ANZ Group Holdings Limited Fundamental Analysis (ASX: ANZ.AX)
ANZ Group Holdings Limited Fundamental Analysis (ASX: ANZ.AX)
ANZ Group Holdings Limited (ASX: ANZ.AX) shows weak financial fundamentals with a PE ratio of 18.55, profit margin of 9.28%, and ROE of 8.30%. The company generates $63.8B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 42.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ANZ.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakANZ.AX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentANZ.AX trades at attractive valuation levels.
Growth Score
ModerateANZ.AX shows steady but slowing expansion.
Financial Health Score
ModerateANZ.AX shows balanced financial health with some risks.
Profitability Score
WeakANZ.AX struggles to sustain strong margins.
Key Financial Metrics
Is ANZ.AX Expensive or Cheap?
P/E Ratio
ANZ.AX trades at 18.55 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ANZ.AX's PEG of -1.45 indicates potential undervaluation.
Price to Book
The market values ANZ Group Holdings Limited at 1.55 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 2.56 times EBITDA. This is generally considered low.
How Well Does ANZ.AX Make Money?
Net Profit Margin
For every $100 in sales, ANZ Group Holdings Limited keeps $9.28 as profit after all expenses.
Operating Margin
Core operations generate 13.65 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.30 in profit for every $100 of shareholder equity.
ROA
ANZ Group Holdings Limited generates $0.45 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
ANZ Group Holdings Limited generates strong operating cash flow of $19.14B, reflecting robust business health.
Free Cash Flow
ANZ Group Holdings Limited generates strong free cash flow of $18.11B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $6.02 in free cash annually.
FCF Yield
ANZ.AX converts 16.30% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
18.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.55
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.74
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.65
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.48
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.004
vs 25 benchmark
ROCE
Return on capital employed
0.007
vs 25 benchmark
How ANZ.AX Stacks Against Its Sector Peers
| Metric | ANZ.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 18.55 | 21.07 | Better (Cheaper) |
| ROE | 8.30% | 659.00% | Weak |
| Net Margin | 9.28% | -1620.00% (disorted) | Weak |
| Debt/Equity | 3.65 | 0.91 | Weak (High Leverage) |
| Current Ratio | 3.48 | 928.89 | Strong Liquidity |
| ROA | 0.45% | -588.00% (disorted) | Weak |
ANZ.AX outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews ANZ Group Holdings Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical