HYSTER-YALE INC (HY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HY - US4491721050 - Common Stock
33.1 USD
-1.26 (-3.67%)
Overall HY gets a fundamental rating of 3 out of 10. We evaluated HY against 132 industry peers in the Machinery industry. HY has a bad profitability rating. Also its financial health evaluation is rather negative. HY has a valuation in line with the averages, but on the other hand it scores bad on growth. Finally HY also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year HY was profitable.
- HY had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: HY reported negative net income in multiple years.
- Of the past 5 years HY 4 years had a positive operating cash flow.
1.2 Ratios
- HY's Return On Assets of 0.13% is on the low side compared to the rest of the industry. HY is outperformed by 67.42% of its industry peers.
- HY has a worse Return On Equity (0.50%) than 64.39% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 5.41%, HY is in line with its industry, outperforming 43.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.13% | ||
| ROE | 0.5% | ||
| ROIC | 5.41% |
ROA(3y)3.14%
ROA(5y)0.52%
ROE(3y)8.66%
ROE(5y)-3.29%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- HY has a worse Profit Margin (0.07%) than 68.18% of its industry peers.
- In the last couple of years the Profit Margin of HY has grown nicely.
- HY has a Operating Margin of 2.22%. This is in the lower half of the industry: HY underperforms 69.70% of its industry peers.
- HY's Operating Margin has improved in the last couple of years.
- HY has a Gross Margin of 18.13%. This is in the lower half of the industry: HY underperforms 75.76% of its industry peers.
- In the last couple of years the Gross Margin of HY has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.22% | ||
| PM (TTM) | 0.07% | ||
| GM | 18.13% |
OM growth 3YN/A
OM growth 5Y29.18%
PM growth 3YN/A
PM growth 5Y24.88%
GM growth 3Y20.72%
GM growth 5Y4.68%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so HY is destroying value.
- The number of shares outstanding for HY has been increased compared to 1 year ago.
- Compared to 5 years ago, HY has more shares outstanding
- Compared to 1 year ago, HY has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.75 indicates that HY is not a great score, but indicates only limited risk for bankruptcy at the moment.
- HY has a Altman-Z score (2.75) which is comparable to the rest of the industry.
- HY has a debt to FCF ratio of 8.74. This is a slightly negative value and a sign of low solvency as HY would need 8.74 years to pay back of all of its debts.
- The Debt to FCF ratio of HY (8.74) is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.61 indicates that HY is somewhat dependend on debt financing.
- The Debt to Equity ratio of HY (0.61) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 8.74 | ||
| Altman-Z | 2.75 |
ROIC/WACC0.62
WACC8.66%
2.3 Liquidity
- A Current Ratio of 1.39 indicates that HY should not have too much problems paying its short term obligations.
- HY's Current ratio of 1.39 is on the low side compared to the rest of the industry. HY is outperformed by 77.27% of its industry peers.
- HY has a Quick Ratio of 1.39. This is a bad value and indicates that HY is not financially healthy enough and could expect problems in meeting its short term obligations.
- HY has a Quick ratio of 0.68. This is amonst the worse of the industry: HY underperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
- The earnings per share for HY have decreased strongly by -80.58% in the last year.
- HY shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 35.91% yearly.
- HY shows a decrease in Revenue. In the last year, the revenue decreased by -8.30%.
- HY shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.53% yearly.
EPS 1Y (TTM)-80.58%
EPS 3YN/A
EPS 5Y35.91%
EPS Q2Q%-109.28%
Revenue 1Y (TTM)-8.3%
Revenue growth 3Y11.89%
Revenue growth 5Y5.53%
Sales Q2Q%-3.64%
3.2 Future
- The Earnings Per Share is expected to decrease by -13.08% on average over the next years. This is quite bad
- The Revenue is expected to decrease by -0.87% on average over the next years.
EPS Next Y-107.71%
EPS Next 2Y-43.26%
EPS Next 3Y-37.42%
EPS Next 5Y-13.08%
Revenue Next Year-11.64%
Revenue Next 2Y-6.5%
Revenue Next 3Y-3.18%
Revenue Next 5Y-0.87%
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 decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 19.13 indicates a rather expensive valuation of HY.
- Based on the Price/Earnings ratio, HY is valued a bit cheaper than the industry average as 77.27% of the companies are valued more expensively.
- HY's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.30.
- HY is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.13 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- 94.70% of the companies in the same industry are more expensive than HY, based on the Enterprise Value to EBITDA ratio.
- HY's Price/Free Cash Flow ratio is rather cheap when compared to the industry. HY is cheaper than 91.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.97 | ||
| EV/EBITDA | 7.01 |
4.3 Compensation for Growth
- A cheap valuation may be justified as HY's earnings are expected to decrease with -37.42% in the coming years.
PEG (NY)N/A
PEG (5Y)0.53
EPS Next 2Y-43.26%
EPS Next 3Y-37.42%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 4.21%, HY is a good candidate for dividend investing.
- HY's Dividend Yield is rather good when compared to the industry average which is at 0.98. HY pays more dividend than 98.48% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, HY pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
5.2 History
- The dividend of HY has a limited annual growth rate of 1.92%.
- HY has paid a dividend for at least 10 years, which is a reliable track record.
- HY has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.92%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
- 925.93% of the earnings are spent on dividend by HY. This is not a sustainable payout ratio.
- HY's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP925.93%
EPS Next 2Y-43.26%
EPS Next 3Y-37.42%
HYSTER-YALE INC / HY FAQ
What is the fundamental rating for HY stock?
ChartMill assigns a fundamental rating of 3 / 10 to HY.
Can you provide the valuation status for HYSTER-YALE INC?
ChartMill assigns a valuation rating of 4 / 10 to HYSTER-YALE INC (HY). This can be considered as Fairly Valued.
How profitable is HYSTER-YALE INC (HY) stock?
HYSTER-YALE INC (HY) has a profitability rating of 3 / 10.
What are the PE and PB ratios of HYSTER-YALE INC (HY) stock?
The Price/Earnings (PE) ratio for HYSTER-YALE INC (HY) is 19.13 and the Price/Book (PB) ratio is 1.09.
Can you provide the dividend sustainability for HY stock?
The dividend rating of HYSTER-YALE INC (HY) is 7 / 10 and the dividend payout ratio is 925.93%.