33.3 USD
-0.05 (-0.15%)
33.34 USD
+0.04 (+0.12%)
We assign a fundamental rating of 5 out of 10 to TWNK. TWNK was compared to 87 industry peers in the Food Products industry. While TWNK has a great profitability rating, there are some minor concerns on its financial health. TWNK is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
TWNK had positive earnings in the past year.
In the past year TWNK had a positive cash flow from operations.
In the past 5 years TWNK has always been profitable.
Each year in the past 5 years TWNK had a positive operating cash flow.
1.2 Ratios
TWNK's Return On Assets of 4.83% is fine compared to the rest of the industry. TWNK outperforms 63.44% of its industry peers.
With a decent Return On Equity value of 9.18%, TWNK is doing good in the industry, outperforming 64.52% of the companies in the same industry.
With a decent Return On Invested Capital value of 5.38%, TWNK is doing good in the industry, outperforming 63.44% of the companies in the same industry.
TWNK had an Average Return On Invested Capital over the past 3 years of 4.37%. This is significantly below the industry average of 28.25%.
The 3 year average ROIC (4.37%) for TWNK is below the current ROIC(5.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.18% | ||
| ROIC | 5.38% |
ROA(3y)3.36%
ROA(5y)2.84%
ROE(3y)6.69%
ROE(5y)5.91%
ROIC(3y)4.37%
ROIC(5y)3.94%
1.3 Margins
The Profit Margin of TWNK (12.28%) is better than 90.32% of its industry peers.
TWNK's Profit Margin has declined in the last couple of years.
TWNK's Operating Margin of 16.91% is amongst the best of the industry. TWNK outperforms 94.62% of its industry peers.
In the last couple of years the Operating Margin of TWNK has declined.
TWNK has a Gross Margin of 34.99%. This is amongst the best in the industry. TWNK outperforms 87.10% of its industry peers.
TWNK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.91% | ||
| PM (TTM) | 12.28% | ||
| GM | 34.99% |
OM growth 3Y3.8%
OM growth 5Y-7.44%
PM growth 3Y20.25%
PM growth 5Y-15.96%
GM growth 3Y1.25%
GM growth 5Y-4.03%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TWNK is destroying value.
Compared to 1 year ago, TWNK has less shares outstanding
Compared to 1 year ago, TWNK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.54 indicates that TWNK is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of TWNK (2.54) is comparable to the rest of the industry.
The Debt to FCF ratio of TWNK is 9.63, which is on the high side as it means it would take TWNK, 9.63 years of fcf income to pay off all of its debts.
TWNK has a Debt to FCF ratio of 9.63. This is in the better half of the industry: TWNK outperforms 63.44% of its industry peers.
TWNK has a Debt/Equity ratio of 0.53. This is a neutral value indicating TWNK is somewhat dependend on debt financing.
The Debt to Equity ratio of TWNK (0.53) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 9.63 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.68
WACC7.88%
2.3 Liquidity
TWNK has a Current Ratio of 1.80. This is a normal value and indicates that TWNK is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.80, TWNK is in line with its industry, outperforming 54.84% of the companies in the same industry.
TWNK has a Quick Ratio of 1.47. This is a normal value and indicates that TWNK is financially healthy and should not expect problems in meeting its short term obligations.
TWNK has a better Quick ratio (1.47) than 74.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
TWNK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.47%, which is quite good.
The Earnings Per Share has been growing slightly by 7.36% on average over the past years.
TWNK shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.00%.
Measured over the past years, TWNK shows a quite strong growth in Revenue. The Revenue has been growing by 11.84% on average per year.
EPS 1Y (TTM)9.47%
EPS 3Y17.37%
EPS 5Y7.36%
EPS Q2Q%27.27%
Revenue 1Y (TTM)10%
Revenue growth 3Y14.38%
Revenue growth 5Y11.84%
Sales Q2Q%3.49%
3.2 Future
Based on estimates for the next years, TWNK will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.80% on average per year.
Based on estimates for the next years, TWNK will show a small growth in Revenue. The Revenue will grow by 4.32% on average per year.
EPS Next Y18%
EPS Next 2Y13.51%
EPS Next 3Y11.36%
EPS Next 5Y8.8%
Revenue Next Year5.6%
Revenue Next 2Y5.07%
Revenue Next 3Y4.87%
Revenue Next 5Y4.32%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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 32.02, which means the current valuation is very expensive for TWNK.
TWNK's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of TWNK to the average of the S&P500 Index (26.38), we can say TWNK is valued slightly more expensively.
The Price/Forward Earnings ratio is 26.64, which means the current valuation is very expensive for TWNK.
TWNK's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of TWNK to the average of the S&P500 Index (23.83), we can say TWNK is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.02 | ||
| Fwd PE | 26.64 |
4.2 Price Multiples
TWNK's Enterprise Value to EBITDA ratio is in line with the industry average.
TWNK's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.86 | ||
| EV/EBITDA | 17.97 |
4.3 Compensation for Growth
TWNK's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of TWNK may justify a higher PE ratio.
PEG (NY)1.78
PEG (5Y)4.35
EPS Next 2Y13.51%
EPS Next 3Y11.36%
5. Dividend
5.1 Amount
No dividends for TWNK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.3
-0.05 (-0.15%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners19.27%
Ins Owner Change0%
Market Cap4.42B
Revenue(TTM)1.38B
Net Income(TTM)169.94M
Analysts70
Price Target34.74 (4.32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.59%
Min EPS beat(2)2.05%
Max EPS beat(2)5.14%
EPS beat(4)4
Avg EPS beat(4)3.97%
Min EPS beat(4)1.05%
Max EPS beat(4)7.63%
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)1
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-3.6%
Max Revenue beat(2)0.06%
Revenue beat(4)3
Avg Revenue beat(4)0.55%
Min Revenue beat(4)-3.6%
Max Revenue beat(4)5.27%
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)0.74%
PT rev (3m)16.56%
EPS NQ rev (1m)0.48%
EPS NQ rev (3m)-0.04%
EPS NY rev (1m)0%
EPS NY rev (3m)0.88%
Revenue NQ rev (1m)-0.87%
Revenue NQ rev (3m)-1.66%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.02 | ||
| Fwd PE | 26.64 | ||
| P/S | 3.2 | ||
| P/FCF | 42.86 | ||
| P/OCF | 17.7 | ||
| P/B | 2.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.97 |
EPS(TTM)1.04
EY3.12%
EPS(NY)1.25
Fwd EY3.75%
FCF(TTM)0.78
FCFY2.33%
OCF(TTM)1.88
OCFY5.65%
SpS10.41
BVpS13.94
TBVpS-5.91
PEG (NY)1.78
PEG (5Y)4.35
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.18% | ||
| ROCE | 7.06% | ||
| ROIC | 5.38% | ||
| ROICexc | 5.54% | ||
| ROICexgc | 30.86% | ||
| OM | 16.91% | ||
| PM (TTM) | 12.28% | ||
| GM | 34.99% | ||
| FCFM | 7.46% |
ROA(3y)3.36%
ROA(5y)2.84%
ROE(3y)6.69%
ROE(5y)5.91%
ROIC(3y)4.37%
ROIC(5y)3.94%
ROICexc(3y)4.63%
ROICexc(5y)4.2%
ROICexgc(3y)35.07%
ROICexgc(5y)36.04%
ROCE(3y)5.74%
ROCE(5y)5.17%
ROICexgc growth 3Y-5.58%
ROICexgc growth 5Y-14.6%
ROICexc growth 3Y12.1%
ROICexc growth 5Y0.38%
OM growth 3Y3.8%
OM growth 5Y-7.44%
PM growth 3Y20.25%
PM growth 5Y-15.96%
GM growth 3Y1.25%
GM growth 5Y-4.03%
F-Score8
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 9.63 | ||
| Debt/EBITDA | 3.32 | ||
| Cap/Depr | 235.98% | ||
| Cap/Sales | 10.61% | ||
| Interest Coverage | 4.78 | ||
| Cash Conversion | 84.43% | ||
| Profit Quality | 60.75% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 2.54 |
F-Score8
WACC7.88%
ROIC/WACC0.68
Cap/Depr(3y)149.99%
Cap/Depr(5y)132.08%
Cap/Sales(3y)7.02%
Cap/Sales(5y)6.24%
Profit Quality(3y)114.45%
Profit Quality(5y)131.78%
High Growth Momentum
Growth
EPS 1Y (TTM)9.47%
EPS 3Y17.37%
EPS 5Y7.36%
EPS Q2Q%27.27%
EPS Next Y18%
EPS Next 2Y13.51%
EPS Next 3Y11.36%
EPS Next 5Y8.8%
Revenue 1Y (TTM)10%
Revenue growth 3Y14.38%
Revenue growth 5Y11.84%
Sales Q2Q%3.49%
Revenue Next Year5.6%
Revenue Next 2Y5.07%
Revenue Next 3Y4.87%
Revenue Next 5Y4.32%
EBIT growth 1Y12.2%
EBIT growth 3Y18.73%
EBIT growth 5Y3.52%
EBIT Next Year45.07%
EBIT Next 3Y18.06%
EBIT Next 5Y17.33%
FCF growth 1Y-21.87%
FCF growth 3Y4.56%
FCF growth 5Y-1.62%
OCF growth 1Y34.54%
OCF growth 3Y20%
OCF growth 5Y8.73%
HOSTESS BRANDS INC / TWNK FAQ
What is the ChartMill fundamental rating of HOSTESS BRANDS INC (TWNK) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TWNK.
What is the valuation status for TWNK stock?
ChartMill assigns a valuation rating of 2 / 10 to HOSTESS BRANDS INC (TWNK). This can be considered as Overvalued.
What is the profitability of TWNK stock?
HOSTESS BRANDS INC (TWNK) has a profitability rating of 7 / 10.
What is the financial health of HOSTESS BRANDS INC (TWNK) stock?
The financial health rating of HOSTESS BRANDS INC (TWNK) is 5 / 10.