GRACO INC (GGG) Stock Fundamental Analysis
NYSE:GGG • US3841091040
92.35 USD
-1.13 (-1.21%)
At close: Feb 25, 2026
92.35 USD
0 (0%)
After Hours: 2/25/2026, 8:16:31 PM
Taking everything into account, GGG scores 7 out of 10 in our fundamental rating. GGG was compared to 130 industry peers in the Machinery industry. GGG gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, GGG is valued expensive at the moment. These ratings could make GGG a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
- GGG had positive earnings in the past year.
- GGG had a positive operating cash flow in the past year.
- Each year in the past 5 years GGG has been profitable.
- In the past 5 years GGG always reported a positive cash flow from operatings.
1.2 Ratios
- With an excellent Return On Assets value of 15.94%, GGG belongs to the best of the industry, outperforming 96.15% of the companies in the same industry.
- GGG has a better Return On Equity (19.66%) than 89.23% of its industry peers.
- GGG has a better Return On Invested Capital (18.47%) than 93.85% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for GGG is significantly above the industry average of 10.27%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.94% | ||
| ROE | 19.66% | ||
| ROIC | 18.47% |
ROA(3y)16.68%
ROA(5y)17.38%
ROE(3y)20.42%
ROE(5y)22.35%
ROIC(3y)19.39%
ROIC(5y)20.59%
1.3 Margins
- Looking at the Profit Margin, with a value of 23.33%, GGG belongs to the top of the industry, outperforming 99.23% of the companies in the same industry.
- GGG's Profit Margin has improved in the last couple of years.
- GGG has a better Operating Margin (28.52%) than 99.23% of its industry peers.
- GGG's Operating Margin has improved in the last couple of years.
- The Gross Margin of GGG (53.03%) is better than 94.62% of its industry peers.
- GGG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.52% | ||
| PM (TTM) | 23.33% | ||
| GM | 53.04% |
OM growth 3Y2.25%
OM growth 5Y2%
PM growth 3Y2.78%
PM growth 5Y3.1%
GM growth 3Y2.47%
GM growth 5Y0.49%
2. Health
2.1 Basic Checks
- GGG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- The number of shares outstanding for GGG has been reduced compared to 1 year ago.
- GGG has less shares outstanding than it did 5 years ago.
- GGG has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 17.13 indicates that GGG is not in any danger for bankruptcy at the moment.
- GGG has a better Altman-Z score (17.13) than 97.69% of its industry peers.
- GGG has a debt to FCF ratio of 0.04. This is a very positive value and a sign of high solvency as it would only need 0.04 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.04, GGG belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
- GGG has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
- With an excellent Debt to Equity ratio value of 0.01, GGG belongs to the best of the industry, outperforming 83.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.04 | ||
| Altman-Z | 17.13 |
ROIC/WACC2.01
WACC9.18%
2.3 Liquidity
- GGG has a Current Ratio of 3.15. This indicates that GGG is financially healthy and has no problem in meeting its short term obligations.
- With a decent Current ratio value of 3.15, GGG is doing good in the industry, outperforming 79.23% of the companies in the same industry.
- GGG has a Quick Ratio of 2.29. This indicates that GGG is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.29, GGG is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.15 | ||
| Quick Ratio | 2.29 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.88% over the past year.
- GGG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.63% yearly.
- GGG shows a small growth in Revenue. In the last year, the Revenue has grown by 5.83%.
- The Revenue has been growing slightly by 6.27% on average over the past years.
EPS 1Y (TTM)6.88%
EPS 3Y3.77%
EPS 5Y8.63%
EPS Q2Q%20.31%
Revenue 1Y (TTM)5.83%
Revenue growth 3Y1.43%
Revenue growth 5Y6.27%
Sales Q2Q%8.11%
3.2 Future
- Based on estimates for the next years, GGG will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.35% on average per year.
- The Revenue is expected to grow by 9.30% on average over the next years. This is quite good.
EPS Next Y9.34%
EPS Next 2Y9.05%
EPS Next 3Y9.44%
EPS Next 5Y11.35%
Revenue Next Year5.9%
Revenue Next 2Y5.27%
Revenue Next 3Y5.64%
Revenue Next 5Y9.3%
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
- GGG is valuated quite expensively with a Price/Earnings ratio of 31.31.
- The rest of the industry has a similar Price/Earnings ratio as GGG.
- Compared to an average S&P500 Price/Earnings ratio of 27.05, GGG is valued at the same level.
- GGG is valuated quite expensively with a Price/Forward Earnings ratio of 28.63.
- GGG's Price/Forward Earnings ratio is in line with the industry average.
- GGG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 28.03, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.31 | ||
| Fwd PE | 28.63 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GGG is on the same level as its industry peers.
- Based on the Price/Free Cash Flow ratio, GGG is valued a bit cheaper than the industry average as 64.62% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24 | ||
| EV/EBITDA | 19.71 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- GGG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.35
PEG (5Y)3.63
EPS Next 2Y9.05%
EPS Next 3Y9.44%
5. Dividend
5.1 Amount
- GGG has a Yearly Dividend Yield of 1.27%.
- GGG's Dividend Yield is a higher than the industry average which is at 1.18.
- Compared to the average S&P500 Dividend Yield of 1.80, GGG is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
5.2 History
- The dividend of GGG is nicely growing with an annual growth rate of 9.45%!
- GGG has paid a dividend for at least 10 years, which is a reliable track record.
- GGG has decreased its dividend recently.
Dividend Growth(5Y)9.45%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- GGG pays out 35.14% of its income as dividend. This is a sustainable payout ratio.
- GGG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP35.14%
EPS Next 2Y9.05%
EPS Next 3Y9.44%
92.35
-1.13 (-1.21%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)01-26 2026-01-26/amc
Earnings (Next)04-21 2026-04-21
Inst Owners91.17%
Inst Owner Change0.82%
Ins Owners0.85%
Ins Owner Change2.96%
Market Cap15.31B
Revenue(TTM)2.24B
Net Income(TTM)521.84M
Analysts72.94
Price Target98.39 (6.54%)
Short Float %9.25%
Short Ratio4.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
Yearly Dividend1.09
Dividend Growth(5Y)9.45%
DP35.14%
Div Incr Years1
Div Non Decr Years1
Ex-Date04-13 2026-04-13 (0.295)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.11%
Min EPS beat(2)-2.04%
Max EPS beat(2)-0.17%
EPS beat(4)1
Avg EPS beat(4)-1.44%
Min EPS beat(4)-5.58%
Max EPS beat(4)2.02%
EPS beat(8)1
Avg EPS beat(8)-5.66%
EPS beat(12)4
Avg EPS beat(12)-2.65%
EPS beat(16)7
Avg EPS beat(16)-2.06%
Revenue beat(2)0
Avg Revenue beat(2)-2.32%
Min Revenue beat(2)-4.22%
Max Revenue beat(2)-0.42%
Revenue beat(4)0
Avg Revenue beat(4)-2.41%
Min Revenue beat(4)-4.22%
Max Revenue beat(4)-0.42%
Revenue beat(8)0
Avg Revenue beat(8)-3.55%
Revenue beat(12)1
Avg Revenue beat(12)-2.69%
Revenue beat(16)3
Avg Revenue beat(16)-1.99%
PT rev (1m)5.65%
PT rev (3m)5.04%
EPS NQ rev (1m)0.59%
EPS NQ rev (3m)0.53%
EPS NY rev (1m)0.4%
EPS NY rev (3m)-0.01%
Revenue NQ rev (1m)1.29%
Revenue NQ rev (3m)1.41%
Revenue NY rev (1m)1.1%
Revenue NY rev (3m)1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.31 | ||
| Fwd PE | 28.63 | ||
| P/S | 6.85 | ||
| P/FCF | 24 | ||
| P/OCF | 22.4 | ||
| P/B | 5.77 | ||
| P/tB | 8.68 | ||
| EV/EBITDA | 19.71 |
EPS(TTM)2.95
EY3.19%
EPS(NY)3.23
Fwd EY3.49%
FCF(TTM)3.85
FCFY4.17%
OCF(TTM)4.12
OCFY4.46%
SpS13.49
BVpS16.01
TBVpS10.64
PEG (NY)3.35
PEG (5Y)3.63
Graham Number32.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.94% | ||
| ROE | 19.66% | ||
| ROCE | 22.72% | ||
| ROIC | 18.47% | ||
| ROICexc | 23.69% | ||
| ROICexgc | 39.68% | ||
| OM | 28.52% | ||
| PM (TTM) | 23.33% | ||
| GM | 53.04% | ||
| FCFM | 28.52% |
ROA(3y)16.68%
ROA(5y)17.38%
ROE(3y)20.42%
ROE(5y)22.35%
ROIC(3y)19.39%
ROIC(5y)20.59%
ROICexc(3y)25.2%
ROICexc(5y)27%
ROICexgc(3y)38.22%
ROICexgc(5y)40.95%
ROCE(3y)23.92%
ROCE(5y)25.45%
ROICexgc growth 3Y0.9%
ROICexgc growth 5Y-1.91%
ROICexc growth 3Y-4.53%
ROICexc growth 5Y-2.33%
OM growth 3Y2.25%
OM growth 5Y2%
PM growth 3Y2.78%
PM growth 5Y3.1%
GM growth 3Y2.47%
GM growth 5Y0.49%
F-Score7
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.04 | ||
| Debt/EBITDA | 0.03 | ||
| Cap/Depr | 42.51% | ||
| Cap/Sales | 2.04% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.73% | ||
| Profit Quality | 122.25% | ||
| Current Ratio | 3.15 | ||
| Quick Ratio | 2.29 | ||
| Altman-Z | 17.13 |
F-Score7
WACC9.18%
ROIC/WACC2.01
Cap/Depr(3y)138.06%
Cap/Depr(5y)188.86%
Cap/Sales(3y)5.17%
Cap/Sales(5y)6.32%
Profit Quality(3y)106.75%
Profit Quality(5y)86.4%
High Growth Momentum
Growth
EPS 1Y (TTM)6.88%
EPS 3Y3.77%
EPS 5Y8.63%
EPS Q2Q%20.31%
EPS Next Y9.34%
EPS Next 2Y9.05%
EPS Next 3Y9.44%
EPS Next 5Y11.35%
Revenue 1Y (TTM)5.83%
Revenue growth 3Y1.43%
Revenue growth 5Y6.27%
Sales Q2Q%8.11%
Revenue Next Year5.9%
Revenue Next 2Y5.27%
Revenue Next 3Y5.64%
Revenue Next 5Y9.3%
EBIT growth 1Y11.88%
EBIT growth 3Y3.71%
EBIT growth 5Y8.39%
EBIT Next Year22.87%
EBIT Next 3Y18.15%
EBIT Next 5Y13.9%
FCF growth 1Y23.88%
FCF growth 3Y53.55%
FCF growth 5Y14.6%
OCF growth 1Y9.96%
OCF growth 3Y21.9%
OCF growth 5Y11.65%
GRACO INC / GGG FAQ
Can you provide the ChartMill fundamental rating for GRACO INC?
ChartMill assigns a fundamental rating of 7 / 10 to GGG.
What is the valuation status for GGG stock?
ChartMill assigns a valuation rating of 3 / 10 to GRACO INC (GGG). This can be considered as Overvalued.
How profitable is GRACO INC (GGG) stock?
GRACO INC (GGG) has a profitability rating of 9 / 10.
Can you provide the financial health for GGG stock?
The financial health rating of GRACO INC (GGG) is 9 / 10.
Can you provide the expected EPS growth for GGG stock?
The Earnings per Share (EPS) of GRACO INC (GGG) is expected to grow by 9.34% in the next year.