ODP CORP/THE (ODP) Stock Fundamental Analysis
USA - NASDAQ:ODP - US88337F1057 - Common Stock
27.87 USD
+0.02 (+0.07%)
27.85 USD
-0.02 (-0.07%)
Overall ODP gets a fundamental rating of 3 out of 10. We evaluated ODP against 122 industry peers in the Specialty Retail industry. The financial health of ODP is average, but there are quite some concerns on its profitability. ODP is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year ODP was profitable.
In the past year ODP had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: ODP reported negative net income in multiple years.
Each year in the past 5 years ODP had a positive operating cash flow.
1.2 Ratios
ODP's Return On Assets of 0.76% is in line compared to the rest of the industry. ODP outperforms 52.46% of its industry peers.
With a Return On Equity value of 3.27%, ODP perfoms like the industry average, outperforming 58.20% of the companies in the same industry.
The Return On Invested Capital of ODP (5.98%) is better than 61.48% of its industry peers.
ODP had an Average Return On Invested Capital over the past 3 years of 9.37%. This is below the industry average of 11.80%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.76% | ||
| ROE | 3.27% | ||
| ROIC | 5.98% |
ROA(3y)2.5%
ROA(5y)-0.5%
ROE(3y)8.38%
ROE(5y)-1.26%
ROIC(3y)9.37%
ROIC(5y)8.63%
1.3 Margins
Looking at the Profit Margin, with a value of 0.39%, ODP is in line with its industry, outperforming 51.64% of the companies in the same industry.
With a Operating Margin value of 2.27%, ODP perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
ODP's Operating Margin has declined in the last couple of years.
ODP's Gross Margin of 20.39% is on the low side compared to the rest of the industry. ODP is outperformed by 81.15% of its industry peers.
In the last couple of years the Gross Margin of ODP has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.27% | ||
| PM (TTM) | 0.39% | ||
| GM | 20.39% |
OM growth 3Y-11.77%
OM growth 5Y-6.21%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.07%
GM growth 5Y-2.23%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ODP is destroying value.
ODP has less shares outstanding than it did 1 year ago.
The number of shares outstanding for ODP has been reduced compared to 5 years ago.
Compared to 1 year ago, ODP has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.13 indicates that ODP is not a great score, but indicates only limited risk for bankruptcy at the moment.
ODP's Altman-Z score of 2.13 is in line compared to the rest of the industry. ODP outperforms 48.36% of its industry peers.
The Debt to FCF ratio of ODP is 2.58, which is a good value as it means it would take ODP, 2.58 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.58, ODP is doing good in the industry, outperforming 73.77% of the companies in the same industry.
A Debt/Equity ratio of 0.30 indicates that ODP is not too dependend on debt financing.
ODP has a Debt to Equity ratio (0.30) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.58 | ||
| Altman-Z | 2.13 |
ROIC/WACC0.63
WACC9.42%
2.3 Liquidity
A Current Ratio of 0.94 indicates that ODP may have some problems paying its short term obligations.
ODP has a worse Current ratio (0.94) than 76.23% of its industry peers.
ODP has a Quick Ratio of 0.94. This is a bad value and indicates that ODP is not financially healthy enough and could expect problems in meeting its short term obligations.
ODP has a Quick ratio (0.45) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.45 |
3. Growth
3.1 Past
ODP shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.01%.
The earnings per share for ODP have been decreasing by -40.80% on average. This is quite bad
Looking at the last year, ODP shows a very negative growth in Revenue. The Revenue has decreased by -10.65% in the last year.
Measured over the past years, ODP shows a decrease in Revenue. The Revenue has been decreasing by -8.07% on average per year.
EPS 1Y (TTM)4.01%
EPS 3Y-10.74%
EPS 5Y-40.8%
EPS Q2Q%60.56%
Revenue 1Y (TTM)-10.65%
Revenue growth 3Y-6.18%
Revenue growth 5Y-8.07%
Sales Q2Q%-8.71%
3.2 Future
Based on estimates for the next years, ODP will show a decrease in Earnings Per Share. The EPS will decrease by -4.75% on average per year.
The Revenue is expected to decrease by -4.24% on average over the next years.
EPS Next Y-1.15%
EPS Next 2Y-1.14%
EPS Next 3Y-4.75%
EPS Next 5YN/A
Revenue Next Year-6.49%
Revenue Next 2Y-3.61%
Revenue Next 3Y-4.24%
Revenue Next 5YN/A
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 8.27, the valuation of ODP can be described as reasonable.
ODP's Price/Earnings ratio is rather cheap when compared to the industry. ODP is cheaper than 89.34% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.28. ODP is valued rather cheaply when compared to this.
ODP is valuated reasonably with a Price/Forward Earnings ratio of 9.57.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ODP indicates a rather cheap valuation: ODP is cheaper than 84.43% of the companies listed in the same industry.
ODP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 33.61.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.27 | ||
| Fwd PE | 9.57 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ODP indicates a rather cheap valuation: ODP is cheaper than 92.62% of the companies listed in the same industry.
ODP's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ODP is cheaper than 89.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.84 | ||
| EV/EBITDA | 3.54 |
4.3 Compensation for Growth
ODP's earnings are expected to decrease with -4.75% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.14%
EPS Next 3Y-4.75%
5. Dividend
5.1 Amount
ODP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
27.87
+0.02 (+0.07%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners103.16%
Inst Owner Change-0.01%
Ins Owners5.33%
Ins Owner Change-0.03%
Market Cap839.44M
Revenue(TTM)6.99B
Net Income(TTM)26.00M
Analysts46.67
Price Target32.3 (15.9%)
Short Float %11.85%
Short Ratio3.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.81%
Min EPS beat(2)38.98%
Max EPS beat(2)60.64%
EPS beat(4)2
Avg EPS beat(4)6.2%
Min EPS beat(4)-56.16%
Max EPS beat(4)60.64%
EPS beat(8)4
Avg EPS beat(8)-3.7%
EPS beat(12)7
Avg EPS beat(12)1.68%
EPS beat(16)11
Avg EPS beat(16)13.13%
Revenue beat(2)1
Avg Revenue beat(2)-0.24%
Min Revenue beat(2)-1.37%
Max Revenue beat(2)0.89%
Revenue beat(4)1
Avg Revenue beat(4)-0.91%
Min Revenue beat(4)-3.16%
Max Revenue beat(4)0.89%
Revenue beat(8)1
Avg Revenue beat(8)-2.23%
Revenue beat(12)1
Avg Revenue beat(12)-2.3%
Revenue beat(16)3
Avg Revenue beat(16)-1.93%
PT rev (1m)0%
PT rev (3m)2.15%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-11.44%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.27 | ||
| Fwd PE | 9.57 | ||
| P/S | 0.13 | ||
| P/FCF | 8.84 | ||
| P/OCF | 4.77 | ||
| P/B | 1.05 | ||
| P/tB | 2.48 | ||
| EV/EBITDA | 3.54 |
EPS(TTM)3.37
EY12.09%
EPS(NY)2.91
Fwd EY10.45%
FCF(TTM)3.15
FCFY11.32%
OCF(TTM)5.84
OCFY20.97%
SpS222.05
BVpS26.43
TBVpS11.22
PEG (NY)N/A
PEG (5Y)N/A
Graham Number44.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.76% | ||
| ROE | 3.27% | ||
| ROCE | 8.1% | ||
| ROIC | 5.98% | ||
| ROICexc | 6.6% | ||
| ROICexgc | 9.04% | ||
| OM | 2.27% | ||
| PM (TTM) | 0.39% | ||
| GM | 20.39% | ||
| FCFM | 1.42% |
ROA(3y)2.5%
ROA(5y)-0.5%
ROE(3y)8.38%
ROE(5y)-1.26%
ROIC(3y)9.37%
ROIC(5y)8.63%
ROICexc(3y)11.12%
ROICexc(5y)10.45%
ROICexgc(3y)14.98%
ROICexgc(5y)14.36%
ROCE(3y)12.69%
ROCE(5y)11.69%
ROICexgc growth 3Y-13.22%
ROICexgc growth 5Y-5.2%
ROICexc growth 3Y-13.37%
ROICexc growth 5Y-1.62%
OM growth 3Y-11.77%
OM growth 5Y-6.21%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.07%
GM growth 5Y-2.23%
F-Score6
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 2.58 | ||
| Debt/EBITDA | 0.93 | ||
| Cap/Depr | 77.88% | ||
| Cap/Sales | 1.21% | ||
| Interest Coverage | 6.61 | ||
| Cash Conversion | 68.75% | ||
| Profit Quality | 365.39% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.45 | ||
| Altman-Z | 2.13 |
F-Score6
WACC9.42%
ROIC/WACC0.63
Cap/Depr(3y)89.3%
Cap/Depr(5y)70.78%
Cap/Sales(3y)1.3%
Cap/Sales(5y)1.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.01%
EPS 3Y-10.74%
EPS 5Y-40.8%
EPS Q2Q%60.56%
EPS Next Y-1.15%
EPS Next 2Y-1.14%
EPS Next 3Y-4.75%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.65%
Revenue growth 3Y-6.18%
Revenue growth 5Y-8.07%
Sales Q2Q%-8.71%
Revenue Next Year-6.49%
Revenue Next 2Y-3.61%
Revenue Next 3Y-4.24%
Revenue Next 5YN/A
EBIT growth 1Y-36.13%
EBIT growth 3Y-17.22%
EBIT growth 5Y-13.78%
EBIT Next Year45.86%
EBIT Next 3Y7.36%
EBIT Next 5YN/A
FCF growth 1Y-73.83%
FCF growth 3Y-51.06%
FCF growth 5Y-31.74%
OCF growth 1Y-62.55%
OCF growth 3Y-27.84%
OCF growth 5Y-18.7%
ODP CORP/THE / ODP FAQ
Can you provide the ChartMill fundamental rating for ODP CORP/THE?
ChartMill assigns a fundamental rating of 3 / 10 to ODP.
Can you provide the valuation status for ODP CORP/THE?
ChartMill assigns a valuation rating of 7 / 10 to ODP CORP/THE (ODP). This can be considered as Undervalued.
How profitable is ODP CORP/THE (ODP) stock?
ODP CORP/THE (ODP) has a profitability rating of 3 / 10.
Can you provide the PE and PB ratios for ODP stock?
The Price/Earnings (PE) ratio for ODP CORP/THE (ODP) is 8.27 and the Price/Book (PB) ratio is 1.05.
How financially healthy is ODP CORP/THE?
The financial health rating of ODP CORP/THE (ODP) is 4 / 10.