ARCOSA INC (ACA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ACA - US0396531008 - Common Stock
110.84 USD
-2.14 (-1.89%)
110.84 USD
0 (0%)
Overall ACA gets a fundamental rating of 5 out of 10. We evaluated ACA against 55 industry peers in the Construction & Engineering industry. ACA has an average financial health and profitability rating. ACA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
ACA had positive earnings in the past year.
ACA had a positive operating cash flow in the past year.
ACA had positive earnings in each of the past 5 years.
Each year in the past 5 years ACA had a positive operating cash flow.
1.2 Ratios
ACA has a Return On Assets (2.94%) which is comparable to the rest of the industry.
ACA's Return On Equity of 5.75% is on the low side compared to the rest of the industry. ACA is outperformed by 60.00% of its industry peers.
The Return On Invested Capital of ACA (4.99%) is comparable to the rest of the industry.
ACA had an Average Return On Invested Capital over the past 3 years of 3.99%. This is significantly below the industry average of 17.87%.
The 3 year average ROIC (3.99%) for ACA is below the current ROIC(4.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | 5.75% | ||
| ROIC | 4.99% |
ROA(3y)4.56%
ROA(5y)3.97%
ROE(3y)7.3%
ROE(5y)6.21%
ROIC(3y)3.99%
ROIC(5y)4.04%
1.3 Margins
Looking at the Profit Margin, with a value of 5.25%, ACA is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Profit Margin of ACA has declined.
ACA has a better Operating Margin (10.27%) than 72.73% of its industry peers.
ACA's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 21.61%, ACA is doing good in the industry, outperforming 61.82% of the companies in the same industry.
ACA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.27% | ||
| PM (TTM) | 5.25% | ||
| GM | 21.61% |
OM growth 3Y11.96%
OM growth 5Y-2.91%
PM growth 3Y2.37%
PM growth 5Y-10.81%
GM growth 3Y3.69%
GM growth 5Y0.93%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ACA is destroying value.
Compared to 1 year ago, ACA has more shares outstanding
The number of shares outstanding for ACA has been increased compared to 5 years ago.
The debt/assets ratio for ACA is higher compared to a year ago.
2.2 Solvency
ACA has an Altman-Z score of 2.49. This is not the best score and indicates that ACA is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.49, ACA perfoms like the industry average, outperforming 41.82% of the companies in the same industry.
The Debt to FCF ratio of ACA is 5.03, which is a neutral value as it means it would take ACA, 5.03 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 5.03, ACA is doing good in the industry, outperforming 61.82% of the companies in the same industry.
ACA has a Debt/Equity ratio of 0.61. This is a neutral value indicating ACA is somewhat dependend on debt financing.
ACA's Debt to Equity ratio of 0.61 is in line compared to the rest of the industry. ACA outperforms 58.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.03 | ||
| Altman-Z | 2.49 |
ROIC/WACC0.51
WACC9.75%
2.3 Liquidity
A Current Ratio of 2.02 indicates that ACA has no problem at all paying its short term obligations.
The Current ratio of ACA (2.02) is better than 87.27% of its industry peers.
A Quick Ratio of 1.30 indicates that ACA should not have too much problems paying its short term obligations.
ACA has a Quick ratio (1.30) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.02 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
ACA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.03%, which is quite good.
Measured over the past 5 years, ACA shows a small growth in Earnings Per Share. The EPS has been growing by 5.16% on average per year.
The Revenue has grown by 13.96% in the past year. This is quite good.
ACA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.15% yearly.
EPS 1Y (TTM)17.03%
EPS 3Y16.17%
EPS 5Y5.16%
EPS Q2Q%71.43%
Revenue 1Y (TTM)13.96%
Revenue growth 3Y8.06%
Revenue growth 5Y8.15%
Sales Q2Q%24.58%
3.2 Future
The Earnings Per Share is expected to grow by 22.53% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 7.41% on average over the next years.
EPS Next Y41.21%
EPS Next 2Y27.26%
EPS Next 3Y22.53%
EPS Next 5YN/A
Revenue Next Year10.81%
Revenue Next 2Y8.38%
Revenue Next 3Y7.41%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 29.32, ACA can be considered very expensive at the moment.
Based on the Price/Earnings ratio, ACA is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
ACA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.54.
With a Price/Forward Earnings ratio of 22.74, ACA is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ACA indicates a somewhat cheap valuation: ACA is cheaper than 72.73% of the companies listed in the same industry.
ACA is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 22.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACA is valued a bit cheaper than 78.18% of the companies in the same industry.
81.82% of the companies in the same industry are more expensive than ACA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.28 | ||
| EV/EBITDA | 13.35 |
4.3 Compensation for Growth
ACA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ACA's earnings are expected to grow with 22.53% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.71
PEG (5Y)5.68
EPS Next 2Y27.26%
EPS Next 3Y22.53%
5. Dividend
5.1 Amount
ACA has a yearly dividend return of 0.19%, which is pretty low.
ACA's Dividend Yield is a higher than the industry average which is at 1.65.
Compared to an average S&P500 Dividend Yield of 2.27, ACA's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
5.2 History
The dividend of ACA decreases each year by -0.48%.
ACA has been paying a dividend for over 5 years, so it has already some track record.
ACA has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)-0.48%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
ACA pays out 6.66% of its income as dividend. This is a sustainable payout ratio.
DP6.66%
EPS Next 2Y27.26%
EPS Next 3Y22.53%
110.84
-2.14 (-1.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners94.79%
Inst Owner Change-4.44%
Ins Owners1.8%
Ins Owner Change-2%
Market Cap5.44B
Revenue(TTM)2.83B
Net Income(TTM)148.60M
Analysts86
Price Target122.23 (10.28%)
Short Float %2.25%
Short Ratio4.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.19% |
Yearly Dividend0.2
Dividend Growth(5Y)-0.48%
DP6.66%
Div Incr Years0
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.63%
Min EPS beat(2)15.61%
Max EPS beat(2)17.65%
EPS beat(4)3
Avg EPS beat(4)38.79%
Min EPS beat(4)-40.32%
Max EPS beat(4)162.24%
EPS beat(8)7
Avg EPS beat(8)30.62%
EPS beat(12)11
Avg EPS beat(12)32.12%
EPS beat(16)15
Avg EPS beat(16)40.53%
Revenue beat(2)1
Avg Revenue beat(2)-1.27%
Min Revenue beat(2)-3.72%
Max Revenue beat(2)1.18%
Revenue beat(4)2
Avg Revenue beat(4)-1.29%
Min Revenue beat(4)-4.44%
Max Revenue beat(4)1.83%
Revenue beat(8)4
Avg Revenue beat(8)-0.83%
Revenue beat(12)7
Avg Revenue beat(12)0.53%
Revenue beat(16)11
Avg Revenue beat(16)1.99%
PT rev (1m)3.3%
PT rev (3m)3.3%
EPS NQ rev (1m)2.28%
EPS NQ rev (3m)3.23%
EPS NY rev (1m)3.78%
EPS NY rev (3m)5.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.13%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.32 | ||
| Fwd PE | 22.74 | ||
| P/S | 1.92 | ||
| P/FCF | 17.28 | ||
| P/OCF | 11.58 | ||
| P/B | 2.1 | ||
| P/tB | 5.92 | ||
| EV/EBITDA | 13.35 |
EPS(TTM)3.78
EY3.41%
EPS(NY)4.87
Fwd EY4.4%
FCF(TTM)6.41
FCFY5.79%
OCF(TTM)9.57
OCFY8.63%
SpS57.76
BVpS52.7
TBVpS18.72
PEG (NY)0.71
PEG (5Y)5.68
Graham Number66.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.94% | ||
| ROE | 5.75% | ||
| ROCE | 6.5% | ||
| ROIC | 4.99% | ||
| ROICexc | 5.24% | ||
| ROICexgc | 8.62% | ||
| OM | 10.27% | ||
| PM (TTM) | 5.25% | ||
| GM | 21.61% | ||
| FCFM | 11.11% |
ROA(3y)4.56%
ROA(5y)3.97%
ROE(3y)7.3%
ROE(5y)6.21%
ROIC(3y)3.99%
ROIC(5y)4.04%
ROICexc(3y)4.17%
ROICexc(5y)4.21%
ROICexgc(3y)7.17%
ROICexgc(5y)7.33%
ROCE(3y)5.21%
ROCE(5y)5.27%
ROICexgc growth 3Y4.01%
ROICexgc growth 5Y-10.09%
ROICexc growth 3Y4.98%
ROICexc growth 5Y-11.63%
OM growth 3Y11.96%
OM growth 5Y-2.91%
PM growth 3Y2.37%
PM growth 5Y-10.81%
GM growth 3Y3.69%
GM growth 5Y0.93%
F-Score5
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 5.03 | ||
| Debt/EBITDA | 3.04 | ||
| Cap/Depr | 68.36% | ||
| Cap/Sales | 5.46% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 90.74% | ||
| Profit Quality | 211.71% | ||
| Current Ratio | 2.02 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 2.49 |
F-Score5
WACC9.75%
ROIC/WACC0.51
Cap/Depr(3y)104.81%
Cap/Depr(5y)89.02%
Cap/Sales(3y)7.45%
Cap/Sales(5y)6.15%
Profit Quality(3y)128.08%
Profit Quality(5y)133.99%
High Growth Momentum
Growth
EPS 1Y (TTM)17.03%
EPS 3Y16.17%
EPS 5Y5.16%
EPS Q2Q%71.43%
EPS Next Y41.21%
EPS Next 2Y27.26%
EPS Next 3Y22.53%
EPS Next 5YN/A
Revenue 1Y (TTM)13.96%
Revenue growth 3Y8.06%
Revenue growth 5Y8.15%
Sales Q2Q%24.58%
Revenue Next Year10.81%
Revenue Next 2Y8.38%
Revenue Next 3Y7.41%
Revenue Next 5YN/A
EBIT growth 1Y48.65%
EBIT growth 3Y20.99%
EBIT growth 5Y5.01%
EBIT Next Year135.94%
EBIT Next 3Y39.06%
EBIT Next 5YN/A
FCF growth 1Y5015.62%
FCF growth 3Y56.55%
FCF growth 5Y2.7%
OCF growth 1Y146.35%
OCF growth 3Y44.47%
OCF growth 5Y6.95%
ARCOSA INC / ACA FAQ
Can you provide the ChartMill fundamental rating for ARCOSA INC?
ChartMill assigns a fundamental rating of 5 / 10 to ACA.
What is the valuation status for ACA stock?
ChartMill assigns a valuation rating of 5 / 10 to ARCOSA INC (ACA). This can be considered as Fairly Valued.
Can you provide the profitability details for ARCOSA INC?
ARCOSA INC (ACA) has a profitability rating of 5 / 10.
What are the PE and PB ratios of ARCOSA INC (ACA) stock?
The Price/Earnings (PE) ratio for ARCOSA INC (ACA) is 29.32 and the Price/Book (PB) ratio is 2.1.
What is the expected EPS growth for ARCOSA INC (ACA) stock?
The Earnings per Share (EPS) of ARCOSA INC (ACA) is expected to grow by 41.21% in the next year.