PARK-OHIO HOLDINGS CORP (PKOH) Stock Fundamental Analysis
USA - NASDAQ:PKOH - US7006661000 - Common Stock
21.79 USD
+0.34 (+1.59%)
21.79 USD
0 (0%)
Overall PKOH gets a fundamental rating of 3 out of 10. We evaluated PKOH against 128 industry peers in the Machinery industry. PKOH may be in some trouble as it scores bad on both profitability and health. PKOH has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
PKOH had positive earnings in the past year.
PKOH had a positive operating cash flow in the past year.
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 61.72% of the companies in the same industry.
PKOH has a Return On Equity (7.49%) which is in line with its industry peers.
With a Return On Invested Capital value of 6.22%, PKOH perfoms like the industry average, outperforming 46.88% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PKOH is below the industry average of 10.02%.
| 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
PKOH has a worse Profit Margin (1.73%) than 63.28% of its industry peers.
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 63.28% of its industry peers.
PKOH's Operating Margin has been stable in the last couple of years.
The Gross Margin of PKOH (16.95%) is worse than 78.91% of its industry peers.
PKOH's Gross Margin has been stable in the last couple of years.
| 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.
PKOH has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PKOH has an improved debt to assets ratio.
2.2 Solvency
PKOH has an Altman-Z score of 2.22. This is not the best score and indicates that PKOH is in the grey zone with still only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.22, PKOH is not doing good in the industry: 61.72% of the companies in the same industry are doing better.
PKOH has a Debt/Equity ratio of 1.77. This is a high value indicating a heavy dependency on external financing.
PKOH has a Debt to Equity ratio of 1.77. This is amonst the worse of the industry: PKOH underperforms 86.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.22 |
ROIC/WACC0.67
WACC9.32%
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 69.53% of its industry peers.
A Quick Ratio of 1.33 indicates that PKOH should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.33, PKOH perfoms like the industry average, outperforming 57.03% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.6 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.21% over the past year.
The Earnings Per Share has been decreasing by -0.71% on average over the past years.
Looking at the last year, PKOH shows a decrease in Revenue. The Revenue has decreased by -0.21% in the last year.
The Revenue has been growing slightly by 0.46% on average over the past years.
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.
PKOH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.77% yearly.
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.
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
The Price/Earnings ratio is 6.04, which indicates a rather cheap valuation of PKOH.
Based on the Price/Earnings ratio, PKOH is valued cheaper than 99.22% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.30. PKOH is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 6.80, the valuation of PKOH can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PKOH indicates a rather cheap valuation: PKOH is cheaper than 98.44% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PKOH to the average of the S&P500 Index (22.73), we can say PKOH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.04 | ||
| Fwd PE | 6.8 |
4.2 Price Multiples
88.28% of the companies in the same industry are more expensive than PKOH, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.18 |
4.3 Compensation for Growth
A cheap valuation may be justified as PKOH's earnings are expected to decrease with -5.81% in the coming years.
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 2.25%. Purely for dividend investing, there may be better candidates out there.
PKOH's Dividend Yield is rather good when compared to the industry average which is at 1.74. PKOH pays more dividend than 87.50% of the companies in the same industry.
PKOH's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
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
26.98% of the earnings are spent on dividend by PKOH. This is a low number and 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
21.79
+0.34 (+1.59%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners52.51%
Inst Owner Change1.46%
Ins Owners25.53%
Ins Owner Change2.81%
Market Cap313.78M
Analysts43.33
Price TargetN/A
Short Float %1.11%
Short Ratio3.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
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)-15.74%
EPS NY rev (1m)-6.94%
EPS NY rev (3m)-7.66%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.77%
Revenue NY rev (1m)-0.6%
Revenue NY rev (3m)-1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.04 | ||
| Fwd PE | 6.8 | ||
| P/S | 0.19 | ||
| P/FCF | N/A | ||
| P/OCF | 30.46 | ||
| P/B | 0.85 | ||
| P/tB | 1.72 | ||
| EV/EBITDA | 8.18 |
EPS(TTM)3.61
EY16.57%
EPS(NY)3.2
Fwd EY14.7%
FCF(TTM)-1.72
FCFYN/A
OCF(TTM)0.72
OCFY3.28%
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 | 2.22 |
F-Score6
WACC9.32%
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 Year47.54%
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%