KENVUE INC (KVUE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KVUE - US49177J1025 - Common Stock
16.64 USD
+0.49 (+3.03%)
16.57 USD
-0.07 (-0.42%)
We assign a fundamental rating of 4 out of 10 to KVUE. KVUE was compared to 34 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 on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year KVUE was profitable.
KVUE had a positive operating cash flow in the past year.
KVUE had positive earnings in 4 of the past 5 years.
KVUE had a positive operating cash flow in each of the past 5 years.
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 65.71% of the companies in the same industry.
KVUE has a Return On Equity of 13.48%. This is in the better half of the industry: KVUE outperforms 80.00% of its industry peers.
KVUE has a Return On Invested Capital of 8.96%. This is in the better half of the industry: KVUE outperforms 71.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KVUE is below the industry average of 12.51%.
| 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's Profit Margin of 9.55% is amongst the best of the industry. KVUE outperforms 85.71% of its industry peers.
In the last couple of years the Profit Margin of KVUE has declined.
The Operating Margin of KVUE (17.85%) is better than 91.43% of its industry peers.
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 42.86% of the companies in the same industry.
KVUE's Gross Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), KVUE is creating some value.
The number of shares outstanding for KVUE remains at a similar level compared to 1 year ago.
The debt/assets ratio for KVUE is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.02 indicates that KVUE is not a great score, but indicates only limited risk for bankruptcy at the moment.
KVUE has a Altman-Z score (2.02) which is comparable to the rest of the industry.
KVUE has a debt to FCF ratio of 5.47. This is a neutral value as KVUE would need 5.47 years to pay back of all of its debts.
KVUE has a better Debt to FCF ratio (5.47) than 68.57% of its industry peers.
KVUE has a Debt/Equity ratio of 0.77. This is a neutral value indicating KVUE is somewhat dependend on debt financing.
KVUE has a worse Debt to Equity ratio (0.77) than 62.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 2.02 |
ROIC/WACC1.16
WACC7.69%
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.
Looking at the Current ratio, with a value of 0.98, KVUE is doing worse than 82.86% of the companies in the same industry.
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.
With a Quick ratio value of 0.69, KVUE is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The earnings per share for KVUE have decreased strongly by -10.08% in the last year.
KVUE shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -6.76% yearly.
The Revenue has decreased by -2.93% in the past year.
KVUE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.53% yearly.
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
KVUE is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.69% yearly.
Based on estimates for the next years, KVUE will show a small growth in Revenue. The Revenue will grow by 2.01% on average per year.
EPS Next Y-7.2%
EPS Next 2Y0.41%
EPS Next 3Y2.63%
EPS Next 5Y3.69%
Revenue Next Year-2.66%
Revenue Next 2Y0.2%
Revenue Next 3Y1.19%
Revenue Next 5Y2.01%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.55 indicates a correct valuation of KVUE.
Based on the Price/Earnings ratio, KVUE is valued a bit cheaper than 71.43% of the companies in the same industry.
KVUE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.45.
A Price/Forward Earnings ratio of 14.48 indicates a correct valuation of KVUE.
68.57% of the companies in the same industry are more expensive than KVUE, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 34.46. KVUE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.55 | ||
| Fwd PE | 14.48 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KVUE is valued a bit cheaper than 65.71% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, KVUE is valued a bit cheaper than 65.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.48 | ||
| EV/EBITDA | 11.89 |
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 2Y0.41%
EPS Next 3Y2.63%
5. Dividend
5.1 Amount
KVUE has a Yearly Dividend Yield of 5.14%, which is a nice return.
In the last 3 months the price of KVUE has falen by -23.00%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
KVUE's Dividend Yield is rather good when compared to the industry average which is at 7.43. KVUE pays more dividend than 88.57% of the companies in the same industry.
KVUE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.14% |
5.2 History
KVUE has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
KVUE pays out 109.98% of its income as dividend. This is not a sustainable payout ratio.
DP109.98%
EPS Next 2Y0.41%
EPS Next 3Y2.63%
16.64
+0.49 (+3.03%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupHousehold & Personal Products
GICS IndustryPersonal Care Products
Earnings (Last)
Earnings (Next)
Inst Owners101.83%
Inst Owner Change5.71%
Ins Owners0.04%
Ins Owner Change0.01%
Market Cap31.93B
Revenue(TTM)15.01B
Net Income(TTM)1.43B
Analysts70.83
Price Target19.94 (19.83%)
Short Float %1.36%
Short Ratio0.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.14% |
Yearly Dividend0.81
Dividend Growth(5Y)N/A
DP109.98%
Div Incr Years1
Div Non Decr Years1
Ex-Date
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)-10.89%
PT rev (3m)-14.38%
EPS NQ rev (1m)2.69%
EPS NQ rev (3m)0.36%
EPS NY rev (1m)0.77%
EPS NY rev (3m)-0.5%
Revenue NQ rev (1m)-0.61%
Revenue NQ rev (3m)-1.38%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)-0.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.55 | ||
| Fwd PE | 14.48 | ||
| P/S | 2.13 | ||
| P/FCF | 19.48 | ||
| P/OCF | 14.95 | ||
| P/B | 3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.89 |
EPS(TTM)1.07
EY6.43%
EPS(NY)1.15
Fwd EY6.91%
FCF(TTM)0.85
FCFY5.13%
OCF(TTM)1.11
OCFY6.69%
SpS7.82
BVpS5.54
TBVpS-3.92
PEG (NY)N/A
PEG (5Y)N/A
Graham Number11.55
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 | 2.02 |
F-Score7
WACC7.69%
ROIC/WACC1.16
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-7.2%
EPS Next 2Y0.41%
EPS Next 3Y2.63%
EPS Next 5Y3.69%
Revenue 1Y (TTM)-2.93%
Revenue growth 3Y0.88%
Revenue growth 5Y1.53%
Sales Q2Q%-3.46%
Revenue Next Year-2.66%
Revenue Next 2Y0.2%
Revenue Next 3Y1.19%
Revenue Next 5Y2.01%
EBIT growth 1Y-2.86%
EBIT growth 3Y-1.26%
EBIT growth 5Y2.94%
EBIT Next Year9.11%
EBIT Next 3Y7.25%
EBIT Next 5Y6.24%
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.
Can you provide the valuation status for KENVUE INC?
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.
How financially healthy is KENVUE INC?
The financial health rating of KENVUE INC (KVUE) is 3 / 10.
Can you provide the dividend sustainability for KVUE stock?
The dividend rating of KENVUE INC (KVUE) is 4 / 10 and the dividend payout ratio is 109.98%.