ALBANY INTL CORP-CL A (AIN) Stock Fundamental Analysis
NYSE:AIN - New York Stock Exchange, Inc. - US0123481089 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to AIN. AIN was compared to 128 industry peers in the Machinery industry. AIN has an excellent financial health rating, but there are some minor concerns on its profitability. AIN does not seem to be growing, but still is valued expensively. Finally AIN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AIN was profitable.
In the past year AIN had a positive cash flow from operations.
In the past 5 years AIN has always been profitable.
In the past 5 years AIN always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of AIN (5.31%) is comparable to the rest of the industry.
AIN's Return On Equity of 9.29% is in line compared to the rest of the industry. AIN outperforms 54.69% of its industry peers.
The Return On Invested Capital of AIN (7.37%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for AIN is below the industry average of 10.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.31% | ||
| ROE | 9.29% | ||
| ROIC | 7.37% |
ROA(3y)5.73%
ROA(5y)6.24%
ROE(3y)10.65%
ROE(5y)11.52%
ROIC(3y)8.07%
ROIC(5y)8.6%
1.3 Margins
AIN has a Profit Margin of 7.12%. This is in the better half of the industry: AIN outperforms 60.94% of its industry peers.
AIN's Profit Margin has declined in the last couple of years.
AIN has a Operating Margin of 11.77%. This is in the better half of the industry: AIN outperforms 60.94% of its industry peers.
In the last couple of years the Operating Margin of AIN has declined.
AIN has a Gross Margin of 32.65%. This is comparable to the rest of the industry: AIN outperforms 55.47% of its industry peers.
AIN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.77% | ||
| PM (TTM) | 7.12% | ||
| GM | 32.65% |
OM growth 3Y-15.2%
OM growth 5Y-8.79%
PM growth 3Y-17.66%
PM growth 5Y-10.73%
GM growth 3Y-7.1%
GM growth 5Y-2.85%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AIN is destroying value.
The number of shares outstanding for AIN has been reduced compared to 1 year ago.
AIN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, AIN has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.94 indicates that AIN is not in any danger for bankruptcy at the moment.
AIN's Altman-Z score of 3.94 is fine compared to the rest of the industry. AIN outperforms 69.53% of its industry peers.
The Debt to FCF ratio of AIN is 2.32, which is a good value as it means it would take AIN, 2.32 years of fcf income to pay off all of its debts.
AIN has a better Debt to FCF ratio (2.32) than 74.22% of its industry peers.
AIN has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
AIN's Debt to Equity ratio of 0.34 is in line compared to the rest of the industry. AIN outperforms 58.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.32 | ||
| Altman-Z | 3.94 |
ROIC/WACC0.76
WACC9.65%
2.3 Liquidity
AIN has a Current Ratio of 3.23. This indicates that AIN is financially healthy and has no problem in meeting its short term obligations.
AIN's Current ratio of 3.23 is fine compared to the rest of the industry. AIN outperforms 78.91% of its industry peers.
AIN has a Quick Ratio of 2.58. This indicates that AIN is financially healthy and has no problem in meeting its short term obligations.
AIN has a Quick ratio of 2.58. This is amongst the best in the industry. AIN outperforms 82.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.23 | ||
| Quick Ratio | 2.58 |
3. Growth
3.1 Past
The earnings per share for AIN have decreased strongly by -21.73% in the last year.
The Earnings Per Share has been decreasing by -5.01% on average over the past years.
The Revenue has been growing slightly by 7.21% in the past year.
Measured over the past years, AIN shows a small growth in Revenue. The Revenue has been growing by 3.14% on average per year.
EPS 1Y (TTM)-21.73%
EPS 3Y-3.88%
EPS 5Y-5.01%
EPS Q2Q%-52.46%
Revenue 1Y (TTM)7.21%
Revenue growth 3Y9.82%
Revenue growth 5Y3.14%
Sales Q2Q%-11.34%
3.2 Future
The Earnings Per Share is expected to grow by 11.76% on average over the next years. This is quite good.
The Revenue is expected to grow by 0.83% on average over the next years.
EPS Next Y2.35%
EPS Next 2Y11.76%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.56%
Revenue Next 2Y1.93%
Revenue Next 3Y-0.61%
Revenue Next 5Y0.83%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 19.82 indicates a rather expensive valuation of AIN.
AIN's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 28.33, AIN is valued a bit cheaper.
The Price/Forward Earnings ratio is 19.36, which indicates a rather expensive current valuation of AIN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AIN is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.37, AIN is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 19.36 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AIN is valued a bit cheaper than 71.09% of the companies in the same industry.
75.78% of the companies in the same industry are more expensive than AIN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.01 | ||
| EV/EBITDA | 9.07 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AIN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)8.42
PEG (5Y)N/A
EPS Next 2Y11.76%
EPS Next 3YN/A
5. Dividend
5.1 Amount
AIN has a Yearly Dividend Yield of 1.70%.
In the last 3 months the price of AIN has falen by -22.37%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
AIN's Dividend Yield is a higher than the industry average which is at 2.12.
AIN's Dividend Yield is slightly below the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
5.2 History
The dividend of AIN is nicely growing with an annual growth rate of 7.66%!
AIN has paid a dividend for at least 10 years, which is a reliable track record.
AIN has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.66%
Div Incr Years6
Div Non Decr Years22
5.3 Sustainability
37.07% of the earnings are spent on dividend by AIN. This is a low number and sustainable payout ratio.
The dividend of AIN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP37.07%
EPS Next 2Y11.76%
EPS Next 3YN/A
62.83
+0.11 (+0.18%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners102.38%
Inst Owner Change-0.12%
Ins Owners0.56%
Ins Owner Change4.63%
Market Cap1.92B
Analysts75
Price Target86.7 (37.99%)
Short Float %1.51%
Short Ratio2.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
Yearly Dividend1.04
Dividend Growth(5Y)7.66%
DP37.07%
Div Incr Years6
Div Non Decr Years22
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)13.23%
Min EPS beat(2)-12.99%
Max EPS beat(2)39.45%
EPS beat(4)2
Avg EPS beat(4)6.42%
Min EPS beat(4)-12.99%
Max EPS beat(4)39.45%
EPS beat(8)5
Avg EPS beat(8)11.03%
EPS beat(12)9
Avg EPS beat(12)14.63%
EPS beat(16)13
Avg EPS beat(16)18.34%
Revenue beat(2)0
Avg Revenue beat(2)-3.51%
Min Revenue beat(2)-5.14%
Max Revenue beat(2)-1.89%
Revenue beat(4)1
Avg Revenue beat(4)-1.18%
Min Revenue beat(4)-5.14%
Max Revenue beat(4)3.32%
Revenue beat(8)5
Avg Revenue beat(8)2.02%
Revenue beat(12)9
Avg Revenue beat(12)3.85%
Revenue beat(16)13
Avg Revenue beat(16)3.97%
PT rev (1m)-6.08%
PT rev (3m)-5.03%
EPS NQ rev (1m)-0.53%
EPS NQ rev (3m)-27.52%
EPS NY rev (1m)-14.97%
EPS NY rev (3m)-16.38%
Revenue NQ rev (1m)-0.42%
Revenue NQ rev (3m)-4.88%
Revenue NY rev (1m)-2.04%
Revenue NY rev (3m)-5.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.82 | ||
| Fwd PE | 19.36 | ||
| P/S | 1.56 | ||
| P/FCF | 14.01 | ||
| P/OCF | 8.8 | ||
| P/B | 2.04 | ||
| P/tB | 2.64 | ||
| EV/EBITDA | 9.07 |
EPS(TTM)3.17
EY5.05%
EPS(NY)3.24
Fwd EY5.16%
FCF(TTM)4.48
FCFY7.14%
OCF(TTM)7.14
OCFY11.36%
SpS40.22
BVpS30.83
TBVpS23.83
PEG (NY)8.42
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.31% | ||
| ROE | 9.29% | ||
| ROCE | 10.18% | ||
| ROIC | 7.37% | ||
| ROICexc | 8.02% | ||
| ROICexgc | 9.59% | ||
| OM | 11.77% | ||
| PM (TTM) | 7.12% | ||
| GM | 32.65% | ||
| FCFM | 11.15% |
ROA(3y)5.73%
ROA(5y)6.24%
ROE(3y)10.65%
ROE(5y)11.52%
ROIC(3y)8.07%
ROIC(5y)8.6%
ROICexc(3y)9.38%
ROICexc(5y)10.33%
ROICexgc(3y)11.32%
ROICexgc(5y)12.76%
ROCE(3y)11.15%
ROCE(5y)11.88%
ROICexcg growth 3Y-15.21%
ROICexcg growth 5Y-10.69%
ROICexc growth 3Y-13.54%
ROICexc growth 5Y-9.51%
OM growth 3Y-15.2%
OM growth 5Y-8.79%
PM growth 3Y-17.66%
PM growth 5Y-10.73%
GM growth 3Y-7.1%
GM growth 5Y-2.85%
F-Score6
Asset Turnover0.75
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.32 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 90.94% | ||
| Cap/Sales | 6.6% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.31% | ||
| Profit Quality | 156.62% | ||
| Current Ratio | 3.23 | ||
| Quick Ratio | 2.58 | ||
| Altman-Z | 3.94 |
F-Score6
WACC9.65%
ROIC/WACC0.76
Cap/Depr(3y)113.45%
Cap/Depr(5y)94.21%
Cap/Sales(3y)7.75%
Cap/Sales(5y)6.75%
Profit Quality(3y)82.39%
Profit Quality(5y)96.94%
High Growth Momentum
Growth
EPS 1Y (TTM)-21.73%
EPS 3Y-3.88%
EPS 5Y-5.01%
EPS Q2Q%-52.46%
EPS Next Y2.35%
EPS Next 2Y11.76%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.21%
Revenue growth 3Y9.82%
Revenue growth 5Y3.14%
Sales Q2Q%-11.34%
Revenue Next Year-0.56%
Revenue Next 2Y1.93%
Revenue Next 3Y-0.61%
Revenue Next 5Y0.83%
EBIT growth 1Y-13.88%
EBIT growth 3Y-6.88%
EBIT growth 5Y-5.92%
EBIT Next Year67.7%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y115.69%
FCF growth 3Y-5.73%
FCF growth 5Y0.72%
OCF growth 1Y47.54%
OCF growth 3Y0.14%
OCF growth 5Y1.74%