Amphenol Corp

APH

Electronic Connectors

Mkt Cap

$80.39B

PE

39.45

Debt

$5.062B

Cash

$1.857B

EV

$83.59B

FCF

$2.226B

Market Cap

$80.39B

P/E Ratio

39.45

Debt

$5.062B

Cash

$1.857B

EV

$83.59B

FCF

$2.226B

Charts data: {"Earnings":[{"time":"2014-12-30","value":709100000},{"time":"2015-12-30","value":763500000},{"time":"2016-12-30","value":822900000},{"time":"2017-12-30","value":650500000},{"time":"2018-12-30","value":1205000000},{"time":"2019-12-30","value":1155000000},{"time":"2020-12-30","value":1203400000},{"time":"2021-12-30","value":1590800000},{"time":"2022-12-30","value":1902300000},{"time":"2023-12-30","value":1928000000}],"Sales":[{"time":"2014-12-30","value":5345500000},{"time":"2015-12-30","value":5568700000},{"time":"2016-12-30","value":6286400000},{"time":"2017-12-30","value":7011300000},{"time":"2018-12-30","value":8202000000},{"time":"2019-12-30","value":8225400000},{"time":"2020-12-30","value":8598900000},{"time":"2021-12-30","value":10876300000},{"time":"2022-12-30","value":12623000000},{"time":"2023-12-30","value":12554700000}],"Net Margins":[{"time":"2014-12-30","value":0.13265363389767093},{"time":"2015-12-30","value":0.13710560813116168},{"time":"2016-12-30","value":0.13090162891320947},{"time":"2017-12-30","value":0.09277879993724417},{"time":"2018-12-30","value":0.14691538649109973},{"time":"2019-12-30","value":0.14041870304179735},{"time":"2020-12-30","value":0.13994813290071986},{"time":"2021-12-30","value":0.14626297546040473},{"time":"2022-12-30","value":0.1507011011645409},{"time":"2023-12-30","value":0.1535679864911149}],"Assets":[{"time":"2014-12-30","value":7027000000},{"time":"2015-12-30","value":7458400000},{"time":"2016-12-30","value":8498700000},{"time":"2017-12-30","value":10003900000},{"time":"2018-12-30","value":10044900000},{"time":"2019-12-30","value":10815500000},{"time":"2020-12-30","value":12327300000},{"time":"2021-12-30","value":14678400000},{"time":"2022-12-30","value":15326200000},{"time":"2023-12-30","value":16526400000}],"Stockholders Equity":[{"time":"2014-12-30","value":2937900000},{"time":"2015-12-30","value":3278400000},{"time":"2016-12-30","value":3723100000},{"time":"2017-12-30","value":4043400000},{"time":"2018-12-30","value":4064200000},{"time":"2019-12-30","value":4596200000},{"time":"2020-12-30","value":5451900000},{"time":"2021-12-30","value":6360100000},{"time":"2022-12-30","value":7073500000},{"time":"2023-12-30","value":8395800000}],"ROE":[{"time":"2014-12-30","value":0.24136287824636646},{"time":"2015-12-30","value":0.23288799414348463},{"time":"2016-12-30","value":0.22102548951142864},{"time":"2017-12-30","value":0.16087945788198052},{"time":"2018-12-30","value":0.2964913144038187},{"time":"2019-12-30","value":0.2512945476698142},{"time":"2020-12-30","value":0.22073038757130542},{"time":"2021-12-30","value":0.2501218534299775},{"time":"2022-12-30","value":0.2689333427581819},{"time":"2023-12-30","value":0.22963862883822864}],"ROA":[{"time":"2014-12-30","value":0.14983634552440586},{"time":"2015-12-30","value":0.15031374021237798},{"time":"2016-12-30","value":0.14180992387070965},{"time":"2017-12-30","value":0.1427043453053309},{"time":"2018-12-30","value":0.1679359675058985},{"time":"2019-12-30","value":0.14971106282649901},{"time":"2020-12-30","value":0.1329082605274472},{"time":"2021-12-30","value":0.1434148136036625},{"time":"2022-12-30","value":0.16871762080620115},{"time":"2023-12-30","value":0.15487946558234097}]}

Amphenol Corporation, together with its subsidiaries, primarily designs, manufactures, and markets electrical, electronic, and fiber optic connectors in the United States, China, and internationally. It operates through three segments: Harsh Environment Solutions, Communications Solutions, and Interconnect and Sensor Systems. The company offers connectors and connector systems, including harsh environment data, power, high-speed, fiber optic, and radio frequency interconnect products; busbars and power distribution systems; and other connectors. It also provides value-add products, such as backplane interconnect systems, cable assemblies and harnesses, and cable management products; other products comprising flexible and rigid printed circuit boards, hinges, other mechanical, and production related products. In addition, the company offers consumer device, network infrastructure, and other antennas; coaxial, power, and specialty cables; and sensors and sensor-based products. It sells its products through its sales force, independent representatives, and a network of electronics distributors to original equipment manufacturers, electronic manufacturing services companies, original design manufacturers, and service providers in the automotive, broadband communication, commercial aerospace, industrial, information technology and data communication, military, mobile device, and mobile network markets. Amphenol Corporation was founded in 1932 and is headquartered in Wallingford, Connecticut.

Sector

10-Q
9/30/23
10-Q
6/30/23
10-Q
3/31/23
10-K
12/31/22
10-Q
9/30/22
10-Q
6/30/22
10-Q
3/31/22
10-K
12/31/21
10-Q
9/30/21
10-Q
6/30/21
10-Q
3/31/21
10-K
12/31/20
10-Q
9/30/20
10-Q
6/30/20
10-Q
3/31/20
10-K
12/31/19
10-Q
9/30/19
10-Q
6/30/19
10-Q
3/31/19
10-K
12/31/18
10-Q
9/30/18
10-Q
6/30/18
10-Q
3/31/18
10-K
12/31/17

DCF

Discounted Cash Flow Valuation of Amphenol Corp

Calculate

Growth Years

Growth

Start

End

Discount

Start

End

Multiple

g\r	+10%	+11%	+12%	+13%	+14%
0%	10	9	8	8	7
+1%	11	10	9	8	8
+2%	13	11	10	9	8
+3%	14	13	11	10	9
+4%	17	14	12	11	10

Years	0	1	2	3	4	5	6	7	8	9	10	TV
FCF	$2.226B	$2.488B	$2.762B	$3.046B	$3.335B	$3.627B	$3.918B	$4.202B	$4.475B	$4.732B	$4.969B	$49.69B
DCF		$2.164B	$2.089B	$2.003B	$1.907B	$1.803B	$1.694B	$1.58B	$1.463B	$1.345B	$1.228B	$12.28B
Value	$29.56B

Chart P/E ratio

In the chart Earnings are multiplied by this value.

Earnings Growth 14%

Earnings Stability 88%

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

The Net Margin is high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Over time the ROA has been increasing indicating a higher marginal ROA with respect to the calculated one, giving a good sign for continued growth.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Net Margin	14%	13%	9.3%	15%	14%	14%	15%	15%	15%	16%
ROA	15%	14%	14%	17%	15%	13%	14%	17%	15%	16%
ROE	23%	22%	16%	30%	25%	22%	25%	27%	23%	23%

What is the average Net Margin?

The average Net Margin over the past 5 years is +14.63%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is +0.2%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is +15.29%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is +0.01%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +25.29%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is -0.72%.

Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Under the assumption that FCF does not diminish and debt does not increase, the current years to repay the debt are acceptable.

The Graham’s stability indicate reliability of earnings, and consideration about the future are more dependable.

Years	12-2015	12-2016	12-2017	12-2018	12-2019	12-2020	12-2021	12-2022	12-2023	TTM
Debt FCF	3.28	3.82	3.86	5.40	3.32	3.11	4.07	2.56	2.18	2.27
Debt Equity	0.86	0.91	0.88	1.07	0.87	0.75	0.76	0.65	0.56	0.58
MIN
Graham Stability	-	-	85%	100%	100%	100%	100%	100%	100%	85%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is 2.27.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is -0.50.

What is the Graham’s Stability?

Graham’s Stability measure stands at 0.85.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Earnings growth has been increasing in past years.

Years	12-2016	12-2018	12-2020	12-2022	Trend
Revenue	10%	8.9%	13%	-0.54%	0.14%
Net Income	13%	9.9%	17%	1.4%	0.59%
Stockholders Equity	12%	16%	15%	19%	0.93%
FCF	14%	22%	18%	20%	1.8%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +8.89%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +0.14%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is +9.86%.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is +0.59%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is +15.62%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +0.93%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is +21.87%.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +1.83%.