API GROUP CORP (APG) Stock Fundamental Analysis
USA - NYSE:APG - US00187Y1001 - Common Stock
36.25 USD
+0.18 (+0.5%)
36.64 USD
+0.39 (+1.08%)
Taking everything into account, APG scores 4 out of 10 in our fundamental rating. APG was compared to 55 industry peers in the Construction & Engineering industry. APG has only an average score on both its financial health and profitability. APG is valied quite expensively at the moment, while it does show 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.
In the past 5 years APG reported 4 times negative net income.
Each year in the past 5 years APG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.79%, APG is in line with its industry, outperforming 43.64% of the companies in the same industry.
APG has a Return On Equity (4.76%) which is in line with its industry peers.
APG's Return On Invested Capital of 6.29% is in line compared to the rest of the industry. APG outperforms 52.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for APG is significantly below the industry average of 17.19%.
The 3 year average ROIC (4.40%) for APG is below the current ROIC(6.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.79% | ||
| ROE | 4.76% | ||
| ROIC | 6.29% |
ROA(3y)-1.5%
ROA(5y)-3.28%
ROE(3y)-4.07%
ROE(5y)-8.43%
ROIC(3y)4.4%
ROIC(5y)3.23%
1.3 Margins
With a Profit Margin value of 2.04%, APG perfoms like the industry average, outperforming 43.64% of the companies in the same industry.
APG's Operating Margin of 7.76% is fine compared to the rest of the industry. APG outperforms 67.27% of its industry peers.
In the last couple of years the Operating Margin of APG has grown nicely.
The Gross Margin of APG (31.14%) is better than 85.45% of its industry peers.
APG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.76% | ||
| PM (TTM) | 2.04% | ||
| GM | 31.14% |
OM growth 3Y27.83%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.2%
GM growth 5Y9.63%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so APG is destroying value.
The number of shares outstanding for APG has been increased compared to 1 year ago.
Compared to 5 years ago, APG has more shares outstanding
APG has a worse debt/assets ratio than last year.
2.2 Solvency
APG has an Altman-Z score of 2.97. This is not the best score and indicates that APG is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of APG (2.97) is comparable to the rest of the industry.
The Debt to FCF ratio of APG is 5.34, which is a neutral value as it means it would take APG, 5.34 years of fcf income to pay off all of its debts.
APG's Debt to FCF ratio of 5.34 is fine compared to the rest of the industry. APG outperforms 61.82% of its industry peers.
A Debt/Equity ratio of 0.90 indicates that APG is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.90, APG is in line with its industry, outperforming 41.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 5.34 | ||
| Altman-Z | 2.97 |
ROIC/WACC0.63
WACC9.95%
2.3 Liquidity
A Current Ratio of 1.48 indicates that APG should not have too much problems paying its short term obligations.
APG has a Current ratio of 1.48. This is in the better half of the industry: APG outperforms 70.91% of its industry peers.
APG has a Quick Ratio of 1.41. This is a normal value and indicates that APG is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.41, APG is in the better half of the industry, outperforming 70.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The earnings per share for APG have decreased by -4.15% in the last year.
Measured over the past 5 years, APG shows a small growth in Earnings Per Share. The EPS has been growing by 7.97% on average per year.
The Revenue has grown by 10.69% in the past year. This is quite good.
Measured over the past years, APG shows a quite strong growth in Revenue. The Revenue has been growing by 11.39% on average per year.
EPS 1Y (TTM)-4.15%
EPS 3Y7.97%
EPS 5YN/A
EPS Q2Q%20.59%
Revenue 1Y (TTM)10.69%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%14.18%
3.2 Future
The Earnings Per Share is expected to grow by 11.65% on average over the next years. This is quite good.
APG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.63% yearly.
EPS Next Y8.51%
EPS Next 2Y11.65%
EPS Next 3Y11.65%
EPS Next 5YN/A
Revenue Next Year11.88%
Revenue Next 2Y8.94%
Revenue Next 3Y7.63%
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
The Price/Earnings ratio is 26.08, which means the current valuation is very expensive for APG.
74.55% of the companies in the same industry are more expensive than APG, based on the Price/Earnings ratio.
APG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.06, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 21.60 indicates a rather expensive valuation of APG.
Based on the Price/Forward Earnings ratio, APG is valued a bit cheaper than the industry average as 74.55% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 32.73. APG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.08 | ||
| Fwd PE | 21.6 |
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.
69.09% 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 | 26.36 | ||
| EV/EBITDA | 19.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates APG does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)3.06
PEG (5Y)N/A
EPS Next 2Y11.65%
EPS Next 3Y11.65%
5. Dividend
5.1 Amount
APG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
36.25
+0.18 (+0.5%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners83.79%
Inst Owner Change11.74%
Ins Owners2.07%
Ins Owner Change-0.18%
Market Cap15.08B
Revenue(TTM)7.66B
Net Income(TTM)156.00M
Analysts85.33
Price Target43.16 (19.06%)
Short Float %2.99%
Short Ratio5.11
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.62%
Min EPS beat(2)2.51%
Max EPS beat(2)2.72%
EPS beat(4)4
Avg EPS beat(4)2.1%
Min EPS beat(4)1.25%
Max EPS beat(4)2.72%
EPS beat(8)7
Avg EPS beat(8)1.76%
EPS beat(12)11
Avg EPS beat(12)2.35%
EPS beat(16)15
Avg EPS beat(16)3.71%
Revenue beat(2)2
Avg Revenue beat(2)3.39%
Min Revenue beat(2)2.91%
Max Revenue beat(2)3.86%
Revenue beat(4)4
Avg Revenue beat(4)2.46%
Min Revenue beat(4)0.05%
Max Revenue beat(4)3.86%
Revenue beat(8)4
Avg Revenue beat(8)0.01%
Revenue beat(12)6
Avg Revenue beat(12)0.03%
Revenue beat(16)9
Avg Revenue beat(16)1.19%
PT rev (1m)0.71%
PT rev (3m)1.76%
EPS NQ rev (1m)0.99%
EPS NQ rev (3m)2.92%
EPS NY rev (1m)0.61%
EPS NY rev (3m)3.89%
Revenue NQ rev (1m)2.29%
Revenue NQ rev (3m)3.6%
Revenue NY rev (1m)1.06%
Revenue NY rev (3m)4.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.08 | ||
| Fwd PE | 21.6 | ||
| P/S | 1.97 | ||
| P/FCF | 26.36 | ||
| P/OCF | 22.84 | ||
| P/B | 4.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.16 |
EPS(TTM)1.39
EY3.83%
EPS(NY)1.68
Fwd EY4.63%
FCF(TTM)1.38
FCFY3.79%
OCF(TTM)1.59
OCFY4.38%
SpS18.41
BVpS7.88
TBVpS-3.63
PEG (NY)3.06
PEG (5Y)N/A
Graham Number15.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.79% | ||
| ROE | 4.76% | ||
| ROCE | 8.88% | ||
| ROIC | 6.29% | ||
| ROICexc | 6.86% | ||
| ROICexgc | 31.2% | ||
| OM | 7.76% | ||
| PM (TTM) | 2.04% | ||
| GM | 31.14% | ||
| FCFM | 7.47% |
ROA(3y)-1.5%
ROA(5y)-3.28%
ROE(3y)-4.07%
ROE(5y)-8.43%
ROIC(3y)4.4%
ROIC(5y)3.23%
ROICexc(3y)4.81%
ROICexc(5y)3.67%
ROICexgc(3y)21.45%
ROICexgc(5y)15.26%
ROCE(3y)6.22%
ROCE(5y)4.56%
ROICexgc growth 3Y50.67%
ROICexgc growth 5YN/A
ROICexc growth 3Y26.04%
ROICexc growth 5YN/A
OM growth 3Y27.83%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.2%
GM growth 5Y9.63%
F-Score8
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 5.34 | ||
| Debt/EBITDA | 3.22 | ||
| Cap/Depr | 27.24% | ||
| Cap/Sales | 1.15% | ||
| Interest Coverage | 4.15 | ||
| Cash Conversion | 71.97% | ||
| Profit Quality | 366.67% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 2.97 |
F-Score8
WACC9.95%
ROIC/WACC0.63
Cap/Depr(3y)27.39%
Cap/Depr(5y)24.77%
Cap/Sales(3y)1.21%
Cap/Sales(5y)1.22%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.15%
EPS 3Y7.97%
EPS 5YN/A
EPS Q2Q%20.59%
EPS Next Y8.51%
EPS Next 2Y11.65%
EPS Next 3Y11.65%
EPS Next 5YN/A
Revenue 1Y (TTM)10.69%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%14.18%
Revenue Next Year11.88%
Revenue Next 2Y8.94%
Revenue Next 3Y7.63%
Revenue Next 5YN/A
EBIT growth 1Y24.53%
EBIT growth 3Y54.95%
EBIT growth 5YN/A
EBIT Next Year55.8%
EBIT Next 3Y23.44%
EBIT Next 5YN/A
FCF growth 1Y77.64%
FCF growth 3Y61.6%
FCF growth 5Y18.33%
OCF growth 1Y62.96%
OCF growth 3Y50.47%
OCF growth 5Y16.01%
API GROUP CORP / APG FAQ
What is the fundamental rating for APG stock?
ChartMill assigns a fundamental rating of 4 / 10 to APG.
Can you provide the valuation status for API GROUP CORP?
ChartMill assigns a valuation rating of 3 / 10 to API GROUP CORP (APG). This can be considered as Overvalued.
What is the profitability of APG stock?
API GROUP CORP (APG) has a profitability rating of 5 / 10.
What are the PE and PB ratios of API GROUP CORP (APG) stock?
The Price/Earnings (PE) ratio for API GROUP CORP (APG) is 26.08 and the Price/Book (PB) ratio is 4.6.
What is the financial health of API GROUP CORP (APG) stock?
The financial health rating of API GROUP CORP (APG) is 4 / 10.