NYSE:OMI

Stock Analysis Report

Executive Summary

Owens & Minor, Inc., together with its subsidiaries, operates as a healthcare solutions company in the United States and internationally.

Snowflake

Fundamentals

Moderate growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Owens & Minor's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OMI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.9%

OMI

4.0%

US Healthcare

0.7%

US Market


1 Year Return

-22.6%

OMI

0.09%

US Healthcare

13.7%

US Market

Return vs Industry: OMI underperformed the US Healthcare industry which returned 0.1% over the past year.

Return vs Market: OMI underperformed the US Market which returned 13.7% over the past year.


Shareholder returns

OMIIndustryMarket
7 Day-7.9%4.0%0.7%
30 Day-6.9%10.9%4.7%
90 Day34.1%11.0%6.1%
1 Year-21.6%-22.6%1.8%0.09%16.2%13.7%
3 Year-78.2%-80.3%52.1%45.2%48.8%39.2%
5 Year-76.5%-80.0%69.7%58.1%62.5%44.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Owens & Minor undervalued compared to its fair value and its price relative to the market?

33.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OMI ($6.65) is trading below our estimate of fair value ($10.04)

Significantly Below Fair Value: OMI is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: OMI is unprofitable, so we can't compare its PE Ratio to the Healthcare industry average.

PE vs Market: OMI 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 OMI's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: OMI is good value based on its PB Ratio (0.9x) compared to the US Healthcare industry average (2.7x).


Next Steps

Future Growth

How is Owens & Minor forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

116.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OMI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.7%).

Earnings vs Market: OMI is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: OMI's is expected to become profitable in the next 3 years.

Revenue vs Market: OMI's revenue is expected to decline over the next 3 years (-0.04% per year).

High Growth Revenue: OMI's revenue is forecast to decline over the next 3 years (-0.04% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OMI's Return on Equity is forecast to be low in 3 years time (10.7%).


Next Steps

Past Performance

How has Owens & Minor performed over the past 5 years?

-62.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OMI has large one-off items impacting its financial results.

Growing Profit Margin: OMI's current net profit margins (-2.9%) are lower than last year (-1.6%).


Past Earnings Growth Analysis

Earnings Trend: OMI is unprofitable, and losses have increased over the past 5 years at a rate of -62.4% per year.

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

Earnings vs Industry: OMI is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (9.7%).


Return on Equity

High ROE: OMI has a negative Return on Equity (-58.05%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Owens & Minor's financial position?


Financial Position Analysis

Short Term Liabilities: OMI's short term assets ($2.3B) exceeds its short term liabilities ($1.3B)

Long Term Liabilities: OMI's short term assets ($2.3B) exceeds its long term liabilities (1.9B)


Debt to Equity History and Analysis

Debt Level: OMI's debt to equity ratio (327.8%) is considered high.

Reducing Debt: OMI's debt to equity ratio has increased from 75.9% to 327.8% over the past 5 years.

Debt Coverage: OMI's debt is not well covered by operating cash flow (8.2%).

Interest Coverage: OMI is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet

Inventory Level: OMI has a high level of physical assets or inventory.

Debt Coverage by Assets: OMI's debt is covered by short term assets (assets are 1.4x debt).


Next Steps

Dividend

What is Owens & Minor's current dividend yield, its reliability and sustainability?

0.15%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Owens & Minor before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company0.2%marketbottom25%1.4%markettop25%3.6%industryaverage1.5%forecastin3Years0.4%

Current dividend yield vs market & industry

Notable Dividend: OMI's dividend (0.15%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.42%).

High Dividend: OMI's dividend (0.15%) is low compared to the top 25% of dividend payers in the US market (3.65%).


Stability and Growth of Payments

Stable Dividend: OMI is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: OMI is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Owens & Minor's salary, the management and board of directors tenure and is there insider trading?

0.9yrs

Average management tenure


CEO

Ed Pesicka (51yo)

0.7yrs

Tenure

0

Mr. Edward A. Pesicka, also known as Ed, has been the Chief Executive Officer, President and Director of Owens & Minor, Inc. since March 7, 2019. Mr. Pesicka served as Chief Commercial Officer of Thermo Fi ...


Management Age and Tenure

0.9yrs

Average Tenure

52yo

Average Age

Experienced Management: OMI's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Age and Tenure

1.3yrs

Average Tenure

66yo

Average Age

Experienced Board: OMI's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Insider Trading

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 not been meaningfully diluted in the past year.


Management Team

  • Chuck Graves

    Director of Finance & Investor Relations

    • Tenure: 0yrs
  • Ed Pesicka (51yo)

    President

    • Tenure: 0.7yrs
  • Jeff Jochims (52yo)

    Executive VP & Chief Operating Officer

    • Tenure: 0yrs
  • Robert Snead (42yo)

    Executive Officer

    • Tenure: 0yrs
    • Compensation: US$1.02m
  • Nick Pace (48yo)

    Executive VP

    • Tenure: 3.8yrs
    • Compensation: US$1.75m
  • Mike Lowry (57yo)

    Senior VP

    • Tenure: 1.4yrs
    • Compensation: US$310.84k
  • Chris Lowery (55yo)

    President of Global Products

    • Tenure: 0.8yrs
    • Compensation: US$3.66m
  • Joseph Pekala (48yo)

    Senior VP & Chief Information Officer

    • Tenure: 0.9yrs
  • Andy Long (54yo)

    Executive VP & CFO

    • Tenure: 0yrs
  • Shana Neal (52yo)

    Senior VP & Chief Human Resources Officer and Communications

    • Tenure: 0yrs

Board Members

  • G. Minor (78yo)

    Chairman Emeritus

    • Tenure: 6.6yrs
    • Compensation: US$366.50k
  • Craig Smith (67yo)

    Chairman Emeritus

    • Tenure: 0yrs
    • Compensation: US$44.50k
  • Bob Sledd (66yo)

    Chairman

    • Tenure: 1yrs
    • Compensation: US$2.39m
  • Anne Whittemore (72yo)

    Lead Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$281.00k
  • Eddie Moore (71yo)

    Independent Director

    • Tenure: 14.6yrs
    • Compensation: US$248.20k
  • Mark McGettrick (61yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$259.50k
  • Bob Henkel (65yo)

    Director

    • Tenure: 0.08yrs
  • Ed Pesicka (51yo)

    President

    • Tenure: 0.7yrs
  • Mark Beck (54yo)

    Independent Director

    • Tenure: 0.3yrs

Company Information

Owens & Minor, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Owens & Minor, Inc.
  • Ticker: OMI
  • Exchange: NYSE
  • Founded: 1882
  • Industry: Health Care Distributors
  • Sector: Healthcare
  • Market Cap: US$417.964m
  • Shares outstanding: 62.85m
  • Website: https://www.owens-minor.com

Number of Employees


Location

  • Owens & Minor, Inc.
  • 9120 Lockwood Boulevard
  • Mechanicsville
  • Virginia
  • 23116
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OMINYSE (New York Stock Exchange)YesCommon StockUSUSDDec 1972
6OMDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1972

Biography

Owens & Minor, Inc., together with its subsidiaries, operates as a healthcare solutions company in the United States and internationally. It operates through two segments, Global Solutions and Global Produ ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/17 23:45
End of Day Share Price2019/11/15 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.