PARK-OHIO HOLDINGS CORP (PKOH) Stock Fundamental Analysis
USA - NASDAQ:PKOH - US7006661000 - Common Stock
20.6 USD
+0.38 (+1.88%)
20.6 USD
0 (0%)
Overall PKOH gets a fundamental rating of 3 out of 10. We evaluated PKOH against 129 industry peers in the Machinery industry. PKOH has a bad profitability rating. Also its financial health evaluation is rather negative. PKOH is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PKOH was profitable.
In the past year PKOH had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PKOH reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: PKOH reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.96%, PKOH is doing worse than 61.24% of the companies in the same industry.
The Return On Equity of PKOH (7.49%) is comparable to the rest of the industry.
The Return On Invested Capital of PKOH (6.22%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for PKOH is below the industry average of 10.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 7.49% | ||
| ROIC | 6.22% |
ROA(3y)0.64%
ROA(5y)-0.05%
ROE(3y)2.29%
ROE(5y)-0.47%
ROIC(3y)6.45%
ROIC(5y)4.66%
1.3 Margins
Looking at the Profit Margin, with a value of 1.73%, PKOH is doing worse than 62.79% of the companies in the same industry.
In the last couple of years the Profit Margin of PKOH has declined.
PKOH's Operating Margin of 4.98% is on the low side compared to the rest of the industry. PKOH is outperformed by 63.57% of its industry peers.
In the last couple of years the Operating Margin of PKOH has remained more or less at the same level.
Looking at the Gross Margin, with a value of 16.95%, PKOH is doing worse than 78.29% of the companies in the same industry.
In the last couple of years the Gross Margin of PKOH has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.98% | ||
| PM (TTM) | 1.73% | ||
| GM | 16.95% |
OM growth 3Y46.11%
OM growth 5Y-0.08%
PM growth 3YN/A
PM growth 5Y-4.25%
GM growth 3Y6.84%
GM growth 5Y0.78%
2. Health
2.1 Basic Checks
PKOH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for PKOH has been increased compared to 1 year ago.
Compared to 5 years ago, PKOH has more shares outstanding
PKOH has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.21 indicates that PKOH is not a great score, but indicates only limited risk for bankruptcy at the moment.
PKOH has a worse Altman-Z score (2.21) than 62.79% of its industry peers.
PKOH has a Debt/Equity ratio of 1.77. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.77, PKOH is not doing good in the industry: 86.82% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.21 |
ROIC/WACC0.67
WACC9.23%
2.3 Liquidity
PKOH has a Current Ratio of 2.60. This indicates that PKOH is financially healthy and has no problem in meeting its short term obligations.
PKOH has a Current ratio of 2.60. This is in the better half of the industry: PKOH outperforms 68.22% of its industry peers.
A Quick Ratio of 1.33 indicates that PKOH should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.33, PKOH is in line with its industry, outperforming 55.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.6 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
PKOH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.21%, which is quite good.
PKOH shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.71% yearly.
PKOH shows a decrease in Revenue. In the last year, the revenue decreased by -0.21%.
Measured over the past years, PKOH shows a small growth in Revenue. The Revenue has been growing by 0.46% on average per year.
EPS 1Y (TTM)17.21%
EPS 3YN/A
EPS 5Y-0.71%
EPS Q2Q%0%
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y9.05%
Revenue growth 5Y0.46%
Sales Q2Q%0%
3.2 Future
Based on estimates for the next years, PKOH will show a decrease in Earnings Per Share. The EPS will decrease by -5.81% on average per year.
The Revenue is expected to grow by 6.77% on average over the next years.
EPS Next Y-14.81%
EPS Next 2Y-5.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.75%
Revenue Next 2Y0.12%
Revenue Next 3Y7.62%
Revenue Next 5Y6.77%
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 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 5.71, which indicates a rather cheap valuation of PKOH.
98.45% of the companies in the same industry are more expensive than PKOH, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of PKOH to the average of the S&P500 Index (27.55), we can say PKOH is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.43, the valuation of PKOH can be described as very cheap.
Based on the Price/Forward Earnings ratio, PKOH is valued cheaper than 98.45% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.04. PKOH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.71 | ||
| Fwd PE | 6.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PKOH is valued cheaper than 86.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.02 |
4.3 Compensation for Growth
PKOH's earnings are expected to decrease with -5.81% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.81%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PKOH has a Yearly Dividend Yield of 2.49%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.81, PKOH pays a better dividend. On top of this PKOH pays more dividend than 88.37% of the companies listed in the same industry.
PKOH's Dividend Yield is comparable with the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.49% |
5.2 History
The dividend of PKOH decreases each year by -0.96%.
PKOH has been paying a dividend for at least 10 years, so it has a reliable track record.
PKOH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.96%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
PKOH pays out 26.98% of its income as dividend. This is a sustainable payout ratio.
PKOH's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP26.98%
EPS Next 2Y-5.81%
EPS Next 3YN/A
20.6
+0.38 (+1.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners52.91%
Inst Owner Change0.67%
Ins Owners26.03%
Ins Owner Change3.08%
Market Cap296.64M
Analysts43.33
Price TargetN/A
Short Float %1.02%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.49% |
Yearly Dividend0.53
Dividend Growth(5Y)-0.96%
DP26.98%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.83%
Min EPS beat(2)-22.51%
Max EPS beat(2)2.84%
EPS beat(4)3
Avg EPS beat(4)1.04%
Min EPS beat(4)-22.51%
Max EPS beat(4)17.87%
EPS beat(8)6
Avg EPS beat(8)4.09%
EPS beat(12)9
Avg EPS beat(12)-2.97%
EPS beat(16)10
Avg EPS beat(16)-52.54%
Revenue beat(2)0
Avg Revenue beat(2)-4.89%
Min Revenue beat(2)-6.54%
Max Revenue beat(2)-3.24%
Revenue beat(4)0
Avg Revenue beat(4)-5.66%
Min Revenue beat(4)-6.68%
Max Revenue beat(4)-3.24%
Revenue beat(8)1
Avg Revenue beat(8)-4.33%
Revenue beat(12)3
Avg Revenue beat(12)-4.42%
Revenue beat(16)4
Avg Revenue beat(16)-7.32%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.71 | ||
| Fwd PE | 6.43 | ||
| P/S | 0.18 | ||
| P/FCF | N/A | ||
| P/OCF | 28.8 | ||
| P/B | 0.8 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 8.02 |
EPS(TTM)3.61
EY17.52%
EPS(NY)3.2
Fwd EY15.55%
FCF(TTM)-1.72
FCFYN/A
OCF(TTM)0.72
OCFY3.47%
SpS111.91
BVpS25.77
TBVpS12.67
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 7.49% | ||
| ROCE | 7.39% | ||
| ROIC | 6.22% | ||
| ROICexc | 6.5% | ||
| ROICexgc | 7.94% | ||
| OM | 4.98% | ||
| PM (TTM) | 1.73% | ||
| GM | 16.95% | ||
| FCFM | N/A |
ROA(3y)0.64%
ROA(5y)-0.05%
ROE(3y)2.29%
ROE(5y)-0.47%
ROIC(3y)6.45%
ROIC(5y)4.66%
ROICexc(3y)6.82%
ROICexc(5y)4.93%
ROICexgc(3y)8.5%
ROICexgc(5y)6.15%
ROCE(3y)7.65%
ROCE(5y)5.53%
ROICexcg growth 3Y59.47%
ROICexcg growth 5Y-0.06%
ROICexc growth 3Y59.67%
ROICexc growth 5Y0.35%
OM growth 3Y46.11%
OM growth 5Y-0.08%
PM growth 3YN/A
PM growth 5Y-4.25%
GM growth 3Y6.84%
GM growth 5Y0.78%
F-Score6
Asset Turnover1.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.78 | ||
| Cap/Depr | 105.09% | ||
| Cap/Sales | 2.18% | ||
| Interest Coverage | 1.74 | ||
| Cash Conversion | 9.07% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.6 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 2.21 |
F-Score6
WACC9.23%
ROIC/WACC0.67
Cap/Depr(3y)90.49%
Cap/Depr(5y)83.17%
Cap/Sales(3y)1.8%
Cap/Sales(5y)1.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.21%
EPS 3YN/A
EPS 5Y-0.71%
EPS Q2Q%0%
EPS Next Y-14.81%
EPS Next 2Y-5.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y9.05%
Revenue growth 5Y0.46%
Sales Q2Q%0%
Revenue Next Year-2.75%
Revenue Next 2Y0.12%
Revenue Next 3Y7.62%
Revenue Next 5Y6.77%
EBIT growth 1Y-15.4%
EBIT growth 3Y59.34%
EBIT growth 5Y0.39%
EBIT Next Year46.02%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-36.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.57%
OCF growth 3YN/A
OCF growth 5Y-14.1%