VERALTO CORP (VLTO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:VLTO - US92338C1036 - Common Stock
102.73 USD
+0.99 (+0.97%)
102.73 USD
0 (0%)
Overall VLTO gets a fundamental rating of 6 out of 10. We evaluated VLTO against 80 industry peers in the Commercial Services & Supplies industry. While VLTO has a great profitability rating, there are some minor concerns on its financial health. VLTO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year VLTO was profitable.
VLTO had a positive operating cash flow in the past year.
Each year in the past 5 years VLTO has been profitable.
VLTO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 12.29%, VLTO belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
VLTO's Return On Equity of 32.07% is amongst the best of the industry. VLTO outperforms 92.50% of its industry peers.
VLTO has a Return On Invested Capital of 18.03%. This is amongst the best in the industry. VLTO outperforms 91.25% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VLTO is significantly above the industry average of 10.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 32.07% | ||
| ROIC | 18.03% |
ROA(3y)15.08%
ROA(5y)N/A
ROE(3y)42.55%
ROE(5y)N/A
ROIC(3y)20.23%
ROIC(5y)N/A
1.3 Margins
VLTO has a better Profit Margin (16.75%) than 96.25% of its industry peers.
VLTO's Profit Margin has declined in the last couple of years.
VLTO's Operating Margin of 23.28% is amongst the best of the industry. VLTO outperforms 98.75% of its industry peers.
In the last couple of years the Operating Margin of VLTO has grown nicely.
With an excellent Gross Margin value of 60.01%, VLTO belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
In the last couple of years the Gross Margin of VLTO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.28% | ||
| PM (TTM) | 16.75% | ||
| GM | 60.01% |
OM growth 3Y1.65%
OM growth 5YN/A
PM growth 3Y-4.33%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so VLTO is creating value.
The number of shares outstanding for VLTO has been increased compared to 1 year ago.
Compared to 1 year ago, VLTO has an improved debt to assets ratio.
2.2 Solvency
VLTO has an Altman-Z score of 5.08. This indicates that VLTO is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of VLTO (5.08) is better than 82.50% of its industry peers.
The Debt to FCF ratio of VLTO is 2.71, which is a good value as it means it would take VLTO, 2.71 years of fcf income to pay off all of its debts.
VLTO has a better Debt to FCF ratio (2.71) than 76.25% of its industry peers.
A Debt/Equity ratio of 0.69 indicates that VLTO is somewhat dependend on debt financing.
VLTO has a Debt to Equity ratio (0.69) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 2.71 | ||
| Altman-Z | 5.08 |
ROIC/WACC2.15
WACC8.37%
2.3 Liquidity
A Current Ratio of 1.57 indicates that VLTO should not have too much problems paying its short term obligations.
The Current ratio of VLTO (1.57) is comparable to the rest of the industry.
A Quick Ratio of 1.40 indicates that VLTO should not have too much problems paying its short term obligations.
VLTO has a Quick ratio of 1.40. This is comparable to the rest of the industry: VLTO outperforms 53.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.4 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.72% over the past year.
VLTO shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.57% yearly.
VLTO shows a small growth in Revenue. In the last year, the Revenue has grown by 6.15%.
Measured over the past years, VLTO shows a small growth in Revenue. The Revenue has been growing by 3.38% on average per year.
EPS 1Y (TTM)10.72%
EPS 3Y-1.57%
EPS 5YN/A
EPS Q2Q%11.24%
Revenue 1Y (TTM)6.15%
Revenue growth 3Y3.38%
Revenue growth 5YN/A
Sales Q2Q%6.85%
3.2 Future
VLTO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.53% yearly.
Based on estimates for the next years, VLTO will show a small growth in Revenue. The Revenue will grow by 5.29% on average per year.
EPS Next Y11.02%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
EPS Next 5Y7.53%
Revenue Next Year6.15%
Revenue Next 2Y5.95%
Revenue Next 3Y5.86%
Revenue Next 5Y5.29%
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.
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
Based on the Price/Earnings ratio of 26.89, the valuation of VLTO can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of VLTO is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.19, VLTO is valued at the same level.
With a Price/Forward Earnings ratio of 24.13, VLTO is valued on the expensive side.
VLTO's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. VLTO is cheaper than 65.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of VLTO to the average of the S&P500 Index (23.88), we can say VLTO is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.89 | ||
| Fwd PE | 24.13 |
4.2 Price Multiples
VLTO's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VLTO indicates a somewhat cheap valuation: VLTO is cheaper than 67.50% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.87 | ||
| EV/EBITDA | 19.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates VLTO does not grow enough to justify the current Price/Earnings ratio.
VLTO has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.44
PEG (5Y)N/A
EPS Next 2Y9.83%
EPS Next 3Y9.4%
5. Dividend
5.1 Amount
With a yearly dividend of 0.45%, VLTO is not a good candidate for dividend investing.
VLTO's Dividend Yield is a higher than the industry average which is at 0.89.
Compared to an average S&P500 Dividend Yield of 1.90, VLTO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
5.2 History
VLTO has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
VLTO pays out 11.39% of its income as dividend. This is a sustainable payout ratio.
DP11.39%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
102.73
+0.99 (+0.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.47%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner Change1.42%
Market Cap25.51B
Revenue(TTM)5.45B
Net Income(TTM)913.00M
Analysts76.15
Price Target115.81 (12.73%)
Short Float %1.88%
Short Ratio2.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
Yearly Dividend0.36
Dividend Growth(5Y)N/A
DP11.39%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.63%
Min EPS beat(2)2.19%
Max EPS beat(2)3.08%
EPS beat(4)4
Avg EPS beat(4)4.18%
Min EPS beat(4)2.19%
Max EPS beat(4)7.23%
EPS beat(8)8
Avg EPS beat(8)4.56%
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)-0.73%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)0.07%
Revenue beat(4)2
Avg Revenue beat(4)-0.36%
Min Revenue beat(4)-2.04%
Max Revenue beat(4)2.07%
Revenue beat(8)3
Avg Revenue beat(8)-0.41%
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)-1.73%
PT rev (3m)-1.95%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.99%
EPS NY rev (1m)0.09%
EPS NY rev (3m)1.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.35%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.89 | ||
| Fwd PE | 24.13 | ||
| P/S | 4.68 | ||
| P/FCF | 25.87 | ||
| P/OCF | 24.27 | ||
| P/B | 8.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.42 |
EPS(TTM)3.82
EY3.72%
EPS(NY)4.26
Fwd EY4.14%
FCF(TTM)3.97
FCFY3.87%
OCF(TTM)4.23
OCFY4.12%
SpS21.96
BVpS11.47
TBVpS-2.04
PEG (NY)2.44
PEG (5Y)N/A
Graham Number31.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.29% | ||
| ROE | 32.07% | ||
| ROCE | 23.53% | ||
| ROIC | 18.03% | ||
| ROICexc | 26.88% | ||
| ROICexgc | 368.33% | ||
| OM | 23.28% | ||
| PM (TTM) | 16.75% | ||
| GM | 60.01% | ||
| FCFM | 18.09% |
ROA(3y)15.08%
ROA(5y)N/A
ROE(3y)42.55%
ROE(5y)N/A
ROIC(3y)20.23%
ROIC(5y)N/A
ROICexc(3y)23.22%
ROICexc(5y)N/A
ROICexgc(3y)116.35%
ROICexgc(5y)N/A
ROCE(3y)26.4%
ROCE(5y)N/A
ROICexgc growth 3Y-1.56%
ROICexgc growth 5YN/A
ROICexc growth 3Y2.06%
ROICexc growth 5YN/A
OM growth 3Y1.65%
OM growth 5YN/A
PM growth 3Y-4.33%
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5YN/A
F-Score5
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 2.71 | ||
| Debt/EBITDA | 1.46 | ||
| Cap/Depr | 83.33% | ||
| Cap/Sales | 1.19% | ||
| Interest Coverage | 9.33 | ||
| Cash Conversion | 78.03% | ||
| Profit Quality | 108% | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 1.4 | ||
| Altman-Z | 5.08 |
F-Score5
WACC8.37%
ROIC/WACC2.15
Cap/Depr(3y)56.79%
Cap/Depr(5y)50.81%
Cap/Sales(3y)0.94%
Cap/Sales(5y)0.96%
Profit Quality(3y)101.91%
Profit Quality(5y)107.36%
High Growth Momentum
Growth
EPS 1Y (TTM)10.72%
EPS 3Y-1.57%
EPS 5YN/A
EPS Q2Q%11.24%
EPS Next Y11.02%
EPS Next 2Y9.83%
EPS Next 3Y9.4%
EPS Next 5Y7.53%
Revenue 1Y (TTM)6.15%
Revenue growth 3Y3.38%
Revenue growth 5YN/A
Sales Q2Q%6.85%
Revenue Next Year6.15%
Revenue Next 2Y5.95%
Revenue Next 3Y5.86%
Revenue Next 5Y5.29%
EBIT growth 1Y7%
EBIT growth 3Y5.08%
EBIT growth 5YN/A
EBIT Next Year10.63%
EBIT Next 3Y8.65%
EBIT Next 5Y7.54%
FCF growth 1Y-9.79%
FCF growth 3Y-0.88%
FCF growth 5YN/A
OCF growth 1Y-9.14%
OCF growth 3Y-0.79%
OCF growth 5YN/A
VERALTO CORP / VLTO FAQ
Can you provide the ChartMill fundamental rating for VERALTO CORP?
ChartMill assigns a fundamental rating of 6 / 10 to VLTO.
Can you provide the valuation status for VERALTO CORP?
ChartMill assigns a valuation rating of 4 / 10 to VERALTO CORP (VLTO). This can be considered as Fairly Valued.
What is the profitability of VLTO stock?
VERALTO CORP (VLTO) has a profitability rating of 8 / 10.
What are the PE and PB ratios of VERALTO CORP (VLTO) stock?
The Price/Earnings (PE) ratio for VERALTO CORP (VLTO) is 26.89 and the Price/Book (PB) ratio is 8.96.
What is the financial health of VERALTO CORP (VLTO) stock?
The financial health rating of VERALTO CORP (VLTO) is 6 / 10.