API GROUP CORP (APG) Stock Fundamental Analysis
USA - NYSE:APG - US00187Y1001 - Common Stock
35.05 USD
-0.21 (-0.6%)
35.05 USD
0 (0%)
Overall APG gets a fundamental rating of 4 out of 10. We evaluated APG against 52 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.
In the past 5 years APG always reported a positive cash flow from operatings.
1.2 Ratios
APG's Return On Assets of 1.65% is in line compared to the rest of the industry. APG outperforms 40.38% of its industry peers.
With a Return On Equity value of 4.45%, APG perfoms like the industry average, outperforming 42.31% of the companies in the same industry.
APG's Return On Invested Capital of 5.89% is in line compared to the rest of the industry. APG outperforms 50.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for APG is significantly below the industry average of 17.22%.
The last Return On Invested Capital (5.89%) for APG is above the 3 year average (4.40%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 4.45% | ||
| ROIC | 5.89% |
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
The Profit Margin of APG (1.91%) is comparable to the rest of the industry.
The Operating Margin of APG (7.42%) is better than 61.54% of its industry peers.
APG's Operating Margin has improved in the last couple of years.
The Gross Margin of APG (31.08%) is better than 84.62% of its industry peers.
In the last couple of years the Gross Margin of APG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.42% | ||
| PM (TTM) | 1.91% | ||
| GM | 31.08% |
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
APG 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 APG has been increased compared to 1 year ago.
APG has more shares outstanding than it did 5 years ago.
APG has a worse debt/assets ratio than last year.
2.2 Solvency
APG has an Altman-Z score of 2.88. 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.
APG has a Altman-Z score (2.88) which is in line with its industry peers.
APG has a debt to FCF ratio of 5.38. This is a neutral value as APG would need 5.38 years to pay back of all of its debts.
APG has a Debt to FCF ratio (5.38) which is comparable to the rest of the industry.
APG has a Debt/Equity ratio of 0.93. This is a neutral value indicating APG is somewhat dependend on debt financing.
APG has a Debt to Equity ratio (0.93) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 5.38 | ||
| Altman-Z | 2.88 |
ROIC/WACC0.61
WACC9.73%
2.3 Liquidity
A Current Ratio of 1.45 indicates that APG should not have too much problems paying its short term obligations.
APG has a Current ratio of 1.45. This is in the better half of the industry: APG outperforms 67.31% of its industry peers.
APG has a Quick Ratio of 1.37. 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 1.37, APG is in the better half of the industry, outperforming 67.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
APG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.02%.
The Earnings Per Share has been growing slightly by 7.97% on average over the past years.
The Revenue has been growing slightly by 7.59% in the past year.
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)-17.02%
EPS 3Y7.97%
EPS 5YN/A
EPS Q2Q%19.39%
Revenue 1Y (TTM)7.59%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%15.03%
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 10.83% yearly.
APG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.19% yearly.
EPS Next Y8.16%
EPS Next 2Y11.68%
EPS Next 3Y10.83%
EPS Next 5YN/A
Revenue Next Year10.71%
Revenue Next 2Y8.21%
Revenue Next 3Y7.19%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 26.55 indicates a quite expensive valuation of APG.
Based on the Price/Earnings ratio, APG is valued a bit cheaper than the industry average as 67.31% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 27.20. APG is around the same levels.
With a Price/Forward Earnings ratio of 20.87, APG is valued on the expensive side.
78.85% of the companies in the same industry are more expensive than APG, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.71, APG is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.55 | ||
| Fwd PE | 20.87 |
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.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of APG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.62 | ||
| EV/EBITDA | 19.82 |
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)3.26
PEG (5Y)N/A
EPS Next 2Y11.68%
EPS Next 3Y10.83%
5. Dividend
5.1 Amount
No dividends for APG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.05
-0.21 (-0.6%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners82.73%
Inst Owner Change-7.59%
Ins Owners2.05%
Ins Owner Change-0.43%
Market Cap14.58B
Analysts85.33
Price Target42.85 (22.25%)
Short Float %1.9%
Short Ratio2.57
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)2.33%
Min EPS beat(2)1.93%
Max EPS beat(2)2.72%
EPS beat(4)3
Avg EPS beat(4)1.3%
Min EPS beat(4)-0.69%
Max EPS beat(4)2.72%
EPS beat(8)7
Avg EPS beat(8)2.07%
EPS beat(12)11
Avg EPS beat(12)2.29%
EPS beat(16)14
Avg EPS beat(16)3.55%
Revenue beat(2)2
Avg Revenue beat(2)3.43%
Min Revenue beat(2)3%
Max Revenue beat(2)3.86%
Revenue beat(4)3
Avg Revenue beat(4)0.88%
Min Revenue beat(4)-3.39%
Max Revenue beat(4)3.86%
Revenue beat(8)3
Avg Revenue beat(8)-1.05%
Revenue beat(12)6
Avg Revenue beat(12)-0.04%
Revenue beat(16)8
Avg Revenue beat(16)0.99%
PT rev (1m)1.04%
PT rev (3m)-20.4%
EPS NQ rev (1m)-0.6%
EPS NQ rev (3m)-33.29%
EPS NY rev (1m)3.55%
EPS NY rev (3m)-30.65%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)3.74%
Revenue NY rev (1m)3.04%
Revenue NY rev (3m)3.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.55 | ||
| Fwd PE | 20.87 | ||
| P/S | 1.97 | ||
| P/FCF | 25.62 | ||
| P/OCF | 22.5 | ||
| P/B | 4.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.82 |
EPS(TTM)1.32
EY3.77%
EPS(NY)1.68
Fwd EY4.79%
FCF(TTM)1.37
FCFY3.9%
OCF(TTM)1.56
OCFY4.45%
SpS17.78
BVpS7.62
TBVpS-3.91
PEG (NY)3.26
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 4.45% | ||
| ROCE | 8.31% | ||
| ROIC | 5.89% | ||
| ROICexc | 6.3% | ||
| ROICexgc | 28.27% | ||
| OM | 7.42% | ||
| PM (TTM) | 1.91% | ||
| GM | 31.08% | ||
| FCFM | 7.69% |
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%
ROICexcg growth 3Y50.67%
ROICexcg 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 Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 5.38 | ||
| Debt/EBITDA | 3.41 | ||
| Cap/Depr | 24.76% | ||
| Cap/Sales | 1.07% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 74.65% | ||
| Profit Quality | 403.55% | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 2.88 |
F-Score8
WACC9.73%
ROIC/WACC0.61
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)-17.02%
EPS 3Y7.97%
EPS 5YN/A
EPS Q2Q%19.39%
EPS Next Y8.16%
EPS Next 2Y11.68%
EPS Next 3Y10.83%
EPS Next 5YN/A
Revenue 1Y (TTM)7.59%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%15.03%
Revenue Next Year10.71%
Revenue Next 2Y8.21%
Revenue Next 3Y7.19%
Revenue Next 5YN/A
EBIT growth 1Y22.82%
EBIT growth 3Y54.95%
EBIT growth 5YN/A
EBIT Next Year55.04%
EBIT Next 3Y23.63%
EBIT Next 5YN/A
FCF growth 1Y80.06%
FCF growth 3Y61.6%
FCF growth 5Y18.33%
OCF growth 1Y59.21%
OCF growth 3Y50.47%
OCF growth 5Y16.01%