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Newell Brands Piotroski F-Score

: 4 (As of Today)
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The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Newell Brands has an F-score of 4 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for Newell Brands's Piotroski F-Score or its related term are showing as below:

NWL' s Piotroski F-Score Range Over the Past 10 Years
Min: 1   Med: 6   Max: 9
Current: 4

During the past 13 years, the highest Piotroski F-Score of Newell Brands was 9. The lowest was 1. And the median was 6.


Newell Brands Piotroski F-Score Historical Data

The historical data trend for Newell Brands's Piotroski F-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Newell Brands Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Piotroski F-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 5.00 6.00 4.00 7.00

Newell Brands Quarterly Data
Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22
Piotroski F-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.00 6.00 7.00 7.00 4.00

Competitive Comparison

For the Household & Personal Products subindustry, Newell Brands's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Newell Brands Piotroski F-Score Distribution

For the Consumer Packaged Goods industry and Consumer Defensive sector, Newell Brands's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Newell Brands's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

This Year (Jun22) TTM:Last Year (Jun21) TTM:
Net Income was 190 + 96 + 234 + 204 = $724 Mil.
Cash Flow from Operations was 414 + 394 + -272 + -178 = $358 Mil.
Revenue was 2787 + 2805 + 2388 + 2534 = $10,514 Mil.
Gross Profit was 848 + 835 + 740 + 825 = $3,248 Mil.
Average Total Assets from the begining of this year (Jun21)
to the end of this year (Jun22) was
(14620 + 14520 + 14179 + 14204 + 14448) / 5 = $14394.2 Mil.
Total Assets at the begining of this year (Jun21) was $14,620 Mil.
Long-Term Debt & Capital Lease Obligation was $4,293 Mil.
Total Current Assets was $4,757 Mil.
Total Current Liabilities was $4,630 Mil.
Net Income was 304 + 127 + 89 + 197 = $717 Mil.

Revenue was 2699 + 2689 + 2288 + 2709 = $10,385 Mil.
Gross Profit was 914 + 884 + 731 + 882 = $3,411 Mil.
Average Total Assets from the begining of last year (Jun20)
to the end of last year (Jun21) was
(14257 + 14720 + 14700 + 14340 + 14620) / 5 = $14527.4 Mil.
Total Assets at the begining of last year (Jun20) was $14,257 Mil.
Long-Term Debt & Capital Lease Obligation was $5,318 Mil.
Total Current Assets was $4,655 Mil.
Total Current Liabilities was $3,776 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Newell Brands's current Net Income (TTM) was 724. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Newell Brands's current Cash Flow from Operations (TTM) was 358. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Jun21)
=724/14620
=0.0495212

ROA (Last Year)=Net Income/Total Assets (Jun20)
=717/14257
=0.05029109

Newell Brands's return on assets of this year was 0.0495212. Newell Brands's return on assets of last year was 0.05029109. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Newell Brands's current Net Income (TTM) was 724. Newell Brands's current Cash Flow from Operations (TTM) was 358. ==> 358 <= 724 ==> CFROA <= ROA ==> Score 0.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Jun22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun21 to Jun22
=4293/14394.2
=0.29824513

Gearing (Last Year: Jun21)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Jun20 to Jun21
=5318/14527.4
=0.36606688

Newell Brands's gearing of this year was 0.29824513. Newell Brands's gearing of last year was 0.36606688. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Jun22)=Total Current Assets/Total Current Liabilities
=4757/4630
=1.02742981

Current Ratio (Last Year: Jun21)=Total Current Assets/Total Current Liabilities
=4655/3776
=1.23278602

Newell Brands's current ratio of this year was 1.02742981. Newell Brands's current ratio of last year was 1.23278602. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Newell Brands's number of shares in issue this year was 415.7. Newell Brands's number of shares in issue last year was 427.8. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=3248/10514
=0.30892144

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=3411/10385
=0.3284545

Newell Brands's gross margin of this year was 0.30892144. Newell Brands's gross margin of last year was 0.3284545. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Jun21)
=10514/14620
=0.71915185

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Jun20)
=10385/14257
=0.72841411

Newell Brands's asset turnover of this year was 0.71915185. Newell Brands's asset turnover of last year was 0.72841411. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+0+1+0+1+0+0
=4

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Newell Brands has an F-score of 4 indicating the company's financial situation is typical for a stable company.

Newell Brands  (NAS:NWL) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Newell Brands Piotroski F-Score Related Terms

Thank you for viewing the detailed overview of Newell Brands's Piotroski F-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Newell Brands Business Description

Newell Brands logo
Address
6655 Peachtree Dunwoody Road, Atlanta, GA, USA, 30328
Newell Brands Inc is an American global consumer goods company. The business activities of the group function through five segments namely, Commercial Solutions, Home Appliances, Home Solutions, Learning and Development, Outdoor and Recreation. Learning and Development segment generates most of the revenue for the firm which offers baby gear and infant care products; writing instruments, including markers and highlighters, pens and pencils; art products; activity-based adhesive and cutting products and labeling solutions.
Executives
Mejia Maria Fernanda officer: CEO, International ONE KELLOGG SQUARE PO BOX 3599 BATTLE CREEK MI 49016-3599
Icahn Partners Lp 10 percent owner 16690 COLLINS AVE. PH SUNNY ISLES FL 33160
Icahn Partners Master Fund Lp 10 percent owner 16690 COLLINS AVE. PH SUNNY ISLES FL 33160
Icahn Carl C 10 percent owner C/O ICAHN ENTERPRISES L.P. 16690 COLLINS AVE., PH-1 SUNNY ISLES BEACH FL 33160
Geller Michal J. officer: President, eCommerce & Digital 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Sesplankis Jeffrey M officer: Chief Accounting Officer 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Johnson Jay Lecoryelle director C/O DIAMONDROCK HOSPITALITY COMPANY 2 BETHESDA METRO CENTER, SUITE 1400 BETHESDA MD 20814
Robins Christine Marie officer: Business Unit CEO - A&C 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Mcdermott Michael P officer: Business Unit CEO - Commercial 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Pisani James Anthony officer: Bus. Unit CEO - Outdoor & Rec. 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Malkoski Kristine Kay officer: Business Unit CEO - Food 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Hayes Michael Mchugh officer: Chief Customer Officer 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
Hammer David Mark officer: Business Unit CEO - A&C 6655 PEACHTREE DUNWOODY ROAD ATLANTA GA 30328
High River Limited Partnership 10 percent owner 16690 COLLINS AVE. PH SUNNY ISLES FL 33160
Parsons Stephen B officer: Chief Human Resources Officer NEWELL BRANDS INC. 6655 PEACHTEE DUNWOODY ROAD ATLANTA GA 30328

Newell Brands Headlines

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