Albertsons Companies
Market Cap
US$10.1b
Last Updated
2021/07/31 23:20 UTC
Data Sources
Company Financials +
Executive Summary
Albertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Good value with adequate balance sheet.
Similar Companies
Share Price & News
How has Albertsons Companies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ACI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ACI's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
6.7%
ACI
0.9%
US Consumer Retailing
-0.5%
US Market
1 Year Return
45.4%
ACI
18.2%
US Consumer Retailing
35.9%
US Market
Return vs Industry: ACI exceeded the US Consumer Retailing industry which returned 18.2% over the past year.
Return vs Market: ACI exceeded the US Market which returned 35.9% over the past year.
Shareholder returns
| ACI | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.7% | 0.9% | -0.5% |
| 30 Day | 8.5% | 2.7% | 0.09% |
| 90 Day | 16.3% | 2.9% | 3.2% |
| 1 Year | 48.7%45.4% | 20.8%18.2% | 38.0%35.9% |
| 3 Year | n/a | 57.3%48.1% | 62.8%52.6% |
| 5 Year | n/a | 87.6%68.2% | 121.2%96.9% |
Long-Term Price Volatility Vs. Market
How volatile is Albertsons Companies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Should You Buy Albertsons Companies, Inc. (NYSE:ACI) For Its Upcoming Dividend?3 weeks ago | Simply Wall St
With EPS Growth And More, Albertsons Companies (NYSE:ACI) Is Interesting1 month ago | Simply Wall St
How Many Albertsons Companies, Inc. (NYSE:ACI) Shares Have Insiders Sold, In The Last Year?Valuation
Is Albertsons Companies undervalued compared to its fair value and its price relative to the market?
40.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ACI ($21.6) is trading below our estimate of fair value ($36.38)
Significantly Below Fair Value: ACI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ACI is good value based on its PE Ratio (16.5x) compared to the US Consumer Retailing industry average (16.7x).
PE vs Market: ACI is good value based on its PE Ratio (16.5x) compared to the US market (18x).
Price to Earnings Growth Ratio
PEG Ratio: ACI is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: ACI is overvalued based on its PB Ratio (5.9x) compared to the US Consumer Retailing industry average (2x).
Future Growth
How is Albertsons Companies forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
6.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ACI's forecast earnings growth (6.8% per year) is above the savings rate (2%).
Earnings vs Market: ACI's earnings (6.8% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: ACI's earnings are forecast to grow, but not significantly.
Revenue vs Market: ACI's revenue (2.5% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: ACI's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ACI's Return on Equity is forecast to be high in 3 years time (33.2%)
Past Performance
How has Albertsons Companies performed over the past 5 years?
64.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ACI has a large one-off loss of $646.5M impacting its June 19 2021 financial results.
Growing Profit Margin: ACI's current net profit margins (0.9%) are lower than last year (1.5%).
Past Earnings Growth Analysis
Earnings Trend: ACI has become profitable over the past 5 years, growing earnings by 64.9% per year.
Accelerating Growth: ACI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ACI had negative earnings growth (-37.4%) over the past year, making it difficult to compare to the Consumer Retailing industry average (36.3%).
Return on Equity
High ROE: Whilst ACI's Return on Equity (21.5%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is Albertsons Companies's financial position?
Financial Position Analysis
Short Term Liabilities: ACI's short term assets ($7.4B) exceed its short term liabilities ($6.7B).
Long Term Liabilities: ACI's short term assets ($7.4B) do not cover its long term liabilities ($16.8B).
Debt to Equity History and Analysis
Debt Level: ACI's debt to equity ratio (253.5%) is considered high.
Reducing Debt: ACI's debt to equity ratio has reduced from 741.2% to 253.5% over the past 5 years.
Debt Coverage: ACI's debt is well covered by operating cash flow (34.3%).
Interest Coverage: ACI's interest payments on its debt are well covered by EBIT (3.8x coverage).
Balance Sheet
Dividend
What is Albertsons Companies's current dividend yield, its reliability and sustainability?
1.85%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ACI's dividend (1.85%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: ACI's dividend (1.85%) is low compared to the top 25% of dividend payers in the US market (3.54%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether ACI's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if ACI's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (22.9%), ACI's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ACI's dividends in 3 years are forecast to be thoroughly covered by earnings (12.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
Vivek Sankaran (58 yo)
2.17yrs
Tenure
US$8,483,335
Compensation
Mr. Vivek Sankaran has been the President, Chief Executive Officer and Director of Albertsons Companies, Inc. since April 25, 2019. Mr. Sankaran served as Chief Executive Officer of PepsiCo Foods North Ame...
CEO Compensation Analysis
Compensation vs Market: Vivek's total compensation ($USD8.48M) is about average for companies of similar size in the US market ($USD11.17M).
Compensation vs Earnings: Insufficient data to compare Vivek's compensation with company performance.
Leadership Team
Experienced Management: ACI's management team is considered experienced (3.8 years average tenure).
Board Members
Experienced Board: ACI's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Albertsons Companies, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Albertsons Companies, Inc.
- Ticker: ACI
- Exchange: NYSE
- Founded: 1860
- Industry: Food Retail
- Sector: Consumer Retailing
- Market Cap: US$10.077b
- Shares outstanding: 466.54m
- Website: https://www.albertsonscompanies.com
Number of Employees
Location
- Albertsons Companies, Inc.
- 250 Parkcenter Boulevard
- Boise
- Idaho
- 83706
- United States
Listings
Biography
Albertsons Companies, Inc., through its subsidiaries, engages in the operation of food and drug stores in the United States. The company’s food and drug retail stores offer grocery products, general mercha...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/31 23:20 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2021/06/19 |
| Annual Earnings | 2021/02/27 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.