6.06 USD
-0.11 (-1.78%)
Taking everything into account, FSI scores 6 out of 10 in our fundamental rating. FSI was compared to 83 industry peers in the Chemicals industry. While FSI has a great profitability rating, there are some minor concerns on its financial health. FSI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year FSI was profitable.
- FSI had a positive operating cash flow in the past year.
- FSI had positive earnings in each of the past 5 years.
- FSI 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 5.23%, FSI belongs to the top of the industry, outperforming 81.93% of the companies in the same industry.
- FSI has a better Return On Equity (7.73%) than 74.70% of its industry peers.
- The Return On Invested Capital of FSI (9.96%) is better than 83.13% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for FSI is above the industry average of 6.11%.
- The 3 year average ROIC (9.67%) for FSI is below the current ROIC(9.96%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.23% | ||
| ROE | 7.73% | ||
| ROIC | 9.96% |
ROA(3y)7.89%
ROA(5y)8.18%
ROE(3y)12.46%
ROE(5y)13.03%
ROIC(3y)9.67%
ROIC(5y)11.22%
1.3 Margins
- With a decent Profit Margin value of 8.15%, FSI is doing good in the industry, outperforming 78.31% of the companies in the same industry.
- In the last couple of years the Profit Margin of FSI has grown nicely.
- With an excellent Operating Margin value of 16.05%, FSI belongs to the best of the industry, outperforming 80.72% of the companies in the same industry.
- In the last couple of years the Operating Margin of FSI has grown nicely.
- FSI has a Gross Margin of 37.02%. This is in the better half of the industry: FSI outperforms 77.11% of its industry peers.
- FSI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.05% | ||
| PM (TTM) | 8.15% | ||
| GM | 37.02% |
OM growth 3Y-4.57%
OM growth 5Y9.4%
PM growth 3Y-7.44%
PM growth 5Y2.66%
GM growth 3Y1.5%
GM growth 5Y1.97%
2. Health
2.1 Basic Checks
- FSI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for FSI has been increased compared to 1 year ago.
- FSI has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, FSI has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.37 indicates that FSI is not in any danger for bankruptcy at the moment.
- With an excellent Altman-Z score value of 4.37, FSI belongs to the best of the industry, outperforming 90.36% of the companies in the same industry.
- A Debt/Equity ratio of 0.18 indicates that FSI is not too dependend on debt financing.
- The Debt to Equity ratio of FSI (0.18) is better than 80.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.37 |
ROIC/WACC0.72
WACC13.79%
2.3 Liquidity
- A Current Ratio of 3.40 indicates that FSI has no problem at all paying its short term obligations.
- FSI's Current ratio of 3.40 is amongst the best of the industry. FSI outperforms 84.34% of its industry peers.
- FSI has a Quick Ratio of 2.16. This indicates that FSI is financially healthy and has no problem in meeting its short term obligations.
- FSI has a better Quick ratio (2.16) than 81.93% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.4 | ||
| Quick Ratio | 2.16 |
3. Growth
3.1 Past
- FSI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -61.11%.
- The Earnings Per Share has been growing by 10.47% on average over the past years. This is quite good.
- FSI shows a decrease in Revenue. In the last year, the revenue decreased by -0.23%.
- The Revenue has been growing slightly by 6.86% on average over the past years.
EPS 1Y (TTM)-61.11%
EPS 3Y-2.44%
EPS 5Y10.47%
EPS Q2Q%-157.14%
Revenue 1Y (TTM)-0.23%
Revenue growth 3Y3.57%
Revenue growth 5Y6.86%
Sales Q2Q%13.32%
3.2 Future
- Based on estimates for the next years, FSI will show a very strong growth in Earnings Per Share. The EPS will grow by 50.64% on average per year.
- The Revenue is expected to grow by 32.83% on average over the next years. This is a very strong growth
EPS Next Y-37.85%
EPS Next 2Y39.37%
EPS Next 3Y50.64%
EPS Next 5YN/A
Revenue Next Year6.46%
Revenue Next 2Y27.67%
Revenue Next 3Y32.83%
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 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
- With a Price/Earnings ratio of 43.29, FSI can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Earnings ratio of FSI indicates a slightly more expensive valuation: FSI is more expensive than 63.86% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, FSI is valued quite expensively.
- With a Price/Forward Earnings ratio of 12.00, FSI is valued correctly.
- FSI's Price/Forward Earnings ratio is rather cheap when compared to the industry. FSI is cheaper than 81.93% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, FSI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.29 | ||
| Fwd PE | 12 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, FSI is valued a bit cheaper than the industry average as 63.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.51 |
4.3 Compensation for Growth
- The excellent profitability rating of FSI may justify a higher PE ratio.
- FSI's earnings are expected to grow with 50.64% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)4.13
EPS Next 2Y39.37%
EPS Next 3Y50.64%
5. Dividend
5.1 Amount
- FSI has a Yearly Dividend Yield of 1.65%.
- In the last 3 months the price of FSI has falen by -37.53%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
- FSI's Dividend Yield is comparable with the industry average which is at 2.23.
- Compared to an average S&P500 Dividend Yield of 1.81, FSI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.65% |
5.2 History
- FSI has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
- 41.90% of the earnings are spent on dividend by FSI. This is a bit on the high side, but may be sustainable.
DP41.9%
EPS Next 2Y39.37%
EPS Next 3Y50.64%
FLEXIBLE SOLUTIONS INTL INC / FSI FAQ
What is the fundamental rating for FSI stock?
ChartMill assigns a fundamental rating of 6 / 10 to FSI.
Can you provide the valuation status for FLEXIBLE SOLUTIONS INTL INC?
ChartMill assigns a valuation rating of 4 / 10 to FLEXIBLE SOLUTIONS INTL INC (FSI). This can be considered as Fairly Valued.
What is the profitability of FSI stock?
FLEXIBLE SOLUTIONS INTL INC (FSI) has a profitability rating of 9 / 10.
What is the financial health of FLEXIBLE SOLUTIONS INTL INC (FSI) stock?
The financial health rating of FLEXIBLE SOLUTIONS INTL INC (FSI) is 6 / 10.
How sustainable is the dividend of FLEXIBLE SOLUTIONS INTL INC (FSI) stock?
The dividend rating of FLEXIBLE SOLUTIONS INTL INC (FSI) is 3 / 10 and the dividend payout ratio is 41.9%.