KENVUE INC (KVUE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KVUE - US49177J1025 - Common Stock
17 USD
+0.17 (+1.01%)
17.08 USD
+0.08 (+0.47%)
Taking everything into account, KVUE scores 4 out of 10 in our fundamental rating. KVUE was compared to 36 industry peers in the Personal Care Products industry. While KVUE is still in line with the averages on profitability rating, there are concerns on its financial health. KVUE has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
KVUE had positive earnings in the past year.
KVUE had a positive operating cash flow in the past year.
Of the past 5 years KVUE 4 years were profitable.
Each year in the past 5 years KVUE had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.26%, KVUE is in the better half of the industry, outperforming 63.89% of the companies in the same industry.
Looking at the Return On Equity, with a value of 13.48%, KVUE is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
With a decent Return On Invested Capital value of 8.96%, KVUE is doing good in the industry, outperforming 72.22% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for KVUE is below the industry average of 11.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 13.48% | ||
| ROIC | 8.96% |
ROA(3y)5.88%
ROA(5y)4.38%
ROE(3y)11.97%
ROE(5y)8.22%
ROIC(3y)9.78%
ROIC(5y)9.81%
1.3 Margins
KVUE has a Profit Margin of 9.55%. This is amongst the best in the industry. KVUE outperforms 86.11% of its industry peers.
In the last couple of years the Profit Margin of KVUE has declined.
With an excellent Operating Margin value of 17.85%, KVUE belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
KVUE's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 58.50%, KVUE is in line with its industry, outperforming 44.44% of the companies in the same industry.
In the last couple of years the Gross Margin of KVUE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.85% | ||
| PM (TTM) | 9.55% | ||
| GM | 58.5% |
OM growth 3Y-2.12%
OM growth 5Y1.39%
PM growth 3Y-20.95%
PM growth 5Y-7.83%
GM growth 3Y1.24%
GM growth 5Y1.68%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so KVUE is still creating some value.
Compared to 1 year ago, KVUE has about the same amount of shares outstanding.
KVUE has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.03 indicates that KVUE is not a great score, but indicates only limited risk for bankruptcy at the moment.
KVUE has a Altman-Z score (2.03) which is in line with its industry peers.
The Debt to FCF ratio of KVUE is 5.47, which is a neutral value as it means it would take KVUE, 5.47 years of fcf income to pay off all of its debts.
KVUE has a better Debt to FCF ratio (5.47) than 75.00% of its industry peers.
A Debt/Equity ratio of 0.77 indicates that KVUE is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.77, KVUE is in line with its industry, outperforming 47.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 2.03 |
ROIC/WACC1.15
WACC7.8%
2.3 Liquidity
KVUE has a Current Ratio of 0.98. This is a bad value and indicates that KVUE is not financially healthy enough and could expect problems in meeting its short term obligations.
KVUE's Current ratio of 0.98 is on the low side compared to the rest of the industry. KVUE is outperformed by 77.78% of its industry peers.
KVUE has a Quick Ratio of 0.98. This is a bad value and indicates that KVUE is not financially healthy enough and could expect problems in meeting its short term obligations.
KVUE has a worse Quick ratio (0.69) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
KVUE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.08%.
Measured over the past years, KVUE shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.76% on average per year.
The Revenue has decreased by -2.93% in the past year.
Measured over the past years, KVUE shows a small growth in Revenue. The Revenue has been growing by 1.53% on average per year.
EPS 1Y (TTM)-10.08%
EPS 3Y-20.85%
EPS 5Y-6.76%
EPS Q2Q%0%
Revenue 1Y (TTM)-2.93%
Revenue growth 3Y0.88%
Revenue growth 5Y1.53%
Sales Q2Q%-3.46%
3.2 Future
The Earnings Per Share is expected to grow by 3.28% on average over the next years.
KVUE is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.78% yearly.
EPS Next Y-7.69%
EPS Next 2Y-0.53%
EPS Next 3Y1.82%
EPS Next 5Y3.28%
Revenue Next Year-3.38%
Revenue Next 2Y-0.33%
Revenue Next 3Y0.75%
Revenue Next 5Y1.78%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.89 indicates a correct valuation of KVUE.
KVUE's Price/Earnings ratio is a bit cheaper when compared to the industry. KVUE is cheaper than 77.78% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.25, KVUE is valued a bit cheaper.
With a Price/Forward Earnings ratio of 15.07, KVUE is valued correctly.
Based on the Price/Forward Earnings ratio, KVUE is valued a bit cheaper than the industry average as 72.22% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.98. KVUE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.89 | ||
| Fwd PE | 15.07 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KVUE is valued a bit cheaper than 63.89% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KVUE indicates a somewhat cheap valuation: KVUE is cheaper than 72.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.87 | ||
| EV/EBITDA | 11.98 |
4.3 Compensation for Growth
The decent profitability rating of KVUE may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.53%
EPS Next 3Y1.82%
5. Dividend
5.1 Amount
KVUE has a Yearly Dividend Yield of 4.89%, which is a nice return.
KVUE's Dividend Yield is rather good when compared to the industry average which is at 2.04. KVUE pays more dividend than 88.89% of the companies in the same industry.
KVUE's Dividend Yield is rather good when compared to the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
5.2 History
KVUE has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
109.98% of the earnings are spent on dividend by KVUE. This is not a sustainable payout ratio.
DP109.98%
EPS Next 2Y-0.53%
EPS Next 3Y1.82%
17
+0.17 (+1.01%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners99.02%
Inst Owner Change-0.02%
Ins Owners0.03%
Ins Owner Change0.06%
Market Cap32.57B
Revenue(TTM)15.01B
Net Income(TTM)1.43B
Analysts68.57
Price Target19.94 (17.29%)
Short Float %3.57%
Short Ratio1.66
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.89% |
Yearly Dividend0.81
Dividend Growth(5Y)N/A
DP109.98%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.07%
Min EPS beat(2)0.62%
Max EPS beat(2)3.52%
EPS beat(4)3
Avg EPS beat(4)1.5%
Min EPS beat(4)-1.2%
Max EPS beat(4)3.52%
EPS beat(8)7
Avg EPS beat(8)4.52%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.06%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-2.32%
Revenue beat(4)0
Avg Revenue beat(4)-2.92%
Min Revenue beat(4)-4.66%
Max Revenue beat(4)-0.9%
Revenue beat(8)1
Avg Revenue beat(8)-2.41%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-10.89%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.75%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.89 | ||
| Fwd PE | 15.07 | ||
| P/S | 2.17 | ||
| P/FCF | 19.87 | ||
| P/OCF | 15.25 | ||
| P/B | 3.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.98 |
EPS(TTM)1.07
EY6.29%
EPS(NY)1.13
Fwd EY6.64%
FCF(TTM)0.86
FCFY5.03%
OCF(TTM)1.11
OCFY6.56%
SpS7.83
BVpS5.55
TBVpS-3.93
PEG (NY)N/A
PEG (5Y)N/A
Graham Number11.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 13.48% | ||
| ROCE | 12.7% | ||
| ROIC | 8.96% | ||
| ROICexc | 9.44% | ||
| ROICexgc | 67.42% | ||
| OM | 17.85% | ||
| PM (TTM) | 9.55% | ||
| GM | 58.5% | ||
| FCFM | 10.92% |
ROA(3y)5.88%
ROA(5y)4.38%
ROE(3y)11.97%
ROE(5y)8.22%
ROIC(3y)9.78%
ROIC(5y)9.81%
ROICexc(3y)10.35%
ROICexc(5y)10.27%
ROICexgc(3y)82.34%
ROICexgc(5y)N/A
ROCE(3y)13.46%
ROCE(5y)13.38%
ROICexgc growth 3Y3.71%
ROICexgc growth 5YN/A
ROICexc growth 3Y4.38%
ROICexc growth 5YN/A
OM growth 3Y-2.12%
OM growth 5Y1.39%
PM growth 3Y-20.95%
PM growth 5Y-7.83%
GM growth 3Y1.24%
GM growth 5Y1.68%
F-Score7
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.47 | ||
| Debt/EBITDA | 2.53 | ||
| Cap/Depr | 87.35% | ||
| Cap/Sales | 3.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.76% | ||
| Profit Quality | 114.38% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.03 |
F-Score7
WACC7.8%
ROIC/WACC1.15
Cap/Depr(3y)67.6%
Cap/Depr(5y)54.77%
Cap/Sales(3y)2.78%
Cap/Sales(5y)2.38%
Profit Quality(3y)131.61%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.08%
EPS 3Y-20.85%
EPS 5Y-6.76%
EPS Q2Q%0%
EPS Next Y-7.69%
EPS Next 2Y-0.53%
EPS Next 3Y1.82%
EPS Next 5Y3.28%
Revenue 1Y (TTM)-2.93%
Revenue growth 3Y0.88%
Revenue growth 5Y1.53%
Sales Q2Q%-3.46%
Revenue Next Year-3.38%
Revenue Next 2Y-0.33%
Revenue Next 3Y0.75%
Revenue Next 5Y1.78%
EBIT growth 1Y-2.86%
EBIT growth 3Y-1.26%
EBIT growth 5Y2.94%
EBIT Next Year7.34%
EBIT Next 3Y6.45%
EBIT Next 5Y6.39%
FCF growth 1Y-33.29%
FCF growth 3Y224.69%
FCF growth 5Y-13.2%
OCF growth 1Y-25.37%
OCF growth 3Y74.31%
OCF growth 5Y-10.01%
KENVUE INC / KVUE FAQ
What is the fundamental rating for KVUE stock?
ChartMill assigns a fundamental rating of 4 / 10 to KVUE.
What is the valuation status for KVUE stock?
ChartMill assigns a valuation rating of 5 / 10 to KENVUE INC (KVUE). This can be considered as Fairly Valued.
What is the profitability of KVUE stock?
KENVUE INC (KVUE) has a profitability rating of 6 / 10.
What are the PE and PB ratios of KENVUE INC (KVUE) stock?
The Price/Earnings (PE) ratio for KENVUE INC (KVUE) is 15.89 and the Price/Book (PB) ratio is 3.06.
What is the earnings growth outlook for KENVUE INC?
The Earnings per Share (EPS) of KENVUE INC (KVUE) is expected to decline by -7.69% in the next year.