ASTRAZENECA PLC (ZEG.DE) Stock Fundamental Analysis
FRA:ZEG - Deutsche Boerse Ag - GB0009895292 - Common Stock - Currency: EUR
Taking everything into account, ZEG scores 5 out of 10 in our fundamental rating. ZEG was compared to 52 industry peers in the Pharmaceuticals industry. While ZEG belongs to the best of the industry regarding profitability, there are concerns on its financial health. ZEG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ZEG was profitable.
In the past year ZEG had a positive cash flow from operations.
ZEG had positive earnings in each of the past 5 years.
Each year in the past 5 years ZEG had a positive operating cash flow.
1.2 Ratios
ZEG's Return On Assets of 6.76% is fine compared to the rest of the industry. ZEG outperforms 67.31% of its industry peers.
ZEG's Return On Equity of 17.25% is fine compared to the rest of the industry. ZEG outperforms 75.00% of its industry peers.
The Return On Invested Capital of ZEG (13.99%) is better than 73.08% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ZEG is below the industry average of 13.62%.
The 3 year average ROIC (11.62%) for ZEG is below the current ROIC(13.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 17.25% | ||
| ROIC | 13.99% |
ROA(3y)5.35%
ROA(5y)4.19%
ROE(3y)13.78%
ROE(5y)12.42%
ROIC(3y)11.62%
ROIC(5y)9.53%
1.3 Margins
With a decent Profit Margin value of 13.01%, ZEG is doing good in the industry, outperforming 73.08% of the companies in the same industry.
In the last couple of years the Profit Margin of ZEG has grown nicely.
With a decent Operating Margin value of 23.64%, ZEG is doing good in the industry, outperforming 71.15% of the companies in the same industry.
In the last couple of years the Operating Margin of ZEG has grown nicely.
With an excellent Gross Margin value of 82.13%, ZEG belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
ZEG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.64% | ||
| PM (TTM) | 13.01% | ||
| GM | 82.13% |
OM growth 3Y21.43%
OM growth 5Y8.6%
PM growth 3Y251.6%
PM growth 5Y18.9%
GM growth 3Y3.31%
GM growth 5Y0.47%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ZEG is creating some value.
Compared to 1 year ago, ZEG has about the same amount of shares outstanding.
The number of shares outstanding for ZEG has been increased compared to 5 years ago.
ZEG has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.57 indicates that ZEG is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.57, ZEG belongs to the top of the industry, outperforming 86.54% of the companies in the same industry.
The Debt to FCF ratio of ZEG is 4.16, which is a neutral value as it means it would take ZEG, 4.16 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 4.16, ZEG perfoms like the industry average, outperforming 57.69% of the companies in the same industry.
ZEG has a Debt/Equity ratio of 0.69. This is a neutral value indicating ZEG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.69, ZEG is in line with its industry, outperforming 51.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.16 | ||
| Altman-Z | 5.57 |
ROIC/WACC1.56
WACC8.98%
2.3 Liquidity
A Current Ratio of 0.93 indicates that ZEG may have some problems paying its short term obligations.
ZEG's Current ratio of 0.93 is on the low side compared to the rest of the industry. ZEG is outperformed by 80.77% of its industry peers.
ZEG has a Quick Ratio of 0.93. This is a bad value and indicates that ZEG is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.74, ZEG is doing worse than 80.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The earnings per share for ZEG have decreased by -1.10% in the last year.
ZEG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.42% yearly.
ZEG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 18.03%.
ZEG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.27% yearly.
EPS 1Y (TTM)-1.1%
EPS 3Y10.74%
EPS 5Y15.42%
EPS Q2Q%-27.59%
Revenue 1Y (TTM)18.03%
Revenue growth 3Y13.06%
Revenue growth 5Y17.27%
Sales Q2Q%23.84%
3.2 Future
The Earnings Per Share is expected to grow by 15.37% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.69% on average over the next years.
EPS Next Y29.64%
EPS Next 2Y20.78%
EPS Next 3Y17.12%
EPS Next 5Y15.37%
Revenue Next Year7.47%
Revenue Next 2Y6.79%
Revenue Next 3Y6.49%
Revenue Next 5Y6.69%
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 stable.
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
Based on the Price/Earnings ratio of 21.82, the valuation of ZEG can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as ZEG.
Compared to an average S&P500 Price/Earnings ratio of 29.35, ZEG is valued a bit cheaper.
With a Price/Forward Earnings ratio of 16.82, ZEG is valued correctly.
ZEG's Price/Forward Earnings ratio is in line with the industry average.
ZEG's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.82 | ||
| Fwd PE | 16.82 |
4.2 Price Multiples
ZEG's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. ZEG is more expensive than 61.54% of the companies in the same industry.
ZEG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 66.63 | ||
| EV/EBITDA | 26.14 |
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.
The decent profitability rating of ZEG may justify a higher PE ratio.
ZEG's earnings are expected to grow with 17.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)1.41
EPS Next 2Y20.78%
EPS Next 3Y17.12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.04%, ZEG has a reasonable but not impressive dividend return.
ZEG's Dividend Yield is a higher than the industry average which is at 2.86.
Compared to an average S&P500 Dividend Yield of 2.33, ZEG has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
5.2 History
The dividend of ZEG has a limited annual growth rate of 1.40%.
Dividend Growth(5Y)1.4%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
65.80% of the earnings are spent on dividend by ZEG. This is not a sustainable payout ratio.
ZEG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP65.8%
EPS Next 2Y20.78%
EPS Next 3Y17.12%
FRA:ZEG (3/7/2025, 7:00:00 PM)
144
+0.25 (+0.17%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners47.67%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap446.45B
Analysts82.29
Price Target171.46 (19.07%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.04% |
Yearly Dividend2.75
Dividend Growth(5Y)1.4%
DP65.8%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-24.99%
Min EPS beat(2)-50.62%
Max EPS beat(2)0.64%
EPS beat(4)2
Avg EPS beat(4)-11.75%
Min EPS beat(4)-50.62%
Max EPS beat(4)4.9%
EPS beat(8)5
Avg EPS beat(8)-4.07%
EPS beat(12)9
Avg EPS beat(12)-0.57%
EPS beat(16)11
Avg EPS beat(16)-0.83%
Revenue beat(2)2
Avg Revenue beat(2)1.73%
Min Revenue beat(2)0.95%
Max Revenue beat(2)2.51%
Revenue beat(4)3
Avg Revenue beat(4)1.8%
Min Revenue beat(4)-0.52%
Max Revenue beat(4)4.27%
Revenue beat(8)4
Avg Revenue beat(8)0.14%
Revenue beat(12)5
Avg Revenue beat(12)-0.09%
Revenue beat(16)9
Avg Revenue beat(16)1.07%
PT rev (1m)6.81%
PT rev (3m)4.49%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.3%
EPS NY rev (1m)-2.48%
EPS NY rev (3m)-3.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.75%
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.82 | ||
| Fwd PE | 16.82 | ||
| P/S | 8.96 | ||
| P/FCF | 66.63 | ||
| P/OCF | 40.87 | ||
| P/B | 11.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.14 |
EPS(TTM)6.6
EY4.58%
EPS(NY)8.56
Fwd EY5.95%
FCF(TTM)2.16
FCFY1.5%
OCF(TTM)3.52
OCFY2.45%
SpS16.06
BVpS12.12
TBVpS-5.17
PEG (NY)0.74
PEG (5Y)1.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.76% | ||
| ROE | 17.25% | ||
| ROCE | 16.78% | ||
| ROIC | 13.99% | ||
| ROICexc | 15.1% | ||
| ROICexgc | 84.63% | ||
| OM | 23.64% | ||
| PM (TTM) | 13.01% | ||
| GM | 82.13% | ||
| FCFM | 13.45% |
ROA(3y)5.35%
ROA(5y)4.19%
ROE(3y)13.78%
ROE(5y)12.42%
ROIC(3y)11.62%
ROIC(5y)9.53%
ROICexc(3y)12.66%
ROICexc(5y)10.56%
ROICexgc(3y)112.76%
ROICexgc(5y)85.62%
ROCE(3y)13.95%
ROCE(5y)11.45%
ROICexcg growth 3Y43.28%
ROICexcg growth 5Y4.46%
ROICexc growth 3Y41%
ROICexc growth 5Y11.95%
OM growth 3Y21.43%
OM growth 5Y8.6%
PM growth 3Y251.6%
PM growth 5Y18.9%
GM growth 3Y3.31%
GM growth 5Y0.47%
F-Score7
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.16 | ||
| Debt/EBITDA | 1.44 | ||
| Cap/Depr | 68.57% | ||
| Cap/Sales | 8.48% | ||
| Interest Coverage | 9.73 | ||
| Cash Conversion | 60.92% | ||
| Profit Quality | 103.41% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 5.57 |
F-Score7
WACC8.98%
ROIC/WACC1.56
Cap/Depr(3y)61.87%
Cap/Depr(5y)60.41%
Cap/Sales(3y)7.51%
Cap/Sales(5y)7.64%
Profit Quality(3y)144.6%
Profit Quality(5y)772.45%
High Growth Momentum
Growth
EPS 1Y (TTM)-1.1%
EPS 3Y10.74%
EPS 5Y15.42%
EPS Q2Q%-27.59%
EPS Next Y29.64%
EPS Next 2Y20.78%
EPS Next 3Y17.12%
EPS Next 5Y15.37%
Revenue 1Y (TTM)18.03%
Revenue growth 3Y13.06%
Revenue growth 5Y17.27%
Sales Q2Q%23.84%
Revenue Next Year7.47%
Revenue Next 2Y6.79%
Revenue Next 3Y6.49%
Revenue Next 5Y6.69%
EBIT growth 1Y43.36%
EBIT growth 3Y37.28%
EBIT growth 5Y27.35%
EBIT Next Year33.75%
EBIT Next 3Y14.78%
EBIT Next 5Y14.96%
FCF growth 1Y10.78%
FCF growth 3Y24.58%
FCF growth 5Y70.22%
OCF growth 1Y14.65%
OCF growth 3Y25.76%
OCF growth 5Y31.92%