EXPONENT INC (EXPO) Stock Fundamental Analysis
USA - NASDAQ:EXPO - US30214U1025 - Common Stock
70.57 USD
-0.65 (-0.91%)
70.57 USD
0 (0%)
Taking everything into account, EXPO scores 6 out of 10 in our fundamental rating. EXPO was compared to 86 industry peers in the Professional Services industry. EXPO has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. EXPO has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
EXPO had positive earnings in the past year.
EXPO had a positive operating cash flow in the past year.
Each year in the past 5 years EXPO has been profitable.
EXPO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 13.54%, EXPO belongs to the top of the industry, outperforming 91.86% of the companies in the same industry.
EXPO has a better Return On Equity (24.04%) than 75.58% of its industry peers.
EXPO has a better Return On Invested Capital (13.57%) than 76.74% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EXPO is significantly above the industry average of 13.43%.
The 3 year average ROIC (18.56%) for EXPO is well above the current ROIC(13.57%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.54% | ||
| ROE | 24.04% | ||
| ROIC | 13.57% |
ROA(3y)15.66%
ROA(5y)15.2%
ROE(3y)28.66%
ROE(5y)26.61%
ROIC(3y)18.56%
ROIC(5y)16.83%
1.3 Margins
With an excellent Profit Margin value of 18.35%, EXPO belongs to the best of the industry, outperforming 87.21% of the companies in the same industry.
EXPO's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 20.46%, EXPO belongs to the best of the industry, outperforming 88.37% of the companies in the same industry.
EXPO's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 92.62%, EXPO belongs to the best of the industry, outperforming 98.84% of the companies in the same industry.
EXPO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.46% | ||
| PM (TTM) | 18.35% | ||
| GM | 92.62% |
OM growth 3Y-2.87%
OM growth 5Y0.97%
PM growth 3Y-3.48%
PM growth 5Y-0.25%
GM growth 3Y-0.15%
GM growth 5Y-0.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EXPO is creating value.
The number of shares outstanding for EXPO has been increased compared to 1 year ago.
EXPO has less shares outstanding than it did 5 years ago.
There is no outstanding debt for EXPO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 9.33 indicates that EXPO is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 9.33, EXPO belongs to the top of the industry, outperforming 96.51% of the companies in the same industry.
There is no outstanding debt for EXPO. 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 | 0 | ||
| Altman-Z | 9.33 |
ROIC/WACC1.55
WACC8.75%
2.3 Liquidity
A Current Ratio of 3.15 indicates that EXPO has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.15, EXPO belongs to the best of the industry, outperforming 88.37% of the companies in the same industry.
A Quick Ratio of 3.15 indicates that EXPO has no problem at all paying its short term obligations.
EXPO has a Quick ratio of 3.15. This is amongst the best in the industry. EXPO outperforms 89.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.15 | ||
| Quick Ratio | 3.15 |
3. Growth
3.1 Past
The earnings per share for EXPO have decreased by -0.97% in the last year.
EXPO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.74% yearly.
The Revenue has been growing slightly by 4.90% in the past year.
The Revenue has been growing slightly by 6.01% on average over the past years.
EPS 1Y (TTM)-0.97%
EPS 3Y3.72%
EPS 5Y6.74%
EPS Q2Q%10%
Revenue 1Y (TTM)4.9%
Revenue growth 3Y6.2%
Revenue growth 5Y6.01%
Sales Q2Q%9.58%
3.2 Future
Based on estimates for the next years, EXPO will show a small growth in Earnings Per Share. The EPS will grow by 5.06% on average per year.
Based on estimates for the next years, EXPO will show a small growth in Revenue. The Revenue will grow by 6.32% on average per year.
EPS Next Y-1.05%
EPS Next 2Y3.58%
EPS Next 3Y5.06%
EPS Next 5YN/A
Revenue Next Year4.08%
Revenue Next 2Y5.99%
Revenue Next 3Y6.32%
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 decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 34.42, EXPO can be considered very expensive at the moment.
EXPO's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of EXPO to the average of the S&P500 Index (26.06), we can say EXPO is valued slightly more expensively.
The Price/Forward Earnings ratio is 31.03, which means the current valuation is very expensive for EXPO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EXPO indicates a slightly more expensive valuation: EXPO is more expensive than 61.63% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 32.73. EXPO is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.42 | ||
| Fwd PE | 31.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EXPO is valued a bit more expensive than 63.95% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EXPO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.47 | ||
| EV/EBITDA | 26.74 |
4.3 Compensation for Growth
The excellent profitability rating of EXPO may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)5.11
EPS Next 2Y3.58%
EPS Next 3Y5.06%
5. Dividend
5.1 Amount
EXPO has a Yearly Dividend Yield of 1.68%.
Compared to an average industry Dividend Yield of 4.51, EXPO pays a better dividend. On top of this EXPO pays more dividend than 81.40% of the companies listed in the same industry.
EXPO's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
5.2 History
On average, the dividend of EXPO grows each year by 28.57%, which is quite nice.
EXPO has been paying a dividend for at least 10 years, so it has a reliable track record.
EXPO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)28.57%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
EXPO pays out 58.36% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of EXPO is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP58.36%
EPS Next 2Y3.58%
EPS Next 3Y5.06%
70.57
-0.65 (-0.91%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners98.32%
Inst Owner Change-3.1%
Ins Owners0.94%
Ins Owner Change0.03%
Market Cap3.56B
Revenue(TTM)571.36M
Net Income(TTM)102.84M
Analysts77.78
Price Target89.76 (27.19%)
Short Float %4.93%
Short Ratio5.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
Yearly Dividend1.07
Dividend Growth(5Y)28.57%
DP58.36%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.77%
Min EPS beat(2)3.34%
Max EPS beat(2)6.21%
EPS beat(4)4
Avg EPS beat(4)5.87%
Min EPS beat(4)2.12%
Max EPS beat(4)11.81%
EPS beat(8)6
Avg EPS beat(8)5.81%
EPS beat(12)8
Avg EPS beat(12)5.15%
EPS beat(16)12
Avg EPS beat(16)6.06%
Revenue beat(2)1
Avg Revenue beat(2)-0.18%
Min Revenue beat(2)-0.43%
Max Revenue beat(2)0.08%
Revenue beat(4)2
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-2.41%
Max Revenue beat(4)1.35%
Revenue beat(8)4
Avg Revenue beat(8)0.24%
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)3.87%
EPS NY rev (3m)4.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.96%
Revenue NY rev (3m)1.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.42 | ||
| Fwd PE | 31.03 | ||
| P/S | 6.36 | ||
| P/FCF | 29.47 | ||
| P/OCF | 27.57 | ||
| P/B | 8.33 | ||
| P/tB | 8.5 | ||
| EV/EBITDA | 26.74 |
EPS(TTM)2.05
EY2.9%
EPS(NY)2.27
Fwd EY3.22%
FCF(TTM)2.39
FCFY3.39%
OCF(TTM)2.56
OCFY3.63%
SpS11.1
BVpS8.47
TBVpS8.3
PEG (NY)N/A
PEG (5Y)5.11
Graham Number19.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.54% | ||
| ROE | 24.04% | ||
| ROCE | 18.37% | ||
| ROIC | 13.57% | ||
| ROICexc | 21.59% | ||
| ROICexgc | 22.07% | ||
| OM | 20.46% | ||
| PM (TTM) | 18.35% | ||
| GM | 92.62% | ||
| FCFM | 21.57% |
ROA(3y)15.66%
ROA(5y)15.2%
ROE(3y)28.66%
ROE(5y)26.61%
ROIC(3y)18.56%
ROIC(5y)16.83%
ROICexc(3y)30.54%
ROICexc(5y)30.82%
ROICexgc(3y)31.45%
ROICexgc(5y)31.86%
ROCE(3y)25.12%
ROCE(5y)22.78%
ROICexgc growth 3Y-10.75%
ROICexgc growth 5Y-4.18%
ROICexc growth 3Y-10.36%
ROICexc growth 5Y-3.84%
OM growth 3Y-2.87%
OM growth 5Y0.97%
PM growth 3Y-3.48%
PM growth 5Y-0.25%
GM growth 3Y-0.15%
GM growth 5Y-0.21%
F-Score6
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 84.31% | ||
| Cap/Sales | 1.49% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.74% | ||
| Profit Quality | 117.59% | ||
| Current Ratio | 3.15 | ||
| Quick Ratio | 3.15 | ||
| Altman-Z | 9.33 |
F-Score6
WACC8.75%
ROIC/WACC1.55
Cap/Depr(3y)141.73%
Cap/Depr(5y)120.6%
Cap/Sales(3y)2.21%
Cap/Sales(5y)1.87%
Profit Quality(3y)105.59%
Profit Quality(5y)110.44%
High Growth Momentum
Growth
EPS 1Y (TTM)-0.97%
EPS 3Y3.72%
EPS 5Y6.74%
EPS Q2Q%10%
EPS Next Y-1.05%
EPS Next 2Y3.58%
EPS Next 3Y5.06%
EPS Next 5YN/A
Revenue 1Y (TTM)4.9%
Revenue growth 3Y6.2%
Revenue growth 5Y6.01%
Sales Q2Q%9.58%
Revenue Next Year4.08%
Revenue Next 2Y5.99%
Revenue Next 3Y6.32%
Revenue Next 5YN/A
EBIT growth 1Y-3.43%
EBIT growth 3Y3.15%
EBIT growth 5Y7.03%
EBIT Next Year27.12%
EBIT Next 3Y12.22%
EBIT Next 5YN/A
FCF growth 1Y39.65%
FCF growth 3Y5.33%
FCF growth 5Y10.11%
OCF growth 1Y24.49%
OCF growth 3Y5.08%
OCF growth 5Y5.99%
EXPONENT INC / EXPO FAQ
What is the fundamental rating for EXPO stock?
ChartMill assigns a fundamental rating of 6 / 10 to EXPO.
What is the valuation status for EXPO stock?
ChartMill assigns a valuation rating of 2 / 10 to EXPONENT INC (EXPO). This can be considered as Overvalued.
Can you provide the profitability details for EXPONENT INC?
EXPONENT INC (EXPO) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for EXPO stock?
The Price/Earnings (PE) ratio for EXPONENT INC (EXPO) is 34.42 and the Price/Book (PB) ratio is 8.33.
Can you provide the dividend sustainability for EXPO stock?
The dividend rating of EXPONENT INC (EXPO) is 6 / 10 and the dividend payout ratio is 58.36%.