IPG PHOTONICS CORP (IPGP) Stock Fundamental Analysis
USA - NASDAQ:IPGP - US44980X1090 - Common Stock
75.79 USD
-0.71 (-0.93%)
75.79 USD
0 (0%)
IPGP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 123 industry peers in the Electronic Equipment, Instruments & Components industry. IPGP is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. IPGP has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year IPGP was profitable.
In the past year IPGP had a positive cash flow from operations.
Of the past 5 years IPGP 4 years were profitable.
Each year in the past 5 years IPGP had a positive operating cash flow.
1.2 Ratios
IPGP has a Return On Assets (1.08%) which is comparable to the rest of the industry.
IPGP has a Return On Equity of 1.22%. This is comparable to the rest of the industry: IPGP outperforms 50.41% of its industry peers.
The Return On Invested Capital of IPGP (1.14%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for IPGP is below the industry average of 8.98%.
The 3 year average ROIC (5.15%) for IPGP is well above the current ROIC(1.14%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 1.22% | ||
| ROIC | 1.14% |
ROA(3y)1.4%
ROA(5y)3.68%
ROE(3y)1.57%
ROE(5y)4.2%
ROIC(3y)5.15%
ROIC(5y)6.41%
1.3 Margins
IPGP's Profit Margin of 2.66% is in line compared to the rest of the industry. IPGP outperforms 59.35% of its industry peers.
IPGP has a Operating Margin of 3.22%. This is comparable to the rest of the industry: IPGP outperforms 56.91% of its industry peers.
In the last couple of years the Operating Margin of IPGP has declined.
IPGP has a Gross Margin of 38.68%. This is in the better half of the industry: IPGP outperforms 65.04% of its industry peers.
In the last couple of years the Gross Margin of IPGP has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.22% | ||
| PM (TTM) | 2.66% | ||
| GM | 38.68% |
OM growth 3Y-60.56%
OM growth 5Y-41.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.12%
GM growth 5Y-5.58%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), IPGP is destroying value.
The number of shares outstanding for IPGP has been reduced compared to 1 year ago.
The number of shares outstanding for IPGP has been reduced compared to 5 years ago.
There is no outstanding debt for IPGP. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
IPGP has an Altman-Z score of 9.56. This indicates that IPGP is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 9.56, IPGP belongs to the top of the industry, outperforming 87.80% of the companies in the same industry.
There is no outstanding debt for IPGP. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 9.56 |
ROIC/WACC0.12
WACC9.17%
2.3 Liquidity
A Current Ratio of 6.72 indicates that IPGP has no problem at all paying its short term obligations.
IPGP has a Current ratio of 6.72. This is amongst the best in the industry. IPGP outperforms 86.99% of its industry peers.
A Quick Ratio of 5.20 indicates that IPGP has no problem at all paying its short term obligations.
IPGP's Quick ratio of 5.20 is amongst the best of the industry. IPGP outperforms 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.72 | ||
| Quick Ratio | 5.2 |
3. Growth
3.1 Past
IPGP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -71.63%.
Measured over the past years, IPGP shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -19.50% on average per year.
The Revenue has decreased by -7.49% in the past year.
Measured over the past years, IPGP shows a decrease in Revenue. The Revenue has been decreasing by -5.76% on average per year.
EPS 1Y (TTM)-71.63%
EPS 3Y-34.65%
EPS 5Y-19.5%
EPS Q2Q%-37.93%
Revenue 1Y (TTM)-7.49%
Revenue growth 3Y-12.55%
Revenue growth 5Y-5.76%
Sales Q2Q%7.57%
3.2 Future
Based on estimates for the next years, IPGP will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.39% on average per year.
IPGP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.17% yearly.
EPS Next Y-53.13%
EPS Next 2Y3.74%
EPS Next 3Y17.39%
EPS Next 5YN/A
Revenue Next Year-1.19%
Revenue Next 2Y3.05%
Revenue Next 3Y3.83%
Revenue Next 5Y7.17%
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
IPGP is valuated quite expensively with a Price/Earnings ratio of 124.25.
IPGP's Price/Earnings is on the same level as the industry average.
IPGP is valuated expensively when we compare the Price/Earnings ratio to 25.51, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 48.90, which means the current valuation is very expensive for IPGP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IPGP is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of IPGP to the average of the S&P500 Index (34.98), we can say IPGP is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 124.25 | ||
| Fwd PE | 48.9 |
4.2 Price Multiples
IPGP's Enterprise Value to EBITDA is on the same level as the industry average.
IPGP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 88.28 | ||
| EV/EBITDA | 19.47 |
4.3 Compensation for Growth
A more expensive valuation may be justified as IPGP's earnings are expected to grow with 17.39% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y3.74%
EPS Next 3Y17.39%
5. Dividend
5.1 Amount
No dividends for IPGP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
75.79
-0.71 (-0.93%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners70.07%
Inst Owner Change-0.59%
Ins Owners6.4%
Ins Owner Change-1.81%
Market Cap3.20B
Revenue(TTM)963.64M
Net Income(TTM)25.64M
Analysts72.94
Price Target84.49 (11.48%)
Short Float %8.88%
Short Ratio9.12
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)50.55%
Min EPS beat(2)31.14%
Max EPS beat(2)69.97%
EPS beat(4)2
Avg EPS beat(4)6.78%
Min EPS beat(4)-57.53%
Max EPS beat(4)69.97%
EPS beat(8)4
Avg EPS beat(8)7.36%
EPS beat(12)8
Avg EPS beat(12)8.53%
EPS beat(16)10
Avg EPS beat(16)9.66%
Revenue beat(2)2
Avg Revenue beat(2)4.8%
Min Revenue beat(2)2.53%
Max Revenue beat(2)7.06%
Revenue beat(4)3
Avg Revenue beat(4)2.24%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)7.06%
Revenue beat(8)5
Avg Revenue beat(8)0.8%
Revenue beat(12)7
Avg Revenue beat(12)0.29%
Revenue beat(16)9
Avg Revenue beat(16)0.2%
PT rev (1m)3.28%
PT rev (3m)21.81%
EPS NQ rev (1m)-14.76%
EPS NQ rev (3m)-15.77%
EPS NY rev (1m)-2.77%
EPS NY rev (3m)-29.87%
Revenue NQ rev (1m)1.58%
Revenue NQ rev (3m)1.45%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)2.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 124.25 | ||
| Fwd PE | 48.9 | ||
| P/S | 3.32 | ||
| P/FCF | 88.28 | ||
| P/OCF | 26.59 | ||
| P/B | 1.52 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 19.47 |
EPS(TTM)0.61
EY0.8%
EPS(NY)1.55
Fwd EY2.04%
FCF(TTM)0.86
FCFY1.13%
OCF(TTM)2.85
OCFY3.76%
SpS22.82
BVpS49.85
TBVpS46.92
PEG (NY)N/A
PEG (5Y)N/A
Graham Number26.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.08% | ||
| ROE | 1.22% | ||
| ROCE | 1.43% | ||
| ROIC | 1.14% | ||
| ROICexc | 1.91% | ||
| ROICexgc | 2.11% | ||
| OM | 3.22% | ||
| PM (TTM) | 2.66% | ||
| GM | 38.68% | ||
| FCFM | 3.76% |
ROA(3y)1.4%
ROA(5y)3.68%
ROE(3y)1.57%
ROE(5y)4.2%
ROIC(3y)5.15%
ROIC(5y)6.41%
ROICexc(3y)9.79%
ROICexc(5y)12.83%
ROICexgc(3y)10.36%
ROICexgc(5y)13.71%
ROCE(3y)6.46%
ROCE(5y)8.05%
ROICexgc growth 3Y-63.21%
ROICexgc growth 5Y-43.44%
ROICexc growth 3Y-63.72%
ROICexc growth 5Y-43.33%
OM growth 3Y-60.56%
OM growth 5Y-41.77%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-10.12%
GM growth 5Y-5.58%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 136.44% | ||
| Cap/Sales | 8.72% | ||
| Interest Coverage | 97.71 | ||
| Cash Conversion | 129.81% | ||
| Profit Quality | 141.36% | ||
| Current Ratio | 6.72 | ||
| Quick Ratio | 5.2 | ||
| Altman-Z | 9.56 |
F-Score7
WACC9.17%
ROIC/WACC0.12
Cap/Depr(3y)146.85%
Cap/Depr(5y)132.22%
Cap/Sales(3y)8.79%
Cap/Sales(5y)8.42%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-71.63%
EPS 3Y-34.65%
EPS 5Y-19.5%
EPS Q2Q%-37.93%
EPS Next Y-53.13%
EPS Next 2Y3.74%
EPS Next 3Y17.39%
EPS Next 5YN/A
Revenue 1Y (TTM)-7.49%
Revenue growth 3Y-12.55%
Revenue growth 5Y-5.76%
Sales Q2Q%7.57%
Revenue Next Year-1.19%
Revenue Next 2Y3.05%
Revenue Next 3Y3.83%
Revenue Next 5Y7.17%
EBIT growth 1Y3.86%
EBIT growth 3Y-65.51%
EBIT growth 5Y-45.12%
EBIT Next Year158.96%
EBIT Next 3Y43.07%
EBIT Next 5Y28.3%
FCF growth 1Y-69.97%
FCF growth 3Y-17.56%
FCF growth 5Y-4.7%
OCF growth 1Y-48.03%
OCF growth 3Y-14%
OCF growth 5Y-5.18%
IPG PHOTONICS CORP / IPGP FAQ
Can you provide the ChartMill fundamental rating for IPG PHOTONICS CORP?
ChartMill assigns a fundamental rating of 5 / 10 to IPGP.
Can you provide the valuation status for IPG PHOTONICS CORP?
ChartMill assigns a valuation rating of 2 / 10 to IPG PHOTONICS CORP (IPGP). This can be considered as Overvalued.
What is the profitability of IPGP stock?
IPG PHOTONICS CORP (IPGP) has a profitability rating of 4 / 10.
What are the PE and PB ratios of IPG PHOTONICS CORP (IPGP) stock?
The Price/Earnings (PE) ratio for IPG PHOTONICS CORP (IPGP) is 124.25 and the Price/Book (PB) ratio is 1.52.
Can you provide the financial health for IPGP stock?
The financial health rating of IPG PHOTONICS CORP (IPGP) is 9 / 10.