51.14 USD
+0.22 (+0.43%)
51.14 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to VEON. VEON was compared to 22 industry peers in the Wireless Telecommunication Services industry. VEON scores excellent on profitability, but there are concerns on its financial health. VEON has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
VEON had positive earnings in the past year.
In the past year VEON had a positive cash flow from operations.
In multiple years VEON reported negative net income over the last 5 years.
VEON had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.63%, VEON belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 75.34%, VEON belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of VEON (13.11%) is better than 95.45% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VEON is above the industry average of 6.45%.
The last Return On Invested Capital (13.11%) for VEON is above the 3 year average (11.44%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.63% | ||
| ROE | 75.34% | ||
| ROIC | 13.11% |
ROA(3y)-8.89%
ROA(5y)-4.97%
ROE(3y)-96.72%
ROE(5y)-77.85%
ROIC(3y)11.44%
ROIC(5y)10.01%
1.3 Margins
VEON has a better Profit Margin (23.72%) than 95.45% of its industry peers.
VEON's Profit Margin has improved in the last couple of years.
VEON has a better Operating Margin (25.22%) than 95.45% of its industry peers.
VEON's Operating Margin has been stable in the last couple of years.
VEON has a better Gross Margin (87.75%) than 95.45% of its industry peers.
In the last couple of years the Gross Margin of VEON has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.22% | ||
| PM (TTM) | 23.72% | ||
| GM | 87.75% |
OM growth 3Y-3.83%
OM growth 5Y-0.35%
PM growth 3Y-16.1%
PM growth 5Y8.09%
GM growth 3Y-0.11%
GM growth 5Y2.49%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VEON is creating some value.
The number of shares outstanding for VEON has been increased compared to 1 year ago.
VEON has more shares outstanding than it did 5 years ago.
VEON has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.34, we must say that VEON is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.34, VEON is doing worse than 72.73% of the companies in the same industry.
The Debt to FCF ratio of VEON is 3.88, which is a good value as it means it would take VEON, 3.88 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 3.88, VEON is doing good in the industry, outperforming 63.64% of the companies in the same industry.
A Debt/Equity ratio of 2.95 is on the high side and indicates that VEON has dependencies on debt financing.
VEON has a Debt to Equity ratio of 2.95. This is amonst the worse of the industry: VEON underperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.95 | ||
| Debt/FCF | 3.88 | ||
| Altman-Z | 0.34 |
ROIC/WACC1.61
WACC8.16%
2.3 Liquidity
VEON has a Current Ratio of 0.86. This is a bad value and indicates that VEON is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.86, VEON is in line with its industry, outperforming 45.45% of the companies in the same industry.
A Quick Ratio of 0.85 indicates that VEON may have some problems paying its short term obligations.
The Quick ratio of VEON (0.85) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 458.82% over the past year.
VEON shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 28.61% yearly.
The Revenue has been growing slightly by 6.74% in the past year.
The Revenue has been decreasing by -5.40% on average over the past years.
EPS 1Y (TTM)458.82%
EPS 3YN/A
EPS 5Y28.61%
EPS Q2Q%-116%
Revenue 1Y (TTM)6.74%
Revenue growth 3Y-8.36%
Revenue growth 5Y-5.4%
Sales Q2Q%7.52%
3.2 Future
Based on estimates for the next years, VEON will show a very strong growth in Earnings Per Share. The EPS will grow by 56.28% on average per year.
VEON is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -11.49% yearly.
EPS Next Y757.61%
EPS Next 2Y-41.75%
EPS Next 3Y67.22%
EPS Next 5Y56.28%
Revenue Next Year2.47%
Revenue Next 2Y3.67%
Revenue Next 3Y-23.28%
Revenue Next 5Y-11.49%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
VEON is valuated rather expensively with a Price/Earnings ratio of 19.52.
Compared to the rest of the industry, the Price/Earnings ratio of VEON indicates a somewhat cheap valuation: VEON is cheaper than 63.64% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.56, VEON is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 158.63, the valuation of VEON can be described as expensive.
86.36% of the companies in the same industry are cheaper than VEON, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of VEON to the average of the S&P500 Index (23.79), we can say VEON is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.52 | ||
| Fwd PE | 158.63 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than VEON, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.85 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
VEON's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of VEON may justify a higher PE ratio.
VEON's earnings are expected to grow with 67.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.03
PEG (5Y)0.68
EPS Next 2Y-41.75%
EPS Next 3Y67.22%
5. Dividend
5.1 Amount
No dividends for VEON!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
51.14
+0.22 (+0.43%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners26.05%
Inst Owner Change1.95%
Ins Owners0.06%
Ins Owner ChangeN/A
Market Cap3.61B
Revenue(TTM)4.23B
Net Income(TTM)984.00M
Analysts82.5
Price Target65.93 (28.92%)
Short Float %0.29%
Short Ratio1.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)19.54%
Min EPS beat(2)-21.57%
Max EPS beat(2)60.64%
EPS beat(4)2
Avg EPS beat(4)15.89%
Min EPS beat(4)-21.57%
Max EPS beat(4)60.64%
EPS beat(8)N/A
Avg EPS beat(8)N/A
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)2
Avg Revenue beat(2)2.55%
Min Revenue beat(2)0.98%
Max Revenue beat(2)4.12%
Revenue beat(4)2
Avg Revenue beat(4)0.29%
Min Revenue beat(4)-2.08%
Max Revenue beat(4)4.12%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-297.32%
EPS NY rev (1m)-19.87%
EPS NY rev (3m)63.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.27%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)-0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.52 | ||
| Fwd PE | 158.63 | ||
| P/S | 0.87 | ||
| P/FCF | 2.85 | ||
| P/OCF | 2.93 | ||
| P/B | 2.77 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)2.62
EY5.12%
EPS(NY)0.32
Fwd EY0.63%
FCF(TTM)17.93
FCFY35.07%
OCF(TTM)17.47
OCFY34.15%
SpS58.71
BVpS18.48
TBVpS-3.5
PEG (NY)0.03
PEG (5Y)0.68
Graham Number33.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.63% | ||
| ROE | 75.34% | ||
| ROCE | 19.12% | ||
| ROIC | 13.11% | ||
| ROICexc | 19.47% | ||
| ROICexgc | 33.65% | ||
| OM | 25.22% | ||
| PM (TTM) | 23.72% | ||
| GM | 87.75% | ||
| FCFM | 30.54% |
ROA(3y)-8.89%
ROA(5y)-4.97%
ROE(3y)-96.72%
ROE(5y)-77.85%
ROIC(3y)11.44%
ROIC(5y)10.01%
ROICexc(3y)19.88%
ROICexc(5y)15.79%
ROICexgc(3y)51.88%
ROICexgc(5y)38.09%
ROCE(3y)16.68%
ROCE(5y)14.59%
ROICexgc growth 3Y65.7%
ROICexgc growth 5Y3.7%
ROICexc growth 3Y46.24%
ROICexc growth 5Y7.89%
OM growth 3Y-3.83%
OM growth 5Y-0.35%
PM growth 3Y-16.1%
PM growth 5Y8.09%
GM growth 3Y-0.11%
GM growth 5Y2.49%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.95 | ||
| Debt/FCF | 3.88 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 128.76% | ||
| Current Ratio | 0.86 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 0.34 |
F-Score5
WACC8.16%
ROIC/WACC1.61
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)458.82%
EPS 3YN/A
EPS 5Y28.61%
EPS Q2Q%-116%
EPS Next Y757.61%
EPS Next 2Y-41.75%
EPS Next 3Y67.22%
EPS Next 5Y56.28%
Revenue 1Y (TTM)6.74%
Revenue growth 3Y-8.36%
Revenue growth 5Y-5.4%
Sales Q2Q%7.52%
Revenue Next Year2.47%
Revenue Next 2Y3.67%
Revenue Next 3Y-23.28%
Revenue Next 5Y-11.49%
EBIT growth 1Y13.2%
EBIT growth 3Y-2.56%
EBIT growth 5Y-14.99%
EBIT Next Year78.09%
EBIT Next 3Y28.19%
EBIT Next 5Y19.07%
FCF growth 1Y-32.93%
FCF growth 3Y-13.93%
FCF growth 5Y-2.16%
OCF growth 1Y-40.82%
OCF growth 3Y-24.51%
OCF growth 5Y-17.38%
VEON LTD / VEON FAQ
Can you provide the ChartMill fundamental rating for VEON LTD?
ChartMill assigns a fundamental rating of 5 / 10 to VEON.
What is the valuation status for VEON stock?
ChartMill assigns a valuation rating of 5 / 10 to VEON LTD (VEON). This can be considered as Fairly Valued.
What is the profitability of VEON stock?
VEON LTD (VEON) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for VEON stock?
The Earnings per Share (EPS) of VEON LTD (VEON) is expected to grow by 757.61% in the next year.
Is the dividend of VEON LTD sustainable?
The dividend rating of VEON LTD (VEON) is 0 / 10 and the dividend payout ratio is 0%.