UNISYS CORP (UIS) Stock Fundamental Analysis
NYSE:UIS - New York Stock Exchange, Inc. - US9092143067 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to UIS. UIS was compared to 81 industry peers in the IT Services industry. UIS has a bad profitability rating. Also its financial health evaluation is rather negative. UIS is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year UIS was profitable.
UIS had a positive operating cash flow in the past year.
In the past 5 years UIS reported 4 times negative net income.
UIS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
UIS's Return On Assets of -3.99% is on the low side compared to the rest of the industry. UIS is outperformed by 66.67% of its industry peers.
UIS has a Return On Invested Capital of 7.75%. This is in the better half of the industry: UIS outperforms 67.90% of its industry peers.
UIS had an Average Return On Invested Capital over the past 3 years of 6.25%. This is significantly below the industry average of 21.85%.
The last Return On Invested Capital (7.75%) for UIS is above the 3 year average (6.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.99% | ||
| ROE | N/A | ||
| ROIC | 7.75% |
ROA(3y)-12.46%
ROA(5y)-5.64%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.25%
ROIC(5y)6.03%
1.3 Margins
Looking at the Operating Margin, with a value of 6.40%, UIS is in line with its industry, outperforming 58.02% of the companies in the same industry.
UIS's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 28.52%, UIS is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of UIS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.4% | ||
| PM (TTM) | N/A | ||
| GM | 28.52% |
OM growth 3Y-2.57%
OM growth 5Y2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y3.96%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UIS is destroying value.
The number of shares outstanding for UIS has been increased compared to 1 year ago.
The number of shares outstanding for UIS has been increased compared to 5 years ago.
Compared to 1 year ago, UIS has a worse debt to assets ratio.
2.2 Solvency
UIS has an Altman-Z score of -0.02. This is a bad value and indicates that UIS is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of -0.02, UIS is not doing good in the industry: 85.19% of the companies in the same industry are doing better.
UIS has a debt to FCF ratio of 7.66. This is a slightly negative value and a sign of low solvency as UIS would need 7.66 years to pay back of all of its debts.
UIS has a Debt to FCF ratio of 7.66. This is comparable to the rest of the industry: UIS outperforms 44.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.66 | ||
| Altman-Z | -0.02 |
ROIC/WACC0.82
WACC9.41%
2.3 Liquidity
A Current Ratio of 1.67 indicates that UIS should not have too much problems paying its short term obligations.
UIS has a Current ratio of 1.67. This is comparable to the rest of the industry: UIS outperforms 54.32% of its industry peers.
A Quick Ratio of 1.63 indicates that UIS should not have too much problems paying its short term obligations.
The Quick ratio of UIS (1.63) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 176.92% over the past year.
UIS shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -26.58% yearly.
The Revenue has decreased by -1.72% in the past year.
Measured over the past years, UIS shows a decrease in Revenue. The Revenue has been decreasing by -2.01% on average per year.
EPS 1Y (TTM)176.92%
EPS 3Y-36.41%
EPS 5Y-26.58%
EPS Q2Q%-225%
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-0.75%
Revenue growth 5Y-2.01%
Sales Q2Q%-11.42%
3.2 Future
UIS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 49.81% yearly.
UIS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.20% yearly.
EPS Next Y16.71%
EPS Next 2Y49.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.33%
Revenue Next 2Y1.2%
Revenue Next 3YN/A
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
The Price/Earnings ratio is 12.58, which indicates a correct valuation of UIS.
Compared to the rest of the industry, the Price/Earnings ratio of UIS indicates a rather cheap valuation: UIS is cheaper than 86.42% of the companies listed in the same industry.
UIS is valuated cheaply when we compare the Price/Earnings ratio to 27.45, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 4.49, the valuation of UIS can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UIS indicates a rather cheap valuation: UIS is cheaper than 96.30% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of UIS to the average of the S&P500 Index (21.90), we can say UIS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.58 | ||
| Fwd PE | 4.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UIS is valued cheaper than 98.77% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UIS is valued cheaply inside the industry as 97.53% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.98 | ||
| EV/EBITDA | 1.87 |
4.3 Compensation for Growth
The 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 UIS's earnings are expected to grow with 49.81% in the coming years.
PEG (NY)0.75
PEG (5Y)N/A
EPS Next 2Y49.81%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for UIS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
4.53
+0.12 (+2.72%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners83.74%
Inst Owner Change-1.47%
Ins Owners6.66%
Ins Owner Change18.41%
Market Cap321.95M
Analysts45
Price Target8.16 (80.13%)
Short Float %1.9%
Short Ratio1.72
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)43.37%
Min EPS beat(2)8.91%
Max EPS beat(2)77.83%
EPS beat(4)3
Avg EPS beat(4)600.6%
Min EPS beat(4)-159.41%
Max EPS beat(4)2475.05%
EPS beat(8)7
Avg EPS beat(8)356.33%
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)0
Avg Revenue beat(2)-2.51%
Min Revenue beat(2)-3.03%
Max Revenue beat(2)-1.98%
Revenue beat(4)1
Avg Revenue beat(4)-1.61%
Min Revenue beat(4)-3.03%
Max Revenue beat(4)1.15%
Revenue beat(8)5
Avg Revenue beat(8)0.41%
Revenue beat(12)8
Avg Revenue beat(12)0.85%
Revenue beat(16)9
Avg Revenue beat(16)0.55%
PT rev (1m)10.34%
PT rev (3m)10.34%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20%
EPS NY rev (1m)0%
EPS NY rev (3m)6.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.39%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.58 | ||
| Fwd PE | 4.49 | ||
| P/S | 0.16 | ||
| P/FCF | 4.98 | ||
| P/OCF | 2.23 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 1.87 |
EPS(TTM)0.36
EY7.95%
EPS(NY)1.01
Fwd EY22.3%
FCF(TTM)0.91
FCFY20.07%
OCF(TTM)2.03
OCFY44.91%
SpS27.48
BVpS-3.77
TBVpS-10.06
PEG (NY)0.75
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.99% | ||
| ROE | N/A | ||
| ROCE | 9.82% | ||
| ROIC | 7.75% | ||
| ROICexc | 11.22% | ||
| ROICexgc | 22.85% | ||
| OM | 6.4% | ||
| PM (TTM) | N/A | ||
| GM | 28.52% | ||
| FCFM | 3.31% |
ROA(3y)-12.46%
ROA(5y)-5.64%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)6.25%
ROIC(5y)6.03%
ROICexc(3y)8.87%
ROICexc(5y)9.15%
ROICexgc(3y)18.5%
ROICexgc(5y)17.77%
ROCE(3y)7.91%
ROCE(5y)7.63%
ROICexcg growth 3Y8.22%
ROICexcg growth 5Y10.65%
ROICexc growth 3Y5.09%
ROICexc growth 5Y4.3%
OM growth 3Y-2.57%
OM growth 5Y2.69%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.57%
GM growth 5Y3.96%
F-Score6
Asset Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 7.66 | ||
| Debt/EBITDA | 2.15 | ||
| Cap/Depr | 78.28% | ||
| Cap/Sales | 4.1% | ||
| Interest Coverage | 3.56 | ||
| Cash Conversion | 63.67% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | -0.02 |
F-Score6
WACC9.41%
ROIC/WACC0.82
Cap/Depr(3y)59.5%
Cap/Depr(5y)63.42%
Cap/Sales(3y)4.07%
Cap/Sales(5y)4.7%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)176.92%
EPS 3Y-36.41%
EPS 5Y-26.58%
EPS Q2Q%-225%
EPS Next Y16.71%
EPS Next 2Y49.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.72%
Revenue growth 3Y-0.75%
Revenue growth 5Y-2.01%
Sales Q2Q%-11.42%
Revenue Next Year-1.33%
Revenue Next 2Y1.2%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y103.42%
EBIT growth 3Y-3.3%
EBIT growth 5Y0.63%
EBIT Next Year87.64%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y322.76%
FCF growth 3Y19.63%
FCF growth 5YN/A
OCF growth 1Y147.18%
OCF growth 3Y0.65%
OCF growth 5Y1.75%