First Data Corp Stock Analysis, Valuation (NYSE:FDC)

Add to My Stocks
$19.11 $0.19 (0.98%) FDC stock closing price May 18, 2018 (Closing)
Watch Robo Advisor Video of FDC Stock Analysis
First Data Corp
Updated on : May 18, 2018
previous close
FDC 19.1 (0%)
S&P 500 2713 (0%)
Closing Price On: May 18, 2018
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
Business Services
Sector :
Business Services
5 Quarter Revenue
Revenue Growth
2018-Q1
$billion
%
YOY GROWTH
Compared to the industry
Long Term Growth
5 Year CAGR:
1.5%
Operating Profit
Operating Margin:
15%
Sector Average:
8.4%
5 Quarter Net Profit
Net Margins
2018-Q1
%
LTM Margin
Compared to the industry
Debt/Equity Ratio
Debt:
19.01B
Debt/Equity Ratio:
 3.06
Compared to the industry
Cash Flow
Operating cash flow:
$534M
Net Income:
$101M
PROS      CONS
Operating Margins
Net Margins
Cash Flow
ROE
FCF Margin
PE Valuation
Recent Growth
Long Term Growth
High Debt Burden
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
FDC PS :
1.5
Industry PS :
1.6
Sector:   Business Services.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
4.6%
Return on Equity:
29.4%
Free Cash Flow Margin:
20.3%
Double Tap To Exit Full Screen
0:00
/

FDC Stock Analysis

39 5 2

Watch the robo advisor video of First Data Corp stock analysis on Amigobulls. This is our analyst opinion covering the buy and sell arguments for FDC stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

First Data Corp Stock Rating 3.3/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for FDC stock analysis. First Data Corp valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at First Data Corp stock rating which is indicative of the company's financial performance.

Should you buy FDC stock?

  • First Data Corp's average operating margin of 15% was exceptional.
  • LTM Net margins were good at 13.3% for First Data Corp.
  • The company has an operating cash flow which is 5.3 times the net income. We see this as a positive signal.
  • The price to earnings multiple of 14.5 is attractive when compared with the industry average PE ratio of 21.7.
  • The LTM ROE of 29.4% for First Data Corp is attractive.
  • The company has a healthy free cash flow margin of 20.3%.

Should you sell FDC stock?

  • First Data Corp sales shrank by -18.5% year-over-year in 2018 Q1.
  • Long term revenue growth of 1.5% over the past 5 years has been disappointing.
  • First Data Corp is debt laden and has a high debt/equity ratio of  3.06.

Comments on this video and First Data Corp stock

Investors can make use of the Amigobulls First Data Corp stock analysis to ascertain how FDC stock fares in fundamental analysis investment criteria. Fundamentals of a company give detailed information which helps in making invesment decisions.

While doing a study of the company financials, First Data Corp revenue growth and profit or net income are two main metrics which help in identifying whether FDC stock is overvalued or undervalued. One can also combine technical analysis and fundamental analysis to get a holistic picture about FDC stock.