FOSTER (LB) CO-A (FSTR) Stock Fundamental Analysis
NASDAQ:FSTR - Nasdaq - US3500601097 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to FSTR. FSTR was compared to 129 industry peers in the Machinery industry. FSTR has an average financial health and profitability rating. FSTR scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
FSTR had positive earnings in the past year.
In the past year FSTR had a positive cash flow from operations.
FSTR had positive earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: FSTR reported negative operating cash flow in multiple years.
1.2 Ratios
With an excellent Return On Assets value of 12.41%, FSTR belongs to the best of the industry, outperforming 87.20% of the companies in the same industry.
Looking at the Return On Equity, with a value of 23.51%, FSTR belongs to the top of the industry, outperforming 87.20% of the companies in the same industry.
FSTR has a Return On Invested Capital (5.38%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for FSTR is significantly below the industry average of 11.00%.
The 3 year average ROIC (2.52%) for FSTR is below the current ROIC(5.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.41% | ||
| ROE | 23.51% | ||
| ROIC | 5.38% |
ROA(3y)-3.65%
ROA(5y)0.32%
ROE(3y)-10.08%
ROE(5y)-0.17%
ROIC(3y)2.52%
ROIC(5y)4.02%
1.3 Margins
Looking at the Profit Margin, with a value of 7.96%, FSTR is in the better half of the industry, outperforming 62.40% of the companies in the same industry.
In the last couple of years the Profit Margin of FSTR has declined.
FSTR has a worse Operating Margin (3.39%) than 68.00% of its industry peers.
FSTR's Operating Margin has declined in the last couple of years.
FSTR has a Gross Margin of 21.91%. This is in the lower half of the industry: FSTR underperforms 70.40% of its industry peers.
FSTR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.39% | ||
| PM (TTM) | 7.96% | ||
| GM | 21.91% |
OM growth 3Y-12.36%
OM growth 5Y-12.87%
PM growth 3Y-43.94%
PM growth 5YN/A
GM growth 3Y2.8%
GM growth 5Y1.21%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FSTR is destroying value.
Compared to 1 year ago, FSTR has less shares outstanding
FSTR has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FSTR has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.83 indicates that FSTR is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.83, FSTR is doing good in the industry, outperforming 63.20% of the companies in the same industry.
The Debt to FCF ratio of FSTR is 6.57, which is on the high side as it means it would take FSTR, 6.57 years of fcf income to pay off all of its debts.
FSTR's Debt to FCF ratio of 6.57 is in line compared to the rest of the industry. FSTR outperforms 49.60% of its industry peers.
A Debt/Equity ratio of 0.38 indicates that FSTR is not too dependend on debt financing.
FSTR has a Debt to Equity ratio (0.38) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 6.57 | ||
| Altman-Z | 3.83 |
ROIC/WACC0.51
WACC10.63%
2.3 Liquidity
A Current Ratio of 2.27 indicates that FSTR has no problem at all paying its short term obligations.
FSTR has a Current ratio of 2.27. This is comparable to the rest of the industry: FSTR outperforms 56.80% of its industry peers.
A Quick Ratio of 1.30 indicates that FSTR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.30, FSTR is in line with its industry, outperforming 49.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 199.23% over the past year.
The earnings per share for FSTR have been decreasing by -36.17% on average. This is quite bad
The Revenue has decreased by -1.56% in the past year.
Measured over the past years, FSTR shows a decrease in Revenue. The Revenue has been decreasing by -1.32% on average per year.
EPS 1Y (TTM)199.23%
EPS 3Y-36.17%
EPS 5YN/A
EPS Q2Q%6440%
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y3.01%
Revenue growth 5Y-1.32%
Sales Q2Q%-5.42%
3.2 Future
The Earnings Per Share is expected to grow by 169.33% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 3.86% on average over the next years.
EPS Next Y3211.08%
EPS Next 2Y270.9%
EPS Next 3Y169.33%
EPS Next 5YN/A
Revenue Next Year-0.51%
Revenue Next 2Y3.25%
Revenue Next 3Y3.86%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 6.90, the valuation of FSTR can be described as very cheap.
Based on the Price/Earnings ratio, FSTR is valued cheaper than 97.60% of the companies in the same industry.
FSTR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.63.
Based on the Price/Forward Earnings ratio of 15.01, the valuation of FSTR can be described as correct.
FSTR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. FSTR is cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FSTR to the average of the S&P500 Index (22.68), we can say FSTR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.9 | ||
| Fwd PE | 15.01 |
4.2 Price Multiples
FSTR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FSTR is cheaper than 72.80% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as FSTR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.89 | ||
| EV/EBITDA | 10.96 |
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.
A more expensive valuation may be justified as FSTR's earnings are expected to grow with 169.33% in the coming years.
PEG (NY)0
PEG (5Y)N/A
EPS Next 2Y270.9%
EPS Next 3Y169.33%
5. Dividend
5.1 Amount
FSTR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.85
-0.8 (-2.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners75.07%
Inst Owner Change-80.74%
Ins Owners6.16%
Ins Owner Change-1.69%
Market Cap290.79M
Analysts82.5
Price Target28.5 (6.15%)
Short Float %1.09%
Short Ratio3.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.12
Dividend Growth(5Y)3.05%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)257.91%
Min EPS beat(2)-45.18%
Max EPS beat(2)561.01%
EPS beat(4)2
Avg EPS beat(4)423.07%
Min EPS beat(4)-492.16%
Max EPS beat(4)1668.63%
EPS beat(8)3
Avg EPS beat(8)-1483.05%
EPS beat(12)4
Avg EPS beat(12)-1013.71%
EPS beat(16)5
Avg EPS beat(16)-766.4%
Revenue beat(2)0
Avg Revenue beat(2)-3.29%
Min Revenue beat(2)-4.94%
Max Revenue beat(2)-1.64%
Revenue beat(4)2
Avg Revenue beat(4)0.52%
Min Revenue beat(4)-4.94%
Max Revenue beat(4)6.44%
Revenue beat(8)6
Avg Revenue beat(8)1.49%
Revenue beat(12)8
Avg Revenue beat(12)-1.17%
Revenue beat(16)9
Avg Revenue beat(16)-1.73%
PT rev (1m)0%
PT rev (3m)6.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.3%
EPS NY rev (1m)0%
EPS NY rev (3m)170.51%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.07%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.9 | ||
| Fwd PE | 15.01 | ||
| P/S | 0.54 | ||
| P/FCF | 27.89 | ||
| P/OCF | 14.25 | ||
| P/B | 1.6 | ||
| P/tB | 2.19 | ||
| EV/EBITDA | 10.96 |
EPS(TTM)3.89
EY14.49%
EPS(NY)1.79
Fwd EY6.66%
FCF(TTM)0.96
FCFY3.59%
OCF(TTM)1.88
OCFY7.02%
SpS49.63
BVpS16.79
TBVpS12.28
PEG (NY)0
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.41% | ||
| ROE | 23.51% | ||
| ROCE | 6.8% | ||
| ROIC | 5.38% | ||
| ROICexc | 5.44% | ||
| ROICexgc | 6.67% | ||
| OM | 3.39% | ||
| PM (TTM) | 7.96% | ||
| GM | 21.91% | ||
| FCFM | 1.94% |
ROA(3y)-3.65%
ROA(5y)0.32%
ROE(3y)-10.08%
ROE(5y)-0.17%
ROIC(3y)2.52%
ROIC(5y)4.02%
ROICexc(3y)2.57%
ROICexc(5y)4.16%
ROICexgc(3y)3.32%
ROICexgc(5y)5.36%
ROCE(3y)3.19%
ROCE(5y)5.09%
ROICexcg growth 3Y-1.86%
ROICexcg growth 5Y-12.41%
ROICexc growth 3Y-2.94%
ROICexc growth 5Y-11.5%
OM growth 3Y-12.36%
OM growth 5Y-12.87%
PM growth 3Y-43.94%
PM growth 5YN/A
GM growth 3Y2.8%
GM growth 5Y1.21%
F-Score7
Asset Turnover1.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 6.57 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 70.06% | ||
| Cap/Sales | 1.86% | ||
| Interest Coverage | 3.85 | ||
| Cash Conversion | 62.81% | ||
| Profit Quality | 24.38% | ||
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 3.83 |
F-Score7
WACC10.63%
ROIC/WACC0.51
Cap/Depr(3y)39.07%
Cap/Depr(5y)45.34%
Cap/Sales(3y)1.11%
Cap/Sales(5y)1.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)199.23%
EPS 3Y-36.17%
EPS 5YN/A
EPS Q2Q%6440%
EPS Next Y3211.08%
EPS Next 2Y270.9%
EPS Next 3Y169.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-1.56%
Revenue growth 3Y3.01%
Revenue growth 5Y-1.32%
Sales Q2Q%-5.42%
Revenue Next Year-0.51%
Revenue Next 2Y3.25%
Revenue Next 3Y3.86%
Revenue Next 5YN/A
EBIT growth 1Y119.82%
EBIT growth 3Y-9.71%
EBIT growth 5Y-14.02%
EBIT Next Year223.55%
EBIT Next 3Y68.97%
EBIT Next 5YN/A
FCF growth 1Y156.51%
FCF growth 3Y48.04%
FCF growth 5Y9.39%
OCF growth 1Y258.98%
OCF growth 3Y24.91%
OCF growth 5Y7.56%