ASTEC INDUSTRIES INC (ASTE) Stock Fundamental Analysis
USA - NASDAQ:ASTE - US0462241011 - Common Stock
47.85 USD
+1.44 (+3.1%)
47.85 USD
0 (0%)
Overall ASTE gets a fundamental rating of 6 out of 10. We evaluated ASTE against 128 industry peers in the Machinery industry. Both the profitability and the financial health of ASTE get a neutral evaluation. Nothing too spectacular is happening here. ASTE scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes ASTE very considerable for value investing!
1. Profitability
1.1 Basic Checks
ASTE had positive earnings in the past year.
In the past year ASTE had a positive cash flow from operations.
ASTE had positive earnings in 4 of the past 5 years.
Of the past 5 years ASTE 4 years had a positive operating cash flow.
1.2 Ratios
ASTE has a Return On Assets (4.31%) which is in line with its industry peers.
ASTE has a Return On Equity (6.80%) which is in line with its industry peers.
ASTE has a Return On Invested Capital of 9.55%. This is in the better half of the industry: ASTE outperforms 67.19% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ASTE is significantly below the industry average of 10.02%.
The 3 year average ROIC (4.22%) for ASTE is below the current ROIC(9.55%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 6.8% | ||
| ROIC | 9.55% |
ROA(3y)1.19%
ROA(5y)2.21%
ROE(3y)1.93%
ROE(5y)3.16%
ROIC(3y)4.22%
ROIC(5y)4.29%
1.3 Margins
ASTE's Profit Margin of 3.50% is in line compared to the rest of the industry. ASTE outperforms 42.97% of its industry peers.
In the last couple of years the Profit Margin of ASTE has declined.
ASTE's Operating Margin of 7.40% is in line compared to the rest of the industry. ASTE outperforms 46.09% of its industry peers.
ASTE's Operating Margin has improved in the last couple of years.
The Gross Margin of ASTE (26.76%) is worse than 60.94% of its industry peers.
In the last couple of years the Gross Margin of ASTE has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.4% | ||
| PM (TTM) | 3.5% | ||
| GM | 26.76% |
OM growth 3Y20.97%
OM growth 5Y10.4%
PM growth 3Y-41.22%
PM growth 5Y-29.61%
GM growth 3Y3.08%
GM growth 5Y4.18%
2. Health
2.1 Basic Checks
ASTE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ASTE has more shares outstanding
Compared to 5 years ago, ASTE has more shares outstanding
Compared to 1 year ago, ASTE has a worse debt to assets ratio.
2.2 Solvency
ASTE has an Altman-Z score of 4.44. This indicates that ASTE is financially healthy and has little risk of bankruptcy at the moment.
ASTE's Altman-Z score of 4.44 is fine compared to the rest of the industry. ASTE outperforms 72.66% of its industry peers.
The Debt to FCF ratio of ASTE is 1.25, which is an excellent value as it means it would take ASTE, only 1.25 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.25, ASTE belongs to the best of the industry, outperforming 84.38% of the companies in the same industry.
ASTE has a Debt/Equity ratio of 0.14. This is a healthy value indicating a solid balance between debt and equity.
ASTE's Debt to Equity ratio of 0.14 is fine compared to the rest of the industry. ASTE outperforms 75.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 4.44 |
ROIC/WACC0.95
WACC10.01%
2.3 Liquidity
A Current Ratio of 2.71 indicates that ASTE has no problem at all paying its short term obligations.
The Current ratio of ASTE (2.71) is better than 72.66% of its industry peers.
A Quick Ratio of 1.08 indicates that ASTE should not have too much problems paying its short term obligations.
ASTE has a Quick ratio (1.08) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.71 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
ASTE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 77.17%, which is quite impressive.
Measured over the past years, ASTE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.45% on average per year.
Looking at the last year, ASTE shows a small growth in Revenue. The Revenue has grown by 1.17% in the last year.
Measured over the past years, ASTE shows a small growth in Revenue. The Revenue has been growing by 2.22% on average per year.
EPS 1Y (TTM)77.17%
EPS 3Y21.38%
EPS 5Y9.45%
EPS Q2Q%44.26%
Revenue 1Y (TTM)1.17%
Revenue growth 3Y5.95%
Revenue growth 5Y2.22%
Sales Q2Q%-4.4%
3.2 Future
Based on estimates for the next years, ASTE will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.12% on average per year.
Based on estimates for the next years, ASTE will show a small growth in Revenue. The Revenue will grow by 5.33% on average per year.
EPS Next Y23.65%
EPS Next 2Y17.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.2%
Revenue Next 2Y5.33%
Revenue Next 3YN/A
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.
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
Based on the Price/Earnings ratio of 14.68, the valuation of ASTE can be described as correct.
ASTE's Price/Earnings ratio is rather cheap when compared to the industry. ASTE is cheaper than 85.94% of the companies in the same industry.
When comparing the Price/Earnings ratio of ASTE to the average of the S&P500 Index (27.30), we can say ASTE is valued slightly cheaper.
The Price/Forward Earnings ratio is 14.24, which indicates a correct valuation of ASTE.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ASTE indicates a rather cheap valuation: ASTE is cheaper than 82.03% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ASTE to the average of the S&P500 Index (22.73), we can say ASTE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.68 | ||
| Fwd PE | 14.24 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ASTE indicates a rather cheap valuation: ASTE is cheaper than 85.94% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ASTE is valued cheaper than 85.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.1 | ||
| EV/EBITDA | 8.55 |
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.
A more expensive valuation may be justified as ASTE's earnings are expected to grow with 17.12% in the coming years.
PEG (NY)0.62
PEG (5Y)1.55
EPS Next 2Y17.12%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ASTE has a Yearly Dividend Yield of 1.09%.
ASTE's Dividend Yield is a higher than the industry average which is at 1.74.
Compared to an average S&P500 Dividend Yield of 2.38, ASTE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
5.2 History
The dividend of ASTE has a limited annual growth rate of 3.55%.
ASTE has been paying a dividend for at least 10 years, so it has a reliable track record.
ASTE has decreased its dividend recently.
Dividend Growth(5Y)3.55%
Div Incr Years0
Div Non Decr Years1
5.3 Sustainability
25.93% of the earnings are spent on dividend by ASTE. This is a low number and sustainable payout ratio.
ASTE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP25.93%
EPS Next 2Y17.12%
EPS Next 3YN/A
47.85
+1.44 (+3.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners95.97%
Inst Owner Change1.93%
Ins Owners0.92%
Ins Owner Change1.13%
Market Cap1.09B
Analysts85.71
Price Target48.96 (2.32%)
Short Float %1.76%
Short Ratio2.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.09% |
Yearly Dividend0.52
Dividend Growth(5Y)3.55%
DP25.93%
Div Incr Years0
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)71.5%
Min EPS beat(2)55.45%
Max EPS beat(2)87.55%
EPS beat(4)3
Avg EPS beat(4)50.21%
Min EPS beat(4)-1.96%
Max EPS beat(4)87.55%
EPS beat(8)4
Avg EPS beat(8)7.43%
EPS beat(12)6
Avg EPS beat(12)11.33%
EPS beat(16)8
Avg EPS beat(16)11.55%
Revenue beat(2)1
Avg Revenue beat(2)-3.89%
Min Revenue beat(2)-8.58%
Max Revenue beat(2)0.79%
Revenue beat(4)1
Avg Revenue beat(4)-5.43%
Min Revenue beat(4)-8.7%
Max Revenue beat(4)0.79%
Revenue beat(8)2
Avg Revenue beat(8)-5.88%
Revenue beat(12)4
Avg Revenue beat(12)-3.08%
Revenue beat(16)5
Avg Revenue beat(16)-2.5%
PT rev (1m)11.63%
PT rev (3m)11.63%
EPS NQ rev (1m)1.12%
EPS NQ rev (3m)157.14%
EPS NY rev (1m)22.47%
EPS NY rev (3m)22.47%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)14.99%
Revenue NY rev (1m)0.8%
Revenue NY rev (3m)0.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.68 | ||
| Fwd PE | 14.24 | ||
| P/S | 0.84 | ||
| P/FCF | 14.1 | ||
| P/OCF | 11.83 | ||
| P/B | 1.62 | ||
| P/tB | 1.71 | ||
| EV/EBITDA | 8.55 |
EPS(TTM)3.26
EY6.81%
EPS(NY)3.36
Fwd EY7.02%
FCF(TTM)3.39
FCFY7.09%
OCF(TTM)4.04
OCFY8.45%
SpS57.28
BVpS29.51
TBVpS27.94
PEG (NY)0.62
PEG (5Y)1.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 6.8% | ||
| ROCE | 12.27% | ||
| ROIC | 9.55% | ||
| ROICexc | 10.78% | ||
| ROICexgc | 11.35% | ||
| OM | 7.4% | ||
| PM (TTM) | 3.5% | ||
| GM | 26.76% | ||
| FCFM | 5.92% |
ROA(3y)1.19%
ROA(5y)2.21%
ROE(3y)1.93%
ROE(5y)3.16%
ROIC(3y)4.22%
ROIC(5y)4.29%
ROICexc(3y)4.7%
ROICexc(5y)5.1%
ROICexgc(3y)5.08%
ROICexgc(5y)5.67%
ROCE(3y)5.42%
ROCE(5y)5.48%
ROICexcg growth 3Y15.61%
ROICexcg growth 5Y7.82%
ROICexc growth 3Y18.19%
ROICexc growth 5Y8.9%
OM growth 3Y20.97%
OM growth 5Y10.4%
PM growth 3Y-41.22%
PM growth 5Y-29.61%
GM growth 3Y3.08%
GM growth 5Y4.18%
F-Score8
Asset Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | 0.79 | ||
| Cap/Depr | 57.09% | ||
| Cap/Sales | 1.14% | ||
| Interest Coverage | 11.98 | ||
| Cash Conversion | 75.14% | ||
| Profit Quality | 169.06% | ||
| Current Ratio | 2.71 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 4.44 |
F-Score8
WACC10.01%
ROIC/WACC0.95
Cap/Depr(3y)118.53%
Cap/Depr(5y)95.88%
Cap/Sales(3y)2.44%
Cap/Sales(5y)2.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)77.17%
EPS 3Y21.38%
EPS 5Y9.45%
EPS Q2Q%44.26%
EPS Next Y23.65%
EPS Next 2Y17.12%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.17%
Revenue growth 3Y5.95%
Revenue growth 5Y2.22%
Sales Q2Q%-4.4%
Revenue Next Year3.2%
Revenue Next 2Y5.33%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y133.17%
EBIT growth 3Y28.17%
EBIT growth 5Y12.85%
EBIT Next Year54.04%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y205.58%
FCF growth 3YN/A
FCF growth 5Y-51.05%
OCF growth 1Y368.12%
OCF growth 3Y45.94%
OCF growth 5Y-27.19%