International Game Technology PLC Fundamental Analysis (NYSE: IGT)
International Game Technology PLC Fundamental Analysis (NYSE: IGT)
International Game Technology PLC (NYSE: IGT) shows moderate financial fundamentals with a PE ratio of 9.47, profit margin of 13.85%, and ROE of 22.49%. The company generates $2.5B 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 58.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze IGT's fundamental strength across five key dimensions:
Efficiency Score
WeakIGT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentIGT trades at attractive valuation levels.
Growth Score
ModerateIGT shows steady but slowing expansion.
Financial Health Score
ModerateIGT shows balanced financial health with some risks.
Profitability Score
ModerateIGT maintains healthy but balanced margins.
Key Financial Metrics
Is IGT Expensive or Cheap?
P/E Ratio
IGT trades at 9.47 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, IGT's PEG of -0.99 indicates potential undervaluation.
Price to Book
The market values International Game Technology PLC at 1.99 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -1.39 times EBITDA. This is generally considered low.
How Well Does IGT Make Money?
Net Profit Margin
For every $100 in sales, International Game Technology PLC keeps $13.85 as profit after all expenses.
Operating Margin
Core operations generate 27.31 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.49 in profit for every $100 of shareholder equity.
ROA
International Game Technology PLC generates $3.39 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
International Game Technology PLC generates strong operating cash flow of $1.04B, reflecting robust business health.
Free Cash Flow
International Game Technology PLC generates strong free cash flow of $885.41M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.36 in free cash annually.
FCF Yield
IGT converts 26.64% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.47
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.99
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.99
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.32
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.31
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.29
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How IGT Stacks Against Its Sector Peers
| Metric | IGT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.47 | 24.00 | Better (Cheaper) |
| ROE | 22.49% | 980.00% | Weak |
| Net Margin | 13.85% | -3386.00% (disorted) | Strong |
| Debt/Equity | 3.31 | 0.60 | Weak (High Leverage) |
| Current Ratio | 2.29 | 2.34 | Strong Liquidity |
| ROA | 3.39% | 350.00% | Weak |
IGT outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews International Game Technology PLC'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: Cyclical, Growth, Discretionary
EPS CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary
FCF CAGR
N/A
Industry Style: Cyclical, Growth, Discretionary