FLOWSERVE CORP (FLS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FLS - US34354P1057 - Common Stock
71.6288 USD
+1.33 (+1.89%)
FLS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 130 industry peers in the Machinery industry. FLS has only an average score on both its financial health and profitability. FLS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year FLS was profitable.
In the past year FLS had a positive cash flow from operations.
Each year in the past 5 years FLS has been profitable.
FLS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of FLS (7.77%) is better than 74.62% of its industry peers.
The Return On Equity of FLS (20.00%) is better than 86.15% of its industry peers.
FLS's Return On Invested Capital of 11.00% is fine compared to the rest of the industry. FLS outperforms 76.92% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FLS is below the industry average of 10.34%.
The 3 year average ROIC (8.33%) for FLS is below the current ROIC(11.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 20% | ||
| ROIC | 11% |
ROA(3y)4.24%
ROA(5y)3.51%
ROE(3y)11.36%
ROE(5y)9.55%
ROIC(3y)8.33%
ROIC(5y)7.79%
1.3 Margins
FLS has a better Profit Margin (9.66%) than 72.31% of its industry peers.
In the last couple of years the Profit Margin of FLS has remained more or less at the same level.
Looking at the Operating Margin, with a value of 11.96%, FLS is in the better half of the industry, outperforming 60.77% of the companies in the same industry.
In the last couple of years the Operating Margin of FLS has remained more or less at the same level.
FLS has a Gross Margin (33.72%) which is in line with its industry peers.
FLS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.96% | ||
| PM (TTM) | 9.66% | ||
| GM | 33.72% |
OM growth 3Y11.99%
OM growth 5Y0.53%
PM growth 3Y20.37%
PM growth 5Y0.47%
GM growth 3Y2.21%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so FLS is still creating some value.
Compared to 1 year ago, FLS has about the same amount of shares outstanding.
Compared to 5 years ago, FLS has more shares outstanding
FLS has a worse debt/assets ratio than last year.
2.2 Solvency
FLS has an Altman-Z score of 4.05. This indicates that FLS is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of FLS (4.05) is better than 66.92% of its industry peers.
FLS has a debt to FCF ratio of 2.36. This is a good value and a sign of high solvency as FLS would need 2.36 years to pay back of all of its debts.
FLS has a Debt to FCF ratio of 2.36. This is in the better half of the industry: FLS outperforms 73.85% of its industry peers.
A Debt/Equity ratio of 0.63 indicates that FLS is somewhat dependend on debt financing.
FLS's Debt to Equity ratio of 0.63 is on the low side compared to the rest of the industry. FLS is outperformed by 63.08% of its industry peers.
Although FLS does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 2.36 | ||
| Altman-Z | 4.05 |
ROIC/WACC1.19
WACC9.27%
2.3 Liquidity
FLS has a Current Ratio of 2.10. This indicates that FLS is financially healthy and has no problem in meeting its short term obligations.
With a Current ratio value of 2.10, FLS perfoms like the industry average, outperforming 51.54% of the companies in the same industry.
FLS has a Quick Ratio of 1.54. This is a normal value and indicates that FLS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of FLS (1.54) is better than 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.1 | ||
| Quick Ratio | 1.54 |
3. Growth
3.1 Past
FLS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.52%, which is quite impressive.
Measured over the past 5 years, FLS shows a small growth in Earnings Per Share. The EPS has been growing by 4.18% on average per year.
The Revenue has been growing slightly by 3.19% in the past year.
Measured over the past years, FLS shows a small growth in Revenue. The Revenue has been growing by 2.96% on average per year.
EPS 1Y (TTM)20.52%
EPS 3Y24.77%
EPS 5Y4.18%
EPS Q2Q%30.43%
Revenue 1Y (TTM)3.19%
Revenue growth 3Y8.78%
Revenue growth 5Y2.96%
Sales Q2Q%3.65%
3.2 Future
Based on estimates for the next years, FLS will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.45% on average per year.
The Revenue is expected to grow by 4.02% on average over the next years.
EPS Next Y28.57%
EPS Next 2Y20.82%
EPS Next 3Y17.32%
EPS Next 5Y14.45%
Revenue Next Year4.51%
Revenue Next 2Y4.24%
Revenue Next 3Y4.11%
Revenue Next 5Y4.02%
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 accelerating.
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
Based on the Price/Earnings ratio of 22.18, the valuation of FLS can be described as rather expensive.
Based on the Price/Earnings ratio, FLS is valued a bit cheaper than the industry average as 62.31% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.98. FLS is around the same levels.
The Price/Forward Earnings ratio is 18.17, which indicates a rather expensive current valuation of FLS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FLS indicates a somewhat cheap valuation: FLS is cheaper than 61.54% of the companies listed in the same industry.
FLS is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 35.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.18 | ||
| Fwd PE | 18.17 |
4.2 Price Multiples
FLS's Enterprise Value to EBITDA ratio is in line with the industry average.
81.54% of the companies in the same industry are more expensive than FLS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.89 | ||
| EV/EBITDA | 15.01 |
4.3 Compensation for Growth
FLS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of FLS may justify a higher PE ratio.
A more expensive valuation may be justified as FLS's earnings are expected to grow with 17.32% in the coming years.
PEG (NY)0.78
PEG (5Y)5.3
EPS Next 2Y20.82%
EPS Next 3Y17.32%
5. Dividend
5.1 Amount
FLS has a Yearly Dividend Yield of 1.27%.
FLS's Dividend Yield is a higher than the industry average which is at 1.97.
Compared to an average S&P500 Dividend Yield of 2.41, FLS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
5.2 History
The dividend of FLS has a limited annual growth rate of 2.02%.
FLS has paid a dividend for at least 10 years, which is a reliable track record.
FLS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.02%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
24.35% of the earnings are spent on dividend by FLS. This is a low number and sustainable payout ratio.
The dividend of FLS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP24.35%
EPS Next 2Y20.82%
EPS Next 3Y17.32%
NYSE:FLS (11/26/2025, 12:03:20 PM)
71.6288
+1.33 (+1.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners104.08%
Inst Owner Change-4.07%
Ins Owners0.53%
Ins Owner Change-5.94%
Market Cap9.37B
Revenue(TTM)4.69B
Net Income(TTM)452.78M
Analysts85
Price Target78.34 (9.37%)
Short Float %4.32%
Short Ratio2.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
Yearly Dividend0.84
Dividend Growth(5Y)2.02%
DP24.35%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.44%
Min EPS beat(2)12%
Max EPS beat(2)14.88%
EPS beat(4)3
Avg EPS beat(4)8.86%
Min EPS beat(4)-9.88%
Max EPS beat(4)18.43%
EPS beat(8)7
Avg EPS beat(8)10.82%
EPS beat(12)11
Avg EPS beat(12)17.11%
EPS beat(16)12
Avg EPS beat(16)5.38%
Revenue beat(2)0
Avg Revenue beat(2)-3.8%
Min Revenue beat(2)-4.03%
Max Revenue beat(2)-3.58%
Revenue beat(4)1
Avg Revenue beat(4)-2.19%
Min Revenue beat(4)-4.03%
Max Revenue beat(4)2.1%
Revenue beat(8)4
Avg Revenue beat(8)-0.34%
Revenue beat(12)8
Avg Revenue beat(12)1.82%
Revenue beat(16)8
Avg Revenue beat(16)0.7%
PT rev (1m)15.49%
PT rev (3m)15.49%
EPS NQ rev (1m)-0.03%
EPS NQ rev (3m)0.68%
EPS NY rev (1m)1.95%
EPS NY rev (3m)1.95%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)-0.29%
Revenue NY rev (3m)-0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.18 | ||
| Fwd PE | 18.17 | ||
| P/S | 2 | ||
| P/FCF | 14.89 | ||
| P/OCF | 13.32 | ||
| P/B | 4.14 | ||
| P/tB | 12.6 | ||
| EV/EBITDA | 15.01 |
EPS(TTM)3.23
EY4.51%
EPS(NY)3.94
Fwd EY5.5%
FCF(TTM)4.81
FCFY6.71%
OCF(TTM)5.38
OCFY7.51%
SpS35.84
BVpS17.31
TBVpS5.68
PEG (NY)0.78
PEG (5Y)5.3
Graham Number35.47
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.77% | ||
| ROE | 20% | ||
| ROCE | 12.96% | ||
| ROIC | 11% | ||
| ROICexc | 13.63% | ||
| ROICexgc | 24.14% | ||
| OM | 11.96% | ||
| PM (TTM) | 9.66% | ||
| GM | 33.72% | ||
| FCFM | 13.42% |
ROA(3y)4.24%
ROA(5y)3.51%
ROE(3y)11.36%
ROE(5y)9.55%
ROIC(3y)8.33%
ROIC(5y)7.79%
ROICexc(3y)9.82%
ROICexc(5y)9.51%
ROICexgc(3y)17.16%
ROICexgc(5y)16.91%
ROCE(3y)9.81%
ROCE(5y)9.18%
ROICexgc growth 3Y15.64%
ROICexgc growth 5Y2.31%
ROICexc growth 3Y16.8%
ROICexc growth 5Y2.19%
OM growth 3Y11.99%
OM growth 5Y0.53%
PM growth 3Y20.37%
PM growth 5Y0.47%
GM growth 3Y2.21%
GM growth 5Y-0.61%
F-Score7
Asset Turnover0.8
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 2.36 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 78.26% | ||
| Cap/Sales | 1.59% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 107.26% | ||
| Profit Quality | 138.92% | ||
| Current Ratio | 2.1 | ||
| Quick Ratio | 1.54 | ||
| Altman-Z | 4.05 |
F-Score7
WACC9.27%
ROIC/WACC1.19
Cap/Depr(3y)86.32%
Cap/Depr(5y)74.19%
Cap/Sales(3y)1.82%
Cap/Sales(5y)1.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)20.52%
EPS 3Y24.77%
EPS 5Y4.18%
EPS Q2Q%30.43%
EPS Next Y28.57%
EPS Next 2Y20.82%
EPS Next 3Y17.32%
EPS Next 5Y14.45%
Revenue 1Y (TTM)3.19%
Revenue growth 3Y8.78%
Revenue growth 5Y2.96%
Sales Q2Q%3.65%
Revenue Next Year4.51%
Revenue Next 2Y4.24%
Revenue Next 3Y4.11%
Revenue Next 5Y4.02%
EBIT growth 1Y11.56%
EBIT growth 3Y21.82%
EBIT growth 5Y3.5%
EBIT Next Year40.19%
EBIT Next 3Y17.71%
EBIT Next 5Y14.73%
FCF growth 1Y413.01%
FCF growth 3Y20.83%
FCF growth 5Y6.75%
OCF growth 1Y250.63%
OCF growth 3Y19.36%
OCF growth 5Y5.59%
FLOWSERVE CORP / FLS FAQ
What is the ChartMill fundamental rating of FLOWSERVE CORP (FLS) stock?
ChartMill assigns a fundamental rating of 6 / 10 to FLS.
What is the valuation status of FLOWSERVE CORP (FLS) stock?
ChartMill assigns a valuation rating of 6 / 10 to FLOWSERVE CORP (FLS). This can be considered as Fairly Valued.
How profitable is FLOWSERVE CORP (FLS) stock?
FLOWSERVE CORP (FLS) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for FLS stock?
The Price/Earnings (PE) ratio for FLOWSERVE CORP (FLS) is 22.18 and the Price/Book (PB) ratio is 4.14.
What is the earnings growth outlook for FLOWSERVE CORP?
The Earnings per Share (EPS) of FLOWSERVE CORP (FLS) is expected to grow by 28.57% in the next year.