QUAD GRAPHICS INC (QUAD) Stock Fundamental Analysis
USA - NYSE:QUAD - US7473011093 - Common Stock
5.62 USD
+0.11 (+2%)
5.62 USD
0 (0%)
Taking everything into account, QUAD scores 5 out of 10 in our fundamental rating. QUAD was compared to 82 industry peers in the Commercial Services & Supplies industry. There are concerns on the financial health of QUAD while its profitability can be described as average. 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
QUAD's Return On Assets of 1.62% is in line compared to the rest of the industry. QUAD outperforms 48.78% of its industry peers.
QUAD has a better Return On Equity (21.30%) than 86.59% of its industry peers.
Looking at the Return On Invested Capital, with a value of 13.24%, QUAD belongs to the top 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 3 year average ROIC (11.93%) for QUAD is below the current ROIC(13.24%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 0.82%, QUAD is in line with its industry, outperforming 48.78% of the companies in the same industry.
QUAD has a Operating Margin (4.89%) which is in line with its industry peers.
QUAD's Operating Margin has improved in the last couple of years.
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.
QUAD's Gross Margin has improved in the last couple of years.
| 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
QUAD has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
QUAD has more shares outstanding than it did 1 year ago.
QUAD has less shares outstanding than it did 5 years ago.
QUAD has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.73, we must say that QUAD is in the distress zone and has some risk of bankruptcy.
QUAD has a Altman-Z score (1.73) which is in line with its industry peers.
The Debt to FCF ratio of QUAD is 7.54, which is on the high side as it means it would take QUAD, 7.54 years of fcf income to pay off all of its debts.
QUAD has a Debt to FCF ratio of 7.54. This is in the better half of the industry: QUAD outperforms 60.98% of its industry peers.
A Debt/Equity ratio of 4.49 is on the high side and indicates that QUAD has dependencies on debt financing.
The Debt to Equity ratio of QUAD (4.49) is worse than 84.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.49 | ||
| Debt/FCF | 7.54 | ||
| Altman-Z | 1.73 |
ROIC/WACC1.25
WACC10.6%
2.3 Liquidity
A Current Ratio of 0.98 indicates that QUAD may have some problems paying its short term obligations.
With a Current ratio value of 0.98, QUAD is not doing good in the industry: 74.39% of the companies in the same industry are doing better.
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.
The Quick ratio of QUAD (0.65) is worse than 84.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
QUAD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.25%, which is quite impressive.
Measured over the past years, QUAD shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.47% on average per year.
QUAD shows a decrease in Revenue. In the last year, the revenue decreased by -9.23%.
QUAD shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -7.39% yearly.
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.
QUAD is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.91% yearly.
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
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.
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
With a Price/Earnings ratio of 5.56, the valuation of QUAD can be described as very cheap.
Based on the Price/Earnings ratio, QUAD is valued cheaply inside the industry as 96.34% of the companies are valued more expensively.
QUAD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.28.
With a Price/Forward Earnings ratio of 4.81, the valuation of QUAD can be described as very cheap.
QUAD's Price/Forward Earnings ratio is rather cheap when compared to the industry. QUAD is cheaper than 98.78% of the companies in the same industry.
QUAD'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 | 5.56 | ||
| Fwd PE | 4.81 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, QUAD is valued cheaply inside the industry as 95.12% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, QUAD is valued cheaply inside the industry as 96.34% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.54 | ||
| EV/EBITDA | 3.65 |
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.
QUAD has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as QUAD's earnings are expected to grow with 17.91% in the coming years.
PEG (NY)0.28
PEG (5Y)0.2
EPS Next 2Y17.91%
EPS Next 3YN/A
5. Dividend
5.1 Amount
QUAD has a Yearly Dividend Yield of 5.28%, which is a nice return.
QUAD's Dividend Yield is rather good when compared to the industry average which is at 2.54. QUAD pays more dividend than 93.90% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.36, QUAD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.28% |
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
5.62
+0.11 (+2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners58.59%
Inst Owner Change-0.15%
Ins Owners12.97%
Ins Owner Change0.81%
Market Cap283.64M
Revenue(TTM)2.50B
Net Income(TTM)20.60M
Analysts85
Price Target9.49 (68.86%)
Short Float %5.99%
Short Ratio8.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.28% |
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)0%
PT rev (3m)-1.59%
EPS NQ rev (1m)2.86%
EPS NQ rev (3m)9.09%
EPS NY rev (1m)3.14%
EPS NY rev (3m)4.23%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)1.09%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.56 | ||
| Fwd PE | 4.81 | ||
| P/S | 0.11 | ||
| P/FCF | 4.54 | ||
| P/OCF | 2.57 | ||
| P/B | 2.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.65 |
EPS(TTM)1.01
EY17.97%
EPS(NY)1.17
Fwd EY20.78%
FCF(TTM)1.24
FCFY22.03%
OCF(TTM)2.19
OCFY38.96%
SpS49.49
BVpS1.92
TBVpS-0.51
PEG (NY)0.28
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
WACC10.6%
ROIC/WACC1.25
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%.