ARRAY TECHNOLOGIES INC (ARRY) Stock Fundamental Analysis
USA - NASDAQ:ARRY - US04271T1007 - Common Stock
8.54 USD
+0.17 (+2.03%)
8.51 USD
-0.03 (-0.35%)
We assign a fundamental rating of 5 out of 10 to ARRY. ARRY was compared to 91 industry peers in the Electrical Equipment industry. ARRY has an average financial health and profitability rating. ARRY may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year ARRY was profitable.
ARRY had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ARRY reported negative net income in multiple years.
In multiple years ARRY reported negative operating cash flow during the last 5 years.
1.2 Ratios
ARRY has a Return On Assets (-17.24%) which is comparable to the rest of the industry.
The Return On Equity of ARRY (-72.79%) is comparable to the rest of the industry.
ARRY's Return On Invested Capital of 9.13% is amongst the best of the industry. ARRY outperforms 82.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.24% | ||
| ROE | -72.79% | ||
| ROIC | 9.13% |
ROA(3y)-6.1%
ROA(5y)-3.02%
ROE(3y)-32.93%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 10.80%, ARRY belongs to the top of the industry, outperforming 81.52% of the companies in the same industry.
ARRY's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 28.19%, ARRY is in line with its industry, outperforming 59.78% of the companies in the same industry.
In the last couple of years the Gross Margin of ARRY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.8% | ||
| PM (TTM) | N/A | ||
| GM | 28.19% |
OM growth 3YN/A
OM growth 5Y-3.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y49.56%
GM growth 5Y6.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ARRY is creating some value.
Compared to 1 year ago, ARRY has more shares outstanding
Compared to 5 years ago, ARRY has more shares outstanding
The debt/assets ratio for ARRY is higher compared to a year ago.
2.2 Solvency
ARRY has an Altman-Z score of 1.86. This is not the best score and indicates that ARRY is in the grey zone with still only limited risk for bankruptcy at the moment.
ARRY's Altman-Z score of 1.86 is in line compared to the rest of the industry. ARRY outperforms 58.70% of its industry peers.
ARRY has a debt to FCF ratio of 6.29. This is a slightly negative value and a sign of low solvency as ARRY would need 6.29 years to pay back of all of its debts.
ARRY's Debt to FCF ratio of 6.29 is fine compared to the rest of the industry. ARRY outperforms 71.74% of its industry peers.
ARRY has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
ARRY's Debt to Equity ratio of 1.80 is on the low side compared to the rest of the industry. ARRY is outperformed by 73.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 6.29 | ||
| Altman-Z | 1.86 |
ROIC/WACC1.26
WACC7.26%
2.3 Liquidity
ARRY has a Current Ratio of 2.22. This indicates that ARRY is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.22, ARRY is doing good in the industry, outperforming 64.13% of the companies in the same industry.
A Quick Ratio of 1.84 indicates that ARRY should not have too much problems paying its short term obligations.
ARRY's Quick ratio of 1.84 is fine compared to the rest of the industry. ARRY outperforms 70.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.84 |
3. Growth
3.1 Past
ARRY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.25%, which is quite impressive.
ARRY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 65.57% yearly.
The Revenue for ARRY has decreased by -41.91% in the past year. This is quite bad
Measured over the past years, ARRY shows a small growth in Revenue. The Revenue has been growing by 7.17% on average per year.
EPS 1Y (TTM)31.25%
EPS 3Y65.57%
EPS 5YN/A
EPS Q2Q%76.47%
Revenue 1Y (TTM)-41.91%
Revenue growth 3Y2.38%
Revenue growth 5Y7.17%
Sales Q2Q%70.04%
3.2 Future
ARRY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.71% yearly.
ARRY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.47% yearly.
EPS Next Y16.23%
EPS Next 2Y24.43%
EPS Next 3Y22%
EPS Next 5Y7.71%
Revenue Next Year32.57%
Revenue Next 2Y23.31%
Revenue Next 3Y17.96%
Revenue Next 5Y10.47%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.17, the valuation of ARRY can be described as very reasonable.
Based on the Price/Earnings ratio, ARRY is valued cheaply inside the industry as 93.48% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.06. ARRY is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.35, the valuation of ARRY can be described as very reasonable.
95.65% of the companies in the same industry are more expensive than ARRY, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 32.73. ARRY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 9.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ARRY is valued cheaply inside the industry as 94.57% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ARRY indicates a rather cheap valuation: ARRY is cheaper than 94.57% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.83 | ||
| EV/EBITDA | 9.42 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ARRY's earnings are expected to grow with 22.00% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.63
PEG (5Y)N/A
EPS Next 2Y24.43%
EPS Next 3Y22%
5. Dividend
5.1 Amount
No dividends for ARRY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.54
+0.17 (+2.03%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners122.44%
Inst Owner Change3.61%
Ins Owners0.51%
Ins Owner Change5.08%
Market Cap1.30B
Revenue(TTM)915.81M
Net Income(TTM)-265.90M
Analysts75.76
Price Target10.18 (19.2%)
Short Float %25.4%
Short Ratio5.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)33.72%
Min EPS beat(2)25.01%
Max EPS beat(2)42.44%
EPS beat(4)3
Avg EPS beat(4)19.81%
Min EPS beat(4)-9.27%
Max EPS beat(4)42.44%
EPS beat(8)7
Avg EPS beat(8)72.94%
EPS beat(12)11
Avg EPS beat(12)121.34%
EPS beat(16)13
Avg EPS beat(16)100.29%
Revenue beat(2)2
Avg Revenue beat(2)17.19%
Min Revenue beat(2)12.1%
Max Revenue beat(2)22.27%
Revenue beat(4)3
Avg Revenue beat(4)8.1%
Min Revenue beat(4)-2.47%
Max Revenue beat(4)22.27%
Revenue beat(8)6
Avg Revenue beat(8)5.76%
Revenue beat(12)10
Avg Revenue beat(12)8.8%
Revenue beat(16)13
Avg Revenue beat(16)8%
PT rev (1m)11.77%
PT rev (3m)13.1%
EPS NQ rev (1m)0.6%
EPS NQ rev (3m)25.09%
EPS NY rev (1m)-0.2%
EPS NY rev (3m)5.45%
Revenue NQ rev (1m)0.45%
Revenue NQ rev (3m)18.55%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)6.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.17 | ||
| Fwd PE | 9.35 | ||
| P/S | 1.11 | ||
| P/FCF | 11.83 | ||
| P/OCF | 9.78 | ||
| P/B | 3.57 | ||
| P/tB | 71.11 | ||
| EV/EBITDA | 9.42 |
EPS(TTM)0.84
EY9.84%
EPS(NY)0.91
Fwd EY10.7%
FCF(TTM)0.72
FCFY8.45%
OCF(TTM)0.87
OCFY10.22%
SpS7.67
BVpS2.39
TBVpS0.12
PEG (NY)0.63
PEG (5Y)N/A
Graham Number6.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -17.24% | ||
| ROE | -72.79% | ||
| ROCE | 11.78% | ||
| ROIC | 9.13% | ||
| ROICexc | 14.07% | ||
| ROICexgc | 28.04% | ||
| OM | 10.8% | ||
| PM (TTM) | N/A | ||
| GM | 28.19% | ||
| FCFM | 9.41% |
ROA(3y)-6.1%
ROA(5y)-3.02%
ROE(3y)-32.93%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5Y-46.48%
OM growth 3YN/A
OM growth 5Y-3.06%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y49.56%
GM growth 5Y6.91%
F-Score3
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.8 | ||
| Debt/FCF | 6.29 | ||
| Debt/EBITDA | 3.82 | ||
| Cap/Depr | 50.62% | ||
| Cap/Sales | 1.97% | ||
| Interest Coverage | 3.42 | ||
| Cash Conversion | 77.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.22 | ||
| Quick Ratio | 1.84 | ||
| Altman-Z | 1.86 |
F-Score3
WACC7.26%
ROIC/WACC1.26
Cap/Depr(3y)25.56%
Cap/Depr(5y)18.91%
Cap/Sales(3y)1.25%
Cap/Sales(5y)0.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.25%
EPS 3Y65.57%
EPS 5YN/A
EPS Q2Q%76.47%
EPS Next Y16.23%
EPS Next 2Y24.43%
EPS Next 3Y22%
EPS Next 5Y7.71%
Revenue 1Y (TTM)-41.91%
Revenue growth 3Y2.38%
Revenue growth 5Y7.17%
Sales Q2Q%70.04%
Revenue Next Year32.57%
Revenue Next 2Y23.31%
Revenue Next 3Y17.96%
Revenue Next 5Y10.47%
EBIT growth 1Y6.85%
EBIT growth 3YN/A
EBIT growth 5Y3.88%
EBIT Next Year491.81%
EBIT Next 3Y97.17%
EBIT Next 5Y49.06%
FCF growth 1Y-56.35%
FCF growth 3YN/A
FCF growth 5Y-18.84%
OCF growth 1Y-50.39%
OCF growth 3YN/A
OCF growth 5Y-16.79%
ARRAY TECHNOLOGIES INC / ARRY FAQ
What is the ChartMill fundamental rating of ARRAY TECHNOLOGIES INC (ARRY) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ARRY.
Can you provide the valuation status for ARRAY TECHNOLOGIES INC?
ChartMill assigns a valuation rating of 8 / 10 to ARRAY TECHNOLOGIES INC (ARRY). This can be considered as Undervalued.
Can you provide the profitability details for ARRAY TECHNOLOGIES INC?
ARRAY TECHNOLOGIES INC (ARRY) has a profitability rating of 4 / 10.
What are the PE and PB ratios of ARRAY TECHNOLOGIES INC (ARRY) stock?
The Price/Earnings (PE) ratio for ARRAY TECHNOLOGIES INC (ARRY) is 10.17 and the Price/Book (PB) ratio is 3.57.
How financially healthy is ARRAY TECHNOLOGIES INC?
The financial health rating of ARRAY TECHNOLOGIES INC (ARRY) is 4 / 10.