AEROJET ROCKETDYNE HOLDINGS (AJRD) Stock Fundamental Analysis
USA - NYSE:AJRD - US0078001056 - Common Stock
57.99 USD
+0.81 (+1.42%)
57.99 USD
0 (0%)
Taking everything into account, AJRD scores 4 out of 10 in our fundamental rating. AJRD was compared to 70 industry peers in the Aerospace & Defense industry. AJRD has a medium profitability rating, but doesn't score so well on its financial health evaluation. AJRD is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
AJRD had positive earnings in the past year.
AJRD had a negative operating cash flow in the past year.
In the past 5 years AJRD has always been profitable.
Of the past 5 years AJRD 4 years had a positive operating cash flow.
1.2 Ratios
AJRD has a Return On Assets (3.19%) which is in line with its industry peers.
AJRD's Return On Equity of 13.10% is fine compared to the rest of the industry. AJRD outperforms 79.37% of its industry peers.
With a decent Return On Invested Capital value of 8.78%, AJRD is doing good in the industry, outperforming 79.37% of the companies in the same industry.
AJRD had an Average Return On Invested Capital over the past 3 years of 11.45%. This is above the industry average of 8.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 13.1% | ||
| ROIC | 8.78% |
ROA(3y)4.56%
ROA(5y)4.84%
ROE(3y)33.06%
ROE(5y)31.01%
ROIC(3y)11.45%
ROIC(5y)11.1%
1.3 Margins
AJRD has a Profit Margin (3.21%) which is in line with its industry peers.
AJRD's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 8.96%, AJRD is in the better half of the industry, outperforming 68.25% of the companies in the same industry.
AJRD's Operating Margin has been stable in the last couple of years.
AJRD has a worse Gross Margin (14.13%) than 68.25% of its industry peers.
AJRD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.96% | ||
| PM (TTM) | 3.21% | ||
| GM | 14.13% |
OM growth 3Y-7%
OM growth 5Y-0.52%
PM growth 3Y-22.13%
PM growth 5YN/A
GM growth 3Y-7.26%
GM growth 5Y-2.47%
2. Health
2.1 Basic Checks
AJRD has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, AJRD has more shares outstanding
Compared to 1 year ago, AJRD has an improved debt to assets ratio.
2.2 Solvency
AJRD has an Altman-Z score of 3.19. This indicates that AJRD is financially healthy and has little risk of bankruptcy at the moment.
AJRD has a Altman-Z score (3.19) which is comparable to the rest of the industry.
AJRD has a Debt/Equity ratio of 0.51. This is a neutral value indicating AJRD is somewhat dependend on debt financing.
AJRD has a worse Debt to Equity ratio (0.51) than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.19 |
ROIC/WACC1.01
WACC8.67%
2.3 Liquidity
AJRD has a Current Ratio of 1.53. This is a normal value and indicates that AJRD is financially healthy and should not expect problems in meeting its short term obligations.
AJRD has a worse Current ratio (1.53) than 66.67% of its industry peers.
AJRD has a Quick Ratio of 1.51. This is a normal value and indicates that AJRD is financially healthy and should not expect problems in meeting its short term obligations.
AJRD's Quick ratio of 1.51 is in line compared to the rest of the industry. AJRD outperforms 58.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
AJRD shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -31.86%.
AJRD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.91% yearly.
Looking at the last year, AJRD shows a small growth in Revenue. The Revenue has grown by 4.08% in the last year.
AJRD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.57% yearly.
EPS 1Y (TTM)-31.86%
EPS 3Y-6.27%
EPS 5Y13.91%
EPS Q2Q%-2.27%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y4.13%
Revenue growth 5Y3.57%
Sales Q2Q%10.8%
3.2 Future
AJRD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.73% yearly.
The Revenue is expected to grow by 6.01% on average over the next years.
EPS Next Y44.74%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
EPS Next 5YN/A
Revenue Next Year8.54%
Revenue Next 2Y6.77%
Revenue Next 3Y6.01%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 41.72 indicates a quite expensive valuation of AJRD.
The rest of the industry has a similar Price/Earnings ratio as AJRD.
AJRD is valuated expensively when we compare the Price/Earnings ratio to 27.00, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 25.57 indicates a quite expensive valuation of AJRD.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AJRD is on the same level as its industry peers.
AJRD is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.72 | ||
| Fwd PE | 25.57 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as AJRD.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.91 |
4.3 Compensation for Growth
AJRD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AJRD's earnings are expected to grow with 23.73% in the coming years.
PEG (NY)0.93
PEG (5Y)3
EPS Next 2Y27.27%
EPS Next 3Y23.73%
5. Dividend
5.1 Amount
With a yearly dividend of 0.06%, AJRD is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.11, AJRD pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.06, AJRD pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.06% |
5.2 History
The dividend of AJRD decreases each year by -10.86%.
AJRD does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)-10.86%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AJRD pays out 2.71% of its income as dividend. This is a sustainable payout ratio.
DP2.71%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
57.99
+0.81 (+1.42%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners1.45%
Ins Owner Change0%
Market Cap4.68B
Revenue(TTM)2.29B
Net Income(TTM)73.70M
Analysts43.33
Price Target57.12 (-1.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.06% |
Yearly Dividend0.03
Dividend Growth(5Y)-10.86%
DP2.71%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-25.97%
Min EPS beat(2)-48.49%
Max EPS beat(2)-3.46%
EPS beat(4)0
Avg EPS beat(4)-27.9%
Min EPS beat(4)-59.15%
Max EPS beat(4)-0.49%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)2.98%
Min Revenue beat(2)2.75%
Max Revenue beat(2)3.21%
Revenue beat(4)2
Avg Revenue beat(4)-1.6%
Min Revenue beat(4)-8.89%
Max Revenue beat(4)3.21%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.75%
PT rev (3m)-1.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.36%
Revenue NY rev (1m)3.08%
Revenue NY rev (3m)3.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.72 | ||
| Fwd PE | 25.57 | ||
| P/S | 2.04 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 8.32 | ||
| P/tB | 12.5 | ||
| EV/EBITDA | 17.91 |
EPS(TTM)1.39
EY2.4%
EPS(NY)2.27
Fwd EY3.91%
FCF(TTM)-0.58
FCFYN/A
OCF(TTM)-0.08
OCFYN/A
SpS28.39
BVpS6.97
TBVpS4.64
PEG (NY)0.93
PEG (5Y)3
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 13.1% | ||
| ROCE | N/A | ||
| ROIC | 8.78% | ||
| ROICexc | 10.58% | ||
| ROICexgc | 12.25% | ||
| OM | 8.96% | ||
| PM (TTM) | 3.21% | ||
| GM | 14.13% | ||
| FCFM | N/A |
ROA(3y)4.56%
ROA(5y)4.84%
ROE(3y)33.06%
ROE(5y)31.01%
ROIC(3y)11.45%
ROIC(5y)11.1%
ROICexc(3y)32.24%
ROICexc(5y)27.47%
ROICexgc(3y)87.08%
ROICexgc(5y)63.17%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-17.33%
ROICexgc growth 5Y-1.91%
ROICexc growth 3Y-13.99%
ROICexc growth 5Y-0.07%
OM growth 3Y-7%
OM growth 5Y-0.52%
PM growth 3Y-22.13%
PM growth 5YN/A
GM growth 3Y-7.26%
GM growth 5Y-2.47%
F-Score4
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.15 | ||
| Cap/Depr | 71.35% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 3.19 |
F-Score4
WACC8.67%
ROIC/WACC1.01
Cap/Depr(3y)71.8%
Cap/Depr(5y)66.55%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-31.86%
EPS 3Y-6.27%
EPS 5Y13.91%
EPS Q2Q%-2.27%
EPS Next Y44.74%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
EPS Next 5YN/A
Revenue 1Y (TTM)4.08%
Revenue growth 3Y4.13%
Revenue growth 5Y3.57%
Sales Q2Q%10.8%
Revenue Next Year8.54%
Revenue Next 2Y6.77%
Revenue Next 3Y6.01%
Revenue Next 5YN/A
EBIT growth 1Y-27.62%
EBIT growth 3Y-3.16%
EBIT growth 5Y3.04%
EBIT Next Year59.1%
EBIT Next 3Y21.59%
EBIT Next 5YN/A
FCF growth 1Y-118.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-102.09%
OCF growth 3YN/A
OCF growth 5YN/A
AEROJET ROCKETDYNE HOLDINGS / AJRD FAQ
What is the fundamental rating for AJRD stock?
ChartMill assigns a fundamental rating of 4 / 10 to AJRD.
What is the valuation status for AJRD stock?
ChartMill assigns a valuation rating of 2 / 10 to AEROJET ROCKETDYNE HOLDINGS (AJRD). This can be considered as Overvalued.
Can you provide the profitability details for AEROJET ROCKETDYNE HOLDINGS?
AEROJET ROCKETDYNE HOLDINGS (AJRD) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for AJRD stock?
The Price/Earnings (PE) ratio for AEROJET ROCKETDYNE HOLDINGS (AJRD) is 41.72 and the Price/Book (PB) ratio is 8.32.
What is the expected EPS growth for AEROJET ROCKETDYNE HOLDINGS (AJRD) stock?
The Earnings per Share (EPS) of AEROJET ROCKETDYNE HOLDINGS (AJRD) is expected to grow by 44.74% in the next year.