ALTA EQUIPMENT GROUP INC (ALTG)
US02128L1061 - Common Stock
We assign a fundamental rating of 2 out of 10 to ALTG. ALTG was compared to 51 industry peers in the Trading Companies & Distributors industry. ALTG has a bad profitability rating. Also its financial health evaluation is rather negative. While showing a medium growth rate, ALTG is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
ALTG had negative earnings in the past year.
In the past year ALTG had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: ALTG reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: ALTG reported negative operating cash flow in multiple years.
1.2 Ratios
ALTG has a worse Return On Assets (-1.34%) than 76.47% of its industry peers.
The Return On Equity of ALTG (-17.01%) is worse than 80.39% of its industry peers.
ALTG has a worse Return On Invested Capital (2.26%) than 74.51% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ALTG is significantly below the industry average of 9.29%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.34% | ||
| ROE | -17.01% | ||
| ROIC | 2.26% |
ROA(3y)-0.51%
ROA(5y)-0.95%
ROE(3y)-2.97%
ROE(5y)-4.84%
ROIC(3y)2.95%
ROIC(5y)N/A
1.3 Margins
ALTG has a Operating Margin of 1.85%. This is in the lower half of the industry: ALTG underperforms 76.47% of its industry peers.
With a Gross Margin value of 26.69%, ALTG is not doing good in the industry: 60.78% of the companies in the same industry are doing better.
ALTG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.85% | ||
| PM (TTM) | N/A | ||
| GM | 26.69% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.25%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ALTG is destroying value.
The number of shares outstanding for ALTG has been increased compared to 1 year ago.
Compared to 5 years ago, ALTG has more shares outstanding
ALTG has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.47, we must say that ALTG is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.47, ALTG is doing worse than 68.63% of the companies in the same industry.
The Debt to FCF ratio of ALTG is 1135.00, which is on the high side as it means it would take ALTG, 1135.00 years of fcf income to pay off all of its debts.
ALTG has a Debt to FCF ratio (1135.00) which is comparable to the rest of the industry.
A Debt/Equity ratio of 8.99 is on the high side and indicates that ALTG has dependencies on debt financing.
ALTG has a Debt to Equity ratio of 8.99. This is amonst the worse of the industry: ALTG underperforms 90.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.99 | ||
| Debt/FCF | 1135 | ||
| Altman-Z | 1.47 |
ROIC/WACC0.3
WACC7.42%
2.3 Liquidity
A Current Ratio of 1.37 indicates that ALTG should not have too much problems paying its short term obligations.
ALTG has a worse Current ratio (1.37) than 82.35% of its industry peers.
A Quick Ratio of 0.47 indicates that ALTG may have some problems paying its short term obligations.
ALTG has a Quick ratio of 0.47. This is amonst the worse of the industry: ALTG underperforms 86.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
ALTG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -521.05%.
The Revenue has grown by 11.30% in the past year. This is quite good.
ALTG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 29.03% yearly.
EPS 1Y (TTM)-521.05%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-860%
Revenue 1Y (TTM)11.3%
Revenue growth 3Y29.03%
Revenue growth 5YN/A
Sales Q2Q%4.21%
3.2 Future
ALTG is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -67.07% yearly.
ALTG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.40% yearly.
EPS Next Y-747.42%
EPS Next 2Y-144.56%
EPS Next 3Y-67.07%
EPS Next 5YN/A
Revenue Next Year4.64%
Revenue Next 2Y3.84%
Revenue Next 3Y2.98%
Revenue Next 5Y4.4%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ALTG reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for ALTG. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ALTG is valued cheaply inside the industry as 92.16% of the companies are valued more expensively.
ALTG's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 264.39 | ||
| EV/EBITDA | 5.65 |
4.3 Compensation for Growth
A cheap valuation may be justified as ALTG's earnings are expected to decrease with -67.07% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-144.56%
EPS Next 3Y-67.07%
5. Dividend
5.1 Amount
ALTG has a Yearly Dividend Yield of 2.85%.
Compared to an average industry Dividend Yield of 1.70, ALTG pays a better dividend. On top of this ALTG pays more dividend than 92.16% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.21, ALTG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
5.2 History
ALTG has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
ALTG has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-50.7%
EPS Next 2Y-144.56%
EPS Next 3Y-67.07%
ALTA EQUIPMENT GROUP INC
NYSE:ALTG (11/12/2024, 8:04:00 PM)
After market: 7 -0.99 (-12.39%)7.99
-0.47 (-5.56%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap264.39M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.85% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.34% | ||
| ROE | -17.01% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 1.85% | ||
| PM (TTM) | N/A | ||
| GM | 26.69% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 8.99 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-521.05%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-747.42%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)11.3%
Revenue growth 3Y29.03%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y