JOYY INC-ADR (YY) Stock Fundamental Analysis
NASDAQ:YY - Nasdaq - US46591M1099 - ADR - Currency: USD
We assign a fundamental rating of 4 out of 10 to YY. YY was compared to 71 industry peers in the Interactive Media & Services industry. YY has a medium profitability rating, but doesn't score so well on its financial health evaluation. YY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year YY was profitable.
YY had positive earnings in 4 of the past 5 years.
YY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
YY has a better Return On Assets (4.09%) than 75.76% of its industry peers.
YY has a Return On Equity of 6.71%. This is in the better half of the industry: YY outperforms 74.24% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.51%, YY is in line with its industry, outperforming 53.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.09% | ||
| ROE | 6.71% | ||
| ROIC | 0.51% |
ROA(3y)1.48%
ROA(5y)5.59%
ROE(3y)2.46%
ROE(5y)7.87%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
YY has a Profit Margin of 15.31%. This is amongst the best in the industry. YY outperforms 81.82% of its industry peers.
YY's Profit Margin has declined in the last couple of years.
YY has a Operating Margin (1.54%) which is in line with its industry peers.
With a Gross Margin value of 35.85%, YY is not doing good in the industry: 77.27% of the companies in the same industry are doing better.
YY's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.54% | ||
| PM (TTM) | 15.31% | ||
| GM | 35.85% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-40.05%
PM growth 5Y-40.06%
GM growth 3Y8.39%
GM growth 5Y23.42%
2. Health
2.1 Basic Checks
YY has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
YY has less shares outstanding than it did 1 year ago.
YY has less shares outstanding than it did 5 years ago.
The debt/assets ratio for YY has been reduced compared to a year ago.
2.2 Solvency
YY has an Altman-Z score of 1.39. This is a bad value and indicates that YY is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.39, YY perfoms like the industry average, outperforming 48.48% of the companies in the same industry.
A Debt/Equity ratio of 0.01 indicates that YY is not too dependend on debt financing.
YY has a better Debt to Equity ratio (0.01) than 60.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.39 |
ROIC/WACC0.06
WACC8.53%
2.3 Liquidity
A Current Ratio of 1.32 indicates that YY should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.32, YY is doing worse than 66.67% of the companies in the same industry.
A Quick Ratio of 1.32 indicates that YY should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.32, YY is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
YY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.37%, which is quite good.
Measured over the past years, YY shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.98% on average per year.
The Revenue has decreased by -5.96% in the past year.
The Revenue has been growing by 78.43% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)12.37%
EPS 3Y18.84%
EPS 5Y-10.98%
EPS Q2Q%-12.3%
Revenue 1Y (TTM)-5.96%
Revenue growth 3Y5.74%
Revenue growth 5Y78.43%
Sales Q2Q%-1.48%
3.2 Future
YY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.93% yearly.
The Revenue is expected to grow by 3.60% on average over the next years.
EPS Next Y7.22%
EPS Next 2Y3.63%
EPS Next 3Y6.03%
EPS Next 5Y4.93%
Revenue Next Year-1%
Revenue Next 2Y0.43%
Revenue Next 3Y2.09%
Revenue Next 5Y3.6%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.47, the valuation of YY can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of YY indicates a rather cheap valuation: YY is cheaper than 83.33% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of YY to the average of the S&P500 Index (29.62), we can say YY is valued rather cheaply.
YY is valuated reasonably with a Price/Forward Earnings ratio of 10.96.
YY's Price/Forward Earnings ratio is rather cheap when compared to the industry. YY is cheaper than 81.82% of the companies in the same industry.
YY's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.47 | ||
| Fwd PE | 10.96 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
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)1.59
PEG (5Y)N/A
EPS Next 2Y3.63%
EPS Next 3Y6.03%
5. Dividend
5.1 Amount
YY has a Yearly Dividend Yield of 4.15%, which is a nice return.
YY's Dividend Yield is rather good when compared to the industry average which is at 2.79. YY pays more dividend than 96.97% of the companies in the same industry.
YY's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
5.2 History
YY has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y3.63%
EPS Next 3Y6.03%
48.97
-1.02 (-2.04%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners67.96%
Inst Owner Change-96.44%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.64B
Analysts79.09
Price Target42.66 (-12.89%)
Short Float %61.82%
Short Ratio2.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.15% |
Yearly Dividend0.1
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.84%
Min EPS beat(2)28.01%
Max EPS beat(2)71.66%
EPS beat(4)4
Avg EPS beat(4)98.4%
Min EPS beat(4)28.01%
Max EPS beat(4)211.16%
EPS beat(8)8
Avg EPS beat(8)113.15%
EPS beat(12)11
Avg EPS beat(12)184.43%
EPS beat(16)14
Avg EPS beat(16)134.32%
Revenue beat(2)1
Avg Revenue beat(2)0.25%
Min Revenue beat(2)-0.91%
Max Revenue beat(2)1.41%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-0.93%
Max Revenue beat(4)1.41%
Revenue beat(8)2
Avg Revenue beat(8)-1.62%
Revenue beat(12)4
Avg Revenue beat(12)-0.82%
Revenue beat(16)4
Avg Revenue beat(16)-12.44%
PT rev (1m)0%
PT rev (3m)6.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)14.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.47 | ||
| Fwd PE | 10.96 | ||
| P/S | 1.16 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.51 | ||
| P/tB | 1.2 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.27
EY8.72%
EPS(NY)4.47
Fwd EY9.12%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS42.13
BVpS96.21
TBVpS40.79
PEG (NY)1.59
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.09% | ||
| ROE | 6.71% | ||
| ROCE | 0.65% | ||
| ROIC | 0.51% | ||
| ROICexc | 1.29% | ||
| ROICexgc | N/A | ||
| OM | 1.54% | ||
| PM (TTM) | 15.31% | ||
| GM | 35.85% | ||
| FCFM | N/A |
ROA(3y)1.48%
ROA(5y)5.59%
ROE(3y)2.46%
ROE(5y)7.87%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-40.05%
PM growth 5Y-40.06%
GM growth 3Y8.39%
GM growth 5Y23.42%
F-ScoreN/A
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 1.39 |
F-ScoreN/A
WACC8.53%
ROIC/WACC0.06
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)12.37%
EPS 3Y18.84%
EPS 5Y-10.98%
EPS Q2Q%-12.3%
EPS Next Y7.22%
EPS Next 2Y3.63%
EPS Next 3Y6.03%
EPS Next 5Y4.93%
Revenue 1Y (TTM)-5.96%
Revenue growth 3Y5.74%
Revenue growth 5Y78.43%
Sales Q2Q%-1.48%
Revenue Next Year-1%
Revenue Next 2Y0.43%
Revenue Next 3Y2.09%
Revenue Next 5Y3.6%
EBIT growth 1Y-46.77%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year100.71%
EBIT Next 3Y46.99%
EBIT Next 5Y35.02%
FCF growth 1YN/A
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1YN/A
OCF growth 3YN/A
OCF growth 5YN/A