NYSE:IVC

Stock Analysis Report

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Executive Summary

Invacare Corporation, together with its subsidiaries, designs, manufactures, distributes, and exports medical equipment for use in home health care, retail, and extended care markets worldwide. More Details


Snowflake Analysis

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Invacare's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IVC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-6.8%

IVC

-0.3%

US Medical Equipment

-0.4%

US Market


1 Year Return

5.9%

IVC

25.5%

US Medical Equipment

18.3%

US Market

Return vs Industry: IVC underperformed the US Medical Equipment industry which returned 25.5% over the past year.

Return vs Market: IVC underperformed the US Market which returned 18.3% over the past year.


Shareholder returns

IVCIndustryMarket
7 Day-6.8%-0.3%-0.4%
30 Day0.7%8.3%6.6%
90 Day5.0%7.8%8.6%
1 Year6.3%5.9%26.6%25.5%21.0%18.3%
3 Year-52.3%-53.0%75.2%70.6%42.1%32.7%
5 Year-57.6%-58.6%146.0%126.8%85.6%64.7%

Price Volatility Vs. Market

How volatile is Invacare's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Invacare undervalued compared to its fair value and its price relative to the market?

25.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IVC ($7.16) is trading below our estimate of fair value ($9.62)

Significantly Below Fair Value: IVC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IVC is unprofitable, so we can't compare its PE Ratio to the US Medical Equipment industry average.

PE vs Market: IVC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate IVC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IVC is good value based on its PB Ratio (0.8x) compared to the US Medical Equipment industry average (4.1x).


Next Steps

Future Growth

How is Invacare forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

85.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IVC is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: IVC is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: IVC is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: IVC's revenue (3.2% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: IVC's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IVC is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Invacare performed over the past 5 years?

-4.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IVC is currently unprofitable.

Growing Profit Margin: IVC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IVC is unprofitable, and losses have increased over the past 5 years at a rate of 4.7% per year.

Accelerating Growth: Unable to compare IVC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IVC is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (1.9%).


Return on Equity

High ROE: IVC has a negative Return on Equity (-14.1%), as it is currently unprofitable.


Next Steps

Financial Health

How is Invacare's financial position?


Financial Position Analysis

Short Term Liabilities: IVC's short term assets ($392.1M) exceed its short term liabilities ($278.0M).

Long Term Liabilities: IVC's short term assets ($392.1M) exceed its long term liabilities ($306.0M).


Debt to Equity History and Analysis

Debt Level: IVC's debt to equity ratio (85.1%) is considered high.

Reducing Debt: IVC's debt to equity ratio has increased from 9.7% to 85.1% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable IVC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: IVC is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 5.4% per year.


Next Steps

Dividend

What is Invacare current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IVC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate IVC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IVC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IVC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: IVC is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IVC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure


CEO

Matt Monaghan (52 yo)

5.5yrs

Tenure

US$8,340,917

Compensation

Mr. Mathew E. Monaghan, also known as Matt, has been the Chief Executive Officer and President of Invacare Corporation since April 01, 2015 and has been its Chairman of the Board since May 14, 2015. Mr. Mo ...


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD8.34M) is above average for companies of similar size in the US market ($USD1.24M).

Compensation vs Earnings: Matt's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Matthew Monaghan
Chairman5.5yrsUS$8.34m2.53%
$ 6.2m
Kathleen Leneghan
Senior VP & CFO2.92yrsUS$2.43m0.33%
$ 815.8k
Anthony LaPlaca
Senior VP0.75yrUS$1.38m0.24%
$ 596.8k
Ralf Ledda
Senior VP & GM of EMEA3.92yrsUS$1.20m0.15%
$ 376.0k
Lois Lee
Director of Treasury and Investor Relationsno datano datano data
Joost Beltman
Senior VP & GM of North America0.75yrno data0.033%
$ 82.4k
Angie Goodwin
Chief Information Technology Officer1.58yrsno data0.029%
$ 71.0k

2.3yrs

Average Tenure

54.5yo

Average Age

Experienced Management: IVC's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Matthew Monaghan
Chairman5.5yrsUS$8.34m2.53%
$ 6.2m
C. Harris
Lead Independent Director8.42yrsUS$270.27k0.11%
$ 275.2k
Diana Ferguson
Independent Director2.25yrsUS$240.27k0.013%
$ 32.0k
Susan Alexander
Independent Director3.83yrsUS$255.27k0.053%
$ 130.0k
Baiju Shah
Independent Director9.42yrsUS$255.27k0.080%
$ 197.8k
Clifford Nastas
Independent Director5.42yrsUS$255.27k0.11%
$ 280.9k
Julie Beck
Independent Director1.08yrsUS$81.23k0.026%
$ 64.6k
Marc Gibeley
Independent Director4.92yrsUS$240.27k0.067%
$ 165.5k
Petra Danielsohn-Weil
Independent Director2.42yrsUS$240.27k0.016%
$ 40.0k

4.9yrs

Average Tenure

57yo

Average Age

Experienced Board: IVC's board of directors are considered experienced (4.9 years average tenure).


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.


Top Shareholders

Company Information

Invacare Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Invacare Corporation
  • Ticker: IVC
  • Exchange: NYSE
  • Founded: 1885
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$246.398m
  • Shares outstanding: 34.41m
  • Website: https://www.invacare.com

Number of Employees


Location

  • Invacare Corporation
  • One Invacare Way
  • Elyria
  • Ohio
  • 44035
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IVCNYSE (New York Stock Exchange)YesCommon SharesUSUSDMay 1984
IV3DB (Deutsche Boerse AG)YesCommon SharesDEEURMay 1984

Biography

Invacare Corporation, together with its subsidiaries, designs, manufactures, distributes, and exports medical equipment for use in home health care, retail, and extended care markets worldwide. The company ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/23 23:36
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.