ALTA EQUIPMENT GROUP INC (ALTG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ALTG - US02128L1061 - Common Stock
4.72 USD
+0.02 (+0.43%)
4.72 USD
0 (0%)
We assign a fundamental rating of 2 out of 10 to ALTG. ALTG was compared to 50 industry peers in the Trading Companies & Distributors industry. ALTG may be in some trouble as it scores bad on both profitability and health. ALTG does not seem to be growing, but still is valued expensively.
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.
ALTG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of -5.74%, ALTG is doing worse than 86.00% of the companies in the same industry.
ALTG has a worse Return On Equity (-2834.48%) than 94.00% of its industry peers.
The Return On Invested Capital of ALTG (1.31%) is worse than 72.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ALTG is significantly below the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.74% | ||
| ROE | -2834.48% | ||
| ROIC | 1.31% |
ROA(3y)-1.18%
ROA(5y)-1.83%
ROE(3y)-25.15%
ROE(5y)-21.62%
ROIC(3y)2.46%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 1.12%, ALTG is doing worse than 72.00% of the companies in the same industry.
In the last couple of years the Operating Margin of ALTG has declined.
ALTG has a Gross Margin of 25.84%. This is in the lower half of the industry: ALTG underperforms 64.00% of its industry peers.
In the last couple of years the Gross Margin of ALTG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.12% | ||
| PM (TTM) | N/A | ||
| GM | 25.84% |
OM growth 3Y-12.59%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.49%
GM growth 5YN/A
2. Health
2.1 Basic Checks
ALTG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ALTG has been reduced compared to 1 year ago.
The number of shares outstanding for ALTG has been increased compared to 5 years ago.
The debt/assets ratio for ALTG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.36, we must say that ALTG is in the distress zone and has some risk of bankruptcy.
ALTG's Altman-Z score of 1.36 is on the low side compared to the rest of the industry. ALTG is outperformed by 72.00% of its industry peers.
A Debt/Equity ratio of 374.41 is on the high side and indicates that ALTG has dependencies on debt financing.
With a Debt to Equity ratio value of 374.41, ALTG is not doing good in the industry: 94.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 374.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.36 |
ROIC/WACC0.19
WACC6.88%
2.3 Liquidity
ALTG has a Current Ratio of 1.42. This is a normal value and indicates that ALTG is financially healthy and should not expect problems in meeting its short term obligations.
ALTG has a worse Current ratio (1.42) than 64.00% of its industry peers.
ALTG has a Quick Ratio of 1.42. This is a bad value and indicates that ALTG is not financially healthy enough and could expect problems in meeting its short term obligations.
ALTG has a Quick ratio of 0.49. This is amonst the worse of the industry: ALTG underperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.49 |
3. Growth
3.1 Past
ALTG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -55.29%.
The Revenue has decreased by -3.95% in the past year.
The Revenue has been growing by 15.66% on average over the past years. This is quite good.
EPS 1Y (TTM)-55.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-52.33%
Revenue 1Y (TTM)-3.95%
Revenue growth 3Y15.66%
Revenue growth 5YN/A
Sales Q2Q%-5.84%
3.2 Future
The Earnings Per Share is expected to grow by 32.59% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 2.81% on average over the next years.
EPS Next Y-27.67%
EPS Next 2Y15.64%
EPS Next 3Y16.31%
EPS Next 5Y32.59%
Revenue Next Year-2.52%
Revenue Next 2Y0.39%
Revenue Next 3Y2.53%
Revenue Next 5Y2.81%
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
The Price/Earnings Ratio is negative for ALTG. In the last year negative earnings were reported.
Also next year ALTG is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
ALTG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ALTG is cheaper than 94.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.7 |
4.3 Compensation for Growth
ALTG's earnings are expected to grow with 16.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.64%
EPS Next 3Y16.31%
5. Dividend
5.1 Amount
ALTG has a Yearly Dividend Yield of 4.85%, which is a nice return.
In the last 3 months the price of ALTG has falen by -34.44%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
ALTG's Dividend Yield is rather good when compared to the industry average which is at 0.98. ALTG pays more dividend than 98.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, ALTG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.85% |
5.2 History
ALTG has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
The earnings of ALTG are negative and hence is the payout ratio. ALTG will probably not be able to sustain this dividend level.
DP-10.71%
EPS Next 2Y15.64%
EPS Next 3Y16.31%
4.72
+0.02 (+0.43%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners51.62%
Inst Owner Change-0.79%
Ins Owners21.09%
Ins Owner Change0%
Market Cap152.17M
Revenue(TTM)1.82B
Net Income(TTM)-82.20M
Analysts80
Price Target10.15 (115.04%)
Short Float %5.36%
Short Ratio5.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.85% |
Yearly Dividend0.34
Dividend Growth(5Y)N/A
DP-10.71%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-203.19%
Min EPS beat(2)-375.67%
Max EPS beat(2)-30.72%
EPS beat(4)0
Avg EPS beat(4)-105.6%
Min EPS beat(4)-375.67%
Max EPS beat(4)-2.37%
EPS beat(8)0
Avg EPS beat(8)-153.03%
EPS beat(12)2
Avg EPS beat(12)-89.84%
EPS beat(16)5
Avg EPS beat(16)-6.52%
Revenue beat(2)0
Avg Revenue beat(2)-5.36%
Min Revenue beat(2)-9.28%
Max Revenue beat(2)-1.43%
Revenue beat(4)1
Avg Revenue beat(4)-3.76%
Min Revenue beat(4)-9.28%
Max Revenue beat(4)0.59%
Revenue beat(8)3
Avg Revenue beat(8)-2.5%
Revenue beat(12)5
Avg Revenue beat(12)-1.27%
Revenue beat(16)9
Avg Revenue beat(16)1.22%
PT rev (1m)-3.4%
PT rev (3m)-12.57%
EPS NQ rev (1m)-2.35%
EPS NQ rev (3m)-10.13%
EPS NY rev (1m)-69.78%
EPS NY rev (3m)-69.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.61%
Revenue NY rev (1m)-2.52%
Revenue NY rev (3m)-2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.08 | ||
| P/FCF | N/A | ||
| P/OCF | 4.48 | ||
| P/B | 52.47 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.7 |
EPS(TTM)-2.64
EYN/A
EPS(NY)-1.3
Fwd EYN/A
FCF(TTM)-0.75
FCFYN/A
OCF(TTM)1.05
OCFY22.34%
SpS56.6
BVpS0.09
TBVpS-3.78
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.74% | ||
| ROE | -2834.48% | ||
| ROCE | 2.3% | ||
| ROIC | 1.31% | ||
| ROICexc | 1.33% | ||
| ROICexgc | 1.48% | ||
| OM | 1.12% | ||
| PM (TTM) | N/A | ||
| GM | 25.84% | ||
| FCFM | N/A |
ROA(3y)-1.18%
ROA(5y)-1.83%
ROE(3y)-25.15%
ROE(5y)-21.62%
ROIC(3y)2.46%
ROIC(5y)N/A
ROICexc(3y)2.49%
ROICexc(5y)N/A
ROICexgc(3y)2.81%
ROICexgc(5y)N/A
ROCE(3y)4.28%
ROCE(5y)N/A
ROICexgc growth 3Y-12.75%
ROICexgc growth 5YN/A
ROICexc growth 3Y-12.74%
ROICexc growth 5YN/A
OM growth 3Y-12.59%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.49%
GM growth 5YN/A
F-Score5
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 374.41 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.92 | ||
| Cap/Depr | 42.61% | ||
| Cap/Sales | 3.19% | ||
| Interest Coverage | 0.24 | ||
| Cash Conversion | 21.66% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.49 | ||
| Altman-Z | 1.36 |
F-Score5
WACC6.88%
ROIC/WACC0.19
Cap/Depr(3y)58.62%
Cap/Depr(5y)58.33%
Cap/Sales(3y)4.26%
Cap/Sales(5y)4.47%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-55.29%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-52.33%
EPS Next Y-27.67%
EPS Next 2Y15.64%
EPS Next 3Y16.31%
EPS Next 5Y32.59%
Revenue 1Y (TTM)-3.95%
Revenue growth 3Y15.66%
Revenue growth 5YN/A
Sales Q2Q%-5.84%
Revenue Next Year-2.52%
Revenue Next 2Y0.39%
Revenue Next 3Y2.53%
Revenue Next 5Y2.81%
EBIT growth 1Y-28.17%
EBIT growth 3Y1.1%
EBIT growth 5YN/A
EBIT Next Year515.22%
EBIT Next 3Y88.73%
EBIT Next 5Y51.85%
FCF growth 1Y76.13%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y390.6%
OCF growth 3Y22.91%
OCF growth 5YN/A
ALTA EQUIPMENT GROUP INC / ALTG FAQ
What is the fundamental rating for ALTG stock?
ChartMill assigns a fundamental rating of 2 / 10 to ALTG.
Can you provide the valuation status for ALTA EQUIPMENT GROUP INC?
ChartMill assigns a valuation rating of 1 / 10 to ALTA EQUIPMENT GROUP INC (ALTG). This can be considered as Overvalued.
What is the profitability of ALTG stock?
ALTA EQUIPMENT GROUP INC (ALTG) has a profitability rating of 1 / 10.
Can you provide the expected EPS growth for ALTG stock?
The Earnings per Share (EPS) of ALTA EQUIPMENT GROUP INC (ALTG) is expected to decline by -27.67% in the next year.