ENERSYS (ENS) Stock Fundamental Analysis
NYSE:ENS - New York Stock Exchange, Inc. - US29275Y1029 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to ENS. ENS was compared to 93 industry peers in the Electrical Equipment industry. ENS has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ENS. These ratings would make ENS suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year ENS was profitable.
ENS had a positive operating cash flow in the past year.
Each year in the past 5 years ENS has been profitable.
ENS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
ENS's Return On Assets of 8.15% is amongst the best of the industry. ENS outperforms 89.13% of its industry peers.
Looking at the Return On Equity, with a value of 17.78%, ENS belongs to the top of the industry, outperforming 91.30% of the companies in the same industry.
ENS's Return On Invested Capital of 11.87% is amongst the best of the industry. ENS outperforms 89.13% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ENS is in line with the industry average of 10.23%.
The last Return On Invested Capital (11.87%) for ENS is above the 3 year average (9.41%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.15% | ||
| ROE | 17.78% | ||
| ROIC | 11.87% |
ROA(3y)5.49%
ROA(5y)4.95%
ROE(3y)12%
ROE(5y)11.17%
ROIC(3y)9.41%
ROIC(5y)8.93%
1.3 Margins
The Profit Margin of ENS (9.23%) is better than 84.78% of its industry peers.
ENS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 12.63%, ENS belongs to the top of the industry, outperforming 83.70% of the companies in the same industry.
In the last couple of years the Operating Margin of ENS has grown nicely.
ENS's Gross Margin of 29.44% is fine compared to the rest of the industry. ENS outperforms 70.65% of its industry peers.
ENS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.63% | ||
| PM (TTM) | 9.23% | ||
| GM | 29.44% |
OM growth 3Y8.39%
OM growth 5Y4.15%
PM growth 3Y15.98%
PM growth 5Y5.66%
GM growth 3Y3.4%
GM growth 5Y2.14%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ENS is creating some value.
The number of shares outstanding for ENS has been reduced compared to 1 year ago.
ENS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ENS has been reduced compared to a year ago.
2.2 Solvency
ENS has an Altman-Z score of 3.63. This indicates that ENS is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.63, ENS is doing good in the industry, outperforming 75.00% of the companies in the same industry.
The Debt to FCF ratio of ENS is 9.07, which is on the high side as it means it would take ENS, 9.07 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of ENS (9.07) is better than 67.39% of its industry peers.
ENS has a Debt/Equity ratio of 0.69. This is a neutral value indicating ENS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.69, ENS is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 9.07 | ||
| Altman-Z | 3.63 |
ROIC/WACC1.45
WACC8.17%
2.3 Liquidity
A Current Ratio of 3.06 indicates that ENS has no problem at all paying its short term obligations.
ENS has a Current ratio of 3.06. This is in the better half of the industry: ENS outperforms 78.26% of its industry peers.
ENS has a Quick Ratio of 2.00. This is a normal value and indicates that ENS is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 2.00, ENS is doing good in the industry, outperforming 79.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.06 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
ENS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 14.67%, which is quite good.
The Earnings Per Share has been growing by 11.12% on average over the past years. This is quite good.
ENS shows a decrease in Revenue. In the last year, the revenue decreased by -2.94%.
ENS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.99% yearly.
EPS 1Y (TTM)14.67%
EPS 3Y23.07%
EPS 5Y11.12%
EPS Q2Q%21.88%
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y6.35%
Revenue growth 5Y4.99%
Sales Q2Q%5.19%
3.2 Future
The Earnings Per Share is expected to grow by 8.62% on average over the next years. This is quite good.
ENS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.88% yearly.
EPS Next Y18.42%
EPS Next 2Y10.62%
EPS Next 3Y8.62%
EPS Next 5YN/A
Revenue Next Year3.53%
Revenue Next 2Y3.8%
Revenue Next 3Y3.88%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
With a Price/Earnings ratio of 10.98, the valuation of ENS can be described as very reasonable.
ENS's Price/Earnings ratio is rather cheap when compared to the industry. ENS is cheaper than 93.48% of the companies in the same industry.
When comparing the Price/Earnings ratio of ENS to the average of the S&P500 Index (29.63), we can say ENS is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 9.97, the valuation of ENS can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ENS indicates a rather cheap valuation: ENS is cheaper than 92.39% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. ENS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 9.97 |
4.2 Price Multiples
ENS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ENS is cheaper than 92.39% of the companies in the same industry.
ENS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ENS is cheaper than 76.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.02 | ||
| EV/EBITDA | 8.94 |
4.3 Compensation for Growth
ENS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ENS has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.6
PEG (5Y)0.99
EPS Next 2Y10.62%
EPS Next 3Y8.62%
5. Dividend
5.1 Amount
ENS has a yearly dividend return of 0.93%, which is pretty low.
ENS's Dividend Yield is rather good when compared to the industry average which is at 3.59. ENS pays more dividend than 84.78% of the companies in the same industry.
With a Dividend Yield of 0.93, ENS pays less dividend than the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
5.2 History
The dividend of ENS has a limited annual growth rate of 3.86%.
ENS has been paying a dividend for at least 10 years, so it has a reliable track record.
ENS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.86%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
11.31% of the earnings are spent on dividend by ENS. This is a low number and sustainable payout ratio.
ENS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP11.31%
EPS Next 2Y10.62%
EPS Next 3Y8.62%
102.1
-0.59 (-0.57%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners98.1%
Inst Owner Change0.81%
Ins Owners0.86%
Ins Owner Change-10.93%
Market Cap4.03B
Analysts78.18
Price Target118.44 (16%)
Short Float %1.86%
Short Ratio2.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend0.85
Dividend Growth(5Y)3.86%
DP11.31%
Div Incr Years2
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.56%
Min EPS beat(2)1.4%
Max EPS beat(2)7.71%
EPS beat(4)4
Avg EPS beat(4)2.9%
Min EPS beat(4)0.4%
Max EPS beat(4)7.71%
EPS beat(8)8
Avg EPS beat(8)6.76%
EPS beat(12)11
Avg EPS beat(12)5.08%
EPS beat(16)14
Avg EPS beat(16)3.64%
Revenue beat(2)0
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-3.8%
Max Revenue beat(2)-1.44%
Revenue beat(4)1
Avg Revenue beat(4)-1.97%
Min Revenue beat(4)-3.8%
Max Revenue beat(4)0.98%
Revenue beat(8)2
Avg Revenue beat(8)-2.27%
Revenue beat(12)4
Avg Revenue beat(12)-1.52%
Revenue beat(16)6
Avg Revenue beat(16)-1.12%
PT rev (1m)0.35%
PT rev (3m)-1.71%
EPS NQ rev (1m)10.42%
EPS NQ rev (3m)15.8%
EPS NY rev (1m)10.99%
EPS NY rev (3m)10.39%
Revenue NQ rev (1m)-3.73%
Revenue NQ rev (3m)-1.24%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-1.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.98 | ||
| Fwd PE | 9.97 | ||
| P/S | 1.13 | ||
| P/FCF | 28.02 | ||
| P/OCF | 15.37 | ||
| P/B | 2.18 | ||
| P/tB | 5.4 | ||
| EV/EBITDA | 8.94 |
EPS(TTM)9.3
EY9.11%
EPS(NY)10.24
Fwd EY10.03%
FCF(TTM)3.64
FCFY3.57%
OCF(TTM)6.64
OCFY6.51%
SpS90.12
BVpS46.79
TBVpS18.89
PEG (NY)0.6
PEG (5Y)0.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.15% | ||
| ROE | 17.78% | ||
| ROCE | 13.53% | ||
| ROIC | 11.87% | ||
| ROICexc | 13.8% | ||
| ROICexgc | 22.46% | ||
| OM | 12.63% | ||
| PM (TTM) | 9.23% | ||
| GM | 29.44% | ||
| FCFM | 4.04% |
ROA(3y)5.49%
ROA(5y)4.95%
ROE(3y)12%
ROE(5y)11.17%
ROIC(3y)9.41%
ROIC(5y)8.93%
ROICexc(3y)10.75%
ROICexc(5y)10.27%
ROICexgc(3y)18.36%
ROICexgc(5y)18.35%
ROCE(3y)10.72%
ROCE(5y)10.17%
ROICexcg growth 3Y9.25%
ROICexcg growth 5Y3.86%
ROICexc growth 3Y14.06%
ROICexc growth 5Y7.44%
OM growth 3Y8.39%
OM growth 5Y4.15%
PM growth 3Y15.98%
PM growth 5Y5.66%
GM growth 3Y3.4%
GM growth 5Y2.14%
F-Score6
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 9.07 | ||
| Debt/EBITDA | 2.33 | ||
| Cap/Depr | 120.49% | ||
| Cap/Sales | 3.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 47.89% | ||
| Profit Quality | 43.8% | ||
| Current Ratio | 3.06 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 3.63 |
F-Score6
WACC8.17%
ROIC/WACC1.45
Cap/Depr(3y)89.51%
Cap/Depr(5y)91.82%
Cap/Sales(3y)2.34%
Cap/Sales(5y)2.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)14.67%
EPS 3Y23.07%
EPS 5Y11.12%
EPS Q2Q%21.88%
EPS Next Y18.42%
EPS Next 2Y10.62%
EPS Next 3Y8.62%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y6.35%
Revenue growth 5Y4.99%
Sales Q2Q%5.19%
Revenue Next Year3.53%
Revenue Next 2Y3.8%
Revenue Next 3Y3.88%
Revenue Next 5YN/A
EBIT growth 1Y13.24%
EBIT growth 3Y15.27%
EBIT growth 5Y9.35%
EBIT Next Year40.8%
EBIT Next 3Y26.62%
EBIT Next 5YN/A
FCF growth 1Y107.99%
FCF growth 3Y8.72%
FCF growth 5Y23.79%
OCF growth 1Y76.61%
OCF growth 3Y8.44%
OCF growth 5Y18.22%