TWIN DISC INC (TWIN) Stock Fundamental Analysis
USA - NASDAQ:TWIN - US9014761012 - Common Stock
15.82 USD
+0.13 (+0.83%)
Taking everything into account, TWIN scores 3 out of 10 in our fundamental rating. TWIN was compared to 130 industry peers in the Machinery industry. TWIN has a bad profitability rating. Also its financial health evaluation is rather negative. TWIN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
TWIN had negative earnings in the past year.
In the past year TWIN had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: TWIN reported negative net income in multiple years.
Of the past 5 years TWIN 4 years had a positive operating cash flow.
1.2 Ratios
TWIN has a worse Return On Assets (-0.53%) than 68.46% of its industry peers.
TWIN has a Return On Equity of -1.16%. This is in the lower half of the industry: TWIN underperforms 66.92% of its industry peers.
With a Return On Invested Capital value of 4.07%, TWIN is not doing good in the industry: 63.85% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for TWIN is significantly below the industry average of 10.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.53% | ||
| ROE | -1.16% | ||
| ROIC | 4.07% |
ROA(3y)2.19%
ROA(5y)-0.08%
ROE(3y)4.37%
ROE(5y)-0.33%
ROIC(3y)4.31%
ROIC(5y)N/A
1.3 Margins
Looking at the Operating Margin, with a value of 3.47%, TWIN is doing worse than 65.38% of the companies in the same industry.
TWIN's Operating Margin has declined in the last couple of years.
TWIN's Gross Margin of 27.68% is in line compared to the rest of the industry. TWIN outperforms 43.08% of its industry peers.
TWIN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.47% | ||
| PM (TTM) | N/A | ||
| GM | 27.68% |
OM growth 3Y-6.57%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.33%
GM growth 5Y3.81%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TWIN is destroying value.
Compared to 1 year ago, TWIN has more shares outstanding
Compared to 5 years ago, TWIN has more shares outstanding
Compared to 1 year ago, TWIN has a worse debt to assets ratio.
2.2 Solvency
TWIN has an Altman-Z score of 2.68. This is not the best score and indicates that TWIN is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of TWIN (2.68) is comparable to the rest of the industry.
TWIN has a debt to FCF ratio of 4.27. This is a neutral value as TWIN would need 4.27 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.27, TWIN is in line with its industry, outperforming 59.23% of the companies in the same industry.
A Debt/Equity ratio of 0.21 indicates that TWIN is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.21, TWIN is doing good in the industry, outperforming 70.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 4.27 | ||
| Altman-Z | 2.68 |
ROIC/WACC0.43
WACC9.37%
2.3 Liquidity
TWIN has a Current Ratio of 1.96. This is a normal value and indicates that TWIN is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.96, TWIN is in line with its industry, outperforming 48.46% of the companies in the same industry.
TWIN has a Quick Ratio of 1.96. This is a bad value and indicates that TWIN is not financially healthy enough and could expect problems in meeting its short term obligations.
TWIN has a worse Quick ratio (0.75) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
The earnings per share for TWIN have decreased strongly by -124.56% in the last year.
TWIN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.46%.
TWIN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.66% yearly.
EPS 1Y (TTM)-124.56%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-68.75%
Revenue 1Y (TTM)15.46%
Revenue growth 3Y11.94%
Revenue growth 5Y6.66%
Sales Q2Q%14.52%
3.2 Future
TWIN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 251.36% yearly.
TWIN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.72% yearly.
EPS Next Y916%
EPS Next 2Y251.36%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.01%
Revenue Next 2Y8.72%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
TWIN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 13.85, which indicates a correct valuation of TWIN.
Based on the Price/Forward Earnings ratio, TWIN is valued cheaper than 80.77% of the companies in the same industry.
TWIN is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.33, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.85 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TWIN indicates a rather cheap valuation: TWIN is cheaper than 81.54% of the companies listed in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as TWIN.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.8 | ||
| EV/EBITDA | 9.25 |
4.3 Compensation for Growth
TWIN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as TWIN's earnings are expected to grow with 251.36% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y251.36%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.11%, TWIN has a reasonable but not impressive dividend return.
TWIN's Dividend Yield is a higher than the industry average which is at 1.80.
With a Dividend Yield of 1.11, TWIN pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
The dividend of TWIN decreases each year by -14.70%.
TWIN has been paying a dividend for at least 10 years, so it has a reliable track record.
TWIN has decreased its dividend recently.
Dividend Growth(5Y)-14.7%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of TWIN are negative and hence is the payout ratio. TWIN will probably not be able to sustain this dividend level.
DP-120.53%
EPS Next 2Y251.36%
EPS Next 3YN/A
NASDAQ:TWIN (10/23/2025, 8:00:02 PM)
15.82
+0.13 (+0.83%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners62.61%
Inst Owner Change-0.01%
Ins Owners21.17%
Ins Owner Change6.49%
Market Cap227.65M
Revenue(TTM)340.74M
Net Income(TTM)-1895000
Analysts82.86
Price Target17.85 (12.83%)
Short Float %0.49%
Short Ratio1.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
Yearly Dividend0.16
Dividend Growth(5Y)-14.7%
DP-120.53%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)45.83%
PT rev (3m)45.83%
EPS NQ rev (1m)71.43%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.85 | ||
| P/S | 0.67 | ||
| P/FCF | 25.8 | ||
| P/OCF | 9.49 | ||
| P/B | 1.39 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 9.25 |
EPS(TTM)-0.14
EYN/A
EPS(NY)1.14
Fwd EY7.22%
FCF(TTM)0.61
FCFY3.88%
OCF(TTM)1.67
OCFY10.53%
SpS23.68
BVpS11.4
TBVpS10.27
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.53% | ||
| ROE | -1.16% | ||
| ROCE | 5.15% | ||
| ROIC | 4.07% | ||
| ROICexc | 4.37% | ||
| ROICexgc | 4.73% | ||
| OM | 3.47% | ||
| PM (TTM) | N/A | ||
| GM | 27.68% | ||
| FCFM | 2.59% |
ROA(3y)2.19%
ROA(5y)-0.08%
ROE(3y)4.37%
ROE(5y)-0.33%
ROIC(3y)4.31%
ROIC(5y)N/A
ROICexc(3y)4.68%
ROICexc(5y)N/A
ROICexgc(3y)5.04%
ROICexgc(5y)N/A
ROCE(3y)5.46%
ROCE(5y)N/A
ROICexgc growth 3Y-0.52%
ROICexgc growth 5YN/A
ROICexc growth 3Y-0.7%
ROICexc growth 5YN/A
OM growth 3Y-6.57%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.33%
GM growth 5Y3.81%
F-Score3
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 4.27 | ||
| Debt/EBITDA | 1.26 | ||
| Cap/Depr | 101.73% | ||
| Cap/Sales | 4.45% | ||
| Interest Coverage | 5.33 | ||
| Cash Conversion | 89.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 2.68 |
F-Score3
WACC9.37%
ROIC/WACC0.43
Cap/Depr(3y)91.19%
Cap/Depr(5y)72.56%
Cap/Sales(3y)3.42%
Cap/Sales(5y)2.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-124.56%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-68.75%
EPS Next Y916%
EPS Next 2Y251.36%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)15.46%
Revenue growth 3Y11.94%
Revenue growth 5Y6.66%
Sales Q2Q%14.52%
Revenue Next Year9.01%
Revenue Next 2Y8.72%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y1.09%
EBIT growth 3Y4.58%
EBIT growth 5YN/A
EBIT Next Year163.51%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-64.72%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-28.88%
OCF growth 3YN/A
OCF growth 5Y21.33%