12.59 USD
+0.21 (+1.7%)
12.55 USD
-0.04 (-0.32%)
We assign a fundamental rating of 4 out of 10 to VOD. VOD was compared to 22 industry peers in the Wireless Telecommunication Services industry. While VOD seems to be doing ok healthwise, there are quite some concerns on its profitability. VOD is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
VOD had positive earnings in the past year.
In the past year VOD had a positive cash flow from operations.
Of the past 5 years VOD 4 years were profitable.
In the past 5 years VOD always reported a positive cash flow from operatings.
1.2 Ratios
VOD has a Return On Assets of -3.24%. This is amonst the worse of the industry: VOD underperforms 81.82% of its industry peers.
The Return On Equity of VOD (-7.90%) is worse than 81.82% of its industry peers.
VOD has a Return On Invested Capital (3.69%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for VOD is below the industry average of 5.85%.
The last Return On Invested Capital (3.69%) for VOD is above the 3 year average (2.95%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.24% | ||
| ROE | -7.9% | ||
| ROIC | 3.69% |
ROA(3y)1.72%
ROA(5y)1.33%
ROE(3y)4.22%
ROE(5y)3.37%
ROIC(3y)2.95%
ROIC(5y)3.04%
1.3 Margins
Looking at the Operating Margin, with a value of 13.19%, VOD is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Operating Margin of VOD has declined.
With a Gross Margin value of 33.43%, VOD is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of VOD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.19% | ||
| PM (TTM) | N/A | ||
| GM | 33.43% |
OM growth 3Y3.5%
OM growth 5Y-6.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.51%
GM growth 5Y1.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VOD is destroying value.
Compared to 1 year ago, VOD has less shares outstanding
Compared to 5 years ago, VOD has less shares outstanding
Compared to 1 year ago, VOD has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -0.67, we must say that VOD is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -0.67, VOD is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
VOD has a debt to FCF ratio of 6.13. This is a slightly negative value and a sign of low solvency as VOD would need 6.13 years to pay back of all of its debts.
VOD has a Debt to FCF ratio of 6.13. This is comparable to the rest of the industry: VOD outperforms 50.00% of its industry peers.
A Debt/Equity ratio of 0.87 indicates that VOD is somewhat dependend on debt financing.
VOD's Debt to Equity ratio of 0.87 is in line compared to the rest of the industry. VOD outperforms 45.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 6.13 | ||
| Altman-Z | -0.67 |
ROIC/WACC0.64
WACC5.8%
2.3 Liquidity
VOD has a Current Ratio of 1.26. This is a normal value and indicates that VOD is financially healthy and should not expect problems in meeting its short term obligations.
VOD's Current ratio of 1.26 is amongst the best of the industry. VOD outperforms 81.82% of its industry peers.
VOD has a Quick Ratio of 1.23. This is a normal value and indicates that VOD is financially healthy and should not expect problems in meeting its short term obligations.
VOD has a Quick ratio of 1.23. This is amongst the best in the industry. VOD outperforms 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.33% over the past year.
The Earnings Per Share has been growing slightly by 6.62% on average over the past years.
The Revenue has been growing slightly by 1.99% in the past year.
VOD shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.60% yearly.
EPS 1Y (TTM)5.33%
EPS 3Y-10.45%
EPS 5Y6.62%
EPS Q2Q%-35.56%
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-6.34%
Revenue growth 5Y-3.6%
Sales Q2Q%29.72%
3.2 Future
VOD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.41% yearly.
VOD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.73% yearly.
EPS Next Y11.47%
EPS Next 2Y13.11%
EPS Next 3Y11.67%
EPS Next 5Y13.41%
Revenue Next Year6.05%
Revenue Next 2Y3.77%
Revenue Next 3Y3%
Revenue Next 5Y1.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
VOD is valuated correctly with a Price/Earnings ratio of 12.85.
Based on the Price/Earnings ratio, VOD is valued cheaply inside the industry as 86.36% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.37, VOD is valued rather cheaply.
A Price/Forward Earnings ratio of 11.48 indicates a reasonable valuation of VOD.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VOD indicates a somewhat cheap valuation: VOD is cheaper than 72.73% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.20. VOD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 11.48 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VOD is valued cheaper than 95.45% of the companies in the same industry.
95.45% of the companies in the same industry are more expensive than VOD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.98 | ||
| EV/EBITDA | 3.35 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.12
PEG (5Y)1.94
EPS Next 2Y13.11%
EPS Next 3Y11.67%
5. Dividend
5.1 Amount
VOD has a Yearly Dividend Yield of 4.18%, which is a nice return.
Compared to an average industry Dividend Yield of 8.54, VOD has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.32, VOD pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
The dividend of VOD decreases each year by -4.17%.
VOD has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-4.17%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of VOD are negative and hence is the payout ratio. VOD will probably not be able to sustain this dividend level.
DP-42.86%
EPS Next 2Y13.11%
EPS Next 3Y11.67%
12.59
+0.21 (+1.7%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners59.71%
Inst Owner Change-2.99%
Ins Owners0.82%
Ins Owner ChangeN/A
Market Cap30.01B
Revenue(TTM)37.45B
Net Income(TTM)-4.17B
Analysts68.57
Price Target11.8 (-6.27%)
Short Float %0.51%
Short Ratio1.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
Yearly Dividend0.85
Dividend Growth(5Y)-4.17%
DP-42.86%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)1.79%
PT rev (3m)1.95%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.12%
EPS NY rev (3m)2.77%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.47%
Revenue NY rev (3m)0.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.85 | ||
| Fwd PE | 11.48 | ||
| P/S | 0.69 | ||
| P/FCF | 2.98 | ||
| P/OCF | 1.68 | ||
| P/B | 0.49 | ||
| P/tB | 1.34 | ||
| EV/EBITDA | 3.35 |
EPS(TTM)0.98
EY7.78%
EPS(NY)1.1
Fwd EY8.71%
FCF(TTM)4.23
FCFY33.57%
OCF(TTM)7.49
OCFY59.49%
SpS18.24
BVpS25.7
TBVpS9.41
PEG (NY)1.12
PEG (5Y)1.94
Graham Number23.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.24% | ||
| ROE | -7.9% | ||
| ROCE | 4.67% | ||
| ROIC | 3.69% | ||
| ROICexc | 4.47% | ||
| ROICexgc | 7.24% | ||
| OM | 13.19% | ||
| PM (TTM) | N/A | ||
| GM | 33.43% | ||
| FCFM | 23.16% |
ROA(3y)1.72%
ROA(5y)1.33%
ROE(3y)4.22%
ROE(5y)3.37%
ROIC(3y)2.95%
ROIC(5y)3.04%
ROICexc(3y)3.44%
ROICexc(5y)3.51%
ROICexgc(3y)5.61%
ROICexgc(5y)6.14%
ROCE(3y)3.86%
ROCE(5y)3.97%
ROICexgc growth 3Y-3.2%
ROICexgc growth 5Y-6.95%
ROICexc growth 3Y3.53%
ROICexc growth 5Y-4.45%
OM growth 3Y3.5%
OM growth 5Y-6.47%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.51%
GM growth 5Y1.02%
F-Score6
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.87 | ||
| Debt/FCF | 6.13 | ||
| Debt/EBITDA | 2.93 | ||
| Cap/Depr | 62% | ||
| Cap/Sales | 17.89% | ||
| Interest Coverage | 1.83 | ||
| Cash Conversion | 97.64% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | -0.67 |
F-Score6
WACC5.8%
ROIC/WACC0.64
Cap/Depr(3y)65.18%
Cap/Depr(5y)64.45%
Cap/Sales(3y)18.91%
Cap/Sales(5y)19.27%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.33%
EPS 3Y-10.45%
EPS 5Y6.62%
EPS Q2Q%-35.56%
EPS Next Y11.47%
EPS Next 2Y13.11%
EPS Next 3Y11.67%
EPS Next 5Y13.41%
Revenue 1Y (TTM)1.99%
Revenue growth 3Y-6.34%
Revenue growth 5Y-3.6%
Sales Q2Q%29.72%
Revenue Next Year6.05%
Revenue Next 2Y3.77%
Revenue Next 3Y3%
Revenue Next 5Y1.73%
EBIT growth 1Y33.65%
EBIT growth 3Y-3.06%
EBIT growth 5Y-9.83%
EBIT Next Year168.13%
EBIT Next 3Y41.95%
EBIT Next 5Y23.96%
FCF growth 1Y-10.55%
FCF growth 3Y-1.3%
FCF growth 5Y-2.36%
OCF growth 1Y-7.15%
OCF growth 3Y-5.26%
OCF growth 5Y-2.42%
VODAFONE GROUP PLC-SP ADR / VOD FAQ
What is the fundamental rating for VOD stock?
ChartMill assigns a fundamental rating of 4 / 10 to VOD.
Can you provide the valuation status for VODAFONE GROUP PLC-SP ADR?
ChartMill assigns a valuation rating of 7 / 10 to VODAFONE GROUP PLC-SP ADR (VOD). This can be considered as Undervalued.
How profitable is VODAFONE GROUP PLC-SP ADR (VOD) stock?
VODAFONE GROUP PLC-SP ADR (VOD) has a profitability rating of 3 / 10.
How financially healthy is VODAFONE GROUP PLC-SP ADR?
The financial health rating of VODAFONE GROUP PLC-SP ADR (VOD) is 4 / 10.
What is the expected EPS growth for VODAFONE GROUP PLC-SP ADR (VOD) stock?
The Earnings per Share (EPS) of VODAFONE GROUP PLC-SP ADR (VOD) is expected to grow by 11.47% in the next year.