGIES IN?
ChartMill assigns a fundamental rating of 6 / 10 to KEYS.
Can you provide the valuation status for KEYSIGHT TECHNOLOGIES IN?
ChartMill assigns a valuation rating of 4 / 10 to KEYSIGHT TECHNOLOGIES IN (KEYS). This can be considered as Fairly Valued.
What is the profitability of KEYS stock?
KEYSIGHT TECHNOLOGIES IN (KEYS) has a profitability rating of 8 / 10.
How financially healthy is KEYSIGHT TECHNOLOGIES IN?
The financial health rating of KEYSIGHT TECHNOLOGIES IN (KEYS) is 7 / 10.