ENERPAC TOOL GROUP CORP (EPAC) Stock Fundamental Analysis
NYSE:EPAC - New York Stock Exchange, Inc. - US2927651040 - Common Stock - Currency: USD
EPAC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 128 industry peers in the Machinery industry. EPAC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. EPAC is quite expensive at the moment. It does show a decent growth rate. With these ratings, EPAC could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
EPAC had positive earnings in the past year.
In the past year EPAC had a positive cash flow from operations.
In the past 5 years EPAC has always been profitable.
Of the past 5 years EPAC 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.57%, EPAC belongs to the top of the industry, outperforming 84.38% of the companies in the same industry.
EPAC's Return On Equity of 22.55% is amongst the best of the industry. EPAC outperforms 85.94% of its industry peers.
With an excellent Return On Invested Capital value of 16.99%, EPAC belongs to the best of the industry, outperforming 89.84% of the companies in the same industry.
EPAC had an Average Return On Invested Capital over the past 3 years of 11.44%. This is in line with the industry average of 10.75%.
The last Return On Invested Capital (16.99%) for EPAC is above the 3 year average (11.44%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.57% | ||
| ROE | 22.55% | ||
| ROIC | 16.99% |
ROA(3y)6.41%
ROA(5y)4.79%
ROE(3y)13.69%
ROE(5y)10.1%
ROIC(3y)11.44%
ROIC(5y)8.82%
1.3 Margins
EPAC has a Profit Margin of 15.14%. This is amongst the best in the industry. EPAC outperforms 87.50% of its industry peers.
In the last couple of years the Profit Margin of EPAC has grown nicely.
The Operating Margin of EPAC (22.83%) is better than 94.53% of its industry peers.
EPAC's Operating Margin has improved in the last couple of years.
The Gross Margin of EPAC (51.06%) is better than 92.97% of its industry peers.
EPAC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.83% | ||
| PM (TTM) | 15.14% | ||
| GM | 51.06% |
OM growth 3Y31.15%
OM growth 5Y15.28%
PM growth 3Y26.38%
PM growth 5YN/A
GM growth 3Y3.7%
GM growth 5Y2.79%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EPAC is still creating some value.
Compared to 1 year ago, EPAC has less shares outstanding
EPAC has less shares outstanding than it did 5 years ago.
The debt/assets ratio for EPAC has been reduced compared to a year ago.
2.2 Solvency
EPAC has an Altman-Z score of 5.51. This indicates that EPAC is financially healthy and has little risk of bankruptcy at the moment.
EPAC's Altman-Z score of 5.51 is amongst the best of the industry. EPAC outperforms 82.81% of its industry peers.
EPAC has a debt to FCF ratio of 2.39. This is a good value and a sign of high solvency as EPAC would need 2.39 years to pay back of all of its debts.
EPAC's Debt to FCF ratio of 2.39 is fine compared to the rest of the industry. EPAC outperforms 71.88% of its industry peers.
A Debt/Equity ratio of 0.47 indicates that EPAC is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.47, EPAC is in line with its industry, outperforming 48.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.39 | ||
| Altman-Z | 5.51 |
ROIC/WACC1.71
WACC9.96%
2.3 Liquidity
A Current Ratio of 2.92 indicates that EPAC has no problem at all paying its short term obligations.
EPAC has a better Current ratio (2.92) than 74.22% of its industry peers.
EPAC has a Quick Ratio of 2.24. This indicates that EPAC is financially healthy and has no problem in meeting its short term obligations.
EPAC has a better Quick ratio (2.24) than 78.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.81% over the past year.
Measured over the past years, EPAC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.96% on average per year.
The Revenue has been growing slightly by 0.42% in the past year.
The Revenue has been decreasing by -2.08% on average over the past years.
EPS 1Y (TTM)30.81%
EPS 3Y40.51%
EPS 5Y8.96%
EPS Q2Q%8.33%
Revenue 1Y (TTM)0.42%
Revenue growth 3Y3.7%
Revenue growth 5Y-2.08%
Sales Q2Q%5.12%
3.2 Future
Based on estimates for the next years, EPAC will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.09% on average per year.
EPAC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.52% yearly.
EPS Next Y4.97%
EPS Next 2Y9.45%
EPS Next 3Y10.09%
EPS Next 5YN/A
Revenue Next Year5.49%
Revenue Next 2Y6.13%
Revenue Next 3Y5.52%
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 stable.
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
A Price/Earnings ratio of 21.24 indicates a rather expensive valuation of EPAC.
EPAC's Price/Earnings ratio is in line with the industry average.
EPAC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.63.
With a Price/Forward Earnings ratio of 18.15, EPAC is valued on the expensive side.
EPAC's Price/Forward Earnings ratio is in line with the industry average.
EPAC is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.85, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.24 | ||
| Fwd PE | 18.15 |
4.2 Price Multiples
EPAC's Enterprise Value to EBITDA is on the same level as the industry average.
EPAC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.98 | ||
| EV/EBITDA | 14.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EPAC does not grow enough to justify the current Price/Earnings ratio.
EPAC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)4.28
PEG (5Y)2.37
EPS Next 2Y9.45%
EPS Next 3Y10.09%
5. Dividend
5.1 Amount
With a yearly dividend of 0.10%, EPAC is not a good candidate for dividend investing.
EPAC's Dividend Yield is comparable with the industry average which is at 2.12.
With a Dividend Yield of 0.10, EPAC pays less dividend than the S&P500 average, which is at 2.51.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.1% |
5.2 History
The dividend of EPAC has a limited annual growth rate of 0.20%.
EPAC has paid a dividend for at least 10 years, which is a reliable track record.
EPAC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.2%
Div Incr Years0
Div Non Decr Years19
5.3 Sustainability
EPAC pays out 2.41% of its income as dividend. This is a sustainable payout ratio.
EPAC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP2.41%
EPS Next 2Y9.45%
EPS Next 3Y10.09%
37.39
-1.11 (-2.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners104.47%
Inst Owner Change0.25%
Ins Owners1%
Ins Owner Change4.03%
Market Cap2.02B
Analysts82.5
Price Target57.12 (52.77%)
Short Float %2.02%
Short Ratio3.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.1% |
Yearly Dividend0.04
Dividend Growth(5Y)0.2%
DP2.41%
Div Incr Years0
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-5.93%
Min EPS beat(2)-7.51%
Max EPS beat(2)-4.35%
EPS beat(4)0
Avg EPS beat(4)-3.95%
Min EPS beat(4)-7.51%
Max EPS beat(4)-1.96%
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)0
Avg Revenue beat(2)-1.06%
Min Revenue beat(2)-1.42%
Max Revenue beat(2)-0.7%
Revenue beat(4)0
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-0.7%
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)-5.08%
PT rev (3m)-5.08%
EPS NQ rev (1m)1.28%
EPS NQ rev (3m)-3.66%
EPS NY rev (1m)-2.21%
EPS NY rev (3m)-7.57%
Revenue NQ rev (1m)1.14%
Revenue NQ rev (3m)-1.8%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-0.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.24 | ||
| Fwd PE | 18.15 | ||
| P/S | 3.41 | ||
| P/FCF | 24.98 | ||
| P/OCF | 20.92 | ||
| P/B | 5.08 | ||
| P/tB | 26.6 | ||
| EV/EBITDA | 14.43 |
EPS(TTM)1.76
EY4.71%
EPS(NY)2.06
Fwd EY5.51%
FCF(TTM)1.5
FCFY4%
OCF(TTM)1.79
OCFY4.78%
SpS10.96
BVpS7.36
TBVpS1.41
PEG (NY)4.28
PEG (5Y)2.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.57% | ||
| ROE | 22.55% | ||
| ROCE | 20.64% | ||
| ROIC | 16.99% | ||
| ROICexc | 21.22% | ||
| ROICexgc | 54.92% | ||
| OM | 22.83% | ||
| PM (TTM) | 15.14% | ||
| GM | 51.06% | ||
| FCFM | 13.66% |
ROA(3y)6.41%
ROA(5y)4.79%
ROE(3y)13.69%
ROE(5y)10.1%
ROIC(3y)11.44%
ROIC(5y)8.82%
ROICexc(3y)15.18%
ROICexc(5y)11.57%
ROICexgc(3y)42.4%
ROICexgc(5y)31.73%
ROCE(3y)13.9%
ROCE(5y)10.71%
ROICexcg growth 3Y45.13%
ROICexcg growth 5Y25.7%
ROICexc growth 3Y41.8%
ROICexc growth 5Y18.49%
OM growth 3Y31.15%
OM growth 5Y15.28%
PM growth 3Y26.38%
PM growth 5YN/A
GM growth 3Y3.7%
GM growth 5Y2.79%
F-Score8
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.39 | ||
| Debt/EBITDA | 1.27 | ||
| Cap/Depr | 117.5% | ||
| Cap/Sales | 2.65% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.01% | ||
| Profit Quality | 90.2% | ||
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.24 | ||
| Altman-Z | 5.51 |
F-Score8
WACC9.96%
ROIC/WACC1.71
Cap/Depr(3y)62.16%
Cap/Depr(5y)60.1%
Cap/Sales(3y)1.66%
Cap/Sales(5y)1.94%
Profit Quality(3y)167.89%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.81%
EPS 3Y40.51%
EPS 5Y8.96%
EPS Q2Q%8.33%
EPS Next Y4.97%
EPS Next 2Y9.45%
EPS Next 3Y10.09%
EPS Next 5YN/A
Revenue 1Y (TTM)0.42%
Revenue growth 3Y3.7%
Revenue growth 5Y-2.08%
Sales Q2Q%5.12%
Revenue Next Year5.49%
Revenue Next 2Y6.13%
Revenue Next 3Y5.52%
Revenue Next 5YN/A
EBIT growth 1Y30.09%
EBIT growth 3Y36%
EBIT growth 5Y12.89%
EBIT Next Year20.4%
EBIT Next 3Y12.27%
EBIT Next 5YN/A
FCF growth 1Y23.01%
FCF growth 3Y18.32%
FCF growth 5Y12.44%
OCF growth 1Y30.78%
OCF growth 3Y14.48%
OCF growth 5Y8.61%