AEROJET ROCKETDYNE HOLDINGS (AJRD) Stock Fundamental Analysis
USA - NYSE:AJRD - US0078001056 - Common Stock
57.99 USD
+0.81 (+1.42%)
57.99 USD
0 (0%)
AJRD gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 70 industry peers in the Aerospace & Defense industry. There are concerns on the financial health of AJRD while its profitability can be described as average. AJRD is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
AJRD had positive earnings in the past year.
AJRD had a negative operating cash flow in the past year.
In the past 5 years AJRD has always been profitable.
Of the past 5 years AJRD 4 years had a positive operating cash flow.
1.2 Ratios
AJRD's Return On Assets of 3.19% is in line compared to the rest of the industry. AJRD outperforms 57.14% of its industry peers.
AJRD has a Return On Equity of 13.10%. This is in the better half of the industry: AJRD outperforms 79.37% of its industry peers.
AJRD has a better Return On Invested Capital (8.78%) than 79.37% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AJRD is above the industry average of 8.43%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 13.1% | ||
| ROIC | 8.78% |
ROA(3y)4.56%
ROA(5y)4.84%
ROE(3y)33.06%
ROE(5y)31.01%
ROIC(3y)11.45%
ROIC(5y)11.1%
1.3 Margins
AJRD has a Profit Margin of 3.21%. This is comparable to the rest of the industry: AJRD outperforms 50.79% of its industry peers.
AJRD's Profit Margin has declined in the last couple of years.
With a decent Operating Margin value of 8.96%, AJRD is doing good in the industry, outperforming 68.25% of the companies in the same industry.
In the last couple of years the Operating Margin of AJRD has remained more or less at the same level.
With a Gross Margin value of 14.13%, AJRD is not doing good in the industry: 68.25% of the companies in the same industry are doing better.
AJRD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.96% | ||
| PM (TTM) | 3.21% | ||
| GM | 14.13% |
OM growth 3Y-7%
OM growth 5Y-0.52%
PM growth 3Y-22.13%
PM growth 5YN/A
GM growth 3Y-7.26%
GM growth 5Y-2.47%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AJRD is still creating some value.
The number of shares outstanding for AJRD has been increased compared to 1 year ago.
Compared to 1 year ago, AJRD has an improved debt to assets ratio.
2.2 Solvency
AJRD has an Altman-Z score of 3.19. This indicates that AJRD is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of AJRD (3.19) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.51 indicates that AJRD is somewhat dependend on debt financing.
AJRD has a worse Debt to Equity ratio (0.51) than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.19 |
ROIC/WACC1.01
WACC8.67%
2.3 Liquidity
A Current Ratio of 1.53 indicates that AJRD should not have too much problems paying its short term obligations.
With a Current ratio value of 1.53, AJRD is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
A Quick Ratio of 1.51 indicates that AJRD should not have too much problems paying its short term obligations.
AJRD has a Quick ratio (1.51) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for AJRD have decreased strongly by -31.86% in the last year.
AJRD shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.91% yearly.
The Revenue has been growing slightly by 4.08% in the past year.
AJRD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.57% yearly.
EPS 1Y (TTM)-31.86%
EPS 3Y-6.27%
EPS 5Y13.91%
EPS Q2Q%-2.27%
Revenue 1Y (TTM)4.08%
Revenue growth 3Y4.13%
Revenue growth 5Y3.57%
Sales Q2Q%10.8%
3.2 Future
The Earnings Per Share is expected to grow by 23.73% on average over the next years. This is a very strong growth
AJRD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.01% yearly.
EPS Next Y44.74%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
EPS Next 5YN/A
Revenue Next Year8.54%
Revenue Next 2Y6.77%
Revenue Next 3Y6.01%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 41.72, which means the current valuation is very expensive for AJRD.
The rest of the industry has a similar Price/Earnings ratio as AJRD.
AJRD's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.10.
With a Price/Forward Earnings ratio of 25.57, AJRD can be considered very expensive at the moment.
AJRD's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.52. AJRD is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.72 | ||
| Fwd PE | 25.57 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AJRD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 17.91 |
4.3 Compensation for Growth
AJRD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AJRD's earnings are expected to grow with 23.73% in the coming years.
PEG (NY)0.93
PEG (5Y)3
EPS Next 2Y27.27%
EPS Next 3Y23.73%
5. Dividend
5.1 Amount
With a yearly dividend of 0.06%, AJRD is not a good candidate for dividend investing.
AJRD's Dividend Yield is a higher than the industry average which is at 1.11.
Compared to an average S&P500 Dividend Yield of 2.35, AJRD's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.06% |
5.2 History
The dividend of AJRD decreases each year by -10.86%.
AJRD does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)-10.86%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AJRD pays out 2.71% of its income as dividend. This is a sustainable payout ratio.
DP2.71%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
57.99
+0.81 (+1.42%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners1.45%
Ins Owner Change0%
Market Cap4.68B
Revenue(TTM)2.29B
Net Income(TTM)73.70M
Analysts43.33
Price Target57.12 (-1.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.06% |
Yearly Dividend0.03
Dividend Growth(5Y)-10.86%
DP2.71%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-25.97%
Min EPS beat(2)-48.49%
Max EPS beat(2)-3.46%
EPS beat(4)0
Avg EPS beat(4)-27.9%
Min EPS beat(4)-59.15%
Max EPS beat(4)-0.49%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)2.98%
Min Revenue beat(2)2.75%
Max Revenue beat(2)3.21%
Revenue beat(4)2
Avg Revenue beat(4)-1.6%
Min Revenue beat(4)-8.89%
Max Revenue beat(4)3.21%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-1.75%
PT rev (3m)-1.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.36%
Revenue NY rev (1m)3.08%
Revenue NY rev (3m)3.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 41.72 | ||
| Fwd PE | 25.57 | ||
| P/S | 2.04 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 8.32 | ||
| P/tB | 12.5 | ||
| EV/EBITDA | 17.91 |
EPS(TTM)1.39
EY2.4%
EPS(NY)2.27
Fwd EY3.91%
FCF(TTM)-0.58
FCFYN/A
OCF(TTM)-0.08
OCFYN/A
SpS28.39
BVpS6.97
TBVpS4.64
PEG (NY)0.93
PEG (5Y)3
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.19% | ||
| ROE | 13.1% | ||
| ROCE | N/A | ||
| ROIC | 8.78% | ||
| ROICexc | 10.58% | ||
| ROICexgc | 12.25% | ||
| OM | 8.96% | ||
| PM (TTM) | 3.21% | ||
| GM | 14.13% | ||
| FCFM | N/A |
ROA(3y)4.56%
ROA(5y)4.84%
ROE(3y)33.06%
ROE(5y)31.01%
ROIC(3y)11.45%
ROIC(5y)11.1%
ROICexc(3y)32.24%
ROICexc(5y)27.47%
ROICexgc(3y)87.08%
ROICexgc(5y)63.17%
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-17.33%
ROICexgc growth 5Y-1.91%
ROICexc growth 3Y-13.99%
ROICexc growth 5Y-0.07%
OM growth 3Y-7%
OM growth 5Y-0.52%
PM growth 3Y-22.13%
PM growth 5YN/A
GM growth 3Y-7.26%
GM growth 5Y-2.47%
F-Score4
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.51 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.15 | ||
| Cap/Depr | 71.35% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 3.19 |
F-Score4
WACC8.67%
ROIC/WACC1.01
Cap/Depr(3y)71.8%
Cap/Depr(5y)66.55%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-31.86%
EPS 3Y-6.27%
EPS 5Y13.91%
EPS Q2Q%-2.27%
EPS Next Y44.74%
EPS Next 2Y27.27%
EPS Next 3Y23.73%
EPS Next 5YN/A
Revenue 1Y (TTM)4.08%
Revenue growth 3Y4.13%
Revenue growth 5Y3.57%
Sales Q2Q%10.8%
Revenue Next Year8.54%
Revenue Next 2Y6.77%
Revenue Next 3Y6.01%
Revenue Next 5YN/A
EBIT growth 1Y-27.62%
EBIT growth 3Y-3.16%
EBIT growth 5Y3.04%
EBIT Next Year59.1%
EBIT Next 3Y21.59%
EBIT Next 5YN/A
FCF growth 1Y-118.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-102.09%
OCF growth 3YN/A
OCF growth 5YN/A
AEROJET ROCKETDYNE HOLDINGS / AJRD FAQ
What is the fundamental rating for AJRD stock?
ChartMill assigns a fundamental rating of 4 / 10 to AJRD.
What is the valuation status for AJRD stock?
ChartMill assigns a valuation rating of 2 / 10 to AEROJET ROCKETDYNE HOLDINGS (AJRD). This can be considered as Overvalued.
Can you provide the profitability details for AEROJET ROCKETDYNE HOLDINGS?
AEROJET ROCKETDYNE HOLDINGS (AJRD) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for AJRD stock?
The Price/Earnings (PE) ratio for AEROJET ROCKETDYNE HOLDINGS (AJRD) is 41.72 and the Price/Book (PB) ratio is 8.32.
What is the expected EPS growth for AEROJET ROCKETDYNE HOLDINGS (AJRD) stock?
The Earnings per Share (EPS) of AEROJET ROCKETDYNE HOLDINGS (AJRD) is expected to grow by 44.74% in the next year.