API GROUP CORP (APG)
US00187Y1001 - Common Stock
APG gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 45 industry peers in the Construction & Engineering industry. While APG is still in line with the averages on profitability rating, there are concerns on its financial health. APG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
APG had positive earnings in the past year.
APG had a positive operating cash flow in the past year.
APG had negative earnings in 4 of the past 5 years.
In the past 5 years APG always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of APG (-5.48%) is worse than 84.09% of its industry peers.
APG has a Return On Equity of -15.23%. This is in the lower half of the industry: APG underperforms 79.55% of its industry peers.
The Return On Invested Capital of APG (5.33%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for APG is significantly below the industry average of 11.39%.
The 3 year average ROIC (3.31%) for APG is below the current ROIC(5.33%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.48% | ||
| ROE | -15.23% | ||
| ROIC | 5.33% |
ROA(3y)-1.47%
ROA(5y)-3.06%
ROE(3y)-3.51%
ROE(5y)-7.68%
ROIC(3y)3.31%
ROIC(5y)N/A
1.3 Margins
With a decent Operating Margin value of 6.90%, APG is doing good in the industry, outperforming 65.91% of the companies in the same industry.
In the last couple of years the Operating Margin of APG has grown nicely.
Looking at the Gross Margin, with a value of 30.52%, APG belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
APG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.9% | ||
| PM (TTM) | N/A | ||
| GM | 30.52% |
OM growth 3Y89.74%
OM growth 5Y6.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.93%
GM growth 5Y5.81%
2. Health
2.1 Basic Checks
APG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
APG has more shares outstanding than it did 1 year ago.
APG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for APG has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.33 indicates that APG is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.33, APG is in line with its industry, outperforming 40.91% of the companies in the same industry.
APG has a debt to FCF ratio of 5.74. This is a neutral value as APG would need 5.74 years to pay back of all of its debts.
APG has a Debt to FCF ratio (5.74) which is comparable to the rest of the industry.
A Debt/Equity ratio of 1.02 is on the high side and indicates that APG has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.02, APG is doing worse than 70.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.74 | ||
| Altman-Z | 2.33 |
ROIC/WACC0.53
WACC10.01%
2.3 Liquidity
APG has a Current Ratio of 1.51. This is a normal value and indicates that APG is financially healthy and should not expect problems in meeting its short term obligations.
APG's Current ratio of 1.51 is fine compared to the rest of the industry. APG outperforms 61.36% of its industry peers.
APG has a Quick Ratio of 1.42. This is a normal value and indicates that APG is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of APG (1.42) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.51 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 18.67% over the past year.
Measured over the past years, APG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.22% on average per year.
APG shows a small growth in Revenue. In the last year, the Revenue has grown by 0.64%.
APG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.19% yearly.
EPS 1Y (TTM)18.67%
EPS 3Y10.22%
EPS 5YN/A
EPS Q2Q%6.25%
Revenue 1Y (TTM)0.64%
Revenue growth 3Y24.54%
Revenue growth 5Y13.19%
Sales Q2Q%2.35%
3.2 Future
APG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.22% yearly.
The Revenue is expected to grow by 3.78% on average over the next years.
EPS Next Y18.2%
EPS Next 2Y16.47%
EPS Next 3Y14.22%
EPS Next 5YN/A
Revenue Next Year1.06%
Revenue Next 2Y3.59%
Revenue Next 3Y3.78%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 20.75 indicates a rather expensive valuation of APG.
Based on the Price/Earnings ratio, APG is valued cheaply inside the industry as 84.09% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.73, APG is valued a bit cheaper.
The Price/Forward Earnings ratio is 17.24, which indicates a rather expensive current valuation of APG.
Based on the Price/Forward Earnings ratio, APG is valued a bit cheaper than 72.73% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.83, APG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.75 | ||
| Fwd PE | 17.24 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of APG is on the same level as its industry peers.
68.18% of the companies in the same industry are more expensive than APG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.59 | ||
| EV/EBITDA | 16.39 |
4.3 Compensation for Growth
APG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as APG's earnings are expected to grow with 14.22% in the coming years.
PEG (NY)1.14
PEG (5Y)N/A
EPS Next 2Y16.47%
EPS Next 3Y14.22%
5. Dividend
5.1 Amount
No dividends for APG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
API GROUP CORP
NYSE:APG (12/20/2024, 8:04:00 PM)
After market: 36.94 0 (0%)36.94
+0.34 (+0.93%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners76.31%
Inst Owner Change-1.26%
Ins Owners7.89%
Ins Owner Change-0.15%
Market Cap10.15B
Analysts81.67
Price Target44.2 (19.65%)
Short Float %1.71%
Short Ratio2.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.05%
Min EPS beat(2)-0.69%
Max EPS beat(2)2.79%
EPS beat(4)3
Avg EPS beat(4)1.42%
Min EPS beat(4)-0.69%
Max EPS beat(4)2.79%
EPS beat(8)7
Avg EPS beat(8)2.48%
EPS beat(12)11
Avg EPS beat(12)4.24%
EPS beat(16)13
Avg EPS beat(16)2.82%
Revenue beat(2)0
Avg Revenue beat(2)-3.85%
Min Revenue beat(2)-4.31%
Max Revenue beat(2)-3.39%
Revenue beat(4)0
Avg Revenue beat(4)-2.44%
Min Revenue beat(4)-4.31%
Max Revenue beat(4)-0.81%
Revenue beat(8)2
Avg Revenue beat(8)-1.18%
Revenue beat(12)5
Avg Revenue beat(12)0.77%
Revenue beat(16)7
Avg Revenue beat(16)0.81%
PT rev (1m)-0.51%
PT rev (3m)-2.5%
EPS NQ rev (1m)-0.65%
EPS NQ rev (3m)0.42%
EPS NY rev (1m)-0.24%
EPS NY rev (3m)-1.2%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)-2.61%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.75 | ||
| Fwd PE | 17.24 | ||
| P/S | 1.47 | ||
| P/FCF | 18.59 | ||
| P/OCF | 16.01 | ||
| P/B | 3.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.39 |
EPS(TTM)1.78
EY4.82%
EPS(NY)2.14
Fwd EY5.8%
FCF(TTM)1.99
FCFY5.38%
OCF(TTM)2.31
OCFY6.25%
SpS25.17
BVpS10.8
TBVpS-6.17
PEG (NY)1.14
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.48% | ||
| ROE | -15.23% | ||
| ROCE | 7.38% | ||
| ROIC | 5.33% | ||
| ROICexc | 5.76% | ||
| ROICexgc | 26.22% | ||
| OM | 6.9% | ||
| PM (TTM) | N/A | ||
| GM | 30.52% | ||
| FCFM | 7.89% |
ROA(3y)-1.47%
ROA(5y)-3.06%
ROE(3y)-3.51%
ROE(5y)-7.68%
ROIC(3y)3.31%
ROIC(5y)N/A
ROICexc(3y)3.85%
ROICexc(5y)N/A
ROICexgc(3y)14.77%
ROICexgc(5y)N/A
ROCE(3y)4.58%
ROCE(5y)N/A
ROICexcg growth 3Y93.1%
ROICexcg growth 5Y-0.69%
ROICexc growth 3Y88.88%
ROICexc growth 5Y-14.01%
OM growth 3Y89.74%
OM growth 5Y6.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.93%
GM growth 5Y5.81%
F-Score5
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 5.74 | ||
| Debt/EBITDA | 3.92 | ||
| Cap/Depr | 29.53% | ||
| Cap/Sales | 1.27% | ||
| Interest Coverage | 3.29 | ||
| Cash Conversion | 81.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.51 | ||
| Quick Ratio | 1.42 | ||
| Altman-Z | 2.33 |
F-Score5
WACC10.01%
ROIC/WACC0.53
Cap/Depr(3y)27.2%
Cap/Depr(5y)27.92%
Cap/Sales(3y)1.28%
Cap/Sales(5y)1.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.67%
EPS 3Y10.22%
EPS 5YN/A
EPS Q2Q%6.25%
EPS Next Y18.2%
EPS Next 2Y16.47%
EPS Next 3Y14.22%
EPS Next 5YN/A
Revenue 1Y (TTM)0.64%
Revenue growth 3Y24.54%
Revenue growth 5Y13.19%
Sales Q2Q%2.35%
Revenue Next Year1.06%
Revenue Next 2Y3.59%
Revenue Next 3Y3.78%
Revenue Next 5YN/A
EBIT growth 1Y31.77%
EBIT growth 3Y136.29%
EBIT growth 5Y20.35%
EBIT Next Year58.97%
EBIT Next 3Y24.52%
EBIT Next 5YN/A
FCF growth 1Y340.32%
FCF growth 3Y-2.23%
FCF growth 5Y62.31%
OCF growth 1Y223.47%
OCF growth 3Y1.2%
OCF growth 5Y35.63%