VIRCO MFG CORPORATION (VIRC)
US9276511097 - Common Stock
Taking everything into account, VIRC scores 6 out of 10 in our fundamental rating. VIRC was compared to 83 industry peers in the Commercial Services & Supplies industry. VIRC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. VIRC is cheap, but on the other hand it scores bad on growth. With these ratings, VIRC could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year VIRC was profitable.
VIRC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: VIRC reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: VIRC reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of VIRC (12.38%) is better than 91.57% of its industry peers.
VIRC's Return On Equity of 24.85% is amongst the best of the industry. VIRC outperforms 89.16% of its industry peers.
VIRC has a Return On Invested Capital of 17.14%. This is amongst the best in the industry. VIRC outperforms 90.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.38% | ||
| ROE | 24.85% | ||
| ROIC | 17.14% |
ROA(3y)4.67%
ROA(5y)2.79%
ROE(3y)5.47%
ROE(5y)3.34%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VIRC has a Profit Margin of 9.50%. This is amongst the best in the industry. VIRC outperforms 80.72% of its industry peers.
VIRC has a Operating Margin of 13.05%. This is amongst the best in the industry. VIRC outperforms 80.72% of its industry peers.
VIRC's Operating Margin has improved in the last couple of years.
VIRC has a better Gross Margin (44.27%) than 77.11% of its industry peers.
In the last couple of years the Gross Margin of VIRC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.05% | ||
| PM (TTM) | 9.5% | ||
| GM | 44.27% |
OM growth 3Y195.7%
OM growth 5Y59.54%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.27%
GM growth 5Y5.22%
2. Health
2.1 Basic Checks
VIRC 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, VIRC has more shares outstanding
The number of shares outstanding for VIRC has been increased compared to 5 years ago.
Compared to 1 year ago, VIRC has an improved debt to assets ratio.
2.2 Solvency
VIRC has an Altman-Z score of 3.14. This indicates that VIRC is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.14, VIRC is doing good in the industry, outperforming 65.06% of the companies in the same industry.
The Debt to FCF ratio of VIRC is 0.08, which is an excellent value as it means it would take VIRC, only 0.08 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.08, VIRC belongs to the top of the industry, outperforming 91.57% of the companies in the same industry.
VIRC has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
VIRC has a better Debt to Equity ratio (0.04) than 83.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.08 | ||
| Altman-Z | 3.14 |
ROIC/WACC1.77
WACC9.66%
2.3 Liquidity
VIRC has a Current Ratio of 2.26. This indicates that VIRC is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.26, VIRC is in the better half of the industry, outperforming 75.90% of the companies in the same industry.
A Quick Ratio of 1.20 indicates that VIRC should not have too much problems paying its short term obligations.
The Quick ratio of VIRC (1.20) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.77% over the past year.
The Revenue has grown by 9.14% in the past year. This is quite good.
Measured over the past years, VIRC shows a small growth in Revenue. The Revenue has been growing by 6.04% on average per year.
EPS 1Y (TTM)3.77%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%9.47%
Revenue 1Y (TTM)9.14%
Revenue growth 3Y20.76%
Revenue growth 5Y6.04%
Sales Q2Q%1.02%
3.2 Future
Based on estimates for the next years, VIRC will show a decrease in Earnings Per Share. The EPS will decrease by -0.14% on average per year.
VIRC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.72% yearly.
EPS Next Y17.22%
EPS Next 2Y-0.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.07%
Revenue Next 2Y3.72%
Revenue Next 3YN/A
Revenue Next 5YN/A
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
The Price/Earnings ratio is 6.48, which indicates a rather cheap valuation of VIRC.
95.18% of the companies in the same industry are more expensive than VIRC, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.55, VIRC is valued rather cheaply.
The Price/Forward Earnings ratio is 8.00, which indicates a very decent valuation of VIRC.
Based on the Price/Forward Earnings ratio, VIRC is valued cheaply inside the industry as 95.18% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 24.00. VIRC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.48 | ||
| Fwd PE | 8 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VIRC is valued cheaply inside the industry as 95.18% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, VIRC is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.43 | ||
| EV/EBITDA | 4.03 |
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.
VIRC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.38
PEG (5Y)N/A
EPS Next 2Y-0.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
VIRC has a yearly dividend return of 0.94%, which is pretty low.
The stock price of VIRC dropped by -22.98% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
VIRC's Dividend Yield is a higher than the industry average which is at 2.11.
Compared to an average S&P500 Dividend Yield of 2.36, VIRC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
5.2 History
VIRC has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of VIRC decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
VIRC pays out 3.66% of its income as dividend. This is a sustainable payout ratio.
DP3.66%
EPS Next 2Y-0.14%
EPS Next 3YN/A
VIRCO MFG CORPORATION
NASDAQ:VIRC (12/26/2024, 8:00:02 PM)
After market: 10.69 0 (0%)10.69
+0.05 (+0.47%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners45.75%
Inst Owner Change22.64%
Ins Owners16.04%
Ins Owner Change-0.09%
Market Cap174.14M
Analysts85.71
Price Target20.4 (90.83%)
Short Float %10.4%
Short Ratio8.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.94% |
Dividend Growth(5Y)N/A
DP3.66%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)100%
Min EPS beat(2)1.96%
Max EPS beat(2)198.04%
EPS beat(4)3
Avg EPS beat(4)63.35%
Min EPS beat(4)-1.67%
Max EPS beat(4)198.04%
EPS beat(8)7
Avg EPS beat(8)117.12%
EPS beat(12)8
Avg EPS beat(12)44.34%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)6.56%
Min Revenue beat(2)-8.3%
Max Revenue beat(2)21.41%
Revenue beat(4)2
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-21.47%
Max Revenue beat(4)21.41%
Revenue beat(8)4
Avg Revenue beat(8)-2.2%
Revenue beat(12)5
Avg Revenue beat(12)-6.39%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)5.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.46%
EPS NY rev (1m)-20.29%
EPS NY rev (3m)-17.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-5.79%
Revenue NY rev (3m)-8.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.48 | ||
| Fwd PE | 8 | ||
| P/S | 0.62 | ||
| P/FCF | 3.43 | ||
| P/OCF | 3.11 | ||
| P/B | 1.62 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 4.03 |
EPS(TTM)1.65
EY15.43%
EPS(NY)1.34
Fwd EY12.5%
FCF(TTM)3.11
FCFY29.14%
OCF(TTM)3.44
OCFY32.2%
SpS17.31
BVpS6.62
TBVpS6.62
PEG (NY)0.38
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.38% | ||
| ROE | 24.85% | ||
| ROCE | 22.88% | ||
| ROIC | 17.14% | ||
| ROICexc | 18.01% | ||
| ROICexgc | 18.01% | ||
| OM | 13.05% | ||
| PM (TTM) | 9.5% | ||
| GM | 44.27% | ||
| FCFM | 17.99% |
ROA(3y)4.67%
ROA(5y)2.79%
ROE(3y)5.47%
ROE(5y)3.34%
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
ROICexcg growth 3Y256.96%
ROICexcg growth 5Y64.91%
ROICexc growth 3Y256.96%
ROICexc growth 5Y64.91%
OM growth 3Y195.7%
OM growth 5Y59.54%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.27%
GM growth 5Y5.22%
F-Score7
Asset Turnover1.3
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.08 | ||
| Debt/EBITDA | 0.1 | ||
| Cap/Depr | 99.65% | ||
| Cap/Sales | 1.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 133.02% | ||
| Profit Quality | 189.39% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 3.14 |
F-Score7
WACC9.66%
ROIC/WACC1.77
Cap/Depr(3y)80.65%
Cap/Depr(5y)71.47%
Cap/Sales(3y)1.67%
Cap/Sales(5y)1.72%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)3.77%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%9.47%
EPS Next Y17.22%
EPS Next 2Y-0.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)9.14%
Revenue growth 3Y20.76%
Revenue growth 5Y6.04%
Sales Q2Q%1.02%
Revenue Next Year5.07%
Revenue Next 2Y3.72%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y50.82%
EBIT growth 3Y257.1%
EBIT growth 5Y69.18%
EBIT Next Year40.63%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y430.12%
FCF growth 3Y56.63%
FCF growth 5YN/A
OCF growth 1Y574.79%
OCF growth 3Y51.2%
OCF growth 5Y62.77%