ITURAN LOCATION AND CONTROL (ITRN)
IL0010818685 - Common Stock
ITRN gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 51 industry peers in the Communications Equipment industry. ITRN scores excellent on profitability, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ITRN. These ratings would make ITRN suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year ITRN was profitable.
In the past year ITRN had a positive cash flow from operations.
In the past 5 years ITRN has always been profitable.
Each year in the past 5 years ITRN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 15.90%, ITRN belongs to the top of the industry, outperforming 96.08% of the companies in the same industry.
ITRN's Return On Equity of 28.88% is amongst the best of the industry. ITRN outperforms 96.08% of its industry peers.
Looking at the Return On Invested Capital, with a value of 23.32%, ITRN belongs to the top of the industry, outperforming 96.08% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ITRN is significantly above the industry average of 10.16%.
The last Return On Invested Capital (23.32%) for ITRN is above the 3 year average (22.68%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.9% | ||
| ROE | 28.88% | ||
| ROIC | 23.32% |
ROA(3y)13.19%
ROA(5y)9.35%
ROE(3y)26.31%
ROE(5y)19.38%
ROIC(3y)22.68%
ROIC(5y)20.05%
1.3 Margins
ITRN has a Profit Margin of 15.42%. This is amongst the best in the industry. ITRN outperforms 92.16% of its industry peers.
ITRN's Profit Margin has declined in the last couple of years.
ITRN's Operating Margin of 20.74% is amongst the best of the industry. ITRN outperforms 90.20% of its industry peers.
ITRN's Operating Margin has declined in the last couple of years.
ITRN has a better Gross Margin (47.80%) than 66.67% of its industry peers.
ITRN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.74% | ||
| PM (TTM) | 15.42% | ||
| GM | 47.8% |
OM growth 3Y6.42%
OM growth 5Y-3.5%
PM growth 3Y31.9%
PM growth 5Y-8.89%
GM growth 3Y0.59%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ITRN is creating value.
Compared to 1 year ago, ITRN has about the same amount of shares outstanding.
Compared to 5 years ago, ITRN has more shares outstanding
ITRN has a better debt/assets ratio than last year.
2.2 Solvency
There is no outstanding debt for ITRN. 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 | N/A |
ROIC/WACC2.45
WACC9.51%
2.3 Liquidity
A Current Ratio of 2.04 indicates that ITRN has no problem at all paying its short term obligations.
ITRN has a Current ratio (2.04) which is in line with its industry peers.
ITRN has a Quick Ratio of 1.77. This is a normal value and indicates that ITRN is financially healthy and should not expect problems in meeting its short term obligations.
ITRN's Quick ratio of 1.77 is fine compared to the rest of the industry. ITRN outperforms 62.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.77 |
3. Growth
3.1 Past
ITRN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.72%, which is quite good.
ITRN shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.53% yearly.
ITRN shows a small growth in Revenue. In the last year, the Revenue has grown by 6.49%.
ITRN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.78% yearly.
EPS 1Y (TTM)19.72%
EPS 3Y18.84%
EPS 5Y-3.53%
EPS Q2Q%8.2%
Revenue 1Y (TTM)6.49%
Revenue growth 3Y9.22%
Revenue growth 5Y4.78%
Sales Q2Q%3.95%
3.2 Future
ITRN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.68% yearly.
ITRN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.45% yearly.
EPS Next Y9.22%
EPS Next 2Y7.32%
EPS Next 3Y8.68%
EPS Next 5YN/A
Revenue Next Year4.89%
Revenue Next 2Y7.65%
Revenue Next 3Y8.45%
Revenue Next 5YN/A
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.
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
A Price/Earnings ratio of 10.97 indicates a reasonable valuation of ITRN.
90.20% of the companies in the same industry are more expensive than ITRN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.65. ITRN is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 10.12, which indicates a very decent valuation of ITRN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ITRN indicates a rather cheap valuation: ITRN is cheaper than 88.24% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ITRN to the average of the S&P500 Index (23.56), we can say ITRN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
98.04% of the companies in the same industry are more expensive than ITRN, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ITRN is valued cheaply inside the industry as 88.24% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.92 | ||
| EV/EBITDA | 5.33 |
4.3 Compensation for Growth
ITRN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ITRN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.19
PEG (5Y)N/A
EPS Next 2Y7.32%
EPS Next 3Y8.68%
5. Dividend
5.1 Amount
ITRN has a Yearly Dividend Yield of 5.14%, which is a nice return.
ITRN's Dividend Yield is rather good when compared to the industry average which is at 11.97. ITRN pays more dividend than 94.12% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.23, ITRN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.14% |
5.2 History
The dividend of ITRN decreases each year by -12.43%.
ITRN has paid a dividend for at least 10 years, which is a reliable track record.
ITRN has decreased its dividend in the last 3 years.
Dividend Growth(5Y)-12.43%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
ITRN pays out 36.44% of its income as dividend. This is a sustainable payout ratio.
DP36.44%
EPS Next 2Y7.32%
EPS Next 3Y8.68%
ITURAN LOCATION AND CONTROL
NASDAQ:ITRN (11/21/2024, 10:30:06 AM)
27.97
+0.71 (+2.6%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap556.32M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.14% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 10.12 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.9% | ||
| ROE | 28.88% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 20.74% | ||
| PM (TTM) | 15.42% | ||
| GM | 47.8% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.77 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)19.72%
EPS 3Y18.84%
EPS 5Y
EPS Q2Q%
EPS Next Y9.22%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)6.49%
Revenue growth 3Y9.22%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y