ALBANY INTL CORP-CL A (AIN) Stock Fundamental Analysis
NYSE:AIN - New York Stock Exchange, Inc. - US0123481089 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to AIN. AIN was compared to 128 industry peers in the Machinery industry. While AIN has a great health rating, its profitability is only average at the moment. AIN does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year AIN was profitable.
In the past year AIN had a positive cash flow from operations.
In the past 5 years AIN has always been profitable.
AIN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AIN has a Return On Assets (4.60%) which is in line with its industry peers.
AIN has a Return On Equity (8.63%) which is comparable to the rest of the industry.
The Return On Invested Capital of AIN (6.57%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for AIN is below the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 8.63% | ||
| ROIC | 6.57% |
ROA(3y)5.73%
ROA(5y)6.24%
ROE(3y)10.65%
ROE(5y)11.52%
ROIC(3y)8.07%
ROIC(5y)8.6%
1.3 Margins
AIN has a Profit Margin (6.44%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of AIN has declined.
The Operating Margin of AIN (11.14%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of AIN has declined.
AIN has a Gross Margin (32.30%) which is comparable to the rest of the industry.
AIN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.14% | ||
| PM (TTM) | 6.44% | ||
| GM | 32.3% |
OM growth 3Y-15.2%
OM growth 5Y-8.79%
PM growth 3Y-17.66%
PM growth 5Y-10.73%
GM growth 3Y-7.1%
GM growth 5Y-2.85%
2. Health
2.1 Basic Checks
AIN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AIN has less shares outstanding
AIN has less shares outstanding than it did 5 years ago.
AIN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.81 indicates that AIN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.81, AIN is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
The Debt to FCF ratio of AIN is 2.95, which is a good value as it means it would take AIN, 2.95 years of fcf income to pay off all of its debts.
AIN has a better Debt to FCF ratio (2.95) than 66.41% of its industry peers.
AIN has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AIN (0.46) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.95 | ||
| Altman-Z | 3.81 |
ROIC/WACC0.69
WACC9.56%
2.3 Liquidity
AIN has a Current Ratio of 3.70. This indicates that AIN is financially healthy and has no problem in meeting its short term obligations.
AIN has a Current ratio of 3.70. This is amongst the best in the industry. AIN outperforms 85.16% of its industry peers.
A Quick Ratio of 2.92 indicates that AIN has no problem at all paying its short term obligations.
AIN has a better Quick ratio (2.92) than 88.28% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.7 | ||
| Quick Ratio | 2.92 |
3. Growth
3.1 Past
AIN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.74%.
Measured over the past years, AIN shows a decrease in Earnings Per Share. The EPS has been decreasing by -5.01% on average per year.
Looking at the last year, AIN shows a small growth in Revenue. The Revenue has grown by 1.17% in the last year.
The Revenue has been growing slightly by 3.14% on average over the past years.
EPS 1Y (TTM)-25.74%
EPS 3Y-3.88%
EPS 5Y-5.01%
EPS Q2Q%-18.89%
Revenue 1Y (TTM)1.17%
Revenue growth 3Y9.82%
Revenue growth 5Y3.14%
Sales Q2Q%-7.84%
3.2 Future
Based on estimates for the next years, AIN will show a small growth in Earnings Per Share. The EPS will grow by 7.84% on average per year.
The Revenue is expected to grow by 0.83% on average over the next years.
EPS Next Y1.42%
EPS Next 2Y7.84%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.83%
Revenue Next 2Y1.11%
Revenue Next 3Y-0.61%
Revenue Next 5Y0.83%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
AIN is valuated rather expensively with a Price/Earnings ratio of 22.35.
The rest of the industry has a similar Price/Earnings ratio as AIN.
Compared to an average S&P500 Price/Earnings ratio of 26.52, AIN is valued at the same level.
AIN is valuated rather expensively with a Price/Forward Earnings ratio of 18.19.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AIN is on the same level as its industry peers.
AIN is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.25, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.35 | ||
| Fwd PE | 18.19 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AIN indicates a somewhat cheap valuation: AIN is cheaper than 69.53% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, AIN is valued a bit cheaper than 77.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.36 | ||
| EV/EBITDA | 10.43 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AIN does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)15.69
PEG (5Y)N/A
EPS Next 2Y7.84%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.62%, AIN has a reasonable but not impressive dividend return.
AIN's Dividend Yield is a higher than the industry average which is at 1.91.
Compared to the average S&P500 Dividend Yield of 2.39, AIN is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
5.2 History
The dividend of AIN is nicely growing with an annual growth rate of 7.66%!
AIN has been paying a dividend for at least 10 years, so it has a reliable track record.
AIN has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.66%
Div Incr Years7
Div Non Decr Years23
5.3 Sustainability
AIN pays out 42.23% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of AIN is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP42.23%
EPS Next 2Y7.84%
EPS Next 3YN/A
67.06
+0.54 (+0.81%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners102.38%
Inst Owner Change0.45%
Ins Owners0.56%
Ins Owner Change4.03%
Market Cap2.03B
Analysts75
Price Target76.16 (13.57%)
Short Float %2.62%
Short Ratio2.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.62% |
Yearly Dividend1.04
Dividend Growth(5Y)7.66%
DP42.23%
Div Incr Years7
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.48%
Min EPS beat(2)-12.99%
Max EPS beat(2)15.95%
EPS beat(4)2
Avg EPS beat(4)9.9%
Min EPS beat(4)-12.99%
Max EPS beat(4)39.45%
EPS beat(8)5
Avg EPS beat(8)11.86%
EPS beat(12)9
Avg EPS beat(12)14.52%
EPS beat(16)13
Avg EPS beat(16)17.35%
Revenue beat(2)0
Avg Revenue beat(2)-4.09%
Min Revenue beat(2)-5.14%
Max Revenue beat(2)-3.05%
Revenue beat(4)1
Avg Revenue beat(4)-1.69%
Min Revenue beat(4)-5.14%
Max Revenue beat(4)3.32%
Revenue beat(8)4
Avg Revenue beat(8)1.06%
Revenue beat(12)8
Avg Revenue beat(12)3.03%
Revenue beat(16)12
Avg Revenue beat(16)3.61%
PT rev (1m)0%
PT rev (3m)-17.5%
EPS NQ rev (1m)-2.32%
EPS NQ rev (3m)-26.74%
EPS NY rev (1m)-0.91%
EPS NY rev (3m)-15.74%
Revenue NQ rev (1m)0.6%
Revenue NQ rev (3m)-6.83%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)-3.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.35 | ||
| Fwd PE | 18.19 | ||
| P/S | 1.68 | ||
| P/FCF | 14.36 | ||
| P/OCF | 9.6 | ||
| P/B | 2.25 | ||
| P/tB | 2.96 | ||
| EV/EBITDA | 10.43 |
EPS(TTM)3
EY4.47%
EPS(NY)3.69
Fwd EY5.5%
FCF(TTM)4.67
FCFY6.96%
OCF(TTM)6.99
OCFY10.42%
SpS39.94
BVpS29.8
TBVpS22.63
PEG (NY)15.69
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 8.63% | ||
| ROCE | 9.08% | ||
| ROIC | 6.57% | ||
| ROICexc | 7.15% | ||
| ROICexgc | 8.5% | ||
| OM | 11.14% | ||
| PM (TTM) | 6.44% | ||
| GM | 32.3% | ||
| FCFM | 11.69% |
ROA(3y)5.73%
ROA(5y)6.24%
ROE(3y)10.65%
ROE(5y)11.52%
ROIC(3y)8.07%
ROIC(5y)8.6%
ROICexc(3y)9.38%
ROICexc(5y)10.33%
ROICexgc(3y)11.32%
ROICexgc(5y)12.76%
ROCE(3y)11.15%
ROCE(5y)11.88%
ROICexcg growth 3Y-15.21%
ROICexcg growth 5Y-10.69%
ROICexc growth 3Y-13.54%
ROICexc growth 5Y-9.51%
OM growth 3Y-15.2%
OM growth 5Y-8.79%
PM growth 3Y-17.66%
PM growth 5Y-10.73%
GM growth 3Y-7.1%
GM growth 5Y-2.85%
F-Score4
Asset Turnover0.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 2.95 | ||
| Debt/EBITDA | 1.87 | ||
| Cap/Depr | 79.21% | ||
| Cap/Sales | 5.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.74% | ||
| Profit Quality | 181.55% | ||
| Current Ratio | 3.7 | ||
| Quick Ratio | 2.92 | ||
| Altman-Z | 3.81 |
F-Score4
WACC9.56%
ROIC/WACC0.69
Cap/Depr(3y)113.45%
Cap/Depr(5y)94.21%
Cap/Sales(3y)7.75%
Cap/Sales(5y)6.75%
Profit Quality(3y)82.39%
Profit Quality(5y)96.94%
High Growth Momentum
Growth
EPS 1Y (TTM)-25.74%
EPS 3Y-3.88%
EPS 5Y-5.01%
EPS Q2Q%-18.89%
EPS Next Y1.42%
EPS Next 2Y7.84%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.17%
Revenue growth 3Y9.82%
Revenue growth 5Y3.14%
Sales Q2Q%-7.84%
Revenue Next Year-1.83%
Revenue Next 2Y1.11%
Revenue Next 3Y-0.61%
Revenue Next 5Y0.83%
EBIT growth 1Y-20.4%
EBIT growth 3Y-6.88%
EBIT growth 5Y-5.92%
EBIT Next Year64.51%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y591.37%
FCF growth 3Y-5.73%
FCF growth 5Y0.72%
OCF growth 1Y80%
OCF growth 3Y0.14%
OCF growth 5Y1.74%