Edwards Lifesciences Corp

Health Care
Industrial Specialties
www.edwards.com

Earnings Score
Moat Score
Safety Score
Final Score

Market Cap $41.82B
PE 10
Debt $597.50M
Cash $3.68B
EV $38.73B
FCF $515.50M

Earnings

loading chart...

Sales & Net Margins

loading chart...

Earnings	$4.16B
EBIT	$1.58B
ROE	43%
ROA	12%
FCF	$515.50M
Equity	$9.61B
Growth Stability	93%
PE	10.06
PEG	0.52
PB	4.35
P/FCF	81.12
P/S	7.48
Price/Cash	0.09
Debt/Equity	0.06
Debt/FCF	1.16
Net Margins	93%
Gross Margins	79%
Op. Margins	28%
Earnings CAGR	17%
Sales Growth YoY	-11%
Sales Growth QoQ	16%
Sales CAGR	10%
FCF CAGR	4%
Equity CAGR	15%
Earnings Stability	0.81
Earnings Growth YoY	700%
Earnings Growth QoQ	741%

Earnings CAGR 5Y	19%
Sales CAGR 5Y	8%
FCF CAGR 5Y	-12%
Equity CAGR 5Y	17%
Earnings CAGR 3Y	4%
Sales CAGR 3Y	4%
FCF CAGR 3Y	-37%
Equity CAGR 3Y	15%
Market Cap	$41.82B
Revenue	$5.59B
Assets	$12.97B
Total Debt	$597.50M
Cash	$3.68B
Shares Outstanding	589.8M
EV	38.73B
Earnings Score	93%
Moat Score	97%
Safety Score	96%
Final Score	95%
Working Capital	4.78B
Current Ratio	3.46
Gross Profit	$4.41B
Shares Growth 3y	-2%
Equity Growth QoQ	28%
Equity Growth YoY	43%

Assets & ROA

loading chart...

Stockholders Equity & ROE

loading chart...

Edwards Lifesciences is the global leader in patient-focused medical innovations for structural heart disease as well as critical care and surgical monitoring. We thrive on discovery and expanding the boundaries of medical technology serving patients in 100+ countries with the help of our employees in areas including Clinical Affairs Quality Engineering Research & Development Regulatory Affairs Sales & Marketing corporate functions and more. Our roots date back to 1958 when Miles Lowell Edwards a retired engineer with a background in hydraulics and fuel pump operations set out to build the first artificial heart. Edwards believed the heart could be mechanized and was encouraged by Dr. Albert Starr to focus on developing an artificial heart valve. After just two years the first Starr-Edwards mitral valve was developed and successfully placed in a patient. This innovation spawned Edwards Laboratories.

SEC Filings

Direct access to Edwards Lifesciences Corp (EW) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2023
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2022
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31

Sector Comparison

How does Edwards Lifesciences Corp compare to its competitors?

Loading chart...

Peter Lynch's Chart

This chart shows the current pricing of Edwards Lifesciences Corp compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR 17%

Stability 81%

loading chart...

Edwards Lifesciences Corp Discounted Cash Flow

Fully customizable DCF calculator online for Edwards Lifesciences Corp.

Years

Calculation mode

= $7B

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$516M	$538M	$561M	$586M	$612M	$638M	$666M	$695M	$725M	$757M	$790M	$7.9B
DCF		$489M	$464M	$440M	$418M	$396M	$376M	$357M	$338M	$321M	$305M	$3B
Value	$7B

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.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Net Margins	35%	20%	19%	17%	19%	24%	19%	29%	28%	23%	93%
ROA	-	16%	17%	19%	15%	18%	13%	20%	21%	17%	12%
ROE	-	20%	22%	20%	23%	25%	18%	26%	26%	21%	43%

Good Net Margins (93.38%)

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

Safety and Stability

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.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Debt over FCF	-	1.34	1.56	1.97	0.87	0.64	0.92	0.42	0.61	0.93	1.16
Debt over Equity	0.27	0.24	0.32	0.55	0.19	0.14	0.13	0.1	0.1	0.09	0.06
Growth Stability	-	-	-	93%	100%	100%	100%	100%	100%	100%	93%

Good Debt/FCF ratio (1.16)

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

Good Debt/Equity ratio (0.06)

The company is not overleveraged and has a good balance between equity and debt.

Good Graham’s Stability (93%)

The company has a good stability in its earnings, which is a sign of a good competitive advantage.

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.

Years	12/2014	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	CAGR 5Y
Revenue YoY growth	-	7%	19%	16%	8%	17%	1%	19%	3%	12%	8%
Earnings YoY growth	-	-39%	15%	2%	24%	45%	-21%	83%	1%	-8%	19%
Equity YoY growth	-	14%	5%	13%	6%	32%	10%	28%	-1%	16%	17%
FCF YoY growth	-	-52%	18%	58%	-17%	34%	-30%	117%	-31%	-34%	-12%