ELTEK LTD (ELTK) Stock Fundamental Analysis
USA - NASDAQ:ELTK - IL0010828411 - Common Stock
10.14 USD
+0.04 (+0.4%)
10.14 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to ELTK. ELTK was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. ELTK gets an excellent profitability rating and is at the same time showing great financial health properties. ELTK has a decent growth rate and is not valued too expensively. This makes ELTK very considerable for quality investing!
1. Profitability
1.1 Basic Checks
ELTK had positive earnings in the past year.
In the past year ELTK had a positive cash flow from operations.
ELTK had positive earnings in each of the past 5 years.
ELTK had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ELTK has a Return On Assets of 5.71%. This is in the better half of the industry: ELTK outperforms 78.40% of its industry peers.
With a decent Return On Equity value of 8.40%, ELTK is doing good in the industry, outperforming 70.40% of the companies in the same industry.
ELTK has a Return On Invested Capital of 5.95%. This is in the better half of the industry: ELTK outperforms 64.00% of its industry peers.
ELTK had an Average Return On Invested Capital over the past 3 years of 11.27%. This is in line with the industry average of 9.48%.
The 3 year average ROIC (11.27%) for ELTK is well above the current ROIC(5.95%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.71% | ||
| ROE | 8.4% | ||
| ROIC | 5.95% |
ROA(3y)9.39%
ROA(5y)9.48%
ROE(3y)16.36%
ROE(5y)18.02%
ROIC(3y)11.27%
ROIC(5y)9.69%
1.3 Margins
ELTK has a Profit Margin of 7.34%. This is in the better half of the industry: ELTK outperforms 75.20% of its industry peers.
ELTK's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 7.15%, ELTK is in the better half of the industry, outperforming 71.20% of the companies in the same industry.
In the last couple of years the Operating Margin of ELTK has grown nicely.
With a Gross Margin value of 19.58%, ELTK is not doing good in the industry: 68.80% of the companies in the same industry are doing better.
ELTK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.15% | ||
| PM (TTM) | 7.34% | ||
| GM | 19.58% |
OM growth 3Y17.86%
OM growth 5Y18.76%
PM growth 3Y-15.23%
PM growth 5Y12.03%
GM growth 3Y2.89%
GM growth 5Y5.16%
2. Health
2.1 Basic Checks
ELTK has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ELTK has more shares outstanding
The number of shares outstanding for ELTK has been increased compared to 5 years ago.
ELTK 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
An Altman-Z score of 3.61 indicates that ELTK is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.61, ELTK perfoms like the industry average, outperforming 53.60% of the companies in the same industry.
There is no outstanding debt for ELTK. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.61 |
ROIC/WACC0.67
WACC8.82%
2.3 Liquidity
A Current Ratio of 2.78 indicates that ELTK has no problem at all paying its short term obligations.
ELTK has a better Current ratio (2.78) than 62.40% of its industry peers.
A Quick Ratio of 2.06 indicates that ELTK has no problem at all paying its short term obligations.
With a decent Quick ratio value of 2.06, ELTK is doing good in the industry, outperforming 62.40% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.06 |
3. Growth
3.1 Past
The earnings per share for ELTK have decreased strongly by -53.13% in the last year.
ELTK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.60% yearly.
Looking at the last year, ELTK shows a decrease in Revenue. The Revenue has decreased by -0.36% in the last year.
Measured over the past years, ELTK shows a small growth in Revenue. The Revenue has been growing by 5.99% on average per year.
EPS 1Y (TTM)-53.12%
EPS 3Y-9.84%
EPS 5Y5.6%
EPS Q2Q%-54.55%
Revenue 1Y (TTM)-0.36%
Revenue growth 3Y11.22%
Revenue growth 5Y5.99%
Sales Q2Q%19.72%
3.2 Future
ELTK is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 42.26% yearly.
ELTK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.50% yearly.
EPS Next Y65.14%
EPS Next 2Y42.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.96%
Revenue Next 2Y9.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
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.
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
The Price/Earnings ratio is 22.53, which indicates a rather expensive current valuation of ELTK.
Based on the Price/Earnings ratio, ELTK is valued a bit cheaper than 76.80% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.30, ELTK is valued at the same level.
Based on the Price/Forward Earnings ratio of 7.95, the valuation of ELTK can be described as very cheap.
Based on the Price/Forward Earnings ratio, ELTK is valued cheaper than 97.60% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.73. ELTK is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.53 | ||
| Fwd PE | 7.95 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ELTK is valued cheaper than 93.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.56 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ELTK has a very decent profitability rating, which may justify a higher PE ratio.
ELTK's earnings are expected to grow with 42.26% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)4.02
EPS Next 2Y42.26%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ELTK has a Yearly Dividend Yield of 1.88%.
ELTK's Dividend Yield is rather good when compared to the industry average which is at 1.39. ELTK pays more dividend than 95.20% of the companies in the same industry.
Compared to the average S&P500 Dividend Yield of 2.38, ELTK is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
5.2 History
ELTK has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y42.26%
EPS Next 3YN/A
10.14
+0.04 (+0.4%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners11.48%
Inst Owner Change4.83%
Ins Owners2.67%
Ins Owner ChangeN/A
Market Cap68.14M
Analysts82.86
Price Target18.36 (81.07%)
Short Float %0.27%
Short Ratio0.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.88% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.53 | ||
| Fwd PE | 7.95 | ||
| P/S | 1.43 | ||
| P/FCF | N/A | ||
| P/OCF | 20.24 | ||
| P/B | 1.64 | ||
| P/tB | 1.64 | ||
| EV/EBITDA | 8.56 |
EPS(TTM)0.45
EY4.44%
EPS(NY)1.27
Fwd EY12.57%
FCF(TTM)-0.68
FCFYN/A
OCF(TTM)0.5
OCFY4.94%
SpS7.07
BVpS6.18
TBVpS6.18
PEG (NY)0.35
PEG (5Y)4.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.71% | ||
| ROE | 8.4% | ||
| ROCE | 7.2% | ||
| ROIC | 5.95% | ||
| ROICexc | 8.93% | ||
| ROICexgc | 8.93% | ||
| OM | 7.15% | ||
| PM (TTM) | 7.34% | ||
| GM | 19.58% | ||
| FCFM | N/A |
ROA(3y)9.39%
ROA(5y)9.48%
ROE(3y)16.36%
ROE(5y)18.02%
ROIC(3y)11.27%
ROIC(5y)9.69%
ROICexc(3y)17.08%
ROICexc(5y)13.99%
ROICexgc(3y)17.08%
ROICexgc(5y)13.99%
ROCE(3y)13.64%
ROCE(5y)11.73%
ROICexcg growth 3Y22.66%
ROICexcg growth 5Y-7.24%
ROICexc growth 3Y22.66%
ROICexc growth 5Y-7.24%
OM growth 3Y17.86%
OM growth 5Y18.76%
PM growth 3Y-15.23%
PM growth 5Y12.03%
GM growth 3Y2.89%
GM growth 5Y5.16%
F-Score3
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 480.68% | ||
| Cap/Sales | 16.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.76% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.78 | ||
| Quick Ratio | 2.06 | ||
| Altman-Z | 3.61 |
F-Score3
WACC8.82%
ROIC/WACC0.67
Cap/Depr(3y)332.1%
Cap/Depr(5y)230.15%
Cap/Sales(3y)11.09%
Cap/Sales(5y)8.16%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-53.12%
EPS 3Y-9.84%
EPS 5Y5.6%
EPS Q2Q%-54.55%
EPS Next Y65.14%
EPS Next 2Y42.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.36%
Revenue growth 3Y11.22%
Revenue growth 5Y5.99%
Sales Q2Q%19.72%
Revenue Next Year9.96%
Revenue Next 2Y9.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-54.25%
EBIT growth 3Y31.08%
EBIT growth 5Y25.87%
EBIT Next Year138253%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-241.62%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-46.23%
OCF growth 3Y5.38%
OCF growth 5Y11.97%