CRANE CO (CR) Stock Fundamental Analysis
NYSE:CR - New York Stock Exchange, Inc. - US2244081046 - Common Stock - Currency: USD
CR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 128 industry peers in the Machinery industry. CR has an excellent profitability rating, but there are some minor concerns on its financial health. While showing a medium growth rate, CR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
CR had positive earnings in the past year.
In the past year CR had a positive cash flow from operations.
CR had positive earnings in each of the past 5 years.
CR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 11.25%, CR belongs to the best of the industry, outperforming 83.20% of the companies in the same industry.
Looking at the Return On Equity, with a value of 17.96%, CR is in the better half of the industry, outperforming 78.40% of the companies in the same industry.
CR's Return On Invested Capital of 13.99% is fine compared to the rest of the industry. CR outperforms 80.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CR is in line with the industry average of 11.00%.
The last Return On Invested Capital (13.99%) for CR is above the 3 year average (9.91%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.25% | ||
| ROE | 17.96% | ||
| ROIC | 13.99% |
ROA(3y)10.45%
ROA(5y)10.54%
ROE(3y)19.3%
ROE(5y)22.01%
ROIC(3y)9.91%
ROIC(5y)8.91%
1.3 Margins
The Profit Margin of CR (12.88%) is better than 82.40% of its industry peers.
In the last couple of years the Profit Margin of CR has grown nicely.
CR's Operating Margin of 16.50% is fine compared to the rest of the industry. CR outperforms 79.20% of its industry peers.
In the last couple of years the Operating Margin of CR has grown nicely.
CR's Gross Margin of 39.55% is fine compared to the rest of the industry. CR outperforms 72.00% of its industry peers.
In the last couple of years the Gross Margin of CR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.5% | ||
| PM (TTM) | 12.88% | ||
| GM | 39.55% |
OM growth 3Y15.82%
OM growth 5Y3.47%
PM growth 3Y-13.15%
PM growth 5Y27.77%
GM growth 3Y6.84%
GM growth 5Y2.54%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CR is still creating some value.
The number of shares outstanding for CR has been increased compared to 1 year ago.
Compared to 5 years ago, CR has less shares outstanding
CR has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of CR is 1.05, which is an excellent value as it means it would take CR, only 1.05 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CR (1.05) is better than 87.20% of its industry peers.
A Debt/Equity ratio of 0.15 indicates that CR is not too dependend on debt financing.
CR's Debt to Equity ratio of 0.15 is fine compared to the rest of the industry. CR outperforms 73.60% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.05 | ||
| Altman-Z | N/A |
ROIC/WACC1.33
WACC10.55%
2.3 Liquidity
A Current Ratio of 2.65 indicates that CR has no problem at all paying its short term obligations.
CR has a better Current ratio (2.65) than 70.40% of its industry peers.
A Quick Ratio of 1.92 indicates that CR should not have too much problems paying its short term obligations.
CR has a better Quick ratio (1.92) than 74.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.65 | ||
| Quick Ratio | 1.92 |
3. Growth
3.1 Past
CR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.56%, which is quite impressive.
Measured over the past years, CR shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.00% on average per year.
The Revenue has grown by 9.65% in the past year. This is quite good.
The Revenue has been decreasing by -8.28% on average over the past years.
EPS 1Y (TTM)20.56%
EPS 3Y-8.02%
EPS 5Y-3%
EPS Q2Q%40%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y1.09%
Revenue growth 5Y-8.28%
Sales Q2Q%2.1%
3.2 Future
CR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.83% yearly.
CR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.35% yearly.
EPS Next Y10.36%
EPS Next 2Y12.05%
EPS Next 3Y12.31%
EPS Next 5Y11.83%
Revenue Next Year5.53%
Revenue Next 2Y6.05%
Revenue Next 3Y6.27%
Revenue Next 5Y6.35%
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.
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 31.98, which means the current valuation is very expensive for CR.
Compared to the rest of the industry, the Price/Earnings ratio of CR indicates a slightly more expensive valuation: CR is more expensive than 66.40% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of CR to the average of the S&P500 Index (29.63), we can say CR is valued inline with the index average.
A Price/Forward Earnings ratio of 28.98 indicates a quite expensive valuation of CR.
CR's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CR is more expensive than 63.20% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of CR to the average of the S&P500 Index (22.68), we can say CR is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.98 | ||
| Fwd PE | 28.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CR is valued a bit more expensive than the industry average as 66.40% of the companies are valued more cheaply.
CR's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.99 | ||
| EV/EBITDA | 22.77 |
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 excellent profitability rating of CR may justify a higher PE ratio.
A more expensive valuation may be justified as CR's earnings are expected to grow with 12.31% in the coming years.
PEG (NY)3.09
PEG (5Y)N/A
EPS Next 2Y12.05%
EPS Next 3Y12.31%
5. Dividend
5.1 Amount
With a yearly dividend of 0.50%, CR is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.67, CR has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.29, CR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
5.2 History
The dividend of CR decreases each year by -12.18%.
CR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-12.18%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
15.91% of the earnings are spent on dividend by CR. This is a low number and sustainable payout ratio.
DP15.91%
EPS Next 2Y12.05%
EPS Next 3Y12.31%
165.03
-6.47 (-3.77%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners74.79%
Inst Owner Change5.59%
Ins Owners0.25%
Ins Owner Change0.54%
Market Cap9.44B
Analysts81.25
Price Target181.56 (10.02%)
Short Float %0.97%
Short Ratio1.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
Yearly Dividend0.82
Dividend Growth(5Y)-12.18%
DP15.91%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.91%
Min EPS beat(2)0.24%
Max EPS beat(2)1.58%
EPS beat(4)4
Avg EPS beat(4)2.2%
Min EPS beat(4)0.24%
Max EPS beat(4)5.25%
EPS beat(8)8
Avg EPS beat(8)11.04%
EPS beat(12)11
Avg EPS beat(12)8.45%
EPS beat(16)15
Avg EPS beat(16)12.28%
Revenue beat(2)0
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-2.46%
Max Revenue beat(2)-1.07%
Revenue beat(4)1
Avg Revenue beat(4)-0.95%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)0.45%
Revenue beat(8)3
Avg Revenue beat(8)-0.53%
Revenue beat(12)5
Avg Revenue beat(12)3.05%
Revenue beat(16)8
Avg Revenue beat(16)1.45%
PT rev (1m)-2.12%
PT rev (3m)2.98%
EPS NQ rev (1m)-6.24%
EPS NQ rev (3m)-7.15%
EPS NY rev (1m)-3.47%
EPS NY rev (3m)-6.07%
Revenue NQ rev (1m)-9.23%
Revenue NQ rev (3m)-9.29%
Revenue NY rev (1m)-3.16%
Revenue NY rev (3m)-8.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.98 | ||
| Fwd PE | 28.98 | ||
| P/S | 4.13 | ||
| P/FCF | 39.99 | ||
| P/OCF | 34.62 | ||
| P/B | 5.76 | ||
| P/tB | 9.64 | ||
| EV/EBITDA | 22.77 |
EPS(TTM)5.16
EY3.13%
EPS(NY)5.69
Fwd EY3.45%
FCF(TTM)4.13
FCFY2.5%
OCF(TTM)4.77
OCFY2.89%
SpS39.98
BVpS28.67
TBVpS17.11
PEG (NY)3.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.25% | ||
| ROE | 17.96% | ||
| ROCE | 17.98% | ||
| ROIC | 13.99% | ||
| ROICexc | 16.38% | ||
| ROICexgc | 25.97% | ||
| OM | 16.5% | ||
| PM (TTM) | 12.88% | ||
| GM | 39.55% | ||
| FCFM | 10.32% |
ROA(3y)10.45%
ROA(5y)10.54%
ROE(3y)19.3%
ROE(5y)22.01%
ROIC(3y)9.91%
ROIC(5y)8.91%
ROICexc(3y)11.74%
ROICexc(5y)10.61%
ROICexgc(3y)21.11%
ROICexgc(5y)20.82%
ROCE(3y)13.02%
ROCE(5y)11.78%
ROICexcg growth 3Y4.81%
ROICexcg growth 5Y-2.63%
ROICexc growth 3Y13.04%
ROICexc growth 5Y6.99%
OM growth 3Y15.82%
OM growth 5Y3.47%
PM growth 3Y-13.15%
PM growth 5Y27.77%
GM growth 3Y6.84%
GM growth 5Y2.54%
F-Score7
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.05 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 71.76% | ||
| Cap/Sales | 1.6% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.68% | ||
| Profit Quality | 80.15% | ||
| Current Ratio | 2.65 | ||
| Quick Ratio | 1.92 | ||
| Altman-Z | N/A |
F-Score7
WACC10.55%
ROIC/WACC1.33
Cap/Depr(3y)91.45%
Cap/Depr(5y)78.6%
Cap/Sales(3y)1.86%
Cap/Sales(5y)1.69%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)20.56%
EPS 3Y-8.02%
EPS 5Y-3%
EPS Q2Q%40%
EPS Next Y10.36%
EPS Next 2Y12.05%
EPS Next 3Y12.31%
EPS Next 5Y11.83%
Revenue 1Y (TTM)9.65%
Revenue growth 3Y1.09%
Revenue growth 5Y-8.28%
Sales Q2Q%2.1%
Revenue Next Year5.53%
Revenue Next 2Y6.05%
Revenue Next 3Y6.27%
Revenue Next 5Y6.35%
EBIT growth 1Y32.98%
EBIT growth 3Y17.08%
EBIT growth 5Y-5.09%
EBIT Next Year23.26%
EBIT Next 3Y15.09%
EBIT Next 5Y13.71%
FCF growth 1Y27.33%
FCF growth 3Y-20.11%
FCF growth 5Y-6.19%
OCF growth 1Y19.54%
OCF growth 3Y-18.21%
OCF growth 5Y-7.08%