BWX TECHNOLOGIES INC (BWXT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BWXT - US05605H1005 - Common Stock
216.3 USD
+3.9 (+1.84%)
216 USD
-0.3 (-0.14%)
We assign a fundamental rating of 6 out of 10 to BWXT. BWXT was compared to 73 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.
- In the past year BWXT had a positive cash flow from operations.
- BWXT had positive earnings in each of the past 5 years.
- BWXT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- BWXT has a better Return On Assets (8.12%) than 83.56% of its industry peers.
- BWXT has a better Return On Equity (24.72%) than 90.41% of its industry peers.
- BWXT has a better Return On Invested Capital (8.36%) than 73.97% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BWXT is above the industry average of 8.56%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.12% | ||
| ROE | 24.72% | ||
| ROIC | 8.36% |
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's Profit Margin of 10.04% is amongst the best of the industry. BWXT outperforms 80.82% of its industry peers.
- In the last couple of years the Profit Margin of BWXT has declined.
- With a decent Operating Margin value of 10.87%, BWXT is doing good in the industry, outperforming 73.97% of the companies in the same industry.
- BWXT's Operating Margin has declined in the last couple of years.
- BWXT has a Gross Margin (23.54%) which is in line with its industry peers.
- BWXT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.87% | ||
| PM (TTM) | 10.04% | ||
| GM | 23.54% |
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.
- BWXT has about the same amout of shares outstanding than it did 1 year ago.
- The number of shares outstanding for BWXT has been reduced compared to 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 6.82. This indicates that BWXT is financially healthy and has little risk of bankruptcy at the moment.
- BWXT has a Altman-Z score of 6.82. This is in the better half of the industry: BWXT outperforms 65.75% of its industry peers.
- BWXT has a debt to FCF ratio of 3.27. This is a good value and a sign of high solvency as BWXT would need 3.27 years to pay back of all of its debts.
- BWXT's Debt to FCF ratio of 3.27 is amongst the best of the industry. BWXT outperforms 82.19% of its industry peers.
- BWXT has a Debt/Equity ratio of 1.21. This is a high value indicating a heavy dependency on external financing.
- BWXT has a Debt to Equity ratio of 1.21. This is in the lower half of the industry: BWXT underperforms 79.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.21 | ||
| Debt/FCF | 3.27 | ||
| Altman-Z | 6.82 |
ROIC/WACC0.83
WACC10.09%
2.3 Liquidity
- A Current Ratio of 1.71 indicates that BWXT should not have too much problems paying its short term obligations.
- BWXT's Current ratio of 1.71 is on the low side compared to the rest of the industry. BWXT is outperformed by 64.38% of its industry peers.
- A Quick Ratio of 1.62 indicates that BWXT should not have too much problems paying its short term obligations.
- BWXT's Quick ratio of 1.62 is in line compared to the rest of the industry. BWXT outperforms 58.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 12.57% over the past year.
- The Earnings Per Share has been growing slightly by 4.83% on average over the past years.
- The Revenue has grown by 14.01% in the past year. This is quite good.
- Measured over the past years, BWXT shows a small growth in Revenue. The Revenue has been growing by 7.37% on average per year.
EPS 1Y (TTM)12.57%
EPS 3Y2.86%
EPS 5Y4.83%
EPS Q2Q%20.48%
Revenue 1Y (TTM)14.01%
Revenue growth 3Y8.37%
Revenue growth 5Y7.37%
Sales Q2Q%28.92%
3.2 Future
- The Earnings Per Share is expected to grow by 12.94% on average over the next years. This is quite good.
- The Revenue is expected to grow by 11.38% on average over the next years. This is quite good.
EPS Next Y16.95%
EPS Next 2Y14.44%
EPS Next 3Y14.7%
EPS Next 5Y12.94%
Revenue Next Year17.7%
Revenue Next 2Y17.05%
Revenue Next 3Y14.26%
Revenue Next 5Y11.38%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better 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
- A Price/Earnings ratio of 56.18 indicates a quite expensive valuation of BWXT.
- BWXT's Price/Earnings ratio is in line with the industry average.
- The average S&P500 Price/Earnings ratio is at 28.60. BWXT is valued rather expensively when compared to this.
- Based on the Price/Forward Earnings ratio of 49.59, the valuation of BWXT can be described as expensive.
- BWXT's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.83, BWXT is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 56.18 | ||
| Fwd PE | 49.59 |
4.2 Price Multiples
- BWXT's Enterprise Value to EBITDA ratio is in line with the industry average.
- Based on the Price/Free Cash Flow ratio, BWXT is valued a bit cheaper than the industry average as 73.97% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.85 | ||
| EV/EBITDA | 48.75 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- BWXT has a very decent profitability rating, which may justify a higher PE ratio.
- BWXT's earnings are expected to grow with 14.70% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.32
PEG (5Y)11.62
EPS Next 2Y14.44%
EPS Next 3Y14.7%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.48%, BWXT is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.34, BWXT pays a better dividend. On top of this BWXT pays more dividend than 83.56% of the companies listed in the same industry.
- With a Dividend Yield of 0.48, BWXT pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.48% |
5.2 History
- The dividend of BWXT is nicely growing with an annual growth rate of 7.06%!
- BWXT has been paying a dividend for at least 10 years, so it has 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
- BWXT pays out 29.88% of its income as dividend. This is a sustainable payout ratio.
- BWXT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP29.88%
EPS Next 2Y14.44%
EPS Next 3Y14.7%
BWX TECHNOLOGIES INC / BWXT FAQ
What is the ChartMill fundamental rating of BWX TECHNOLOGIES INC (BWXT) stock?
ChartMill assigns a fundamental rating of 6 / 10 to BWXT.
What is the valuation status of BWX TECHNOLOGIES INC (BWXT) stock?
ChartMill assigns a valuation rating of 3 / 10 to BWX TECHNOLOGIES INC (BWXT). This can be considered as Overvalued.
How profitable is BWX TECHNOLOGIES INC (BWXT) stock?
BWX TECHNOLOGIES INC (BWXT) has a profitability rating of 6 / 10.
How financially healthy is BWX TECHNOLOGIES INC?
The financial health rating of BWX TECHNOLOGIES INC (BWXT) is 6 / 10.
Can you provide the dividend sustainability for BWXT stock?
The dividend rating of BWX TECHNOLOGIES INC (BWXT) is 6 / 10 and the dividend payout ratio is 29.88%.