BWX TECHNOLOGIES INC (BWXT) Stock Fundamental Analysis
NYSE:BWXT - New York Stock Exchange, Inc. - US05605H1005 - Common Stock - Currency: USD
BWXT gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 64 industry peers in the Aerospace & Defense industry. BWXT has an average financial health and profitability rating. While showing a medium growth rate, BWXT is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
BWXT had positive earnings in the past year.
BWXT had a positive operating cash flow in the past year.
In the past 5 years BWXT has always been profitable.
Each year in the past 5 years BWXT had a positive operating cash flow.
1.2 Ratios
BWXT's Return On Assets of 9.82% is amongst the best of the industry. BWXT outperforms 92.19% of its industry peers.
With an excellent Return On Equity value of 26.09%, BWXT belongs to the best of the industry, outperforming 95.31% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 10.82%, BWXT belongs to the top of the industry, outperforming 92.19% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BWXT is above the industry average of 7.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 26.09% | ||
| ROIC | 10.82% |
ROA(3y)9.29%
ROA(5y)10.45%
ROE(3y)28.09%
ROE(5y)35.48%
ROIC(3y)10.89%
ROIC(5y)11.51%
1.3 Margins
BWXT has a better Profit Margin (10.43%) than 79.69% of its industry peers.
In the last couple of years the Profit Margin of BWXT has declined.
Looking at the Operating Margin, with a value of 12.17%, BWXT is in the better half of the industry, outperforming 76.56% of the companies in the same industry.
In the last couple of years the Operating Margin of BWXT has declined.
Looking at the Gross Margin, with a value of 24.23%, BWXT is in line with its industry, outperforming 46.88% of the companies in the same industry.
In the last couple of years the Gross Margin of BWXT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.17% | ||
| PM (TTM) | 10.43% | ||
| GM | 24.23% |
OM growth 3Y-5.2%
OM growth 5Y-5.02%
PM growth 3Y-10.2%
PM growth 5Y-4.14%
GM growth 3Y-2.2%
GM growth 5Y-2.93%
2. Health
2.1 Basic Checks
BWXT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for BWXT remains at a similar level compared to 1 year ago.
BWXT has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, BWXT has an improved debt to assets ratio.
2.2 Solvency
BWXT has an Altman-Z score of 5.81. This indicates that BWXT is financially healthy and has little risk of bankruptcy at the moment.
BWXT has a Altman-Z score of 5.81. This is in the better half of the industry: BWXT outperforms 78.13% of its industry peers.
BWXT has a debt to FCF ratio of 4.14. This is a neutral value as BWXT would need 4.14 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.14, BWXT is in the better half of the industry, outperforming 78.13% of the companies in the same industry.
BWXT has a Debt/Equity ratio of 0.97. This is a neutral value indicating BWXT is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.97, BWXT is doing worse than 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 4.14 | ||
| Altman-Z | 5.81 |
ROIC/WACC1.12
WACC9.67%
2.3 Liquidity
A Current Ratio of 1.96 indicates that BWXT should not have too much problems paying its short term obligations.
With a Current ratio value of 1.96, BWXT perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
BWXT has a Quick Ratio of 1.88. This is a normal value and indicates that BWXT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.88, BWXT is doing good in the industry, outperforming 73.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.90% over the past year.
BWXT shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.83% yearly.
Looking at the last year, BWXT shows a quite strong growth in Revenue. The Revenue has grown by 8.31% in the last year.
The Revenue has been growing slightly by 7.37% on average over the past years.
EPS 1Y (TTM)9.9%
EPS 3Y2.86%
EPS 5Y4.83%
EPS Q2Q%-8.91%
Revenue 1Y (TTM)8.31%
Revenue growth 3Y8.37%
Revenue growth 5Y7.37%
Sales Q2Q%2.86%
3.2 Future
Based on estimates for the next years, BWXT will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.75% on average per year.
The Revenue is expected to grow by 9.17% on average over the next years. This is quite good.
EPS Next Y6.77%
EPS Next 2Y9.66%
EPS Next 3Y10.85%
EPS Next 5Y12.75%
Revenue Next Year13.13%
Revenue Next 2Y11.66%
Revenue Next 3Y10.56%
Revenue Next 5Y9.17%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 31.14, which means the current valuation is very expensive for BWXT.
Based on the Price/Earnings ratio, BWXT is valued a bit cheaper than 68.75% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 28.29. BWXT is around the same levels.
Based on the Price/Forward Earnings ratio of 29.17, the valuation of BWXT can be described as expensive.
64.06% of the companies in the same industry are more expensive than BWXT, based on the Price/Forward Earnings ratio.
BWXT's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.08.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.14 | ||
| Fwd PE | 29.17 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BWXT is on the same level as its industry peers.
75.00% of the companies in the same industry are more expensive than BWXT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.2 | ||
| EV/EBITDA | 25.21 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of BWXT may justify a higher PE ratio.
PEG (NY)4.6
PEG (5Y)6.44
EPS Next 2Y9.66%
EPS Next 3Y10.85%
5. Dividend
5.1 Amount
With a yearly dividend of 0.96%, BWXT is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.42, BWXT pays a better dividend. On top of this BWXT pays more dividend than 81.25% of the companies listed in the same industry.
With a Dividend Yield of 0.96, BWXT pays less dividend than the S&P500 average, which is at 2.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
5.2 History
On average, the dividend of BWXT grows each year by 7.06%, which is quite nice.
BWXT has paid a dividend for at least 10 years, which is a reliable track record.
BWXT has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.06%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
31.34% of the earnings are spent on dividend by BWXT. This is a low number and sustainable payout ratio.
The dividend of BWXT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP31.34%
EPS Next 2Y9.66%
EPS Next 3Y10.85%
103.71
-0.15 (-0.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners93.11%
Inst Owner Change0%
Ins Owners0.34%
Ins Owner Change2.44%
Market Cap9.48B
Analysts82.5
Price Target136.58 (31.69%)
Short Float %1.45%
Short Ratio1.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.96% |
Yearly Dividend0.97
Dividend Growth(5Y)7.06%
DP31.34%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.88%
Min EPS beat(2)4.98%
Max EPS beat(2)10.79%
EPS beat(4)4
Avg EPS beat(4)7.86%
Min EPS beat(4)4.98%
Max EPS beat(4)10.79%
EPS beat(8)8
Avg EPS beat(8)7.74%
EPS beat(12)10
Avg EPS beat(12)5.24%
EPS beat(16)11
Avg EPS beat(16)2.63%
Revenue beat(2)2
Avg Revenue beat(2)0.83%
Min Revenue beat(2)0.04%
Max Revenue beat(2)1.62%
Revenue beat(4)3
Avg Revenue beat(4)1.22%
Min Revenue beat(4)-1.3%
Max Revenue beat(4)4.5%
Revenue beat(8)6
Avg Revenue beat(8)2.56%
Revenue beat(12)8
Avg Revenue beat(12)1.08%
Revenue beat(16)8
Avg Revenue beat(16)-0.38%
PT rev (1m)0.06%
PT rev (3m)0.47%
EPS NQ rev (1m)-2.91%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)1.63%
EPS NY rev (3m)1.73%
Revenue NQ rev (1m)-0.55%
Revenue NQ rev (3m)-0.55%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)6.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.14 | ||
| Fwd PE | 29.17 | ||
| P/S | 3.51 | ||
| P/FCF | 37.2 | ||
| P/OCF | 23.21 | ||
| P/B | 8.77 | ||
| P/tB | 15.09 | ||
| EV/EBITDA | 25.21 |
EPS(TTM)3.33
EY3.21%
EPS(NY)3.56
Fwd EY3.43%
FCF(TTM)2.79
FCFY2.69%
OCF(TTM)4.47
OCFY4.31%
SpS29.58
BVpS11.82
TBVpS6.87
PEG (NY)4.6
PEG (5Y)6.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.82% | ||
| ROE | 26.09% | ||
| ROCE | 13.74% | ||
| ROIC | 10.82% | ||
| ROICexc | 11.17% | ||
| ROICexgc | 13.87% | ||
| OM | 12.17% | ||
| PM (TTM) | 10.43% | ||
| GM | 24.23% | ||
| FCFM | 9.42% |
ROA(3y)9.29%
ROA(5y)10.45%
ROE(3y)28.09%
ROE(5y)35.48%
ROIC(3y)10.89%
ROIC(5y)11.51%
ROICexc(3y)11.19%
ROICexc(5y)11.8%
ROICexgc(3y)14.13%
ROICexgc(5y)15.27%
ROCE(3y)13.82%
ROCE(5y)14.77%
ROICexcg growth 3Y-3.82%
ROICexcg growth 5Y-11.02%
ROICexc growth 3Y-2.17%
ROICexc growth 5Y-7.67%
OM growth 3Y-5.2%
OM growth 5Y-5.02%
PM growth 3Y-10.2%
PM growth 5Y-4.14%
GM growth 3Y-2.2%
GM growth 5Y-2.93%
F-Score7
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 4.14 | ||
| Debt/EBITDA | 2.51 | ||
| Cap/Depr | 178.95% | ||
| Cap/Sales | 5.68% | ||
| Interest Coverage | 4.54 | ||
| Cash Conversion | 98.43% | ||
| Profit Quality | 90.37% | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 5.81 |
F-Score7
WACC9.67%
ROIC/WACC1.12
Cap/Depr(3y)213.4%
Cap/Depr(5y)302.1%
Cap/Sales(3y)6.87%
Cap/Sales(5y)9.46%
Profit Quality(3y)65.42%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.9%
EPS 3Y2.86%
EPS 5Y4.83%
EPS Q2Q%-8.91%
EPS Next Y6.77%
EPS Next 2Y9.66%
EPS Next 3Y10.85%
EPS Next 5Y12.75%
Revenue 1Y (TTM)8.31%
Revenue growth 3Y8.37%
Revenue growth 5Y7.37%
Sales Q2Q%2.86%
Revenue Next Year13.13%
Revenue Next 2Y11.66%
Revenue Next 3Y10.56%
Revenue Next 5Y9.17%
EBIT growth 1Y-1.3%
EBIT growth 3Y2.74%
EBIT growth 5Y1.98%
EBIT Next Year37.58%
EBIT Next 3Y20.67%
EBIT Next 5Y24.11%
FCF growth 1Y19.94%
FCF growth 3Y50.39%
FCF growth 5Y21.23%
OCF growth 1Y12.3%
OCF growth 3Y1.9%
OCF growth 5Y7.89%