QURATE RETAIL INC-SERIES A (QRTEA) Stock Fundamental Analysis
USA - NASDAQ:QRTEA - US74915M1009 - Common Stock
0.3588 USD
0 (-0.33%)
0.367 USD
+0.01 (+2.29%)
We assign a fundamental rating of 4 out of 10 to QRTEA. QRTEA was compared to 28 industry peers in the Broadline Retail industry. Both the profitability and financial health of QRTEA have multiple concerns. QRTEA scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
QRTEA had positive earnings in the past year.
QRTEA had a positive operating cash flow in the past year.
In multiple years QRTEA reported negative net income over the last 5 years.
In the past 5 years QRTEA always reported a positive cash flow from operatings.
1.2 Ratios
QRTEA has a Return On Assets of -2.57%. This is comparable to the rest of the industry: QRTEA outperforms 41.94% of its industry peers.
The Return On Equity of QRTEA (-69.77%) is worse than 74.19% of its industry peers.
QRTEA has a Return On Invested Capital (6.88%) which is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for QRTEA is below the industry average of 11.01%.
The 3 year average ROIC (6.54%) for QRTEA is below the current ROIC(6.88%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.57% | ||
| ROE | -69.77% | ||
| ROIC | 6.88% |
ROA(3y)-6.6%
ROA(5y)-3.07%
ROE(3y)-218.45%
ROE(5y)-126.26%
ROIC(3y)6.54%
ROIC(5y)7.55%
1.3 Margins
Looking at the Operating Margin, with a value of 6.92%, QRTEA is in the better half of the industry, outperforming 64.52% of the companies in the same industry.
In the last couple of years the Operating Margin of QRTEA has declined.
QRTEA's Gross Margin of 35.09% is on the low side compared to the rest of the industry. QRTEA is outperformed by 70.97% of its industry peers.
In the last couple of years the Gross Margin of QRTEA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.92% | ||
| PM (TTM) | N/A | ||
| GM | 35.09% |
OM growth 3Y-20.24%
OM growth 5Y-10.22%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.68%
GM growth 5Y-0.46%
2. Health
2.1 Basic Checks
QRTEA has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
QRTEA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, QRTEA has less shares outstanding
The debt/assets ratio for QRTEA has been reduced compared to a year ago.
2.2 Solvency
QRTEA has an Altman-Z score of 1.26. This is a bad value and indicates that QRTEA is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.26, QRTEA is doing worse than 67.74% of the companies in the same industry.
QRTEA has a debt to FCF ratio of 15.29. This is a negative value and a sign of low solvency as QRTEA would need 15.29 years to pay back of all of its debts.
QRTEA has a Debt to FCF ratio of 15.29. This is comparable to the rest of the industry: QRTEA outperforms 41.94% of its industry peers.
QRTEA has a Debt/Equity ratio of 13.75. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 13.75, QRTEA is doing worse than 83.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.75 | ||
| Debt/FCF | 15.29 | ||
| Altman-Z | 1.26 |
ROIC/WACC1.27
WACC5.44%
2.3 Liquidity
QRTEA has a Current Ratio of 1.22. This is a normal value and indicates that QRTEA is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.22, QRTEA perfoms like the industry average, outperforming 45.16% of the companies in the same industry.
A Quick Ratio of 0.73 indicates that QRTEA may have some problems paying its short term obligations.
QRTEA has a Quick ratio of 0.73. This is in the lower half of the industry: QRTEA underperforms 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 1100.00% over the past year.
QRTEA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -34.09% yearly.
Looking at the last year, QRTEA shows a decrease in Revenue. The Revenue has decreased by -9.40% in the last year.
Measured over the past years, QRTEA shows a decrease in Revenue. The Revenue has been decreasing by -4.95% on average per year.
EPS 1Y (TTM)1100%
EPS 3Y-56.77%
EPS 5Y-34.09%
EPS Q2Q%-160%
Revenue 1Y (TTM)-9.4%
Revenue growth 3Y-8.35%
Revenue growth 5Y-4.95%
Sales Q2Q%-5.45%
3.2 Future
QRTEA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.53% yearly.
Based on estimates for the next years, QRTEA will show a decrease in Revenue. The Revenue will decrease by -2.97% on average per year.
EPS Next Y45.49%
EPS Next 2Y59.8%
EPS Next 3Y39.53%
EPS Next 5YN/A
Revenue Next Year-8.12%
Revenue Next 2Y-4.63%
Revenue Next 3Y-2.97%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
QRTEA is valuated cheaply with a Price/Earnings ratio of 1.20.
Based on the Price/Earnings ratio, QRTEA is valued cheaper than 96.77% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.38. QRTEA is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 0.59, which indicates a rather cheap valuation of QRTEA.
100.00% of the companies in the same industry are more expensive than QRTEA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.86. QRTEA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.2 | ||
| Fwd PE | 0.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of QRTEA indicates a rather cheap valuation: QRTEA is cheaper than 87.10% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, QRTEA is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.34 | ||
| EV/EBITDA | 5.11 |
4.3 Compensation for Growth
QRTEA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as QRTEA's earnings are expected to grow with 39.53% in the coming years.
PEG (NY)0.03
PEG (5Y)N/A
EPS Next 2Y59.8%
EPS Next 3Y39.53%
5. Dividend
5.1 Amount
No dividends for QRTEA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
0.3588
0 (-0.33%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners53.6%
Inst Owner Change-73.85%
Ins Owners0.68%
Ins Owner Change0%
Market Cap142.43M
Analysts40
Price Target0.65 (81.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.02
Dividend Growth(5Y)N/A
DP-1.44%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-63.29%
Min EPS beat(2)-163.32%
Max EPS beat(2)36.74%
EPS beat(4)2
Avg EPS beat(4)-16.89%
Min EPS beat(4)-163.32%
Max EPS beat(4)64.3%
EPS beat(8)4
Avg EPS beat(8)-16.99%
EPS beat(12)4
Avg EPS beat(12)-36.91%
EPS beat(16)7
Avg EPS beat(16)-20.82%
Revenue beat(2)0
Avg Revenue beat(2)-5.36%
Min Revenue beat(2)-5.86%
Max Revenue beat(2)-4.86%
Revenue beat(4)0
Avg Revenue beat(4)-5.64%
Min Revenue beat(4)-6.65%
Max Revenue beat(4)-4.86%
Revenue beat(8)1
Avg Revenue beat(8)-4.37%
Revenue beat(12)2
Avg Revenue beat(12)-4.24%
Revenue beat(16)4
Avg Revenue beat(16)-3.65%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-31.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.2 | ||
| Fwd PE | 0.59 | ||
| P/S | 0.01 | ||
| P/FCF | 0.34 | ||
| P/OCF | 0.23 | ||
| P/B | 0.36 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.11 |
EPS(TTM)0.3
EY83.61%
EPS(NY)0.61
Fwd EY170.81%
FCF(TTM)1.04
FCFY290.68%
OCF(TTM)1.59
OCFY442.34%
SpS25.79
BVpS1
TBVpS-14.9
PEG (NY)0.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.57% | ||
| ROE | -69.77% | ||
| ROCE | 8.71% | ||
| ROIC | 6.88% | ||
| ROICexc | 7.71% | ||
| ROICexgc | 59.44% | ||
| OM | 6.92% | ||
| PM (TTM) | N/A | ||
| GM | 35.09% | ||
| FCFM | 4.04% |
ROA(3y)-6.6%
ROA(5y)-3.07%
ROE(3y)-218.45%
ROE(5y)-126.26%
ROIC(3y)6.54%
ROIC(5y)7.55%
ROICexc(3y)7.2%
ROICexc(5y)8.17%
ROICexgc(3y)53.63%
ROICexgc(5y)70.7%
ROCE(3y)8.27%
ROCE(5y)9.55%
ROICexcg growth 3Y-34.25%
ROICexcg growth 5Y-14.33%
ROICexc growth 3Y-16.22%
ROICexc growth 5Y-4.73%
OM growth 3Y-20.24%
OM growth 5Y-10.22%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.68%
GM growth 5Y-0.46%
F-Score4
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 13.75 | ||
| Debt/FCF | 15.29 | ||
| Debt/EBITDA | 4.98 | ||
| Cap/Depr | 55.67% | ||
| Cap/Sales | 2.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 57.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 1.26 |
F-Score4
WACC5.44%
ROIC/WACC1.27
Cap/Depr(3y)52.56%
Cap/Depr(5y)51.41%
Cap/Sales(3y)2.02%
Cap/Sales(5y)2.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1100%
EPS 3Y-56.77%
EPS 5Y-34.09%
EPS Q2Q%-160%
EPS Next Y45.49%
EPS Next 2Y59.8%
EPS Next 3Y39.53%
EPS Next 5YN/A
Revenue 1Y (TTM)-9.4%
Revenue growth 3Y-8.35%
Revenue growth 5Y-4.95%
Sales Q2Q%-5.45%
Revenue Next Year-8.12%
Revenue Next 2Y-4.63%
Revenue Next 3Y-2.97%
Revenue Next 5YN/A
EBIT growth 1Y54.59%
EBIT growth 3Y-26.9%
EBIT growth 5Y-14.67%
EBIT Next Year28.56%
EBIT Next 3Y7.02%
EBIT Next 5YN/A
FCF growth 1Y82.38%
FCF growth 3Y-32.07%
FCF growth 5Y-7.14%
OCF growth 1Y33.19%
OCF growth 3Y-27.93%
OCF growth 5Y-6.31%