POLARIS INC (PII) Stock Fundamental Analysis
USA - NYSE:PII - US7310681025 - Common Stock
66.1 USD
-1.19 (-1.77%)
66.1 USD
0 (0%)
Taking everything into account, PII scores 4 out of 10 in our fundamental rating. PII was compared to 33 industry peers in the Leisure Products industry. PII has a medium profitability rating, but doesn't score so well on its financial health evaluation. While showing a medium growth rate, PII is valued expensive at the moment. Finally PII also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
PII had positive earnings in the past year.
PII had a positive operating cash flow in the past year.
In the past 5 years PII has always been profitable.
Each year in the past 5 years PII had a positive operating cash flow.
1.2 Ratios
PII's Return On Assets of -2.00% is in line compared to the rest of the industry. PII outperforms 51.52% of its industry peers.
The Return On Equity of PII (-9.10%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 1.38%, PII is in line with its industry, outperforming 45.45% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PII is significantly above the industry average of 7.26%.
The last Return On Invested Capital (1.38%) for PII is well below the 3 year average (13.27%), which needs to be investigated, but indicates that PII had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2% | ||
| ROE | -9.1% | ||
| ROIC | 1.38% |
ROA(3y)6.56%
ROA(5y)6.43%
ROE(3y)28.24%
ROE(5y)27.19%
ROIC(3y)13.27%
ROIC(5y)14.68%
1.3 Margins
In the last couple of years the Profit Margin of PII has declined.
PII has a Operating Margin of 0.73%. This is comparable to the rest of the industry: PII outperforms 45.45% of its industry peers.
In the last couple of years the Operating Margin of PII has declined.
PII has a Gross Margin of 19.18%. This is in the lower half of the industry: PII underperforms 72.73% of its industry peers.
PII's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.73% | ||
| PM (TTM) | N/A | ||
| GM | 19.18% |
OM growth 3Y-31.67%
OM growth 5Y-13.83%
PM growth 3Y-38.5%
PM growth 5Y-20.22%
GM growth 3Y-4.59%
GM growth 5Y-3.41%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PII is creating some value.
The number of shares outstanding for PII has been reduced compared to 1 year ago.
Compared to 5 years ago, PII has less shares outstanding
The debt/assets ratio for PII is higher compared to a year ago.
2.2 Solvency
PII has an Altman-Z score of 1.85. This is not the best score and indicates that PII is in the grey zone with still only limited risk for bankruptcy at the moment.
PII's Altman-Z score of 1.85 is in line compared to the rest of the industry. PII outperforms 45.45% of its industry peers.
The Debt to FCF ratio of PII is 4.38, which is a neutral value as it means it would take PII, 4.38 years of fcf income to pay off all of its debts.
PII has a Debt to FCF ratio of 4.38. This is in the better half of the industry: PII outperforms 69.70% of its industry peers.
PII has a Debt/Equity ratio of 1.17. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.17, PII is not doing good in the industry: 75.76% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 4.38 | ||
| Altman-Z | 1.85 |
ROIC/WACC0.12
WACC11.54%
2.3 Liquidity
A Current Ratio of 1.04 indicates that PII should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.04, PII is doing worse than 84.85% of the companies in the same industry.
PII has a Quick Ratio of 1.04. This is a bad value and indicates that PII is not financially healthy enough and could expect problems in meeting its short term obligations.
PII has a Quick ratio of 0.37. This is amonst the worse of the industry: PII underperforms 90.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
PII shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -80.79%.
PII shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -12.40% yearly.
Looking at the last year, PII shows a very negative growth in Revenue. The Revenue has decreased by -19.69% in the last year.
The Revenue has been growing slightly by 1.13% on average over the past years.
EPS 1Y (TTM)-80.79%
EPS 3Y-29.08%
EPS 5Y-12.4%
EPS Q2Q%-43.84%
Revenue 1Y (TTM)-19.69%
Revenue growth 3Y-1.2%
Revenue growth 5Y1.13%
Sales Q2Q%6.92%
3.2 Future
Based on estimates for the next years, PII will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.10% on average per year.
The Revenue is expected to grow by 1.98% on average over the next years.
EPS Next Y-115.18%
EPS Next 2Y-37.77%
EPS Next 3Y-2.6%
EPS Next 5Y16.1%
Revenue Next Year-2.86%
Revenue Next 2Y0.26%
Revenue Next 3Y1.82%
Revenue Next 5Y1.98%
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
A Price/Earnings ratio of 79.64 indicates a quite expensive valuation of PII.
Compared to the rest of the industry, the Price/Earnings ratio of PII is on the same level as its industry peers.
PII is valuated expensively when we compare the Price/Earnings ratio to 26.19, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 52.35, the valuation of PII can be described as expensive.
PII's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.50. PII is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.64 | ||
| Fwd PE | 52.35 |
4.2 Price Multiples
PII's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, PII is valued cheaply inside the industry as 90.91% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.9 | ||
| EV/EBITDA | 15.1 |
4.3 Compensation for Growth
PII's earnings are expected to decrease with -2.60% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-37.77%
EPS Next 3Y-2.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.96%, PII has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.90, PII pays a better dividend. On top of this PII pays more dividend than 84.85% of the companies listed in the same industry.
PII's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
The dividend of PII has a limited annual growth rate of 1.47%.
PII has paid a dividend for at least 10 years, which is a reliable track record.
PII has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.47%
Div Incr Years29
Div Non Decr Years29
5.3 Sustainability
The earnings of PII are negative and hence is the payout ratio. PII will probably not be able to sustain this dividend level.
PII's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-137.94%
EPS Next 2Y-37.77%
EPS Next 3Y-2.6%
66.1
-1.19 (-1.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners106.39%
Inst Owner Change0.61%
Ins Owners1.04%
Ins Owner Change2.78%
Market Cap3.72B
Revenue(TTM)7.18B
Net Income(TTM)-107800000
Analysts55.65
Price Target62.23 (-5.85%)
Short Float %15.67%
Short Ratio6.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
Yearly Dividend2.62
Dividend Growth(5Y)1.47%
DP-137.94%
Div Incr Years29
Div Non Decr Years29
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13514.1%
Min EPS beat(2)2.26%
Max EPS beat(2)27026%
EPS beat(4)3
Avg EPS beat(4)6753.03%
Min EPS beat(4)-18.12%
Max EPS beat(4)27026%
EPS beat(8)4
Avg EPS beat(8)3406.9%
EPS beat(12)8
Avg EPS beat(12)2275.05%
EPS beat(16)10
Avg EPS beat(16)1705.73%
Revenue beat(2)1
Avg Revenue beat(2)2.62%
Min Revenue beat(2)-1.55%
Max Revenue beat(2)6.78%
Revenue beat(4)2
Avg Revenue beat(4)1.21%
Min Revenue beat(4)-3.51%
Max Revenue beat(4)6.78%
Revenue beat(8)3
Avg Revenue beat(8)-1%
Revenue beat(12)6
Avg Revenue beat(12)0.7%
Revenue beat(16)6
Avg Revenue beat(16)-2.47%
PT rev (1m)0%
PT rev (3m)41.17%
EPS NQ rev (1m)81.41%
EPS NQ rev (3m)82.31%
EPS NY rev (1m)13.8%
EPS NY rev (3m)63.19%
Revenue NQ rev (1m)3.12%
Revenue NQ rev (3m)3.79%
Revenue NY rev (1m)0.61%
Revenue NY rev (3m)3.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.64 | ||
| Fwd PE | 52.35 | ||
| P/S | 0.54 | ||
| P/FCF | 8.9 | ||
| P/OCF | 5.89 | ||
| P/B | 3.14 | ||
| P/tB | 12.21 | ||
| EV/EBITDA | 15.1 |
EPS(TTM)0.83
EY1.26%
EPS(NY)1.26
Fwd EY1.91%
FCF(TTM)7.42
FCFY11.23%
OCF(TTM)11.22
OCFY16.97%
SpS122.13
BVpS21.08
TBVpS5.41
PEG (NY)N/A
PEG (5Y)N/A
Graham Number19.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2% | ||
| ROE | -9.1% | ||
| ROCE | 1.73% | ||
| ROIC | 1.38% | ||
| ROICexc | 1.56% | ||
| ROICexgc | 2.38% | ||
| OM | 0.73% | ||
| PM (TTM) | N/A | ||
| GM | 19.18% | ||
| FCFM | 6.08% |
ROA(3y)6.56%
ROA(5y)6.43%
ROE(3y)28.24%
ROE(5y)27.19%
ROIC(3y)13.27%
ROIC(5y)14.68%
ROICexc(3y)14.84%
ROICexc(5y)17.35%
ROICexgc(3y)22.05%
ROICexgc(5y)29.49%
ROCE(3y)16.58%
ROCE(5y)18.35%
ROICexgc growth 3Y-42.04%
ROICexgc growth 5Y-20.67%
ROICexc growth 3Y-37.75%
ROICexc growth 5Y-14.06%
OM growth 3Y-31.67%
OM growth 5Y-13.83%
PM growth 3Y-38.5%
PM growth 5Y-20.22%
GM growth 3Y-4.59%
GM growth 5Y-3.41%
F-Score3
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 4.38 | ||
| Debt/EBITDA | 3.98 | ||
| Cap/Depr | 71.09% | ||
| Cap/Sales | 3.11% | ||
| Interest Coverage | 0.35 | ||
| Cash Conversion | 180.18% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 1.85 |
F-Score3
WACC11.54%
ROIC/WACC0.12
Cap/Depr(3y)134.79%
Cap/Depr(5y)122.45%
Cap/Sales(3y)4.24%
Cap/Sales(5y)3.95%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-80.79%
EPS 3Y-29.08%
EPS 5Y-12.4%
EPS Q2Q%-43.84%
EPS Next Y-115.18%
EPS Next 2Y-37.77%
EPS Next 3Y-2.6%
EPS Next 5Y16.1%
Revenue 1Y (TTM)-19.69%
Revenue growth 3Y-1.2%
Revenue growth 5Y1.13%
Sales Q2Q%6.92%
Revenue Next Year-2.86%
Revenue Next 2Y0.26%
Revenue Next 3Y1.82%
Revenue Next 5Y1.98%
EBIT growth 1Y-87.89%
EBIT growth 3Y-32.49%
EBIT growth 5Y-12.85%
EBIT Next Year7.23%
EBIT Next 3Y20.41%
EBIT Next 5Y19.06%
FCF growth 1Y-19.75%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-30.95%
OCF growth 3Y-2.98%
OCF growth 5Y-16.35%
POLARIS INC / PII FAQ
Can you provide the ChartMill fundamental rating for POLARIS INC?
ChartMill assigns a fundamental rating of 4 / 10 to PII.
What is the valuation status of POLARIS INC (PII) stock?
ChartMill assigns a valuation rating of 2 / 10 to POLARIS INC (PII). This can be considered as Overvalued.
What is the profitability of PII stock?
POLARIS INC (PII) has a profitability rating of 4 / 10.
What is the financial health of POLARIS INC (PII) stock?
The financial health rating of POLARIS INC (PII) is 3 / 10.
Is the dividend of POLARIS INC sustainable?
The dividend rating of POLARIS INC (PII) is 7 / 10 and the dividend payout ratio is -137.94%.