QUAD GRAPHICS INC (QUAD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:QUAD - US7473011093 - Common Stock
5.74 USD
+0.05 (+0.88%)
5.7475 USD
+0.01 (+0.13%)
QUAD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 82 industry peers in the Commercial Services & Supplies industry. QUAD has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on QUAD.
1. Profitability
1.1 Basic Checks
In the past year QUAD was profitable.
In the past year QUAD had a positive cash flow from operations.
In multiple years QUAD reported negative net income over the last 5 years.
Each year in the past 5 years QUAD had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.62%, QUAD is in line with its industry, outperforming 47.56% of the companies in the same industry.
Looking at the Return On Equity, with a value of 21.30%, QUAD belongs to the top of the industry, outperforming 86.59% of the companies in the same industry.
With an excellent Return On Invested Capital value of 13.24%, QUAD belongs to the best of the industry, outperforming 85.37% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for QUAD is in line with the industry average of 10.51%.
The last Return On Invested Capital (13.24%) for QUAD is above the 3 year average (11.93%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.62% | ||
| ROE | 21.3% | ||
| ROIC | 13.24% |
ROA(3y)-2.35%
ROA(5y)-2.34%
ROE(3y)-47.66%
ROE(5y)-53.58%
ROIC(3y)11.93%
ROIC(5y)9.63%
1.3 Margins
QUAD has a Profit Margin of 0.82%. This is comparable to the rest of the industry: QUAD outperforms 47.56% of its industry peers.
With a Operating Margin value of 4.89%, QUAD perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
In the last couple of years the Operating Margin of QUAD has grown nicely.
With a Gross Margin value of 21.86%, QUAD is not doing good in the industry: 71.95% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of QUAD has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.89% | ||
| PM (TTM) | 0.82% | ||
| GM | 21.86% |
OM growth 3Y15.32%
OM growth 5Y7.39%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.04%
GM growth 5Y3.09%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so QUAD is still creating some value.
Compared to 1 year ago, QUAD has more shares outstanding
The number of shares outstanding for QUAD has been reduced compared to 5 years ago.
The debt/assets ratio for QUAD has been reduced compared to a year ago.
2.2 Solvency
QUAD has an Altman-Z score of 1.73. This is a bad value and indicates that QUAD is not financially healthy and even has some risk of bankruptcy.
QUAD's Altman-Z score of 1.73 is in line compared to the rest of the industry. QUAD outperforms 45.12% of its industry peers.
QUAD has a debt to FCF ratio of 7.54. This is a slightly negative value and a sign of low solvency as QUAD would need 7.54 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 7.54, QUAD is doing good in the industry, outperforming 62.20% of the companies in the same industry.
QUAD has a Debt/Equity ratio of 4.49. This is a high value indicating a heavy dependency on external financing.
QUAD has a Debt to Equity ratio of 4.49. This is amonst the worse of the industry: QUAD underperforms 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.49 | ||
| Debt/FCF | 7.54 | ||
| Altman-Z | 1.73 |
ROIC/WACC1.24
WACC10.69%
2.3 Liquidity
QUAD has a Current Ratio of 0.98. This is a bad value and indicates that QUAD is not financially healthy enough and could expect problems in meeting its short term obligations.
QUAD's Current ratio of 0.98 is on the low side compared to the rest of the industry. QUAD is outperformed by 76.83% of its industry peers.
QUAD has a Quick Ratio of 0.98. This is a bad value and indicates that QUAD is not financially healthy enough and could expect problems in meeting its short term obligations.
QUAD has a Quick ratio of 0.65. This is amonst the worse of the industry: QUAD underperforms 84.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.25% over the past year.
QUAD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 28.47% yearly.
Looking at the last year, QUAD shows a decrease in Revenue. The Revenue has decreased by -9.23% in the last year.
Measured over the past years, QUAD shows a decrease in Revenue. The Revenue has been decreasing by -7.39% on average per year.
EPS 1Y (TTM)42.25%
EPS 3YN/A
EPS 5Y28.47%
EPS Q2Q%19.23%
Revenue 1Y (TTM)-9.23%
Revenue growth 3Y-3.36%
Revenue growth 5Y-7.39%
Sales Q2Q%-12.86%
3.2 Future
The Earnings Per Share is expected to grow by 17.91% on average over the next years. This is quite good.
Based on estimates for the next years, QUAD will show a decrease in Revenue. The Revenue will decrease by -5.91% on average per year.
EPS Next Y19.61%
EPS Next 2Y17.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-9.26%
Revenue Next 2Y-5.91%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
QUAD is valuated cheaply with a Price/Earnings ratio of 5.68.
Compared to the rest of the industry, the Price/Earnings ratio of QUAD indicates a rather cheap valuation: QUAD is cheaper than 95.12% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.31, QUAD is valued rather cheaply.
With a Price/Forward Earnings ratio of 4.91, the valuation of QUAD can be described as very cheap.
Based on the Price/Forward Earnings ratio, QUAD is valued cheaply inside the industry as 97.56% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of QUAD to the average of the S&P500 Index (36.59), we can say QUAD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.68 | ||
| Fwd PE | 4.91 |
4.2 Price Multiples
95.12% of the companies in the same industry are more expensive than QUAD, based on the Enterprise Value to EBITDA ratio.
QUAD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. QUAD is cheaper than 95.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.64 | ||
| EV/EBITDA | 3.67 |
4.3 Compensation for Growth
QUAD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of QUAD may justify a higher PE ratio.
QUAD's earnings are expected to grow with 17.91% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.29
PEG (5Y)0.2
EPS Next 2Y17.91%
EPS Next 3YN/A
5. Dividend
5.1 Amount
QUAD has a Yearly Dividend Yield of 5.66%, which is a nice return.
Compared to an average industry Dividend Yield of 2.61, QUAD pays a better dividend. On top of this QUAD pays more dividend than 95.12% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, QUAD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
5.2 History
The dividend of QUAD decreases each year by -30.13%.
QUAD has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-30.13%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
QUAD pays out 64.56% of its income as dividend. This is not a sustainable payout ratio.
DP64.56%
EPS Next 2Y17.91%
EPS Next 3YN/A
5.74
+0.05 (+0.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners58.59%
Inst Owner Change0.3%
Ins Owners12.97%
Ins Owner Change-0.76%
Market Cap289.70M
Revenue(TTM)2.50B
Net Income(TTM)20.60M
Analysts85
Price Target8.36 (45.64%)
Short Float %6.46%
Short Ratio8.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.66% |
Yearly Dividend0.18
Dividend Growth(5Y)-30.13%
DP64.56%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.3%
Min EPS beat(2)-1.96%
Max EPS beat(2)12.56%
EPS beat(4)2
Avg EPS beat(4)33.24%
Min EPS beat(4)-8.33%
Max EPS beat(4)130.68%
EPS beat(8)6
Avg EPS beat(8)80.44%
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)1
Avg Revenue beat(2)-1.86%
Min Revenue beat(2)-4.74%
Max Revenue beat(2)1.02%
Revenue beat(4)2
Avg Revenue beat(4)-0.81%
Min Revenue beat(4)-4.74%
Max Revenue beat(4)4.92%
Revenue beat(8)3
Avg Revenue beat(8)-1.1%
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)-11.83%
PT rev (3m)-11.83%
EPS NQ rev (1m)2.86%
EPS NQ rev (3m)4.35%
EPS NY rev (1m)3.14%
EPS NY rev (3m)0.51%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)1.09%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.68 | ||
| Fwd PE | 4.91 | ||
| P/S | 0.12 | ||
| P/FCF | 4.64 | ||
| P/OCF | 2.62 | ||
| P/B | 3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.67 |
EPS(TTM)1.01
EY17.6%
EPS(NY)1.17
Fwd EY20.35%
FCF(TTM)1.24
FCFY21.57%
OCF(TTM)2.19
OCFY38.14%
SpS49.49
BVpS1.92
TBVpS-0.51
PEG (NY)0.29
PEG (5Y)0.2
Graham Number6.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.62% | ||
| ROE | 21.3% | ||
| ROCE | 16.77% | ||
| ROIC | 13.24% | ||
| ROICexc | 13.36% | ||
| ROICexgc | 16.09% | ||
| OM | 4.89% | ||
| PM (TTM) | 0.82% | ||
| GM | 21.86% | ||
| FCFM | 2.5% |
ROA(3y)-2.35%
ROA(5y)-2.34%
ROE(3y)-47.66%
ROE(5y)-53.58%
ROIC(3y)11.93%
ROIC(5y)9.63%
ROICexc(3y)12.58%
ROICexc(5y)10.42%
ROICexgc(3y)15.34%
ROICexgc(5y)12.79%
ROCE(3y)15.1%
ROCE(5y)12.19%
ROICexgc growth 3Y20.86%
ROICexgc growth 5Y21.93%
ROICexc growth 3Y22.21%
ROICexc growth 5Y21.03%
OM growth 3Y15.32%
OM growth 5Y7.39%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.04%
GM growth 5Y3.09%
F-Score7
Asset Turnover1.97
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.49 | ||
| Debt/FCF | 7.54 | ||
| Debt/EBITDA | 2.12 | ||
| Cap/Depr | 57.97% | ||
| Cap/Sales | 1.92% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 53.93% | ||
| Profit Quality | 303.4% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 1.73 |
F-Score7
WACC10.69%
ROIC/WACC1.24
Cap/Depr(3y)51.15%
Cap/Depr(5y)43.77%
Cap/Sales(3y)2.14%
Cap/Sales(5y)2.04%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.25%
EPS 3YN/A
EPS 5Y28.47%
EPS Q2Q%19.23%
EPS Next Y19.61%
EPS Next 2Y17.91%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.23%
Revenue growth 3Y-3.36%
Revenue growth 5Y-7.39%
Sales Q2Q%-12.86%
Revenue Next Year-9.26%
Revenue Next 2Y-5.91%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y5.62%
EBIT growth 3Y11.45%
EBIT growth 5Y-0.55%
EBIT Next Year367.97%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-59.86%
FCF growth 3Y-13.65%
FCF growth 5Y4.59%
OCF growth 1Y-51.11%
OCF growth 3Y-6.13%
OCF growth 5Y-6.2%
QUAD GRAPHICS INC / QUAD FAQ
What is the ChartMill fundamental rating of QUAD GRAPHICS INC (QUAD) stock?
ChartMill assigns a fundamental rating of 5 / 10 to QUAD.
What is the valuation status of QUAD GRAPHICS INC (QUAD) stock?
ChartMill assigns a valuation rating of 9 / 10 to QUAD GRAPHICS INC (QUAD). This can be considered as Undervalued.
How profitable is QUAD GRAPHICS INC (QUAD) stock?
QUAD GRAPHICS INC (QUAD) has a profitability rating of 6 / 10.
Can you provide the financial health for QUAD stock?
The financial health rating of QUAD GRAPHICS INC (QUAD) is 2 / 10.
Can you provide the dividend sustainability for QUAD stock?
The dividend rating of QUAD GRAPHICS INC (QUAD) is 5 / 10 and the dividend payout ratio is 64.56%.