Adient PLC (ADNT) Stock: How Does it Score on Fundamental Metrics?

InvestorsObserver gives Adient PLC (ADNT) a weak valuation score of 20 from its analysis. The proprietary scoring system considers the underlying health of a company by analyzing its stock price, earnings, and growth rate. ADNT currently holds a better value than 20% of stocks based on these metrics. Long term investors focused on buying-and-holding should find the valuation ranking system most relevant when making investment decisions.

ADNT gets a 20 Valuation Rank today. Find out what this means to you and get the rest of the rankings on ADNT!

See Full ADNT Report

Metrics Analysis

ADNT's trailing-12-month Price to Earnings (PE) ratio of 15.61 puts it around the historical average of roughly 15. ADNT is a average value at its current trading price as investors are paying around what its worth in relation to the company's earnings. ADNT's trailing-12-month earnings per share (EPS) of 2.23 does justify what it is currently trading at in the market. Trailing PE ratios, however, do not factor in a company's projected growth rate, resulting in some firms having high PE ratios due to high growth potentially enticing investors even if current earnings are low. ADNT currently has a 12-month-forward-PE-to-Growth (PEG) ratio of 0.29. The market is currently undervaluing ADNT in relation to its projected growth due to the PEG ratio being below the fair market value of 1. ADNT's PEG comes from its forward price to earnings ratio being divided by its growth rate. Because PEG ratios include more fundamentals of a company's overall health with additional focus on the future, they are one of the most used valuation metrics by analysts.

Summary

All together these valuation metrics paint a pretty strong picture for ADNT at its current price due to a undervalued PEG ratio despite strong growth. The PE and PEG for ADNT are better than the average of the market resulting in a valuation score of 20. Click Here to get the full Report on Adient PLC (ADNT) stock.