PLAYAGS INC (AGS) Stock Fundamental Analysis
USA - NYSE:AGS - US72814N1046 - Common Stock
12.49 USD
+0.01 (+0.08%)
12.49 USD
0 (0%)
Taking everything into account, AGS scores 5 out of 10 in our fundamental rating. AGS was compared to 134 industry peers in the Hotels, Restaurants & Leisure industry. While AGS belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. AGS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AGS had positive earnings in the past year.
AGS had a positive operating cash flow in the past year.
In multiple years AGS reported negative net income over the last 5 years.
Each year in the past 5 years AGS had a positive operating cash flow.
1.2 Ratios
AGS has a better Return On Assets (7.19%) than 77.04% of its industry peers.
AGS has a Return On Equity of 43.49%. This is amongst the best in the industry. AGS outperforms 90.37% of its industry peers.
With a decent Return On Invested Capital value of 10.71%, AGS is doing good in the industry, outperforming 75.56% of the companies in the same industry.
AGS had an Average Return On Invested Capital over the past 3 years of 6.96%. This is significantly below the industry average of 15.67%.
The last Return On Invested Capital (10.71%) for AGS is above the 3 year average (6.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 43.49% | ||
| ROIC | 10.71% |
ROA(3y)1.89%
ROA(5y)-1.79%
ROE(3y)8.99%
ROE(5y)-37.22%
ROIC(3y)6.96%
ROIC(5y)N/A
1.3 Margins
AGS has a better Profit Margin (10.42%) than 76.30% of its industry peers.
AGS has a Operating Margin of 18.38%. This is in the better half of the industry: AGS outperforms 75.56% of its industry peers.
AGS's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 70.32%, AGS belongs to the best of the industry, outperforming 84.44% of the companies in the same industry.
AGS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.38% | ||
| PM (TTM) | 10.42% | ||
| GM | 70.32% |
OM growth 3Y28.67%
OM growth 5Y13.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.53%
GM growth 5Y-0.43%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AGS is creating some value.
AGS has more shares outstanding than it did 1 year ago.
AGS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, AGS has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.26, we must say that AGS is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of AGS (1.26) is worse than 60.00% of its industry peers.
The Debt to FCF ratio of AGS is 21.51, which is on the high side as it means it would take AGS, 21.51 years of fcf income to pay off all of its debts.
AGS has a Debt to FCF ratio (21.51) which is in line with its industry peers.
A Debt/Equity ratio of 4.51 is on the high side and indicates that AGS has dependencies on debt financing.
AGS has a worse Debt to Equity ratio (4.51) than 64.44% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.51 | ||
| Debt/FCF | 21.51 | ||
| Altman-Z | 1.26 |
ROIC/WACC1.05
WACC10.18%
2.3 Liquidity
AGS has a Current Ratio of 3.97. This indicates that AGS is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.97, AGS belongs to the top of the industry, outperforming 96.30% of the companies in the same industry.
AGS has a Quick Ratio of 3.26. This indicates that AGS is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of AGS (3.26) is better than 95.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.97 | ||
| Quick Ratio | 3.26 |
3. Growth
3.1 Past
AGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 875.00%, which is quite impressive.
AGS shows a strong growth in Revenue. In the last year, the Revenue has grown by 32.59%.
The Revenue has been growing slightly by 5.32% on average over the past years.
EPS 1Y (TTM)875%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-30%
Revenue 1Y (TTM)32.59%
Revenue growth 3Y14.99%
Revenue growth 5Y5.32%
Sales Q2Q%-1.2%
3.2 Future
The Earnings Per Share is expected to decrease by -10.14% on average over the next years. This is quite bad
AGS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.45% yearly.
EPS Next Y-35.64%
EPS Next 2Y-13.06%
EPS Next 3Y-10.14%
EPS Next 5YN/A
Revenue Next Year4.19%
Revenue Next 2Y4.66%
Revenue Next 3Y4.45%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 10.68, the valuation of AGS can be described as reasonable.
AGS's Price/Earnings ratio is rather cheap when compared to the industry. AGS is cheaper than 94.81% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.41. AGS is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 13.77 indicates a correct valuation of AGS.
Based on the Price/Forward Earnings ratio, AGS is valued a bit cheaper than 78.52% of the companies in the same industry.
AGS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.68 | ||
| Fwd PE | 13.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AGS is valued cheaper than 91.85% of the companies in the same industry.
AGS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AGS is cheaper than 74.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.81 | ||
| EV/EBITDA | 6.03 |
4.3 Compensation for Growth
AGS has a very decent profitability rating, which may justify a higher PE ratio.
AGS's earnings are expected to decrease with -10.14% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-13.06%
EPS Next 3Y-10.14%
5. Dividend
5.1 Amount
AGS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.49
+0.01 (+0.08%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners86.1%
Inst Owner Change-7.36%
Ins Owners3.55%
Ins Owner Change-2002.7%
Market Cap518.46M
Analysts45
Price Target12.75 (2.08%)
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)1
Avg EPS beat(2)268.52%
Min EPS beat(2)-48.92%
Max EPS beat(2)585.95%
EPS beat(4)1
Avg EPS beat(4)98.48%
Min EPS beat(4)-91.02%
Max EPS beat(4)585.95%
EPS beat(8)3
Avg EPS beat(8)144.86%
EPS beat(12)7
Avg EPS beat(12)170%
EPS beat(16)9
Avg EPS beat(16)104.27%
Revenue beat(2)1
Avg Revenue beat(2)0.59%
Min Revenue beat(2)-1.32%
Max Revenue beat(2)2.49%
Revenue beat(4)3
Avg Revenue beat(4)1.02%
Min Revenue beat(4)-1.32%
Max Revenue beat(4)2.49%
Revenue beat(8)7
Avg Revenue beat(8)2.55%
Revenue beat(12)11
Avg Revenue beat(12)2.93%
Revenue beat(16)15
Avg Revenue beat(16)3.45%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)1.79%
EPS NQ rev (3m)29.55%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.21%
Revenue NQ rev (1m)0.55%
Revenue NQ rev (3m)0.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.68 | ||
| Fwd PE | 13.77 | ||
| P/S | 1.06 | ||
| P/FCF | 20.81 | ||
| P/OCF | 5.11 | ||
| P/B | 4.42 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.03 |
EPS(TTM)1.17
EY9.37%
EPS(NY)0.91
Fwd EY7.26%
FCF(TTM)0.6
FCFY4.81%
OCF(TTM)2.44
OCFY19.57%
SpS11.8
BVpS2.83
TBVpS-6.73
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.19% | ||
| ROE | 43.49% | ||
| ROCE | 13.55% | ||
| ROIC | 10.71% | ||
| ROICexc | 11.38% | ||
| ROICexgc | 31.21% | ||
| OM | 18.38% | ||
| PM (TTM) | 10.42% | ||
| GM | 70.32% | ||
| FCFM | 5.09% |
ROA(3y)1.89%
ROA(5y)-1.79%
ROE(3y)8.99%
ROE(5y)-37.22%
ROIC(3y)6.96%
ROIC(5y)N/A
ROICexc(3y)7.46%
ROICexc(5y)N/A
ROICexgc(3y)24.25%
ROICexgc(5y)N/A
ROCE(3y)8.81%
ROCE(5y)N/A
ROICexcg growth 3Y25.89%
ROICexcg growth 5Y13.82%
ROICexc growth 3Y44.63%
ROICexc growth 5Y21.89%
OM growth 3Y28.67%
OM growth 5Y13.32%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.53%
GM growth 5Y-0.43%
F-Score8
Asset Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.51 | ||
| Debt/FCF | 21.51 | ||
| Debt/EBITDA | 3.14 | ||
| Cap/Depr | 97.64% | ||
| Cap/Sales | 15.63% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.25% | ||
| Profit Quality | 48.81% | ||
| Current Ratio | 3.97 | ||
| Quick Ratio | 3.26 | ||
| Altman-Z | 1.26 |
F-Score8
WACC10.18%
ROIC/WACC1.05
Cap/Depr(3y)87.87%
Cap/Depr(5y)74.99%
Cap/Sales(3y)19.32%
Cap/Sales(5y)19.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)875%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-30%
EPS Next Y-35.64%
EPS Next 2Y-13.06%
EPS Next 3Y-10.14%
EPS Next 5YN/A
Revenue 1Y (TTM)32.59%
Revenue growth 3Y14.99%
Revenue growth 5Y5.32%
Sales Q2Q%-1.2%
Revenue Next Year4.19%
Revenue Next 2Y4.66%
Revenue Next 3Y4.45%
Revenue Next 5YN/A
EBIT growth 1Y35.06%
EBIT growth 3Y47.96%
EBIT growth 5Y19.35%
EBIT Next Year157.89%
EBIT Next 3Y42.52%
EBIT Next 5YN/A
FCF growth 1Y632.85%
FCF growth 3Y3.03%
FCF growth 5Y11.62%
OCF growth 1Y35.65%
OCF growth 3Y8.93%
OCF growth 5Y2.85%