FREIGHTCAR AMERICA INC (RAIL) Stock Fundamental Analysis
USA - NASDAQ:RAIL - US3570231007 - Common Stock
8.23 USD
-0.17 (-2.02%)
8.23 USD
0 (0%)
Overall RAIL gets a fundamental rating of 3 out of 10. We evaluated RAIL against 130 industry peers in the Machinery industry. Both the profitability and financial health of RAIL have multiple concerns. RAIL is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year RAIL was profitable.
In the past year RAIL had a positive cash flow from operations.
In the past 5 years RAIL always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: RAIL reported negative operating cash flow in multiple years.
1.2 Ratios
RAIL's Return On Assets of -3.14% is on the low side compared to the rest of the industry. RAIL is outperformed by 74.62% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.70%, RAIL belongs to the top of the industry, outperforming 80.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.14% | ||
| ROE | N/A | ||
| ROIC | 12.7% |
ROA(3y)-20.78%
ROA(5y)-25.83%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RAIL's Operating Margin of 6.84% is in line compared to the rest of the industry. RAIL outperforms 43.08% of its industry peers.
RAIL has a worse Gross Margin (14.90%) than 80.77% of its industry peers.
RAIL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.84% | ||
| PM (TTM) | N/A | ||
| GM | 14.9% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y28.39%
GM growth 5YN/A
2. Health
2.1 Basic Checks
RAIL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, RAIL has more shares outstanding
The number of shares outstanding for RAIL has been increased compared to 5 years ago.
The debt/assets ratio for RAIL is higher compared to a year ago.
2.2 Solvency
RAIL has an Altman-Z score of 1.57. This is a bad value and indicates that RAIL is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.57, RAIL is not doing good in the industry: 73.08% of the companies in the same industry are doing better.
RAIL has a debt to FCF ratio of 4.89. This is a neutral value as RAIL would need 4.89 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.89, RAIL is in line with its industry, outperforming 56.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.89 | ||
| Altman-Z | 1.57 |
ROIC/WACC1.47
WACC8.64%
2.3 Liquidity
RAIL has a Current Ratio of 1.57. This is a normal value and indicates that RAIL is financially healthy and should not expect problems in meeting its short term obligations.
RAIL's Current ratio of 1.57 is on the low side compared to the rest of the industry. RAIL is outperformed by 70.77% of its industry peers.
RAIL has a Quick Ratio of 1.57. This is a bad value and indicates that RAIL is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.75, RAIL is not doing good in the industry: 80.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.57 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 662.50% over the past year.
The Revenue has grown by 56.22% in the past year. This is a very strong growth!
RAIL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.45% yearly.
EPS 1Y (TTM)662.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
Revenue 1Y (TTM)56.22%
Revenue growth 3Y40.18%
Revenue growth 5Y19.45%
Sales Q2Q%41.72%
3.2 Future
The Earnings Per Share is expected to grow by 24.13% on average over the next years. This is a very strong growth
Based on estimates for the next years, RAIL will show a small growth in Revenue. The Revenue will grow by 7.77% on average per year.
EPS Next Y58.67%
EPS Next 2Y39.31%
EPS Next 3Y18.68%
EPS Next 5Y24.13%
Revenue Next Year-1.6%
Revenue Next 2Y2.57%
Revenue Next 3Y4.07%
Revenue Next 5Y7.77%
3.3 Evolution
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 13.49, the valuation of RAIL can be described as correct.
86.92% of the companies in the same industry are more expensive than RAIL, based on the Price/Earnings ratio.
RAIL's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.89.
Based on the Price/Forward Earnings ratio of 11.78, the valuation of RAIL can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RAIL indicates a rather cheap valuation: RAIL is cheaper than 87.69% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, RAIL is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.49 | ||
| Fwd PE | 11.78 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RAIL indicates a rather cheap valuation: RAIL is cheaper than 93.08% of the companies listed in the same industry.
RAIL's Price/Free Cash Flow ratio is rather cheap when compared to the industry. RAIL is cheaper than 97.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.13 | ||
| EV/EBITDA | 6.5 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RAIL's earnings are expected to grow with 18.68% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.23
PEG (5Y)N/A
EPS Next 2Y39.31%
EPS Next 3Y18.68%
5. Dividend
5.1 Amount
RAIL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.23
-0.17 (-2.02%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners40.31%
Inst Owner Change0.49%
Ins Owners15.24%
Ins Owner Change1.29%
Market Cap157.44M
Revenue(TTM)559.42M
Net Income(TTM)-10.30M
Analysts85
Price Target14.62 (77.64%)
Short Float %2.08%
Short Ratio2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend1.51
Dividend Growth(5Y)44.41%
DP-270.62%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)28.68%
Min EPS beat(2)-38.73%
Max EPS beat(2)96.08%
EPS beat(4)2
Avg EPS beat(4)103.23%
Min EPS beat(4)-38.73%
Max EPS beat(4)357.52%
EPS beat(8)2
Avg EPS beat(8)-58.68%
EPS beat(12)5
Avg EPS beat(12)-41.43%
EPS beat(16)6
Avg EPS beat(16)-51.56%
Revenue beat(2)1
Avg Revenue beat(2)-4.14%
Min Revenue beat(2)-9.51%
Max Revenue beat(2)1.22%
Revenue beat(4)1
Avg Revenue beat(4)-9.73%
Min Revenue beat(4)-19.44%
Max Revenue beat(4)1.22%
Revenue beat(8)3
Avg Revenue beat(8)-8.56%
Revenue beat(12)4
Avg Revenue beat(12)-8.84%
Revenue beat(16)6
Avg Revenue beat(16)-6.03%
PT rev (1m)0%
PT rev (3m)22.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.11%
EPS NY rev (1m)0%
EPS NY rev (3m)15.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-15.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.49 | ||
| Fwd PE | 11.78 | ||
| P/S | 0.34 | ||
| P/FCF | 5.13 | ||
| P/OCF | 4.58 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.5 |
EPS(TTM)0.61
EY7.41%
EPS(NY)0.7
Fwd EY8.49%
FCF(TTM)1.6
FCFY19.49%
OCF(TTM)1.8
OCFY21.84%
SpS24.35
BVpS-4.36
TBVpS-4.36
PEG (NY)0.23
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.14% | ||
| ROE | N/A | ||
| ROCE | 16.07% | ||
| ROIC | 12.7% | ||
| ROICexc | 18.38% | ||
| ROICexgc | 18.38% | ||
| OM | 6.84% | ||
| PM (TTM) | N/A | ||
| GM | 14.9% | ||
| FCFM | 6.59% |
ROA(3y)-20.78%
ROA(5y)-25.83%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y28.39%
GM growth 5YN/A
F-Score3
Asset Turnover1.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.89 | ||
| Debt/EBITDA | 3.86 | ||
| Cap/Depr | 61.48% | ||
| Cap/Sales | 0.79% | ||
| Interest Coverage | 4.76 | ||
| Cash Conversion | 90.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.57 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 1.57 |
F-Score3
WACC8.64%
ROIC/WACC1.47
Cap/Depr(3y)184.51%
Cap/Depr(5y)142.71%
Cap/Sales(3y)2.2%
Cap/Sales(5y)3.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)662.5%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
EPS Next Y58.67%
EPS Next 2Y39.31%
EPS Next 3Y18.68%
EPS Next 5Y24.13%
Revenue 1Y (TTM)56.22%
Revenue growth 3Y40.18%
Revenue growth 5Y19.45%
Sales Q2Q%41.72%
Revenue Next Year-1.6%
Revenue Next 2Y2.57%
Revenue Next 3Y4.07%
Revenue Next 5Y7.77%
EBIT growth 1Y60.26%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year41.05%
EBIT Next 3Y19.15%
EBIT Next 5Y17.32%
FCF growth 1Y241.44%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y393.85%
OCF growth 3YN/A
OCF growth 5YN/A
FREIGHTCAR AMERICA INC / RAIL FAQ
What is the fundamental rating for RAIL stock?
ChartMill assigns a fundamental rating of 3 / 10 to RAIL.
What is the valuation status for RAIL stock?
ChartMill assigns a valuation rating of 8 / 10 to FREIGHTCAR AMERICA INC (RAIL). This can be considered as Undervalued.
What is the profitability of RAIL stock?
FREIGHTCAR AMERICA INC (RAIL) has a profitability rating of 2 / 10.
What is the financial health of FREIGHTCAR AMERICA INC (RAIL) stock?
The financial health rating of FREIGHTCAR AMERICA INC (RAIL) is 1 / 10.
How sustainable is the dividend of FREIGHTCAR AMERICA INC (RAIL) stock?
The dividend rating of FREIGHTCAR AMERICA INC (RAIL) is 0 / 10 and the dividend payout ratio is -270.62%.