Autodesk, Inc. Fundamental Analysis
Autodesk, Inc. (ADSK) shows moderate financial fundamentals with a PE ratio of 33.82, profit margin of 19.49%, and ROE of 49.42%. The company generates $7.5B in annual revenue with strong year-over-year growth of 17.53%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 82.8/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze ADSK's fundamental strength across five key dimensions:
Efficiency Score
ExcellentADSK demonstrates superior asset utilization.
Valuation Score
ModerateADSK shows balanced valuation metrics.
Growth Score
ModerateADSK shows steady but slowing expansion.
Financial Health Score
ModerateADSK shows balanced financial health with some risks.
Profitability Score
ExcellentADSK achieves industry-leading margins.
Key Financial Metrics
Is ADSK Expensive or Cheap?
P/E Ratio
ADSK trades at 33.82 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ADSK's PEG of 0.73 indicates potential undervaluation.
Price to Book
The market values Autodesk, Inc. at 15.51 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 22.46 times EBITDA. This signals the market has high growth expectations.
How Well Does ADSK Make Money?
Net Profit Margin
For every $100 in sales, Autodesk, Inc. keeps $19.49 as profit after all expenses.
Operating Margin
Core operations generate 26.60 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $49.42 in profit for every $100 of shareholder equity.
ROA
Autodesk, Inc. generates $12.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Autodesk, Inc. generates strong operating cash flow of $2.78B, reflecting robust business health.
Free Cash Flow
Autodesk, Inc. generates strong free cash flow of $2.73B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $12.93 in free cash annually.
FCF Yield
ADSK converts 5.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
33.82
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.73
vs 25 benchmark
P/B Ratio
Price to book value ratio
15.51
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.59
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.85
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.49
vs 25 benchmark
ROA
Return on assets percentage
0.12
vs 25 benchmark
ROCE
Return on capital employed
0.30
vs 25 benchmark
How ADSK Stacks Against Its Sector Peers
| Metric | ADSK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 33.82 | 37.32 | Neutral |
| ROE | 49.42% | 993.00% | Weak |
| Net Margin | 19.49% | 5975589423.00% | Weak |
| Debt/Equity | 0.85 | 0.41 | Weak (High Leverage) |
| Current Ratio | 0.83 | 116.24 | Weak Liquidity |
| ROA | 12.26% | -297552.00% (disorted) | Strong |
ADSK outperforms its industry in 1 out of 6 key metrics, particularly excelling in ROA, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Autodesk, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
95.84%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-4.16%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
75.74%
Industry Style: Growth, Innovation, High Beta
High Growth