GRACO INC (GGG) Stock Fundamental Analysis
NYSE:GGG • US3841091040
93.09 USD
+0.07 (+0.08%)
At close: Feb 20, 2026
93.09 USD
0 (0%)
After Hours: 2/20/2026, 8:04:00 PM
We assign a fundamental rating of 8 out of 10 to GGG. GGG was compared to 131 industry peers in the Machinery industry. Both the health and profitability get an excellent rating, making GGG a very profitable company, without any liquidiy or solvency issues. GGG is valied quite expensively at the moment, while it does show a decent growth rate. With these ratings, GGG could be worth investigating further 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.
- GGG had positive earnings in each of the past 5 years.
- GGG 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 15.94%, GGG belongs to the top of the industry, outperforming 96.18% of the companies in the same industry.
- GGG has a better Return On Equity (19.66%) than 89.31% of its industry peers.
- GGG has a better Return On Invested Capital (18.47%) than 93.89% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for GGG is significantly above the industry average of 10.17%.
| 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 99.24% of the companies in the same industry.
- GGG's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 28.52%, GGG belongs to the top of the industry, outperforming 99.24% of the companies in the same industry.
- In the last couple of years the Operating Margin of GGG has grown nicely.
- With an excellent Gross Margin value of 53.03%, GGG belongs to the best of the industry, outperforming 94.66% of the companies in the same industry.
- In the last couple of years the Gross Margin of GGG has remained more or less at the same level.
| 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
- GGG has an Altman-Z score of 17.23. This indicates that GGG is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 17.23, GGG belongs to the best of the industry, outperforming 97.71% of the companies in the same industry.
- The Debt to FCF ratio of GGG is 0.04, which is an excellent value as it means it would take GGG, only 0.04 years of fcf income to pay off all of its debts.
- GGG's Debt to FCF ratio of 0.04 is amongst the best of the industry. GGG outperforms 92.37% of its industry peers.
- GGG has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
- GGG has a Debt to Equity ratio of 0.01. This is amongst the best in the industry. GGG outperforms 83.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.04 | ||
| Altman-Z | 17.23 |
ROIC/WACC2.02
WACC9.15%
2.3 Liquidity
- A Current Ratio of 3.15 indicates that GGG has no problem at all paying its short term obligations.
- GGG has a Current ratio of 3.15. This is in the better half of the industry: GGG outperforms 79.39% of its industry peers.
- 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.
- GGG has a Quick ratio of 2.29. This is amongst the best in the industry. GGG outperforms 80.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.15 | ||
| Quick Ratio | 2.29 |
3. Growth
3.1 Past
- GGG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.88%.
- The Earnings Per Share has been growing by 8.63% on average over the past years. This is quite good.
- GGG shows a small growth in Revenue. In the last year, the Revenue has grown by 5.83%.
- Measured over the past years, GGG shows a small growth in Revenue. The Revenue has been growing by 6.27% on average per year.
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
- The Earnings Per Share is expected to grow by 11.35% on average over the next years. This is quite good.
- GGG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.30% yearly.
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
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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 31.56, GGG can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as GGG.
- When comparing the Price/Earnings ratio of GGG to the average of the S&P500 Index (26.99), we can say GGG is valued inline with the index average.
- With a Price/Forward Earnings ratio of 28.86, GGG can be considered very expensive at the moment.
- GGG's Price/Forward Earnings is on the same level as the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 28.06. GGG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.56 | ||
| Fwd PE | 28.86 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as GGG.
- 66.41% of the companies in the same industry are more expensive than GGG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.19 | ||
| EV/EBITDA | 19.86 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GGG does not grow enough to justify the current Price/Earnings ratio.
- GGG has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.38
PEG (5Y)3.66
EPS Next 2Y9.05%
EPS Next 3Y9.44%
5. Dividend
5.1 Amount
- GGG has a Yearly Dividend Yield of 1.27%.
- Compared to an average industry Dividend Yield of 1.17, GGG pays a bit more dividend than its industry peers.
- Compared to the average S&P500 Dividend Yield of 1.85, GGG is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.27% |
5.2 History
- On average, the dividend of GGG grows each year by 9.45%, which is quite nice.
- GGG has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of GGG decreased recently.
Dividend Growth(5Y)9.45%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 35.14% of the earnings are spent on dividend by GGG. This is a low number and 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%
93.09
+0.07 (+0.08%)
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 Change0.9%
Ins Owners0.85%
Ins Owner Change2.96%
Market Cap15.43B
Revenue(TTM)2.24B
Net Income(TTM)521.84M
Analysts72.94
Price Target98.39 (5.69%)
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)5.3%
PT rev (3m)5.04%
EPS NQ rev (1m)0.32%
EPS NQ rev (3m)0.53%
EPS NY rev (1m)0.08%
EPS NY rev (3m)-0.01%
Revenue NQ rev (1m)1.15%
Revenue NQ rev (3m)1.41%
Revenue NY rev (1m)1.01%
Revenue NY rev (3m)1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.56 | ||
| Fwd PE | 28.86 | ||
| P/S | 6.9 | ||
| P/FCF | 24.19 | ||
| P/OCF | 22.58 | ||
| P/B | 5.82 | ||
| P/tB | 8.75 | ||
| EV/EBITDA | 19.86 |
EPS(TTM)2.95
EY3.17%
EPS(NY)3.23
Fwd EY3.46%
FCF(TTM)3.85
FCFY4.13%
OCF(TTM)4.12
OCFY4.43%
SpS13.49
BVpS16.01
TBVpS10.64
PEG (NY)3.38
PEG (5Y)3.66
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 | 17.23 |
F-Score7
WACC9.15%
ROIC/WACC2.02
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 8 / 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 10 / 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.