Univar Solutions Inc.
Univar Solutions Inc. Fundamental Analysis
Univar Solutions Inc. (UNVR) shows moderate financial fundamentals with a PE ratio of 10.99, profit margin of 4.75%, and ROE of 22.78%. The company generates $10.9B 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 58.9/100 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 UNVR's fundamental strength across five key dimensions:
Efficiency Score
WeakUNVR struggles to generate sufficient returns from assets.
Valuation Score
ExcellentUNVR trades at attractive valuation levels.
Growth Score
ModerateUNVR shows steady but slowing expansion.
Financial Health Score
ExcellentUNVR maintains a strong and stable balance sheet.
Profitability Score
ModerateUNVR maintains healthy but balanced margins.
Key Financial Metrics
Is UNVR Expensive or Cheap?
P/E Ratio
UNVR trades at 10.99 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, UNVR's PEG of 0.11 indicates potential undervaluation.
Price to Book
The market values Univar Solutions Inc. at 2.40 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.47 times EBITDA. This is generally considered low.
How Well Does UNVR Make Money?
Net Profit Margin
For every $100 in sales, Univar Solutions Inc. keeps $4.75 as profit after all expenses.
Operating Margin
Core operations generate 7.26 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.78 in profit for every $100 of shareholder equity.
ROA
Univar Solutions Inc. generates $7.63 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Univar Solutions Inc. generates limited operating cash flow of $519.85M, signaling weaker underlying cash strength.
Free Cash Flow
Univar Solutions Inc. produces free cash flow of $373.53M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $2.37 in free cash annually.
FCF Yield
UNVR converts 6.89% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
10.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.11
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.40
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.99
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.99
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.23
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How UNVR Stacks Against Its Sector Peers
| Metric | UNVR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 10.99 | 27.01 | Better (Cheaper) |
| ROE | 22.78% | 949.00% | Weak |
| Net Margin | 4.75% | -16159.00% (disorted) | Weak |
| Debt/Equity | 0.99 | 0.48 | Weak (High Leverage) |
| Current Ratio | 1.99 | 4.42 | Neutral |
| ROA | 7.63% | -6411.00% (disorted) | Weak |
UNVR outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Univar Solutions Inc.'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, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value