NYSE
AXTA
Last Price
US $34.22
KEY FIGURES
MKT CAP
$7.4B
EPS
TTM
$1.73
PEG
TTM
N/M
P/E
TTM
20.18x
P/S
TTM
1.44x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
15.85%
Return on equity
ROIC: 8.18%
Valuation History
20.2X
Price to Earnings
EV/EBITDA: 9.9X
Cash flow
Profit margin
6.48%
(FY vs FY)
EBITDA Y/Y
11.78%
(FY vs FY)
Cash flow Y/Y
1.18%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $34.22
-61.02%
Default assumptions
EBITDA Multiple
Fair Value
Market $34.22
-38.66%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Axalta Coating Systems Ltd. cash flow to debt ratio of 19.13% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
Axalta Coating Systems Ltd.'s free cash flow has increased 3.90% from $436.00M last year to $453.00M, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Axalta Coating Systems Ltd.'s debt to equity ratio is 1.30, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Axalta Coating Systems Ltd.'s debt has decreased relative to shareholder equity from 1.84 last year to 1.30 today, signaling strengthened financials
Financial stability - Net debt/EBITDA.
Axalta Coating Systems Ltd. has a net debt to EBITDA ratio of 2.64x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Axalta Coating Systems Ltd.'s interest coverage ratio of 3.94 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
Axalta Coating Systems Ltd.'s profit margin has decreased (-2.54%) in the last year from 7.41% to 7.22%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
Axalta Coating Systems Ltd.'s short-term assets of $2.81G exceed its short-term liabilities of $1.37G
Decreasing performance - ROA.
Axalta Coating Systems Ltd.'s return on assets of 4.88% is lower than the 5.00% threshold, indicating inefficient asset utilization
Increasing performance - Absolute return on equity.
Axalta Coating Systems Ltd.'s return on equity of 15.85%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Axalta Coating Systems Ltd.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Axalta Coating Systems Ltd. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Axalta Coating Systems Ltd. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Axalta Coating Systems Ltd. has a free cash flow yield of 6.14%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
Axalta Coating Systems Ltd.'s yearly earnings has decreased -3.32% since last year from $391.00M to $378.00M, signaling decreasing performance
Decreasing performance - Healthy revenue growth.
Axalta Coating Systems Ltd.'s yearly revenue has decreased -3.01% since last year from $5.28G to $5.12G, signaling decreasing performance
Increasing performance - ROIC.
ROIC 8.18% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Increasing performance - 3-year revenue CAGR.
Axalta Coating Systems Ltd.'s 3-year revenue CAGR of 1.57% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Axalta Coating Systems Ltd. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Axalta Coating Systems Ltd. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Axalta Coating Systems Ltd. is overvalued relative to its fair value price of 13.34 based on Discounted Cash Flow model
Undervalued - Earnings yield.
Axalta Coating Systems Ltd. has an earnings yield of 5.01%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Axalta Coating Systems Ltd. is overvalued relative to its fair value price of 20.99 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Axalta Coating Systems Ltd. has an EV/EBITDA ratio of 9.87x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Axalta Coating Systems Ltd. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Undervalued - P/B ratio.
Axalta Coating Systems Ltd. has a price-to-book ratio of 3.04x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Axalta Coating Systems Ltd. has a price-to-sales ratio of 1.45x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue