28.58 USD
+1.2 (+4.38%)
Taking everything into account, ELMD scores 7 out of 10 in our fundamental rating. ELMD was compared to 186 industry peers in the Health Care Equipment & Supplies industry. ELMD scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ELMD has a decent growth rate and is not valued too expensively. This makes ELMD very considerable for quality investing!
1. Profitability
1.1 Basic Checks
- In the past year ELMD was profitable.
- In the past year ELMD had a positive cash flow from operations.
- ELMD had positive earnings in each of the past 5 years.
- Of the past 5 years ELMD 4 years had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 14.01%, ELMD belongs to the best of the industry, outperforming 95.70% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 17.44%, ELMD belongs to the top of the industry, outperforming 93.01% of the companies in the same industry.
- The Return On Invested Capital of ELMD (16.69%) is better than 96.77% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ELMD is above the industry average of 8.84%.
- The last Return On Invested Capital (16.69%) for ELMD is above the 3 year average (11.76%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 14.01% | ||
| ROE | 17.44% | ||
| ROIC | 16.69% |
ROA(3y)10.26%
ROA(5y)8.54%
ROE(3y)12.47%
ROE(5y)10.29%
ROIC(3y)11.76%
ROIC(5y)9.74%
1.3 Margins
- With an excellent Profit Margin value of 11.78%, ELMD belongs to the best of the industry, outperforming 86.56% of the companies in the same industry.
- ELMD's Profit Margin has declined in the last couple of years.
- ELMD's Operating Margin of 15.43% is amongst the best of the industry. ELMD outperforms 84.41% of its industry peers.
- ELMD's Operating Margin has improved in the last couple of years.
- With an excellent Gross Margin value of 78.08%, ELMD belongs to the best of the industry, outperforming 89.78% of the companies in the same industry.
- In the last couple of years the Gross Margin of ELMD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.43% | ||
| PM (TTM) | 11.78% | ||
| GM | 78.08% |
OM growth 3Y29.31%
OM growth 5Y3.56%
PM growth 3Y28.63%
PM growth 5Y-1.68%
GM growth 3Y1.14%
GM growth 5Y0.12%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ELMD is still creating some value.
- Compared to 1 year ago, ELMD has less shares outstanding
- Compared to 5 years ago, ELMD has less shares outstanding
- ELMD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- ELMD has an Altman-Z score of 16.62. This indicates that ELMD is financially healthy and has little risk of bankruptcy at the moment.
- ELMD has a better Altman-Z score (16.62) than 93.55% of its industry peers.
- ELMD has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 16.62 |
ROIC/WACC1.67
WACC10%
2.3 Liquidity
- A Current Ratio of 4.31 indicates that ELMD has no problem at all paying its short term obligations.
- With a decent Current ratio value of 4.31, ELMD is doing good in the industry, outperforming 73.12% of the companies in the same industry.
- A Quick Ratio of 3.99 indicates that ELMD has no problem at all paying its short term obligations.
- With a decent Quick ratio value of 3.99, ELMD is doing good in the industry, outperforming 75.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.31 | ||
| Quick Ratio | 3.99 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 29.17% over the past year.
- Measured over the past years, ELMD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.82% on average per year.
- Looking at the last year, ELMD shows a quite strong growth in Revenue. The Revenue has grown by 16.97% in the last year.
- Measured over the past years, ELMD shows a quite strong growth in Revenue. The Revenue has been growing by 14.53% on average per year.
EPS 1Y (TTM)29.17%
EPS 3Y47.61%
EPS 5Y17.82%
EPS Q2Q%56.25%
Revenue 1Y (TTM)16.97%
Revenue growth 3Y15.39%
Revenue growth 5Y14.53%
Sales Q2Q%15.13%
3.2 Future
- The Earnings Per Share is expected to grow by 10.13% on average over the next years. This is quite good.
- The Revenue is expected to grow by 9.48% on average over the next years. This is quite good.
EPS Next Y28.75%
EPS Next 2Y26.7%
EPS Next 3Y10.13%
EPS Next 5YN/A
Revenue Next Year13.84%
Revenue Next 2Y12.69%
Revenue Next 3Y9.48%
Revenue Next 5YN/A
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 30.73, which means the current valuation is very expensive for ELMD.
- 74.19% of the companies in the same industry are more expensive than ELMD, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, ELMD is valued at the same level.
- ELMD is valuated rather expensively with a Price/Forward Earnings ratio of 21.19.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of ELMD indicates a rather cheap valuation: ELMD is cheaper than 80.11% of the companies listed in the same industry.
- When comparing the Price/Forward Earnings ratio of ELMD to the average of the S&P500 Index (24.26), we can say ELMD is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.73 | ||
| Fwd PE | 21.19 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ELMD is valued a bit cheaper than the industry average as 75.81% of the companies are valued more expensively.
- 89.25% of the companies in the same industry are more expensive than ELMD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.5 | ||
| EV/EBITDA | 20.2 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- ELMD has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.07
PEG (5Y)1.72
EPS Next 2Y26.7%
EPS Next 3Y10.13%
5. Dividend
5.1 Amount
- ELMD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ELECTROMED INC / ELMD FAQ
What is the ChartMill fundamental rating of ELECTROMED INC (ELMD) stock?
ChartMill assigns a fundamental rating of 7 / 10 to ELMD.
What is the valuation status for ELMD stock?
ChartMill assigns a valuation rating of 5 / 10 to ELECTROMED INC (ELMD). This can be considered as Fairly Valued.
How profitable is ELECTROMED INC (ELMD) stock?
ELECTROMED INC (ELMD) has a profitability rating of 8 / 10.
What is the financial health of ELECTROMED INC (ELMD) stock?
The financial health rating of ELECTROMED INC (ELMD) is 9 / 10.
What is the expected EPS growth for ELECTROMED INC (ELMD) stock?
The Earnings per Share (EPS) of ELECTROMED INC (ELMD) is expected to grow by 28.75% in the next year.