Vista Outdoor Inc (VSTO)
US9283771007 - Common Stock
We assign a fundamental rating of 6 out of 10 to VSTO. VSTO was compared to 31 industry peers in the Leisure Products industry. VSTO has an excellent financial health rating, but there are some minor concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on VSTO. These ratings would make VSTO suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year VSTO was profitable.
In the past year VSTO had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: VSTO reported negative net income in multiple years.
In the past 5 years VSTO always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.39%, VSTO is in line with its industry, outperforming 54.84% of the companies in the same industry.
VSTO has a Return On Equity (-0.74%) which is in line with its industry peers.
VSTO's Return On Invested Capital of 9.38% is fine compared to the rest of the industry. VSTO outperforms 77.42% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VSTO is significantly above the industry average of 8.25%.
The 3 year average ROIC (17.20%) for VSTO is well above the current ROIC(9.38%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.39% | ||
| ROE | -0.74% | ||
| ROIC | 9.38% |
ROA(3y)6.39%
ROA(5y)4.62%
ROE(3y)13.58%
ROE(5y)8.36%
ROIC(3y)17.2%
ROIC(5y)13.87%
1.3 Margins
VSTO has a Operating Margin of 8.75%. This is in the better half of the industry: VSTO outperforms 77.42% of its industry peers.
In the last couple of years the Operating Margin of VSTO has grown nicely.
VSTO's Gross Margin of 31.49% is in line compared to the rest of the industry. VSTO outperforms 58.06% of its industry peers.
In the last couple of years the Gross Margin of VSTO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.75% | ||
| PM (TTM) | N/A | ||
| GM | 31.49% |
OM growth 3Y-6.53%
OM growth 5Y80.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.22%
GM growth 5Y9.15%
2. Health
2.1 Basic Checks
VSTO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
VSTO has more shares outstanding than it did 1 year ago.
VSTO has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, VSTO has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.15 indicates that VSTO is not in any danger for bankruptcy at the moment.
VSTO has a Altman-Z score of 3.15. This is in the better half of the industry: VSTO outperforms 64.52% of its industry peers.
VSTO has a debt to FCF ratio of 1.70. This is a very positive value and a sign of high solvency as it would only need 1.70 years to pay back of all of its debts.
VSTO has a Debt to FCF ratio of 1.70. This is in the better half of the industry: VSTO outperforms 74.19% of its industry peers.
VSTO has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of VSTO (0.48) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 1.7 | ||
| Altman-Z | 3.15 |
ROIC/WACC1.15
WACC8.19%
2.3 Liquidity
A Current Ratio of 2.90 indicates that VSTO has no problem at all paying its short term obligations.
The Current ratio of VSTO (2.90) is better than 64.52% of its industry peers.
VSTO has a Quick Ratio of 1.26. This is a normal value and indicates that VSTO is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.26, VSTO is in line with its industry, outperforming 45.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.9 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
VSTO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.45%.
Measured over the past years, VSTO shows a very strong growth in Earnings Per Share. The EPS has been growing by 91.86% on average per year.
Looking at the last year, VSTO shows a decrease in Revenue. The Revenue has decreased by -6.27% in the last year.
The Revenue has been growing slightly by 5.93% on average over the past years.
EPS 1Y (TTM)-13.45%
EPS 3Y2.14%
EPS 5Y91.86%
EPS Q2Q%7.29%
Revenue 1Y (TTM)-6.27%
Revenue growth 3Y7.26%
Revenue growth 5Y5.93%
Sales Q2Q%-1.61%
3.2 Future
VSTO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.99% yearly.
VSTO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.38% yearly.
EPS Next Y11.68%
EPS Next 2Y12.39%
EPS Next 3Y11.99%
EPS Next 5YN/A
Revenue Next Year-1.5%
Revenue Next 2Y0.32%
Revenue Next 3Y0.38%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 11.56, the valuation of VSTO can be described as very reasonable.
93.55% of the companies in the same industry are more expensive than VSTO, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of VSTO to the average of the S&P500 Index (27.34), we can say VSTO is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.06, the valuation of VSTO can be described as very reasonable.
VSTO's Price/Forward Earnings ratio is rather cheap when compared to the industry. VSTO is cheaper than 87.10% of the companies in the same industry.
VSTO is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.61, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.56 | ||
| Fwd PE | 9.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VSTO is valued a bit cheaper than 77.42% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VSTO indicates a rather cheap valuation: VSTO is cheaper than 93.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.53 | ||
| EV/EBITDA | 9.54 |
4.3 Compensation for Growth
VSTO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
VSTO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.99
PEG (5Y)0.13
EPS Next 2Y12.39%
EPS Next 3Y11.99%
5. Dividend
5.1 Amount
VSTO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Vista Outdoor Inc
NYSE:VSTO (11/26/2024, 7:08:32 PM)
After market: 44.63 0 (0%)44.63
+0.24 (+0.54%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners90.38%
Inst Owner Change0%
Ins Owners2.74%
Ins Owner Change-73.27%
Market Cap2.61B
Analysts73.33
Price Target43.67 (-2.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.79%
Min EPS beat(2)3.5%
Max EPS beat(2)6.07%
EPS beat(4)3
Avg EPS beat(4)3.07%
Min EPS beat(4)-3.41%
Max EPS beat(4)6.1%
EPS beat(8)6
Avg EPS beat(8)5.25%
EPS beat(12)9
Avg EPS beat(12)6.65%
EPS beat(16)13
Avg EPS beat(16)19.37%
Revenue beat(2)0
Avg Revenue beat(2)-3.01%
Min Revenue beat(2)-3.96%
Max Revenue beat(2)-2.06%
Revenue beat(4)0
Avg Revenue beat(4)-2.89%
Min Revenue beat(4)-3.96%
Max Revenue beat(4)-2.06%
Revenue beat(8)0
Avg Revenue beat(8)-2.73%
Revenue beat(12)3
Avg Revenue beat(12)-1.11%
Revenue beat(16)7
Avg Revenue beat(16)0.98%
PT rev (1m)0.71%
PT rev (3m)2.32%
EPS NQ rev (1m)2.05%
EPS NQ rev (3m)-3.69%
EPS NY rev (1m)2.2%
EPS NY rev (3m)3.45%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)-0.12%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.56 | ||
| Fwd PE | 9.06 | ||
| P/S | 0.97 | ||
| P/FCF | 7.53 | ||
| P/OCF | 6.97 | ||
| P/B | 2.12 | ||
| P/tB | 8.34 | ||
| EV/EBITDA | 9.54 |
EPS(TTM)3.86
EY8.65%
EPS(NY)4.93
Fwd EY11.04%
FCF(TTM)5.93
FCFY13.29%
OCF(TTM)6.4
OCFY14.34%
SpS45.97
BVpS21.08
TBVpS5.35
PEG (NY)0.99
PEG (5Y)0.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.39% | ||
| ROE | -0.74% | ||
| ROCE | 11.87% | ||
| ROIC | 9.38% | ||
| ROICexc | 9.56% | ||
| ROICexgc | 18.13% | ||
| OM | 8.75% | ||
| PM (TTM) | N/A | ||
| GM | 31.49% | ||
| FCFM | 12.9% |
ROA(3y)6.39%
ROA(5y)4.62%
ROE(3y)13.58%
ROE(5y)8.36%
ROIC(3y)17.2%
ROIC(5y)13.87%
ROICexc(3y)17.6%
ROICexc(5y)14.78%
ROICexgc(3y)34.86%
ROICexgc(5y)27.4%
ROCE(3y)21.77%
ROCE(5y)17.56%
ROICexcg growth 3Y-9.25%
ROICexcg growth 5Y83.53%
ROICexc growth 3Y-16%
ROICexc growth 5Y78.35%
OM growth 3Y-6.53%
OM growth 5Y80.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.22%
GM growth 5Y9.15%
F-Score6
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 1.7 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 28.55% | ||
| Cap/Sales | 1.02% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 112.92% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.9 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | 3.15 |
F-Score6
WACC8.19%
ROIC/WACC1.15
Cap/Depr(3y)44.03%
Cap/Depr(5y)42.7%
Cap/Sales(3y)1.26%
Cap/Sales(5y)1.3%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-13.45%
EPS 3Y2.14%
EPS 5Y91.86%
EPS Q2Q%7.29%
EPS Next Y11.68%
EPS Next 2Y12.39%
EPS Next 3Y11.99%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.27%
Revenue growth 3Y7.26%
Revenue growth 5Y5.93%
Sales Q2Q%-1.61%
Revenue Next Year-1.5%
Revenue Next 2Y0.32%
Revenue Next 3Y0.38%
Revenue Next 5YN/A
EBIT growth 1Y-28.88%
EBIT growth 3Y0.26%
EBIT growth 5Y90.73%
EBIT Next Year31.39%
EBIT Next 3Y16.84%
EBIT Next 5YN/A
FCF growth 1Y-5.09%
FCF growth 3Y5.52%
FCF growth 5Y46.28%
OCF growth 1Y-8.01%
OCF growth 3Y5.09%
OCF growth 5Y32.68%