Fevertree Drinks PLC
Fevertree Drinks PLC Fundamental Analysis
Fevertree Drinks PLC (FQVTF) shows weak financial fundamentals with a PE ratio of 38.99, profit margin of 6.95%, and ROE of 9.32%. The company generates $0.3B in annual revenue with weak year-over-year growth of 1.13%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 45.8/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze FQVTF's fundamental strength across five key dimensions:
Efficiency Score
WeakFQVTF struggles to generate sufficient returns from assets.
Valuation Score
ModerateFQVTF shows balanced valuation metrics.
Growth Score
ModerateFQVTF shows steady but slowing expansion.
Financial Health Score
ExcellentFQVTF maintains a strong and stable balance sheet.
Profitability Score
WeakFQVTF struggles to sustain strong margins.
Key Financial Metrics
Is FQVTF Expensive or Cheap?
P/E Ratio
FQVTF trades at 38.99 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, FQVTF's PEG of -10.89 indicates potential undervaluation.
Price to Book
The market values Fevertree Drinks PLC at 3.95 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 26.13 times EBITDA. This signals the market has high growth expectations.
How Well Does FQVTF Make Money?
Net Profit Margin
For every $100 in sales, Fevertree Drinks PLC keeps $6.95 as profit after all expenses.
Operating Margin
Core operations generate 9.14 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.32 in profit for every $100 of shareholder equity.
ROA
Fevertree Drinks PLC generates $7.88 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Fevertree Drinks PLC generates limited operating cash flow of $30.25M, signaling weaker underlying cash strength.
Free Cash Flow
Fevertree Drinks PLC produces free cash flow of $26.97M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.23 in free cash annually.
FCF Yield
FQVTF converts 3.09% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
38.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-10.89
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.95
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.70
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.02
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How FQVTF Stacks Against Its Sector Peers
| Metric | FQVTF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 38.99 | 22.46 | Worse (Expensive) |
| ROE | 9.32% | 1263.00% | Weak |
| Net Margin | 6.95% | -5460.00% (disorted) | Weak |
| Debt/Equity | 0.02 | 1.24 | Strong (Low Leverage) |
| Current Ratio | 3.57 | 2.47 | Strong Liquidity |
| ROA | 7.88% | -192347.00% (disorted) | Weak |
FQVTF outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Fevertree Drinks PLC's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
40.73%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
-58.50%
Industry Style: Defensive, Dividend, Low Volatility
DecliningFCF CAGR
2.70%
Industry Style: Defensive, Dividend, Low Volatility
Growing