20.01 USD
+0.84 (+4.38%)
Taking everything into account, EML scores 6 out of 10 in our fundamental rating. EML was compared to 130 industry peers in the Machinery industry. While EML has a great health rating, its profitability is only average at the moment. EML is valued quite cheap, while showing a decent growth score. This is a good combination! EML also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EML had positive earnings in the past year.
EML had a positive operating cash flow in the past year.
EML had positive earnings in 4 of the past 5 years.
Of the past 5 years EML 4 years had a positive operating cash flow.
1.2 Ratios
EML has a Return On Assets (3.31%) which is comparable to the rest of the industry.
EML has a Return On Equity (5.85%) which is comparable to the rest of the industry.
With a Return On Invested Capital value of 8.09%, EML perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for EML is below the industry average of 10.34%.
The last Return On Invested Capital (8.09%) for EML is above the 3 year average (7.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 5.85% | ||
| ROIC | 8.09% |
ROA(3y)1.5%
ROA(5y)1.99%
ROE(3y)3.04%
ROE(5y)4.48%
ROIC(3y)7.26%
ROIC(5y)6.69%
1.3 Margins
EML has a Profit Margin (2.85%) which is comparable to the rest of the industry.
Looking at the Operating Margin, with a value of 7.32%, EML is in line with its industry, outperforming 46.92% of the companies in the same industry.
EML's Operating Margin has been stable in the last couple of years.
EML has a worse Gross Margin (25.78%) than 63.85% of its industry peers.
EML's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.32% | ||
| PM (TTM) | 2.85% | ||
| GM | 25.78% |
OM growth 3Y5.56%
OM growth 5Y0.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.54%
GM growth 5Y0.79%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so EML is destroying value.
Compared to 1 year ago, EML has less shares outstanding
The number of shares outstanding for EML has been reduced compared to 5 years ago.
Compared to 1 year ago, EML has a worse debt to assets ratio.
2.2 Solvency
EML has an Altman-Z score of 3.41. This indicates that EML is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.41, EML is in the better half of the industry, outperforming 61.54% of the companies in the same industry.
EML has a debt to FCF ratio of 2.96. This is a good value and a sign of high solvency as EML would need 2.96 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.96, EML is in the better half of the industry, outperforming 71.54% of the companies in the same industry.
A Debt/Equity ratio of 0.27 indicates that EML is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.27, EML is doing good in the industry, outperforming 67.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.96 | ||
| Altman-Z | 3.41 |
ROIC/WACC0.85
WACC9.55%
2.3 Liquidity
A Current Ratio of 2.99 indicates that EML has no problem at all paying its short term obligations.
The Current ratio of EML (2.99) is better than 76.92% of its industry peers.
EML has a Quick Ratio of 1.30. This is a normal value and indicates that EML is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.30, EML perfoms like the industry average, outperforming 56.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.99 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
EML shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 214.26%, which is quite impressive.
The Revenue has decreased by -8.54% in the past year.
EML shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.62% yearly.
EPS 1Y (TTM)214.26%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%103.87%
Revenue 1Y (TTM)-8.54%
Revenue growth 3Y3.43%
Revenue growth 5Y1.62%
Sales Q2Q%-22.36%
3.2 Future
EML is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 97.16% yearly.
The Revenue is expected to grow by 4.25% on average over the next years.
EPS Next Y245.97%
EPS Next 2Y97.16%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year1.56%
Revenue Next 2Y4.25%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
With a Price/Earnings ratio of 14.29, EML is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of EML indicates a rather cheap valuation: EML is cheaper than 86.15% of the companies listed in the same industry.
EML's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.65.
With a Price/Forward Earnings ratio of 7.74, the valuation of EML can be described as very cheap.
Based on the Price/Forward Earnings ratio, EML is valued cheaply inside the industry as 97.69% of the companies are valued more expensively.
EML is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.45, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.29 | ||
| Fwd PE | 7.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EML is valued cheaper than 96.15% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EML is valued cheaper than 94.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.32 | ||
| EV/EBITDA | 5.82 |
4.3 Compensation for Growth
EML's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EML's earnings are expected to grow with 97.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.06
PEG (5Y)N/A
EPS Next 2Y97.16%
EPS Next 3YN/A
5. Dividend
5.1 Amount
EML has a Yearly Dividend Yield of 2.28%. Purely for dividend investing, there may be better candidates out there.
EML's Dividend Yield is rather good when compared to the industry average which is at 1.97. EML pays more dividend than 85.38% of the companies in the same industry.
EML's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.28% |
5.2 History
The dividend of EML has a limited annual growth rate of 0.21%.
EML has been paying a dividend for at least 10 years, so it has a reliable track record.
EML has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.21%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
37.05% of the earnings are spent on dividend by EML. This is a low number and sustainable payout ratio.
The dividend of EML is growing, but earnings are growing more, so the dividend growth is sustainable.
DP37.05%
EPS Next 2Y97.16%
EPS Next 3YN/A
NASDAQ:EML (11/25/2025, 12:38:18 PM)
20.01
+0.84 (+4.38%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners74.03%
Inst Owner Change2.44%
Ins Owners7.09%
Ins Owner Change4.33%
Market Cap122.06M
Revenue(TTM)255.50M
Net Income(TTM)7.28M
Analysts84
Price Target34.68 (73.31%)
Short Float %0.63%
Short Ratio3.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.28% |
Yearly Dividend0.44
Dividend Growth(5Y)0.21%
DP37.05%
Div Incr Years0
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-42.23%
Min EPS beat(2)-87.14%
Max EPS beat(2)2.68%
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)1
Avg Revenue beat(2)-12.24%
Min Revenue beat(2)-25.36%
Max Revenue beat(2)0.87%
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)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.29 | ||
| Fwd PE | 7.74 | ||
| P/S | 0.48 | ||
| P/FCF | 9.32 | ||
| P/OCF | 7.26 | ||
| P/B | 0.98 | ||
| P/tB | 2.23 | ||
| EV/EBITDA | 5.82 |
EPS(TTM)1.4
EY7%
EPS(NY)2.59
Fwd EY12.92%
FCF(TTM)2.15
FCFY10.73%
OCF(TTM)2.76
OCFY13.77%
SpS41.88
BVpS20.37
TBVpS8.97
PEG (NY)0.06
PEG (5Y)N/A
Graham Number25.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.31% | ||
| ROE | 5.85% | ||
| ROCE | 10.03% | ||
| ROIC | 8.09% | ||
| ROICexc | 8.52% | ||
| ROICexgc | 14.02% | ||
| OM | 7.32% | ||
| PM (TTM) | 2.85% | ||
| GM | 25.78% | ||
| FCFM | 5.12% |
ROA(3y)1.5%
ROA(5y)1.99%
ROE(3y)3.04%
ROE(5y)4.48%
ROIC(3y)7.26%
ROIC(5y)6.69%
ROICexc(3y)7.75%
ROICexc(5y)7.09%
ROICexgc(3y)13.8%
ROICexgc(5y)12.94%
ROCE(3y)8.99%
ROCE(5y)8.29%
ROICexgc growth 3Y11.52%
ROICexgc growth 5Y4.8%
ROICexc growth 3Y16.24%
ROICexc growth 5Y7.92%
OM growth 3Y5.56%
OM growth 5Y0.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.54%
GM growth 5Y0.79%
F-Score9
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 2.96 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 57.5% | ||
| Cap/Sales | 1.46% | ||
| Interest Coverage | 6.46 | ||
| Cash Conversion | 66.82% | ||
| Profit Quality | 179.96% | ||
| Current Ratio | 2.99 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 3.41 |
F-Score9
WACC9.55%
ROIC/WACC0.85
Cap/Depr(3y)104.92%
Cap/Depr(5y)80.09%
Cap/Sales(3y)2.3%
Cap/Sales(5y)1.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)214.26%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%103.87%
EPS Next Y245.97%
EPS Next 2Y97.16%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.54%
Revenue growth 3Y3.43%
Revenue growth 5Y1.62%
Sales Q2Q%-22.36%
Revenue Next Year1.56%
Revenue Next 2Y4.25%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-10.36%
EBIT growth 3Y9.19%
EBIT growth 5Y2.32%
EBIT Next Year11.17%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-46.07%
FCF growth 3YN/A
FCF growth 5Y-9.15%
OCF growth 1Y-45.13%
OCF growth 3YN/A
OCF growth 5Y-2.19%
EASTERN CO/THE / EML FAQ
What is the ChartMill fundamental rating of EASTERN CO/THE (EML) stock?
ChartMill assigns a fundamental rating of 6 / 10 to EML.
What is the valuation status for EML stock?
ChartMill assigns a valuation rating of 8 / 10 to EASTERN CO/THE (EML). This can be considered as Undervalued.
What is the profitability of EML stock?
EASTERN CO/THE (EML) has a profitability rating of 4 / 10.
What is the expected EPS growth for EASTERN CO/THE (EML) stock?
The Earnings per Share (EPS) of EASTERN CO/THE (EML) is expected to grow by 245.97% in the next year.
How sustainable is the dividend of EASTERN CO/THE (EML) stock?
The dividend rating of EASTERN CO/THE (EML) is 7 / 10 and the dividend payout ratio is 37.05%.