105.42 USD
-1.5 (-1.4%)
105.42 USD
0 (0%)
Overall UFPI gets a fundamental rating of 6 out of 10. We evaluated UFPI against 42 industry peers in the Building Products industry. UFPI is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. UFPI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year UFPI was profitable.
- In the past year UFPI had a positive cash flow from operations.
- Each year in the past 5 years UFPI has been profitable.
- Each year in the past 5 years UFPI had a positive operating cash flow.
1.2 Ratios
- UFPI has a Return On Assets of 7.59%. This is comparable to the rest of the industry: UFPI outperforms 57.14% of its industry peers.
- UFPI's Return On Equity of 9.86% is in line compared to the rest of the industry. UFPI outperforms 47.62% of its industry peers.
- UFPI has a Return On Invested Capital of 8.48%. This is comparable to the rest of the industry: UFPI outperforms 47.62% of its industry peers.
- UFPI had an Average Return On Invested Capital over the past 3 years of 16.31%. This is above the industry average of 12.68%.
- The last Return On Invested Capital (8.48%) for UFPI is well below the 3 year average (16.31%), which needs to be investigated, but indicates that UFPI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.59% | ||
| ROE | 9.86% | ||
| ROIC | 8.48% |
ROA(3y)13.3%
ROA(5y)13.17%
ROE(3y)18.2%
ROE(5y)19.45%
ROIC(3y)16.31%
ROIC(5y)17.19%
1.3 Margins
- UFPI's Profit Margin of 4.86% is in line compared to the rest of the industry. UFPI outperforms 42.86% of its industry peers.
- In the last couple of years the Profit Margin of UFPI has grown nicely.
- Looking at the Operating Margin, with a value of 6.15%, UFPI is doing worse than 73.81% of the companies in the same industry.
- UFPI's Operating Margin has improved in the last couple of years.
- UFPI has a Gross Margin of 16.79%. This is amonst the worse of the industry: UFPI underperforms 80.95% of its industry peers.
- In the last couple of years the Gross Margin of UFPI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.15% | ||
| PM (TTM) | 4.86% | ||
| GM | 16.79% |
OM growth 3Y-4.27%
OM growth 5Y6.06%
PM growth 3Y-0.06%
PM growth 5Y8.59%
GM growth 3Y4.22%
GM growth 5Y3.5%
2. Health
2.1 Basic Checks
- UFPI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for UFPI has been reduced compared to 1 year ago.
- Compared to 5 years ago, UFPI has less shares outstanding
- UFPI has a better debt/assets ratio than last year.
2.2 Solvency
- UFPI has an Altman-Z score of 7.18. This indicates that UFPI is financially healthy and has little risk of bankruptcy at the moment.
- UFPI has a better Altman-Z score (7.18) than 83.33% of its industry peers.
- The Debt to FCF ratio of UFPI is 0.86, which is an excellent value as it means it would take UFPI, only 0.86 years of fcf income to pay off all of its debts.
- UFPI's Debt to FCF ratio of 0.86 is amongst the best of the industry. UFPI outperforms 85.71% of its industry peers.
- UFPI has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
- UFPI has a Debt to Equity ratio of 0.07. This is amongst the best in the industry. UFPI outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.86 | ||
| Altman-Z | 7.18 |
ROIC/WACC0.93
WACC9.12%
2.3 Liquidity
- UFPI has a Current Ratio of 4.49. This indicates that UFPI is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 4.49, UFPI belongs to the top of the industry, outperforming 90.48% of the companies in the same industry.
- UFPI has a Quick Ratio of 3.23. This indicates that UFPI is financially healthy and has no problem in meeting its short term obligations.
- UFPI has a better Quick ratio (3.23) than 95.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.49 | ||
| Quick Ratio | 3.23 |
3. Growth
3.1 Past
- UFPI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.58%.
- The Earnings Per Share has been growing by 18.40% on average over the past years. This is quite good.
- UFPI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -22.76%.
- The Revenue has been growing by 8.54% on average over the past years. This is quite good.
EPS 1Y (TTM)-25.58%
EPS 3Y-7.63%
EPS 5Y18.4%
EPS Q2Q%-21.34%
Revenue 1Y (TTM)-22.76%
Revenue growth 3Y-8.33%
Revenue growth 5Y8.54%
Sales Q2Q%-5.44%
3.2 Future
- Based on estimates for the next years, UFPI will show a small growth in Earnings Per Share. The EPS will grow by 0.43% on average per year.
- UFPI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.55% yearly.
EPS Next Y-18.94%
EPS Next 2Y-6.5%
EPS Next 3Y0.43%
EPS Next 5YN/A
Revenue Next Year-3.32%
Revenue Next 2Y-0.74%
Revenue Next 3Y1.55%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less 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
- With a Price/Earnings ratio of 19.49, UFPI is valued on the expensive side.
- Compared to the rest of the industry, the Price/Earnings ratio of UFPI is on the same level as its industry peers.
- UFPI is valuated rather cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 17.81, UFPI is valued on the expensive side.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of UFPI indicates a somewhat cheap valuation: UFPI is cheaper than 66.67% of the companies listed in the same industry.
- UFPI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.49 | ||
| Fwd PE | 17.81 |
4.2 Price Multiples
- UFPI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. UFPI is cheaper than 73.81% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as UFPI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.6 | ||
| EV/EBITDA | 9.56 |
4.3 Compensation for Growth
- The decent profitability rating of UFPI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.06
EPS Next 2Y-6.5%
EPS Next 3Y0.43%
5. Dividend
5.1 Amount
- UFPI has a Yearly Dividend Yield of 1.31%. Purely for dividend investing, there may be better candidates out there.
- UFPI's Dividend Yield is rather good when compared to the industry average which is at 0.66. UFPI pays more dividend than 80.95% of the companies in the same industry.
- Compared to the average S&P500 Dividend Yield of 1.81, UFPI is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.31% |
5.2 History
- The dividend of UFPI is nicely growing with an annual growth rate of 26.94%!
- UFPI has been paying a dividend for at least 10 years, so it has a reliable track record.
- UFPI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)26.94%
Div Incr Years12
Div Non Decr Years31
5.3 Sustainability
- 26.31% of the earnings are spent on dividend by UFPI. This is a low number and sustainable payout ratio.
- UFPI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP26.31%
EPS Next 2Y-6.5%
EPS Next 3Y0.43%
UFP INDUSTRIES INC / UFPI FAQ
Can you provide the ChartMill fundamental rating for UFP INDUSTRIES INC?
ChartMill assigns a fundamental rating of 6 / 10 to UFPI.
What is the valuation status for UFPI stock?
ChartMill assigns a valuation rating of 4 / 10 to UFP INDUSTRIES INC (UFPI). This can be considered as Fairly Valued.
How profitable is UFP INDUSTRIES INC (UFPI) stock?
UFP INDUSTRIES INC (UFPI) has a profitability rating of 6 / 10.
What is the valuation of UFP INDUSTRIES INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for UFP INDUSTRIES INC (UFPI) is 19.49 and the Price/Book (PB) ratio is 1.93.
How financially healthy is UFP INDUSTRIES INC?
The financial health rating of UFP INDUSTRIES INC (UFPI) is 10 / 10.