Autohome Stock Analysis (NYSE:ATHM)
Autohome Analysis Video
View Autohome stock analysis video. This is our ATHM analyst opinion covering the buy and sell arguments for ATHM stock.
Autohome Inc (ADR) Stock Rating (3.5/5)
Our Autohome stock opinion is based on fundamentals of the company. This Autohome stock analysis is based on latest Q3 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy ATHM stock?
- The Year Over Year (YoY) revenue growth for Autohome was 56.4% in 2016 Q3.
- Autohome had a healthy average operating margin of 19.6% over the last 4 quarters.
- LTM Net margins were good at 22.7% for Autohome.
- With its debt/equity ratio of 0.03, Autohome has a lower debt burden when compared to the Computer and Technology average.
- The price to earnings multiple of 19.9 is attractive when compared with the industry average PE ratio of 25.3.
- Autohome generates a high return on invested capital of 64.6%.
- Autohome has a good Return On Equity (ROE) of 21.9%.
Should you sell ATHM stock?
- The company is trading at a price to sales multiple of 4.5, which is overvalued in comparison to the Internet Services industry average multiple of 2.4.