TRANSCAT INC (TRNS)
US8935291075 - Common Stock
TRNS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 48 industry peers in the Trading Companies & Distributors industry. While TRNS has a great health rating, its profitability is only average at the moment. TRNS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
TRNS had positive earnings in the past year.
In the past year TRNS had a positive cash flow from operations.
TRNS had positive earnings in each of the past 5 years.
Each year in the past 5 years TRNS had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TRNS (5.54%) is better than 66.67% of its industry peers.
TRNS's Return On Equity of 6.67% is on the low side compared to the rest of the industry. TRNS is outperformed by 68.75% of its industry peers.
TRNS has a worse Return On Invested Capital (6.14%) than 60.42% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TRNS is below the industry average of 9.72%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.54% | ||
| ROE | 6.67% | ||
| ROIC | 6.14% |
ROA(3y)5.54%
ROA(5y)5.76%
ROE(3y)10%
ROE(5y)10.48%
ROIC(3y)7.17%
ROIC(5y)7.47%
1.3 Margins
TRNS's Profit Margin of 6.63% is fine compared to the rest of the industry. TRNS outperforms 68.75% of its industry peers.
In the last couple of years the Profit Margin of TRNS has grown nicely.
The Operating Margin of TRNS (8.80%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of TRNS has grown nicely.
TRNS has a Gross Margin (32.83%) which is comparable to the rest of the industry.
TRNS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.8% | ||
| PM (TTM) | 6.63% | ||
| GM | 32.83% |
OM growth 3Y7.78%
OM growth 5Y4.68%
PM growth 3Y5.38%
PM growth 5Y3.44%
GM growth 3Y6.67%
GM growth 5Y5.72%
2. Health
2.1 Basic Checks
TRNS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, TRNS has more shares outstanding
Compared to 5 years ago, TRNS has more shares outstanding
The debt/assets ratio for TRNS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 12.36 indicates that TRNS is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 12.36, TRNS belongs to the top of the industry, outperforming 97.92% of the companies in the same industry.
The Debt to FCF ratio of TRNS is 0.18, which is an excellent value as it means it would take TRNS, only 0.18 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.18, TRNS belongs to the best of the industry, outperforming 91.67% of the companies in the same industry.
A Debt/Equity ratio of 0.00 indicates that TRNS is not too dependend on debt financing.
TRNS's Debt to Equity ratio of 0.00 is amongst the best of the industry. TRNS outperforms 89.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.18 | ||
| Altman-Z | 12.36 |
ROIC/WACC0.54
WACC11.43%
2.3 Liquidity
A Current Ratio of 3.59 indicates that TRNS has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.59, TRNS belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
TRNS has a Quick Ratio of 3.00. This indicates that TRNS is financially healthy and has no problem in meeting its short term obligations.
TRNS has a better Quick ratio (3.00) than 93.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.59 | ||
| Quick Ratio | 3 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 75.22% over the past year.
Measured over the past years, TRNS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.85% on average per year.
Looking at the last year, TRNS shows a quite strong growth in Revenue. The Revenue has grown by 11.42% in the last year.
TRNS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.03% yearly.
EPS 1Y (TTM)75.22%
EPS 3Y15.57%
EPS 5Y10.85%
EPS Q2Q%483.33%
Revenue 1Y (TTM)11.42%
Revenue growth 3Y14.39%
Revenue growth 5Y10.03%
Sales Q2Q%8%
3.2 Future
Based on estimates for the next years, TRNS will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.42% on average per year.
TRNS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.58% yearly.
EPS Next Y16.37%
EPS Next 2Y22.21%
EPS Next 3Y20.17%
EPS Next 5Y18.42%
Revenue Next Year9.34%
Revenue Next 2Y8.55%
Revenue Next 3Y6.91%
Revenue Next 5Y5.58%
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 53.41, which means the current valuation is very expensive for TRNS.
Based on the Price/Earnings ratio, TRNS is valued a bit more expensive than 79.17% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.20. TRNS is valued rather expensively when compared to this.
TRNS is valuated quite expensively with a Price/Forward Earnings ratio of 44.53.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRNS indicates a slightly more expensive valuation: TRNS is more expensive than 75.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.73, TRNS is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.41 | ||
| Fwd PE | 44.53 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TRNS indicates a slightly more expensive valuation: TRNS is more expensive than 75.00% of the companies listed in the same industry.
TRNS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.45 | ||
| EV/EBITDA | 23.93 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
TRNS's earnings are expected to grow with 20.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.26
PEG (5Y)4.92
EPS Next 2Y22.21%
EPS Next 3Y20.17%
5. Dividend
5.1 Amount
No dividends for TRNS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TRANSCAT INC
NASDAQ:TRNS (12/20/2024, 8:00:01 PM)
After market: 105.75 0 (0%)105.75
-1.03 (-0.96%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners94.03%
Inst Owner Change4.26%
Ins Owners1.85%
Ins Owner Change0.48%
Market Cap972.90M
Analysts80
Price Target127.19 (20.27%)
Short Float %3.61%
Short Ratio4.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3%
Min EPS beat(2)-25.94%
Max EPS beat(2)31.94%
EPS beat(4)3
Avg EPS beat(4)14.16%
Min EPS beat(4)-25.94%
Max EPS beat(4)42.97%
EPS beat(8)5
Avg EPS beat(8)4.06%
EPS beat(12)6
Avg EPS beat(12)2.22%
EPS beat(16)10
Avg EPS beat(16)12.39%
Revenue beat(2)0
Avg Revenue beat(2)-5.59%
Min Revenue beat(2)-5.79%
Max Revenue beat(2)-5.4%
Revenue beat(4)2
Avg Revenue beat(4)-2.38%
Min Revenue beat(4)-5.79%
Max Revenue beat(4)1.35%
Revenue beat(8)3
Avg Revenue beat(8)-1.35%
Revenue beat(12)5
Avg Revenue beat(12)-0.95%
Revenue beat(16)9
Avg Revenue beat(16)0.06%
PT rev (1m)-13.85%
PT rev (3m)-13.85%
EPS NQ rev (1m)-4.08%
EPS NQ rev (3m)-26.56%
EPS NY rev (1m)-5.03%
EPS NY rev (3m)-7.33%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)-4.05%
Revenue NY rev (1m)0.88%
Revenue NY rev (3m)-1.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.41 | ||
| Fwd PE | 44.53 | ||
| P/S | 3.6 | ||
| P/FCF | 57.45 | ||
| P/OCF | 30.02 | ||
| P/B | 3.62 | ||
| P/tB | 9.16 | ||
| EV/EBITDA | 23.93 |
EPS(TTM)1.98
EY1.87%
EPS(NY)2.37
Fwd EY2.25%
FCF(TTM)1.84
FCFY1.74%
OCF(TTM)3.52
OCFY3.33%
SpS29.41
BVpS29.21
TBVpS11.55
PEG (NY)3.26
PEG (5Y)4.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.54% | ||
| ROE | 6.67% | ||
| ROCE | 8.02% | ||
| ROIC | 6.14% | ||
| ROICexc | 6.68% | ||
| ROICexgc | 16.48% | ||
| OM | 8.8% | ||
| PM (TTM) | 6.63% | ||
| GM | 32.83% | ||
| FCFM | 6.26% |
ROA(3y)5.54%
ROA(5y)5.76%
ROE(3y)10%
ROE(5y)10.48%
ROIC(3y)7.17%
ROIC(5y)7.47%
ROICexc(3y)7.56%
ROICexc(5y)7.72%
ROICexgc(3y)16.38%
ROICexgc(5y)15.84%
ROCE(3y)9.36%
ROCE(5y)9.75%
ROICexcg growth 3Y3.77%
ROICexcg growth 5Y-1.57%
ROICexc growth 3Y-3.05%
ROICexc growth 5Y-5.29%
OM growth 3Y7.78%
OM growth 5Y4.68%
PM growth 3Y5.38%
PM growth 5Y3.44%
GM growth 3Y6.67%
GM growth 5Y5.72%
F-Score7
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.18 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 96.81% | ||
| Cap/Sales | 5.72% | ||
| Interest Coverage | 1082.18 | ||
| Cash Conversion | 81.44% | ||
| Profit Quality | 94.43% | ||
| Current Ratio | 3.59 | ||
| Quick Ratio | 3 | ||
| Altman-Z | 12.36 |
F-Score7
WACC11.43%
ROIC/WACC0.54
Cap/Depr(3y)96.7%
Cap/Depr(5y)95.24%
Cap/Sales(3y)4.72%
Cap/Sales(5y)4.35%
Profit Quality(3y)92.6%
Profit Quality(5y)111.61%
High Growth Momentum
Growth
EPS 1Y (TTM)75.22%
EPS 3Y15.57%
EPS 5Y10.85%
EPS Q2Q%483.33%
EPS Next Y16.37%
EPS Next 2Y22.21%
EPS Next 3Y20.17%
EPS Next 5Y18.42%
Revenue 1Y (TTM)11.42%
Revenue growth 3Y14.39%
Revenue growth 5Y10.03%
Sales Q2Q%8%
Revenue Next Year9.34%
Revenue Next 2Y8.55%
Revenue Next 3Y6.91%
Revenue Next 5Y5.58%
EBIT growth 1Y49.75%
EBIT growth 3Y23.29%
EBIT growth 5Y15.18%
EBIT Next Year150.87%
EBIT Next 3Y47.79%
EBIT Next 5Y34.51%
FCF growth 1Y303.48%
FCF growth 3Y4.34%
FCF growth 5Y28.3%
OCF growth 1Y111.08%
OCF growth 3Y11.33%
OCF growth 5Y21.03%