KENVUE INC (KVUE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KVUE - US49177J1025 - Common Stock
17.35 USD
+0.13 (+0.75%)
17.325 USD
-0.03 (-0.14%)
Taking everything into account, KVUE scores 4 out of 10 in our fundamental rating. KVUE was compared to 35 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 is valued correctly, but it does not seem to be growing.
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.
Each year in the past 5 years KVUE had a positive operating cash flow.
1.2 Ratios
KVUE has a better Return On Assets (5.26%) than 65.71% of its industry peers.
With a decent Return On Equity value of 13.48%, KVUE is doing good in the industry, outperforming 80.00% 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 71.43% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for KVUE is below the industry average of 12.46%.
| 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
The Profit Margin of KVUE (9.55%) is better than 85.71% of its industry peers.
In the last couple of years the Profit Margin of KVUE has declined.
Looking at the Operating Margin, with a value of 17.85%, KVUE belongs to the top of the industry, outperforming 91.43% of the companies in the same industry.
In the last couple of years the Operating Margin of KVUE has remained more or less at the same level.
KVUE has a Gross Margin (58.50%) which is comparable to the rest of the 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
KVUE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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 2.06 indicates that KVUE is not a great score, but indicates only limited risk for bankruptcy at the moment.
KVUE has a Altman-Z score (2.06) which is comparable to the rest of the industry.
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.
The Debt to FCF ratio of KVUE (5.47) is better than 71.43% of its industry peers.
A Debt/Equity ratio of 0.77 indicates that KVUE is somewhat dependend on debt financing.
KVUE's Debt to Equity ratio of 0.77 is on the low side compared to the rest of the industry. KVUE is outperformed by 62.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.77 | ||
| Debt/FCF | 5.47 | ||
| Altman-Z | 2.06 |
ROIC/WACC1.17
WACC7.67%
2.3 Liquidity
A Current Ratio of 0.98 indicates that KVUE may have some problems paying its short term obligations.
With a Current ratio value of 0.98, KVUE is not doing good in the industry: 82.86% of the companies in the same industry are doing better.
A Quick Ratio of 0.69 indicates that KVUE may have some problems paying its short term obligations.
KVUE's Quick ratio of 0.69 is on the low side compared to the rest of the industry. KVUE is outperformed by 71.43% of its industry peers.
| 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.
The Earnings Per Share has been decreasing by -6.76% on average over the past years.
Looking at the last year, KVUE shows a decrease in Revenue. The Revenue has decreased by -2.93% in the last 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
The Earnings Per Share is expected to grow by 3.69% 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 2.01% yearly.
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.
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 16.21, the valuation of KVUE can be described as correct.
KVUE's Price/Earnings ratio is a bit cheaper when compared to the industry. KVUE is cheaper than 71.43% of the companies in the same industry.
KVUE is valuated rather cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 15.10, which indicates a correct valuation of KVUE.
KVUE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. KVUE is cheaper than 68.57% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, KVUE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.21 | ||
| Fwd PE | 15.1 |
4.2 Price Multiples
62.86% of the companies in the same industry are more expensive than KVUE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, KVUE is valued a bit cheaper than the industry average as 62.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.31 | ||
| EV/EBITDA | 12.23 |
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.
KVUE's Dividend Yield is rather good when compared to the industry average which is at 7.49. KVUE pays more dividend than 88.57% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, KVUE pays a better dividend.
| 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%
17.35
+0.13 (+0.75%)
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 Cap33.30B
Revenue(TTM)15.01B
Net Income(TTM)1.43B
Analysts70.83
Price Target19.94 (14.93%)
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 | 16.21 | ||
| Fwd PE | 15.1 | ||
| P/S | 2.22 | ||
| P/FCF | 20.31 | ||
| P/OCF | 15.59 | ||
| P/B | 3.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.23 |
EPS(TTM)1.07
EY6.17%
EPS(NY)1.15
Fwd EY6.62%
FCF(TTM)0.85
FCFY4.92%
OCF(TTM)1.11
OCFY6.42%
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 | 2.06 |
F-Score7
WACC7.67%
ROIC/WACC1.17
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%.