IDEX CORP (IEX) Stock Fundamental Analysis
NYSE:IEX - New York Stock Exchange, Inc. - US45167R1041 - Common Stock - Currency: USD
Overall IEX gets a fundamental rating of 6 out of 10. We evaluated IEX against 128 industry peers in the Machinery industry. While IEX has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, IEX is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
IEX had positive earnings in the past year.
In the past year IEX had a positive cash flow from operations.
In the past 5 years IEX has always been profitable.
Each year in the past 5 years IEX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of IEX (7.49%) is better than 67.97% of its industry peers.
The Return On Equity of IEX (13.31%) is better than 63.28% of its industry peers.
IEX has a better Return On Invested Capital (8.96%) than 61.72% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for IEX is in line with the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 13.31% | ||
| ROIC | 8.96% |
ROA(3y)9.43%
ROA(5y)9.2%
ROE(3y)16.48%
ROE(5y)16.07%
ROIC(3y)10.77%
ROIC(5y)10.86%
1.3 Margins
Looking at the Profit Margin, with a value of 15.45%, IEX belongs to the top of the industry, outperforming 89.06% of the companies in the same industry.
IEX's Profit Margin has declined in the last couple of years.
IEX's Operating Margin of 21.32% is amongst the best of the industry. IEX outperforms 91.41% of its industry peers.
IEX's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 44.21%, IEX belongs to the best of the industry, outperforming 81.25% of the companies in the same industry.
IEX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.32% | ||
| PM (TTM) | 15.45% | ||
| GM | 44.21% |
OM growth 3Y-3.35%
OM growth 5Y-2.38%
PM growth 3Y-1.68%
PM growth 5Y-1.96%
GM growth 3Y-0.06%
GM growth 5Y-0.4%
2. Health
2.1 Basic Checks
IEX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for IEX has been increased compared to 1 year ago.
Compared to 5 years ago, IEX has less shares outstanding
Compared to 1 year ago, IEX has a worse debt to assets ratio.
2.2 Solvency
IEX has an Altman-Z score of 4.39. This indicates that IEX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of IEX (4.39) is better than 72.66% of its industry peers.
IEX has a debt to FCF ratio of 3.25. This is a good value and a sign of high solvency as IEX would need 3.25 years to pay back of all of its debts.
IEX has a better Debt to FCF ratio (3.25) than 63.28% of its industry peers.
A Debt/Equity ratio of 0.49 indicates that IEX is not too dependend on debt financing.
IEX has a Debt to Equity ratio of 0.49. This is comparable to the rest of the industry: IEX outperforms 46.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.25 | ||
| Altman-Z | 4.39 |
ROIC/WACC0.91
WACC9.8%
2.3 Liquidity
A Current Ratio of 2.53 indicates that IEX has no problem at all paying its short term obligations.
IEX's Current ratio of 2.53 is fine compared to the rest of the industry. IEX outperforms 64.06% of its industry peers.
IEX has a Quick Ratio of 1.85. This is a normal value and indicates that IEX is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.85, IEX is doing good in the industry, outperforming 73.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
The earnings per share for IEX have decreased by -4.14% in the last year.
The Earnings Per Share has been growing slightly by 6.36% on average over the past years.
The Revenue has decreased by -0.16% in the past year.
Measured over the past years, IEX shows a small growth in Revenue. The Revenue has been growing by 5.55% on average per year.
EPS 1Y (TTM)-4.14%
EPS 3Y7.74%
EPS 5Y6.36%
EPS Q2Q%11.48%
Revenue 1Y (TTM)-0.16%
Revenue growth 3Y5.74%
Revenue growth 5Y5.55%
Sales Q2Q%9.38%
3.2 Future
The Earnings Per Share is expected to grow by 10.24% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.12% on average over the next years. This is quite good.
EPS Next Y4.23%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
EPS Next 5Y10.24%
Revenue Next Year4.72%
Revenue Next 2Y4.96%
Revenue Next 3Y5.84%
Revenue Next 5Y9.12%
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
The Price/Earnings ratio is 20.81, which indicates a rather expensive current valuation of IEX.
IEX's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 28.29, IEX is valued a bit cheaper.
The Price/Forward Earnings ratio is 19.96, which indicates a rather expensive current valuation of IEX.
The rest of the industry has a similar Price/Forward Earnings ratio as IEX.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.08, IEX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.81 | ||
| Fwd PE | 19.96 |
4.2 Price Multiples
IEX's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as IEX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.54 | ||
| EV/EBITDA | 15.73 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
IEX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)4.91
PEG (5Y)3.27
EPS Next 2Y5.83%
EPS Next 3Y6.65%
5. Dividend
5.1 Amount
IEX has a Yearly Dividend Yield of 1.68%.
In the last 3 months the price of IEX has falen by -23.99%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
IEX's Dividend Yield is a higher than the industry average which is at 2.12.
Compared to the average S&P500 Dividend Yield of 2.52, IEX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
5.2 History
On average, the dividend of IEX grows each year by 6.95%, which is quite nice.
IEX has been paying a dividend for at least 10 years, so it has a reliable track record.
IEX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.95%
Div Incr Years15
Div Non Decr Years29
5.3 Sustainability
IEX pays out 40.65% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of IEX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP40.65%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
163.95
-0.13 (-0.08%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners103.14%
Inst Owner Change0.32%
Ins Owners0.18%
Ins Owner Change2.52%
Market Cap12.38B
Analysts75.79
Price Target234.35 (42.94%)
Short Float %1.43%
Short Ratio1.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.68% |
Yearly Dividend2.71
Dividend Growth(5Y)6.95%
DP40.65%
Div Incr Years15
Div Non Decr Years29
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.14%
Min EPS beat(2)-0.18%
Max EPS beat(2)-0.11%
EPS beat(4)1
Avg EPS beat(4)1.37%
Min EPS beat(4)-0.18%
Max EPS beat(4)5.89%
EPS beat(8)5
Avg EPS beat(8)2.92%
EPS beat(12)9
Avg EPS beat(12)3.92%
EPS beat(16)11
Avg EPS beat(16)3.12%
Revenue beat(2)0
Avg Revenue beat(2)-0.61%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)-0.12%
Revenue beat(4)0
Avg Revenue beat(4)-1.61%
Min Revenue beat(4)-3.45%
Max Revenue beat(4)-0.12%
Revenue beat(8)2
Avg Revenue beat(8)-0.67%
Revenue beat(12)6
Avg Revenue beat(12)0.8%
Revenue beat(16)8
Avg Revenue beat(16)0.67%
PT rev (1m)-0.69%
PT rev (3m)-3.24%
EPS NQ rev (1m)-2.26%
EPS NQ rev (3m)-19.64%
EPS NY rev (1m)-1.82%
EPS NY rev (3m)-5.12%
Revenue NQ rev (1m)-0.34%
Revenue NQ rev (3m)-7.52%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)-2.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.81 | ||
| Fwd PE | 19.96 | ||
| P/S | 3.79 | ||
| P/FCF | 20.54 | ||
| P/OCF | 18.54 | ||
| P/B | 3.26 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.73 |
EPS(TTM)7.88
EY4.81%
EPS(NY)8.21
Fwd EY5.01%
FCF(TTM)7.98
FCFY4.87%
OCF(TTM)8.84
OCFY5.39%
SpS43.27
BVpS50.23
TBVpS-9.82
PEG (NY)4.91
PEG (5Y)3.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 13.31% | ||
| ROCE | 11.4% | ||
| ROIC | 8.96% | ||
| ROICexc | 9.97% | ||
| ROICexgc | 57.18% | ||
| OM | 21.32% | ||
| PM (TTM) | 15.45% | ||
| GM | 44.21% | ||
| FCFM | 18.45% |
ROA(3y)9.43%
ROA(5y)9.2%
ROE(3y)16.48%
ROE(5y)16.07%
ROIC(3y)10.77%
ROIC(5y)10.86%
ROICexc(3y)11.91%
ROICexc(5y)12.81%
ROICexgc(3y)60.63%
ROICexgc(5y)61.29%
ROCE(3y)13.7%
ROCE(5y)13.82%
ROICexcg growth 3Y-3.1%
ROICexcg growth 5Y-4.49%
ROICexc growth 3Y-11.38%
ROICexc growth 5Y-9.81%
OM growth 3Y-3.35%
OM growth 5Y-2.38%
PM growth 3Y-1.68%
PM growth 5Y-1.96%
GM growth 3Y-0.06%
GM growth 5Y-0.4%
F-Score4
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.25 | ||
| Debt/EBITDA | 2.13 | ||
| Cap/Depr | 37.07% | ||
| Cap/Sales | 1.99% | ||
| Interest Coverage | 14.7 | ||
| Cash Conversion | 76.57% | ||
| Profit Quality | 119.41% | ||
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z | 4.39 |
F-Score4
WACC9.8%
ROIC/WACC0.91
Cap/Depr(3y)51%
Cap/Depr(5y)57.05%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.34%
Profit Quality(3y)102.65%
Profit Quality(5y)110.92%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.14%
EPS 3Y7.74%
EPS 5Y6.36%
EPS Q2Q%11.48%
EPS Next Y4.23%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
EPS Next 5Y10.24%
Revenue 1Y (TTM)-0.16%
Revenue growth 3Y5.74%
Revenue growth 5Y5.55%
Sales Q2Q%9.38%
Revenue Next Year4.72%
Revenue Next 2Y4.96%
Revenue Next 3Y5.84%
Revenue Next 5Y9.12%
EBIT growth 1Y-7.17%
EBIT growth 3Y2.2%
EBIT growth 5Y3.04%
EBIT Next Year31.29%
EBIT Next 3Y16.44%
EBIT Next 5Y15.58%
FCF growth 1Y-3.8%
FCF growth 3Y6.97%
FCF growth 5Y4.79%
OCF growth 1Y-6.78%
OCF growth 3Y5.73%
OCF growth 5Y4.82%