EUROSEAS LTD (ESEA) Stock Fundamental Analysis
USA - NASDAQ:ESEA - MHY235921357 - Common Stock
57.52 USD
-1.84 (-3.1%)
57.52 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to ESEA. ESEA was compared to 35 industry peers in the Marine Transportation industry. While ESEA belongs to the best of the industry regarding profitability, there are concerns on its financial health. ESEA is valued quite cheap, while showing a decent growth score. This is a good combination! ESEA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
ESEA had positive earnings in the past year.
In the past year ESEA had a positive cash flow from operations.
Each year in the past 5 years ESEA has been profitable.
Each year in the past 5 years ESEA had a positive operating cash flow.
1.2 Ratios
ESEA has a better Return On Assets (20.14%) than 97.14% of its industry peers.
ESEA has a Return On Equity of 32.78%. This is amongst the best in the industry. ESEA outperforms 97.14% of its industry peers.
With an excellent Return On Invested Capital value of 17.90%, ESEA belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ESEA is significantly above the industry average of 18.49%.
The 3 year average ROIC (24.51%) for ESEA is well above the current ROIC(17.90%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.14% | ||
| ROE | 32.78% | ||
| ROIC | 17.9% |
ROA(3y)26.17%
ROA(5y)20.13%
ROE(3y)45.78%
ROE(5y)40.36%
ROIC(3y)24.51%
ROIC(5y)19.97%
1.3 Margins
ESEA's Profit Margin of 53.84% is amongst the best of the industry. ESEA outperforms 94.29% of its industry peers.
In the last couple of years the Profit Margin of ESEA has grown nicely.
Looking at the Operating Margin, with a value of 54.74%, ESEA belongs to the top of the industry, outperforming 97.14% of the companies in the same industry.
In the last couple of years the Operating Margin of ESEA has grown nicely.
ESEA has a Gross Margin of 96.17%. This is amongst the best in the industry. ESEA outperforms 97.14% of its industry peers.
In the last couple of years the Gross Margin of ESEA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 54.74% | ||
| PM (TTM) | 53.84% | ||
| GM | 96.17% |
OM growth 3Y3.33%
OM growth 5Y62.42%
PM growth 3Y5.54%
PM growth 5YN/A
GM growth 3Y-0.2%
GM growth 5Y0.38%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ESEA is creating value.
ESEA has more shares outstanding than it did 1 year ago.
ESEA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ESEA has a worse debt to assets ratio.
2.2 Solvency
ESEA has an Altman-Z score of 2.45. This is not the best score and indicates that ESEA is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.45, ESEA is doing good in the industry, outperforming 80.00% of the companies in the same industry.
ESEA has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.46, ESEA perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.45 |
ROIC/WACC2.12
WACC8.45%
2.3 Liquidity
ESEA has a Current Ratio of 1.49. This is a normal value and indicates that ESEA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.49, ESEA is in line with its industry, outperforming 48.57% of the companies in the same industry.
A Quick Ratio of 1.44 indicates that ESEA should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.44, ESEA is in line with its industry, outperforming 57.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.49 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
ESEA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.46%, which is quite good.
The Earnings Per Share has been growing by 33.33% on average over the past years. This is a very strong growth
Looking at the last year, ESEA shows a quite strong growth in Revenue. The Revenue has grown by 12.43% in the last year.
The Revenue has been growing by 39.71% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)8.46%
EPS 3Y33.33%
EPS 5YN/A
EPS Q2Q%7.91%
Revenue 1Y (TTM)12.43%
Revenue growth 3Y31.37%
Revenue growth 5Y39.71%
Sales Q2Q%8.13%
3.2 Future
ESEA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.45% yearly.
ESEA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.78% yearly.
EPS Next Y17.9%
EPS Next 2Y7.69%
EPS Next 3Y0.45%
EPS Next 5YN/A
Revenue Next Year9.13%
Revenue Next 2Y4.47%
Revenue Next 3Y1.78%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 3.71, which indicates a rather cheap valuation of ESEA.
82.86% of the companies in the same industry are more expensive than ESEA, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ESEA to the average of the S&P500 Index (25.47), we can say ESEA is valued rather cheaply.
With a Price/Forward Earnings ratio of 3.52, the valuation of ESEA can be described as very cheap.
Based on the Price/Forward Earnings ratio, ESEA is valued cheaply inside the industry as 91.43% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ESEA to the average of the S&P500 Index (35.42), we can say ESEA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.71 | ||
| Fwd PE | 3.52 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ESEA is valued a bit cheaper than 68.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.72 |
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.
The excellent profitability rating of ESEA may justify a higher PE ratio.
PEG (NY)0.21
PEG (5Y)N/A
EPS Next 2Y7.69%
EPS Next 3Y0.45%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.65%, ESEA is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 7.67, ESEA pays a bit more dividend than its industry peers.
ESEA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.65% |
5.2 History
The dividend of ESEA is nicely growing with an annual growth rate of 54.15%!
ESEA has paid a dividend for at least 10 years, which is a reliable track record.
ESEA has decreased its dividend in the last 3 years.
Dividend Growth(5Y)54.15%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
14.29% of the earnings are spent on dividend by ESEA. This is a low number and sustainable payout ratio.
The dividend of ESEA is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP14.29%
EPS Next 2Y7.69%
EPS Next 3Y0.45%
57.52
-1.84 (-3.1%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryMarine Transportation
Earnings (Last)
Earnings (Next)
Inst Owners7.04%
Inst Owner Change18.68%
Ins Owners1.84%
Ins Owner ChangeN/A
Market Cap403.22M
Revenue(TTM)212.90M
Net Income(TTM)119.00M
Analysts82.22
Price Target75.14 (30.63%)
Short Float %1.82%
Short Ratio1.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.65% |
Yearly Dividend2.42
Dividend Growth(5Y)54.15%
DP14.29%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.87%
Min EPS beat(2)12.39%
Max EPS beat(2)19.35%
EPS beat(4)3
Avg EPS beat(4)9.63%
Min EPS beat(4)-1.37%
Max EPS beat(4)19.35%
EPS beat(8)5
Avg EPS beat(8)15.18%
EPS beat(12)9
Avg EPS beat(12)17.16%
EPS beat(16)11
Avg EPS beat(16)12.81%
Revenue beat(2)2
Avg Revenue beat(2)4.83%
Min Revenue beat(2)4.4%
Max Revenue beat(2)5.25%
Revenue beat(4)3
Avg Revenue beat(4)2.42%
Min Revenue beat(4)-0.4%
Max Revenue beat(4)5.25%
Revenue beat(8)5
Avg Revenue beat(8)4.15%
Revenue beat(12)8
Avg Revenue beat(12)4.07%
Revenue beat(16)12
Avg Revenue beat(16)3.82%
PT rev (1m)0.91%
PT rev (3m)23.46%
EPS NQ rev (1m)0%
EPS NQ rev (3m)12.24%
EPS NY rev (1m)-2.02%
EPS NY rev (3m)8.14%
Revenue NQ rev (1m)0.69%
Revenue NQ rev (3m)1.52%
Revenue NY rev (1m)0.71%
Revenue NY rev (3m)2.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 3.71 | ||
| Fwd PE | 3.52 | ||
| P/S | 1.82 | ||
| P/FCF | N/A | ||
| P/OCF | 3.15 | ||
| P/B | 1.11 | ||
| P/tB | 1.11 | ||
| EV/EBITDA | 3.72 |
EPS(TTM)15.52
EY26.98%
EPS(NY)16.33
Fwd EY28.39%
FCF(TTM)-7.28
FCFYN/A
OCF(TTM)18.26
OCFY31.74%
SpS31.53
BVpS51.78
TBVpS51.78
PEG (NY)0.21
PEG (5Y)N/A
Graham Number134.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 20.14% | ||
| ROE | 32.78% | ||
| ROCE | 22.66% | ||
| ROIC | 17.9% | ||
| ROICexc | 20.77% | ||
| ROICexgc | 20.77% | ||
| OM | 54.74% | ||
| PM (TTM) | 53.84% | ||
| GM | 96.17% | ||
| FCFM | N/A |
ROA(3y)26.17%
ROA(5y)20.13%
ROE(3y)45.78%
ROE(5y)40.36%
ROIC(3y)24.51%
ROIC(5y)19.97%
ROICexc(3y)28.12%
ROICexc(5y)22.86%
ROICexgc(3y)28.12%
ROICexgc(5y)22.86%
ROCE(3y)31.03%
ROCE(5y)25.28%
ROICexgc growth 3Y-4.99%
ROICexgc growth 5Y67.54%
ROICexc growth 3Y-4.99%
ROICexc growth 5Y67.54%
OM growth 3Y3.33%
OM growth 5Y62.42%
PM growth 3Y5.54%
PM growth 5YN/A
GM growth 3Y-0.2%
GM growth 5Y0.38%
F-Score6
Asset Turnover0.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 688.46% | ||
| Cap/Sales | 80.98% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.07% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.49 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 2.45 |
F-Score6
WACC8.45%
ROIC/WACC2.12
Cap/Depr(3y)555.23%
Cap/Depr(5y)540.79%
Cap/Sales(3y)64.29%
Cap/Sales(5y)54.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.46%
EPS 3Y33.33%
EPS 5YN/A
EPS Q2Q%7.91%
EPS Next Y17.9%
EPS Next 2Y7.69%
EPS Next 3Y0.45%
EPS Next 5YN/A
Revenue 1Y (TTM)12.43%
Revenue growth 3Y31.37%
Revenue growth 5Y39.71%
Sales Q2Q%8.13%
Revenue Next Year9.13%
Revenue Next 2Y4.47%
Revenue Next 3Y1.78%
Revenue Next 5YN/A
EBIT growth 1Y4.79%
EBIT growth 3Y35.74%
EBIT growth 5Y126.92%
EBIT Next Year33.98%
EBIT Next 3Y12.39%
EBIT Next 5YN/A
FCF growth 1Y-729.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y16.47%
OCF growth 3Y34.51%
OCF growth 5Y109.13%
EUROSEAS LTD / ESEA FAQ
What is the ChartMill fundamental rating of EUROSEAS LTD (ESEA) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ESEA.
Can you provide the valuation status for EUROSEAS LTD?
ChartMill assigns a valuation rating of 7 / 10 to EUROSEAS LTD (ESEA). This can be considered as Undervalued.
Can you provide the profitability details for EUROSEAS LTD?
EUROSEAS LTD (ESEA) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for ESEA stock?
The Price/Earnings (PE) ratio for EUROSEAS LTD (ESEA) is 3.71 and the Price/Book (PB) ratio is 1.11.
How financially healthy is EUROSEAS LTD?
The financial health rating of EUROSEAS LTD (ESEA) is 3 / 10.