ASGN INC (ASGN)
US00191U1025 - Common Stock
We assign a fundamental rating of 5 out of 10 to ASGN. ASGN was compared to 84 industry peers in the IT Services industry. While ASGN has a great health rating, its profitability is only average at the moment. ASGN has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ASGN had positive earnings in the past year.
In the past year ASGN had a positive cash flow from operations.
In the past 5 years ASGN has always been profitable.
Each year in the past 5 years ASGN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.34%, ASGN is in the better half of the industry, outperforming 67.07% of the companies in the same industry.
The Return On Equity of ASGN (10.32%) is better than 65.85% of its industry peers.
ASGN has a Return On Invested Capital of 7.62%. This is in the better half of the industry: ASGN outperforms 70.73% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ASGN is in line with the industry average of 9.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.34% | ||
| ROE | 10.32% | ||
| ROIC | 7.62% |
ROA(3y)8.46%
ROA(5y)7.48%
ROE(3y)15.89%
ROE(5y)14.6%
ROIC(3y)8.84%
ROIC(5y)8.31%
1.3 Margins
ASGN has a Profit Margin (4.37%) which is comparable to the rest of the industry.
ASGN's Profit Margin has been stable in the last couple of years.
ASGN's Operating Margin of 7.49% is fine compared to the rest of the industry. ASGN outperforms 62.20% of its industry peers.
ASGN's Operating Margin has been stable in the last couple of years.
ASGN's Gross Margin of 28.71% is on the low side compared to the rest of the industry. ASGN is outperformed by 67.07% of its industry peers.
ASGN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.49% | ||
| PM (TTM) | 4.37% | ||
| GM | 28.71% |
OM growth 3Y0.62%
OM growth 5Y0.1%
PM growth 3Y-4.85%
PM growth 5Y1.22%
GM growth 3Y2.07%
GM growth 5Y-0.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ASGN is destroying value.
Compared to 1 year ago, ASGN has less shares outstanding
ASGN has less shares outstanding than it did 5 years ago.
ASGN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.51 indicates that ASGN is not in any danger for bankruptcy at the moment.
The Altman-Z score of ASGN (3.51) is comparable to the rest of the industry.
The Debt to FCF ratio of ASGN is 2.69, which is a good value as it means it would take ASGN, 2.69 years of fcf income to pay off all of its debts.
ASGN has a Debt to FCF ratio of 2.69. This is in the better half of the industry: ASGN outperforms 65.85% of its industry peers.
ASGN has a Debt/Equity ratio of 0.58. This is a neutral value indicating ASGN is somewhat dependend on debt financing.
ASGN has a worse Debt to Equity ratio (0.58) than 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 2.69 | ||
| Altman-Z | 3.51 |
ROIC/WACC0.73
WACC10.43%
2.3 Liquidity
A Current Ratio of 2.25 indicates that ASGN has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.25, ASGN is doing good in the industry, outperforming 73.17% of the companies in the same industry.
A Quick Ratio of 2.25 indicates that ASGN has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.25, ASGN is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.25 | ||
| Quick Ratio | 2.25 |
3. Growth
3.1 Past
The earnings per share for ASGN have decreased strongly by -12.34% in the last year.
The Earnings Per Share has been growing slightly by 6.85% on average over the past years.
Looking at the last year, ASGN shows a decrease in Revenue. The Revenue has decreased by -7.47% in the last year.
Measured over the past years, ASGN shows a small growth in Revenue. The Revenue has been growing by 5.53% on average per year.
EPS 1Y (TTM)-12.34%
EPS 3Y8.09%
EPS 5Y6.85%
EPS Q2Q%-14.88%
Revenue 1Y (TTM)-7.47%
Revenue growth 3Y8.32%
Revenue growth 5Y5.53%
Sales Q2Q%-7.68%
3.2 Future
ASGN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.25% yearly.
The Revenue is expected to grow by 0.70% on average over the next years.
EPS Next Y-13.74%
EPS Next 2Y-3.8%
EPS Next 3Y3.25%
EPS Next 5YN/A
Revenue Next Year-7.13%
Revenue Next 2Y-2.73%
Revenue Next 3Y0.7%
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 decreasing.
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 15.65, which indicates a correct valuation of ASGN.
ASGN's Price/Earnings ratio is a bit cheaper when compared to the industry. ASGN is cheaper than 76.83% of the companies in the same industry.
ASGN is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 14.97, which indicates a correct valuation of ASGN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ASGN indicates a rather cheap valuation: ASGN is cheaper than 80.49% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ASGN to the average of the S&P500 Index (23.82), we can say ASGN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.65 | ||
| Fwd PE | 14.97 |
4.2 Price Multiples
ASGN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ASGN is cheaper than 71.95% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ASGN is valued cheaper than 93.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.7 | ||
| EV/EBITDA | 11.24 |
4.3 Compensation for Growth
The decent profitability rating of ASGN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.28
EPS Next 2Y-3.8%
EPS Next 3Y3.25%
5. Dividend
5.1 Amount
No dividends for ASGN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ASGN INC
NYSE:ASGN (11/21/2024, 8:13:07 PM)
After market: 84.5 0 (0%)84.5
-0.58 (-0.68%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.73B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.65 | ||
| Fwd PE | 14.97 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.34% | ||
| ROE | 10.32% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.49% | ||
| PM (TTM) | 4.37% | ||
| GM | 28.71% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.25 | ||
| Quick Ratio | 2.25 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-12.34%
EPS 3Y8.09%
EPS 5Y
EPS Q2Q%
EPS Next Y-13.74%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-7.47%
Revenue growth 3Y8.32%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y