CRANE CO (CR) Stock Fundamental Analysis
NYSE:CR - New York Stock Exchange, Inc. - US2244081046 - Common Stock - Currency: USD
We assign a fundamental rating of 6 out of 10 to CR. CR was compared to 128 industry peers in the Machinery industry. CR gets an excellent profitability rating and is at the same time showing great financial health properties. CR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CR was profitable.
In the past year CR had a positive cash flow from operations.
Each year in the past 5 years CR has been profitable.
CR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
CR has a Return On Assets of 11.15%. This is amongst the best in the industry. CR outperforms 82.81% of its industry peers.
The Return On Equity of CR (17.98%) is better than 78.13% of its industry peers.
CR's Return On Invested Capital of 13.11% is fine compared to the rest of the industry. CR outperforms 78.91% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CR is in line with the industry average of 10.75%.
The 3 year average ROIC (9.11%) for CR is below the current ROIC(13.11%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.15% | ||
| ROE | 17.98% | ||
| ROIC | 13.11% |
ROA(3y)10.39%
ROA(5y)10.5%
ROE(3y)19.31%
ROE(5y)22.01%
ROIC(3y)9.11%
ROIC(5y)8.41%
1.3 Margins
Looking at the Profit Margin, with a value of 13.83%, CR belongs to the top of the industry, outperforming 85.16% of the companies in the same industry.
In the last couple of years the Profit Margin of CR has grown nicely.
With a decent Operating Margin value of 16.69%, CR is doing good in the industry, outperforming 79.69% of the companies in the same industry.
CR's Operating Margin has improved in the last couple of years.
The Gross Margin of CR (40.72%) is better than 76.56% of its industry peers.
In the last couple of years the Gross Margin of CR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.69% | ||
| PM (TTM) | 13.83% | ||
| GM | 40.72% |
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.
The number of shares outstanding for CR has been reduced compared to 5 years ago.
CR has a better debt/assets ratio than last year.
2.2 Solvency
CR has an Altman-Z score of 7.19. This indicates that CR is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.19, CR belongs to the top of the industry, outperforming 89.84% of the companies in the same industry.
CR has a debt to FCF ratio of 1.06. This is a very positive value and a sign of high solvency as it would only need 1.06 years to pay back of all of its debts.
The Debt to FCF ratio of CR (1.06) is better than 85.94% of its industry peers.
CR has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of CR (0.15) is better than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.06 | ||
| Altman-Z | 7.19 |
ROIC/WACC1.3
WACC10.05%
2.3 Liquidity
CR has a Current Ratio of 2.58. This indicates that CR is financially healthy and has no problem in meeting its short term obligations.
CR's Current ratio of 2.58 is fine compared to the rest of the industry. CR outperforms 67.19% of its industry peers.
CR has a Quick Ratio of 1.88. This is a normal value and indicates that CR is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.88, CR is doing good in the industry, outperforming 74.22% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.58 | ||
| Quick Ratio | 1.88 |
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.
CR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.00% yearly.
The Revenue has been growing slightly by 2.15% in the past year.
Measured over the past years, CR shows a decrease in Revenue. The Revenue has been decreasing by -8.28% on average per year.
EPS 1Y (TTM)20.56%
EPS 3Y-8.02%
EPS 5Y-3%
EPS Q2Q%40%
Revenue 1Y (TTM)2.15%
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 12.23% yearly.
CR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.72% yearly.
EPS Next Y9.69%
EPS Next 2Y11.12%
EPS Next 3Y11.07%
EPS Next 5Y12.23%
Revenue Next Year5.89%
Revenue Next 2Y6.28%
Revenue Next 3Y6.01%
Revenue Next 5Y6.72%
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 26.51, which means the current valuation is very expensive for CR.
CR's Price/Earnings ratio is a bit more expensive when compared to the industry. CR is more expensive than 66.41% of the companies in the same industry.
CR is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.63, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 24.17 indicates a rather expensive valuation of CR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CR is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.85. CR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.51 | ||
| Fwd PE | 24.17 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CR is valued a bit more expensive than the industry average as 66.41% of the companies are valued more cheaply.
CR's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. CR is more expensive than 60.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.74 | ||
| EV/EBITDA | 20.01 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CR does not grow enough to justify the current Price/Earnings ratio.
CR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.74
PEG (5Y)N/A
EPS Next 2Y11.12%
EPS Next 3Y11.07%
5. Dividend
5.1 Amount
With a yearly dividend of 0.59%, CR is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.12, CR has a dividend in line with its industry peers.
With a Dividend Yield of 0.59, CR pays less dividend than the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
5.2 History
The dividend of CR decreases each year by -12.19%.
CR has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-12.19%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
CR pays out 15.91% of its income as dividend. This is a sustainable payout ratio.
DP15.91%
EPS Next 2Y11.12%
EPS Next 3Y11.07%
136.78
-5.87 (-4.11%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners75.72%
Inst Owner Change0%
Ins Owners0.25%
Ins Owner Change0.54%
Market Cap7.86B
Analysts81.18
Price Target186.05 (36.02%)
Short Float %1.23%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.59% |
Yearly Dividend0.82
Dividend Growth(5Y)-12.19%
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)-2.38%
PT rev (3m)0.3%
EPS NQ rev (1m)0.51%
EPS NQ rev (3m)-5.9%
EPS NY rev (1m)-0.61%
EPS NY rev (3m)-4.06%
Revenue NQ rev (1m)0.18%
Revenue NQ rev (3m)-8.39%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)-2.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.51 | ||
| Fwd PE | 24.17 | ||
| P/S | 3.69 | ||
| P/FCF | 33.74 | ||
| P/OCF | 29.16 | ||
| P/B | 4.8 | ||
| P/tB | 9.62 | ||
| EV/EBITDA | 20.01 |
EPS(TTM)5.16
EY3.77%
EPS(NY)5.66
Fwd EY4.14%
FCF(TTM)4.05
FCFY2.96%
OCF(TTM)4.69
OCFY3.43%
SpS37.08
BVpS28.51
TBVpS14.22
PEG (NY)2.74
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.15% | ||
| ROE | 17.98% | ||
| ROCE | 16.95% | ||
| ROIC | 13.11% | ||
| ROICexc | 15.36% | ||
| ROICexgc | 28.36% | ||
| OM | 16.69% | ||
| PM (TTM) | 13.83% | ||
| GM | 40.72% | ||
| FCFM | 10.93% |
ROA(3y)10.39%
ROA(5y)10.5%
ROE(3y)19.31%
ROE(5y)22.01%
ROIC(3y)9.11%
ROIC(5y)8.41%
ROICexc(3y)10.78%
ROICexc(5y)10.01%
ROICexgc(3y)18.74%
ROICexgc(5y)19.36%
ROCE(3y)12.01%
ROCE(5y)11.18%
ROICexcg growth 3Y10.29%
ROICexcg growth 5Y0.39%
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 Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.06 | ||
| Debt/EBITDA | 0.61 | ||
| Cap/Depr | 71.76% | ||
| Cap/Sales | 1.72% | ||
| Interest Coverage | 14.58 | ||
| Cash Conversion | 66.27% | ||
| Profit Quality | 79.06% | ||
| Current Ratio | 2.58 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 7.19 |
F-Score7
WACC10.05%
ROIC/WACC1.3
Cap/Depr(3y)93.58%
Cap/Depr(5y)79.88%
Cap/Sales(3y)1.9%
Cap/Sales(5y)1.71%
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 Y9.69%
EPS Next 2Y11.12%
EPS Next 3Y11.07%
EPS Next 5Y12.23%
Revenue 1Y (TTM)2.15%
Revenue growth 3Y1.09%
Revenue growth 5Y-8.28%
Sales Q2Q%2.1%
Revenue Next Year5.89%
Revenue Next 2Y6.28%
Revenue Next 3Y6.01%
Revenue Next 5Y6.72%
EBIT growth 1Y25.37%
EBIT growth 3Y17.08%
EBIT growth 5Y-5.09%
EBIT Next Year24.12%
EBIT Next 3Y14.77%
EBIT Next 5Y12.55%
FCF growth 1Y28.45%
FCF growth 3Y-20.47%
FCF growth 5Y-6.44%
OCF growth 1Y22.32%
OCF growth 3Y-18.53%
OCF growth 5Y-7.3%