EPLUS INC (PLUS) Stock Fundamental Analysis
USA - NASDAQ:PLUS - US2942681071 - Common Stock
74.63 USD
+0.79 (+1.07%)
74.63 USD
0 (0%)
PLUS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 125 industry peers in the Electronic Equipment, Instruments & Components industry. Both the health and profitability get an excellent rating, making PLUS a very profitable company, without any liquidiy or solvency issues. PLUS has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year PLUS was profitable.
In the past year PLUS had a positive cash flow from operations.
PLUS had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: PLUS reported negative operating cash flow in multiple years.
1.2 Ratios
PLUS has a Return On Assets of 6.58%. This is amongst the best in the industry. PLUS outperforms 81.60% of its industry peers.
Looking at the Return On Equity, with a value of 11.60%, PLUS is in the better half of the industry, outperforming 79.20% of the companies in the same industry.
The Return On Invested Capital of PLUS (9.34%) is better than 81.60% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PLUS is above the industry average of 9.48%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.58% | ||
| ROE | 11.6% | ||
| ROIC | 9.34% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)13.05%
ROE(5y)13.67%
ROIC(3y)11.86%
ROIC(5y)12.65%
1.3 Margins
PLUS's Profit Margin of 5.47% is fine compared to the rest of the industry. PLUS outperforms 71.20% of its industry peers.
In the last couple of years the Profit Margin of PLUS has grown nicely.
With a decent Operating Margin value of 6.65%, PLUS is doing good in the industry, outperforming 69.60% of the companies in the same industry.
PLUS's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 26.96%, PLUS perfoms like the industry average, outperforming 42.40% of the companies in the same industry.
In the last couple of years the Gross Margin of PLUS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.65% | ||
| PM (TTM) | 5.47% | ||
| GM | 26.96% |
OM growth 3Y-5.37%
OM growth 5Y2.41%
PM growth 3Y-3.45%
PM growth 5Y3.71%
GM growth 3Y2.81%
GM growth 5Y2.24%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PLUS is creating some value.
Compared to 1 year ago, PLUS has less shares outstanding
The number of shares outstanding for PLUS has been reduced compared to 5 years ago.
The debt/assets ratio for PLUS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.15 indicates that PLUS is not in any danger for bankruptcy at the moment.
PLUS has a Altman-Z score of 4.15. This is in the better half of the industry: PLUS outperforms 62.40% of its industry peers.
There is no outstanding debt for PLUS. 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 | 4.15 |
ROIC/WACC1.01
WACC9.29%
2.3 Liquidity
A Current Ratio of 2.04 indicates that PLUS has no problem at all paying its short term obligations.
PLUS has a Current ratio (2.04) which is in line with its industry peers.
PLUS has a Quick Ratio of 1.89. This is a normal value and indicates that PLUS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.89, PLUS is in line with its industry, outperforming 59.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
PLUS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.23%.
Measured over the past years, PLUS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.74% on average per year.
The Revenue has decreased by -1.55% in the past year.
Measured over the past years, PLUS shows a small growth in Revenue. The Revenue has been growing by 5.43% on average per year.
EPS 1Y (TTM)3.23%
EPS 3Y2.05%
EPS 5Y8.74%
EPS Q2Q%11.5%
Revenue 1Y (TTM)-1.55%
Revenue growth 3Y4.34%
Revenue growth 5Y5.43%
Sales Q2Q%17.04%
3.2 Future
The Earnings Per Share is expected to decrease by -0.48% on average over the next years.
PLUS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.60% yearly.
EPS Next Y-10.59%
EPS Next 2Y-0.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.75%
Revenue Next 2Y1.6%
Revenue Next 3YN/A
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.58, the valuation of PLUS can be described as correct.
Based on the Price/Earnings ratio, PLUS is valued cheaply inside the industry as 91.20% of the companies are valued more expensively.
PLUS is valuated rather cheaply when we compare the Price/Earnings ratio to 27.27, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 16.17 indicates a correct valuation of PLUS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PLUS indicates a rather cheap valuation: PLUS is cheaper than 83.20% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of PLUS to the average of the S&P500 Index (22.77), we can say PLUS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.58 | ||
| Fwd PE | 16.17 |
4.2 Price Multiples
PLUS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PLUS is cheaper than 94.40% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, PLUS is valued cheaper than 84.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.76 | ||
| EV/EBITDA | 8.5 |
4.3 Compensation for Growth
PLUS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.78
EPS Next 2Y-0.48%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PLUS has a Yearly Dividend Yield of 1.34%.
PLUS's Dividend Yield is rather good when compared to the industry average which is at 1.39. PLUS pays more dividend than 89.60% of the companies in the same industry.
With a Dividend Yield of 1.34, PLUS pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
5.2 History
PLUS is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y-0.48%
EPS Next 3YN/A
74.63
+0.79 (+1.07%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners99.82%
Inst Owner Change-1.9%
Ins Owners1.99%
Ins Owner Change-1.1%
Market Cap1.99B
Analysts85.71
Price Target93.84 (25.74%)
Short Float %2.97%
Short Ratio3.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.34% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.69%
Min EPS beat(2)5.58%
Max EPS beat(2)25.81%
EPS beat(4)2
Avg EPS beat(4)3.15%
Min EPS beat(4)-14.47%
Max EPS beat(4)25.81%
EPS beat(8)3
Avg EPS beat(8)-3.56%
EPS beat(12)7
Avg EPS beat(12)6.74%
EPS beat(16)10
Avg EPS beat(16)9.99%
Revenue beat(2)1
Avg Revenue beat(2)7.08%
Min Revenue beat(2)-6.78%
Max Revenue beat(2)20.93%
Revenue beat(4)1
Avg Revenue beat(4)-1.94%
Min Revenue beat(4)-12.39%
Max Revenue beat(4)20.93%
Revenue beat(8)2
Avg Revenue beat(8)-3.43%
Revenue beat(12)5
Avg Revenue beat(12)0.83%
Revenue beat(16)8
Avg Revenue beat(16)1.33%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.74%
EPS NY rev (1m)-14.72%
EPS NY rev (3m)-11.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.79%
Revenue NY rev (1m)3.7%
Revenue NY rev (3m)3.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.58 | ||
| Fwd PE | 16.17 | ||
| P/S | 0.92 | ||
| P/FCF | 19.76 | ||
| P/OCF | 18.74 | ||
| P/B | 1.95 | ||
| P/tB | 2.68 | ||
| EV/EBITDA | 8.5 |
EPS(TTM)4.79
EY6.42%
EPS(NY)4.62
Fwd EY6.18%
FCF(TTM)3.78
FCFY5.06%
OCF(TTM)3.98
OCFY5.34%
SpS81.17
BVpS38.32
TBVpS27.83
PEG (NY)N/A
PEG (5Y)1.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.58% | ||
| ROE | 11.6% | ||
| ROCE | 12.94% | ||
| ROIC | 9.34% | ||
| ROICexc | 16.45% | ||
| ROICexgc | 29.51% | ||
| OM | 6.65% | ||
| PM (TTM) | 5.47% | ||
| GM | 26.96% | ||
| FCFM | 4.65% |
ROA(3y)7.06%
ROA(5y)7.43%
ROE(3y)13.05%
ROE(5y)13.67%
ROIC(3y)11.86%
ROIC(5y)12.65%
ROICexc(3y)15.62%
ROICexc(5y)16.4%
ROICexgc(3y)22.51%
ROICexgc(5y)23.6%
ROCE(3y)16.48%
ROCE(5y)17.62%
ROICexcg growth 3Y-1.93%
ROICexcg growth 5Y2.68%
ROICexc growth 3Y-8.34%
ROICexc growth 5Y-0.08%
OM growth 3Y-5.37%
OM growth 5Y2.41%
PM growth 3Y-3.45%
PM growth 5Y3.71%
GM growth 3Y2.81%
GM growth 5Y2.24%
F-Score6
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 17.6% | ||
| Cap/Sales | 0.25% | ||
| Interest Coverage | 83.88 | ||
| Cash Conversion | 60.65% | ||
| Profit Quality | 85% | ||
| Current Ratio | 2.04 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 4.15 |
F-Score6
WACC9.29%
ROIC/WACC1.01
Cap/Depr(3y)35.21%
Cap/Depr(5y)51.72%
Cap/Sales(3y)0.39%
Cap/Sales(5y)0.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.23%
EPS 3Y2.05%
EPS 5Y8.74%
EPS Q2Q%11.5%
EPS Next Y-10.59%
EPS Next 2Y-0.48%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.55%
Revenue growth 3Y4.34%
Revenue growth 5Y5.43%
Sales Q2Q%17.04%
Revenue Next Year3.75%
Revenue Next 2Y1.6%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-4.74%
EBIT growth 3Y-1.26%
EBIT growth 5Y7.97%
EBIT Next Year20.29%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y81.88%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y59.24%
OCF growth 3YN/A
OCF growth 5YN/A