658.69 USD
-4.6 (-0.69%)
657.3 USD
-1.39 (-0.21%)
We assign a fundamental rating of 7 out of 10 to META. META was compared to 70 industry peers in the Interactive Media & Services industry. META has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. META is growing strongly while it is still valued neutral. This is a good combination! With these ratings, META could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year META was profitable.
In the past year META had a positive cash flow from operations.
Each year in the past 5 years META has been profitable.
Each year in the past 5 years META had a positive operating cash flow.
1.2 Ratios
META has a better Return On Assets (19.26%) than 90.00% of its industry peers.
META has a better Return On Equity (30.16%) than 91.43% of its industry peers.
The Return On Invested Capital of META (26.56%) is better than 94.29% of its industry peers.
META had an Average Return On Invested Capital over the past 3 years of 21.71%. This is significantly above the industry average of 13.70%.
The 3 year average ROIC (21.71%) for META is below the current ROIC(26.56%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.26% | ||
| ROE | 30.16% | ||
| ROIC | 26.56% |
ROA(3y)17.37%
ROA(5y)18.82%
ROE(3y)26.04%
ROE(5y)26.47%
ROIC(3y)21.71%
ROIC(5y)22.52%
1.3 Margins
META has a Profit Margin of 30.89%. This is amongst the best in the industry. META outperforms 88.57% of its industry peers.
In the last couple of years the Profit Margin of META has grown nicely.
META has a Operating Margin of 43.28%. This is amongst the best in the industry. META outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of META has remained more or less at the same level.
META has a better Gross Margin (82.00%) than 81.43% of its industry peers.
META's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 43.28% | ||
| PM (TTM) | 30.89% | ||
| GM | 82% |
OM growth 3Y2.27%
OM growth 5Y0.68%
PM growth 3Y4.33%
PM growth 5Y7.71%
GM growth 3Y0.37%
GM growth 5Y-0.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so META is creating value.
META has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, META has less shares outstanding
The debt/assets ratio for META is higher compared to a year ago.
2.2 Solvency
META has an Altman-Z score of 11.26. This indicates that META is financially healthy and has little risk of bankruptcy at the moment.
META's Altman-Z score of 11.26 is amongst the best of the industry. META outperforms 91.43% of its industry peers.
The Debt to FCF ratio of META is 0.64, which is an excellent value as it means it would take META, only 0.64 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.64, META is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
META has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of META (0.15) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.64 | ||
| Altman-Z | 11.26 |
ROIC/WACC2.56
WACC10.37%
2.3 Liquidity
A Current Ratio of 1.98 indicates that META should not have too much problems paying its short term obligations.
META has a Current ratio of 1.98. This is comparable to the rest of the industry: META outperforms 57.14% of its industry peers.
META has a Quick Ratio of 1.98. This is a normal value and indicates that META is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.98, META is in line with its industry, outperforming 57.14% of the companies in the same industry.
The current and quick ratio evaluation for META is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 |
3. Growth
3.1 Past
META shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.85%, which is quite impressive.
The Earnings Per Share has been growing by 22.82% on average over the past years. This is a very strong growth
Looking at the last year, META shows a very strong growth in Revenue. The Revenue has grown by 21.27%.
META shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.40% yearly.
EPS 1Y (TTM)35.85%
EPS 3Y20.12%
EPS 5Y22.82%
EPS Q2Q%20.23%
Revenue 1Y (TTM)21.27%
Revenue growth 3Y11.73%
Revenue growth 5Y18.4%
Sales Q2Q%26.25%
3.2 Future
The Earnings Per Share is expected to grow by 10.28% on average over the next years. This is quite good.
Based on estimates for the next years, META will show a quite strong growth in Revenue. The Revenue will grow by 16.29% on average per year.
EPS Next Y5.93%
EPS Next 2Y13.44%
EPS Next 3Y13.59%
EPS Next 5Y10.28%
Revenue Next Year21.87%
Revenue Next 2Y20.02%
Revenue Next 3Y18.52%
Revenue Next 5Y16.29%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 22.84 indicates a rather expensive valuation of META.
Based on the Price/Earnings ratio, META is valued a bit cheaper than the industry average as 62.86% of the companies are valued more expensively.
META's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.84.
With a Price/Forward Earnings ratio of 21.40, META is valued on the expensive side.
META's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of META to the average of the S&P500 Index (23.40), we can say META is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.84 | ||
| Fwd PE | 21.4 |
4.2 Price Multiples
61.43% of the companies in the same industry are more expensive than META, based on the Enterprise Value to EBITDA ratio.
62.86% of the companies in the same industry are more expensive than META, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.03 | ||
| EV/EBITDA | 16.28 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates META does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of META may justify a higher PE ratio.
A more expensive valuation may be justified as META's earnings are expected to grow with 13.59% in the coming years.
PEG (NY)3.85
PEG (5Y)1
EPS Next 2Y13.44%
EPS Next 3Y13.59%
5. Dividend
5.1 Amount
META has a yearly dividend return of 0.27%, which is pretty low.
Compared to an average industry Dividend Yield of 0.76, META pays a better dividend. On top of this META pays more dividend than 90.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, META's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
5.2 History
META does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
META pays out 8.98% of its income as dividend. This is a sustainable payout ratio.
DP8.98%
EPS Next 2Y13.44%
EPS Next 3Y13.59%
658.69
-4.6 (-0.69%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners79.1%
Inst Owner Change-11.86%
Ins Owners0.02%
Ins Owner Change3.09%
Market Cap1.66T
Revenue(TTM)189.46B
Net Income(TTM)58.53B
Analysts83.78
Price Target850.96 (29.19%)
Short Float %1.49%
Short Ratio1.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
Yearly Dividend1.99
Dividend Growth(5Y)N/A
DP8.98%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.27%
Min EPS beat(2)6.23%
Max EPS beat(2)18.31%
EPS beat(4)4
Avg EPS beat(4)15%
Min EPS beat(4)6.23%
Max EPS beat(4)19.39%
EPS beat(8)8
Avg EPS beat(8)11.48%
EPS beat(12)11
Avg EPS beat(12)7.9%
EPS beat(16)12
Avg EPS beat(16)4.45%
Revenue beat(2)2
Avg Revenue beat(2)2.83%
Min Revenue beat(2)1.68%
Max Revenue beat(2)3.97%
Revenue beat(4)4
Avg Revenue beat(4)1.68%
Min Revenue beat(4)0.22%
Max Revenue beat(4)3.97%
Revenue beat(8)5
Avg Revenue beat(8)0.58%
Revenue beat(12)8
Avg Revenue beat(12)0.56%
Revenue beat(16)8
Avg Revenue beat(16)-0.03%
PT rev (1m)-1.1%
PT rev (3m)-1.88%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)2.13%
EPS NY rev (1m)-8.92%
EPS NY rev (3m)-11.81%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)1.58%
Revenue NY rev (1m)0.45%
Revenue NY rev (3m)1.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.84 | ||
| Fwd PE | 21.4 | ||
| P/S | 8.76 | ||
| P/FCF | 37.03 | ||
| P/OCF | 15.43 | ||
| P/B | 8.56 | ||
| P/tB | 9.6 | ||
| EV/EBITDA | 16.28 |
EPS(TTM)28.84
EY4.38%
EPS(NY)30.78
Fwd EY4.67%
FCF(TTM)17.79
FCFY2.7%
OCF(TTM)42.68
OCFY6.48%
SpS75.17
BVpS76.99
TBVpS68.6
PEG (NY)3.85
PEG (5Y)1
Graham Number223.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.26% | ||
| ROE | 30.16% | ||
| ROCE | 30.72% | ||
| ROIC | 26.56% | ||
| ROICexc | 31.87% | ||
| ROICexgc | 35.22% | ||
| OM | 43.28% | ||
| PM (TTM) | 30.89% | ||
| GM | 82% | ||
| FCFM | 23.67% |
ROA(3y)17.37%
ROA(5y)18.82%
ROE(3y)26.04%
ROE(5y)26.47%
ROIC(3y)21.71%
ROIC(5y)22.52%
ROICexc(3y)31.35%
ROICexc(5y)34.01%
ROICexgc(3y)37.1%
ROICexgc(5y)41.77%
ROCE(3y)25.11%
ROCE(5y)26.05%
ROICexgc growth 3Y-7.04%
ROICexgc growth 5Y-5.9%
ROICexc growth 3Y-4.25%
ROICexc growth 5Y-1.49%
OM growth 3Y2.27%
OM growth 5Y0.68%
PM growth 3Y4.33%
PM growth 5Y7.71%
GM growth 3Y0.37%
GM growth 5Y-0.06%
F-Score7
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 0.64 | ||
| Debt/EBITDA | 0.29 | ||
| Cap/Depr | 355.13% | ||
| Cap/Sales | 33.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 107.95% | ||
| Profit Quality | 76.61% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.98 | ||
| Altman-Z | 11.26 |
F-Score7
WACC10.37%
ROIC/WACC2.56
Cap/Depr(3y)282.06%
Cap/Depr(5y)259.9%
Cap/Sales(3y)23.27%
Cap/Sales(5y)20.63%
Profit Quality(3y)93.65%
Profit Quality(5y)92.28%
High Growth Momentum
Growth
EPS 1Y (TTM)35.85%
EPS 3Y20.12%
EPS 5Y22.82%
EPS Q2Q%20.23%
EPS Next Y5.93%
EPS Next 2Y13.44%
EPS Next 3Y13.59%
EPS Next 5Y10.28%
Revenue 1Y (TTM)21.27%
Revenue growth 3Y11.73%
Revenue growth 5Y18.4%
Sales Q2Q%26.25%
Revenue Next Year21.87%
Revenue Next 2Y20.02%
Revenue Next 3Y18.52%
Revenue Next 5Y16.29%
EBIT growth 1Y28.42%
EBIT growth 3Y14.27%
EBIT growth 5Y19.21%
EBIT Next Year78.8%
EBIT Next 3Y34.63%
EBIT Next 5Y27.58%
FCF growth 1Y19.33%
FCF growth 3Y11.4%
FCF growth 5Y20.58%
OCF growth 1Y62.45%
OCF growth 3Y16.55%
OCF growth 5Y20.26%
META PLATFORMS INC-CLASS A / META FAQ
What is the fundamental rating for META stock?
ChartMill assigns a fundamental rating of 7 / 10 to META.
What is the valuation status of META PLATFORMS INC-CLASS A (META) stock?
ChartMill assigns a valuation rating of 4 / 10 to META PLATFORMS INC-CLASS A (META). This can be considered as Fairly Valued.
What is the profitability of META stock?
META PLATFORMS INC-CLASS A (META) has a profitability rating of 9 / 10.
What is the valuation of META PLATFORMS INC-CLASS A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for META PLATFORMS INC-CLASS A (META) is 22.84 and the Price/Book (PB) ratio is 8.56.
Is the dividend of META PLATFORMS INC-CLASS A sustainable?
The dividend rating of META PLATFORMS INC-CLASS A (META) is 3 / 10 and the dividend payout ratio is 8.98%.