Australia and New Zealand Banking Group Ltd
Australia and New Zealand Banking Group Ltd Fundamental Analysis
Australia and New Zealand Banking Group Ltd (AN3PG.AX) shows weak financial fundamentals with a PE ratio of 46.63, profit margin of 32.11%, and ROE of 9.38%. The company generates $20.3B in annual revenue with weak year-over-year growth of 0.36%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 49.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze AN3PG.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakAN3PG.AX struggles to generate sufficient returns from assets.
Valuation Score
ModerateAN3PG.AX shows balanced valuation metrics.
Growth Score
WeakAN3PG.AX faces weak or negative growth trends.
Financial Health Score
ModerateAN3PG.AX shows balanced financial health with some risks.
Profitability Score
ModerateAN3PG.AX maintains healthy but balanced margins.
Key Financial Metrics
Is AN3PG.AX Expensive or Cheap?
P/E Ratio
AN3PG.AX trades at 46.63 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AN3PG.AX's PEG of 0.47 indicates potential undervaluation.
Price to Book
The market values Australia and New Zealand Banking Group Ltd at 4.36 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 0.00 times EBITDA. This is generally considered low.
How Well Does AN3PG.AX Make Money?
Net Profit Margin
For every $100 in sales, Australia and New Zealand Banking Group Ltd keeps $32.11 as profit after all expenses.
Operating Margin
Core operations generate 48.92 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.38 in profit for every $100 of shareholder equity.
ROA
Australia and New Zealand Banking Group Ltd generates $0.53 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Australia and New Zealand Banking Group Ltd generates strong operating cash flow of $9.90B, reflecting robust business health.
Free Cash Flow
Australia and New Zealand Banking Group Ltd generates strong free cash flow of $9.90B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $3.32 in free cash annually.
FCF Yield
AN3PG.AX converts 3.28% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
46.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.47
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.36
vs 25 benchmark
P/S Ratio
Price to sales ratio
14.90
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.005
vs 25 benchmark
ROCE
Return on capital employed
0.008
vs 25 benchmark
How AN3PG.AX Stacks Against Its Sector Peers
| Metric | AN3PG.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 46.63 | 18.94 | Worse (Expensive) |
| ROE | 9.38% | 846.00% | Weak |
| Net Margin | 32.11% | 4054.00% | Weak |
| Debt/Equity | 0.00 | 0.89 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 660.05 | Weak Liquidity |
| ROA | 0.53% | -24865.00% (disorted) | Weak |
AN3PG.AX outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Australia and New Zealand Banking Group Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
5.41%
Industry Style: Value, Dividend, Cyclical
GrowingEPS CAGR
4.52%
Industry Style: Value, Dividend, Cyclical
GrowingFCF CAGR
308.25%
Industry Style: Value, Dividend, Cyclical
High Growth