A-MARK PRECIOUS METALS INC (AMRK) Stock Fundamental Analysis
NASDAQ:AMRK - US00181T1079 - Common Stock
22.91 USD
-0.52 (-2.22%)
23.36 USD
+0.45 (+1.96%)
AMRK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 20 industry peers in the Distributors industry. Both the profitability and the financial health of AMRK get a neutral evaluation. Nothing too spectacular is happening here. AMRK has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AMRK was profitable.
In the past year AMRK had a positive cash flow from operations.
Each year in the past 5 years AMRK has been profitable.
In multiple years AMRK reported negative operating cash flow during the last 5 years.
1.2 Ratios
AMRK has a Return On Assets (1.74%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 5.89%, AMRK is in line with its industry, outperforming 50.00% of the companies in the same industry.
AMRK's Return On Invested Capital of 2.37% is on the low side compared to the rest of the industry. AMRK is outperformed by 60.00% of its industry peers.
AMRK had an Average Return On Invested Capital over the past 3 years of 9.40%. This is significantly below the industry average of 17.94%.
The 3 year average ROIC (9.40%) for AMRK is well above the current ROIC(2.37%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 5.89% | ||
| ROIC | 2.37% |
ROA(3y)7.68%
ROA(5y)8.09%
ROE(3y)21.5%
ROE(5y)27.74%
ROIC(3y)9.4%
ROIC(5y)9.18%
1.3 Margins
AMRK's Profit Margin of 0.35% is in line compared to the rest of the industry. AMRK outperforms 50.00% of its industry peers.
In the last couple of years the Profit Margin of AMRK has grown nicely.
Looking at the Operating Margin, with a value of 0.44%, AMRK is doing worse than 60.00% of the companies in the same industry.
In the last couple of years the Operating Margin of AMRK has grown nicely.
The Gross Margin of AMRK (1.57%) is worse than 80.00% of its industry peers.
AMRK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.44% | ||
| PM (TTM) | 0.35% | ||
| GM | 1.57% |
OM growth 3Y-27.47%
OM growth 5Y98.04%
PM growth 3Y-30.4%
PM growth 5Y72.71%
GM growth 3Y-13.51%
GM growth 5Y21.7%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AMRK is creating some value.
The number of shares outstanding for AMRK has been reduced compared to 1 year ago.
Compared to 5 years ago, AMRK has more shares outstanding
AMRK has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.97 indicates that AMRK is not in any danger for bankruptcy at the moment.
AMRK's Altman-Z score of 5.97 is fine compared to the rest of the industry. AMRK outperforms 75.00% of its industry peers.
The Debt to FCF ratio of AMRK is 5.79, which is a neutral value as it means it would take AMRK, 5.79 years of fcf income to pay off all of its debts.
AMRK has a Debt to FCF ratio of 5.79. This is comparable to the rest of the industry: AMRK outperforms 60.00% of its industry peers.
AMRK has a Debt/Equity ratio of 1.43. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.43, AMRK is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 5.79 | ||
| Altman-Z | 5.97 |
ROIC/WACC0.27
WACC8.92%
2.3 Liquidity
AMRK has a Current Ratio of 1.56. This is a normal value and indicates that AMRK is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.56, AMRK is in line with its industry, outperforming 45.00% of the companies in the same industry.
AMRK has a Quick Ratio of 1.56. This is a bad value and indicates that AMRK is not financially healthy enough and could expect problems in meeting its short term obligations.
AMRK has a worse Quick ratio (0.39) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The earnings per share for AMRK have decreased strongly by -64.11% in the last year.
AMRK shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 69.05% yearly.
AMRK shows a small growth in Revenue. In the last year, the Revenue has grown by 6.78%.
Measured over the past years, AMRK shows a quite strong growth in Revenue. The Revenue has been growing by 15.19% on average per year.
EPS 1Y (TTM)-64.11%
EPS 3Y-40.58%
EPS 5Y69.05%
EPS Q2Q%-128.57%
Revenue 1Y (TTM)6.78%
Revenue growth 3Y8.41%
Revenue growth 5Y15.19%
Sales Q2Q%15.26%
3.2 Future
The Earnings Per Share is expected to grow by 24.79% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 7.38% on average over the next years.
EPS Next Y-66.15%
EPS Next 2Y-0.79%
EPS Next 3Y13.16%
EPS Next 5Y24.79%
Revenue Next Year14.97%
Revenue Next 2Y8.72%
Revenue Next 3Y7.7%
Revenue Next 5Y7.38%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
The Price/Earnings ratio is 19.58, which indicates a rather expensive current valuation of AMRK.
AMRK's Price/Earnings ratio is a bit cheaper when compared to the industry. AMRK is cheaper than 70.00% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.14. AMRK is valued slightly cheaper when compared to this.
AMRK is valuated reasonably with a Price/Forward Earnings ratio of 10.88.
AMRK's Price/Forward Earnings ratio is rather cheap when compared to the industry. AMRK is cheaper than 85.00% of the companies in the same industry.
AMRK is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.80, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.58 | ||
| Fwd PE | 10.88 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AMRK is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
AMRK's Price/Free Cash Flow ratio is rather cheap when compared to the industry. AMRK is cheaper than 90.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.56 | ||
| EV/EBITDA | 11.81 |
4.3 Compensation for Growth
A more expensive valuation may be justified as AMRK's earnings are expected to grow with 13.16% in the coming years.
PEG (NY)N/A
PEG (5Y)0.28
EPS Next 2Y-0.79%
EPS Next 3Y13.16%
5. Dividend
5.1 Amount
AMRK has a Yearly Dividend Yield of 3.54%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.74, AMRK pays a better dividend. On top of this AMRK pays more dividend than 90.00% of the companies listed in the same industry.
AMRK's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
5.2 History
On average, the dividend of AMRK grows each year by 72.09%, which is quite nice.
AMRK has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)72.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AMRK pays out 48.67% of its income as dividend. This is a bit on the high side, but may be sustainable.
AMRK's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP48.67%
EPS Next 2Y-0.79%
EPS Next 3Y13.16%
22.91
-0.52 (-2.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryDistributors
Earnings (Last)
Earnings (Next)
Inst Owners60.52%
Inst Owner Change7.86%
Ins Owners16.34%
Ins Owner Change2.75%
Market Cap564.04M
Analysts80
Price Target40.8 (78.09%)
Short Float %8.41%
Short Ratio7.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.54% |
Yearly Dividend1.81
Dividend Growth(5Y)72.09%
DP48.67%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-81.89%
Min EPS beat(2)-110%
Max EPS beat(2)-53.77%
EPS beat(4)0
Avg EPS beat(4)-59.61%
Min EPS beat(4)-110%
Max EPS beat(4)-16.17%
EPS beat(8)1
Avg EPS beat(8)-43.72%
EPS beat(12)4
Avg EPS beat(12)-23.07%
EPS beat(16)8
Avg EPS beat(16)-2.8%
Revenue beat(2)2
Avg Revenue beat(2)6.64%
Min Revenue beat(2)5.36%
Max Revenue beat(2)7.92%
Revenue beat(4)3
Avg Revenue beat(4)1.45%
Min Revenue beat(4)-8.98%
Max Revenue beat(4)7.92%
Revenue beat(8)6
Avg Revenue beat(8)9.1%
Revenue beat(12)7
Avg Revenue beat(12)5.52%
Revenue beat(16)9
Avg Revenue beat(16)3.76%
PT rev (1m)0%
PT rev (3m)-3.85%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)-28.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.58 | ||
| Fwd PE | 10.88 | ||
| P/S | 0.05 | ||
| P/FCF | 3.56 | ||
| P/OCF | 3.35 | ||
| P/B | 0.88 | ||
| P/tB | 1.79 | ||
| EV/EBITDA | 11.81 |
EPS(TTM)1.17
EY5.11%
EPS(NY)2.11
Fwd EY9.19%
FCF(TTM)6.44
FCFY28.12%
OCF(TTM)6.83
OCFY29.83%
SpS446.45
BVpS26.14
TBVpS12.82
PEG (NY)N/A
PEG (5Y)0.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.74% | ||
| ROE | 5.89% | ||
| ROCE | 4.63% | ||
| ROIC | 2.37% | ||
| ROICexc | 2.54% | ||
| ROICexgc | 3.23% | ||
| OM | 0.44% | ||
| PM (TTM) | 0.35% | ||
| GM | 1.57% | ||
| FCFM | 1.44% |
ROA(3y)7.68%
ROA(5y)8.09%
ROE(3y)21.5%
ROE(5y)27.74%
ROIC(3y)9.4%
ROIC(5y)9.18%
ROICexc(3y)9.72%
ROICexc(5y)9.77%
ROICexgc(3y)11.49%
ROICexgc(5y)11.69%
ROCE(3y)22.11%
ROCE(5y)23.12%
ROICexcg growth 3Y-34.4%
ROICexcg growth 5Y100.78%
ROICexc growth 3Y-33.9%
ROICexc growth 5Y92.53%
OM growth 3Y-27.47%
OM growth 5Y98.04%
PM growth 3Y-30.4%
PM growth 5Y72.71%
GM growth 3Y-13.51%
GM growth 5Y21.7%
F-Score5
Asset Turnover5.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.43 | ||
| Debt/FCF | 5.79 | ||
| Debt/EBITDA | 13.91 | ||
| Cap/Depr | 55.95% | ||
| Cap/Sales | 0.09% | ||
| Interest Coverage | 1.21 | ||
| Cash Conversion | 254.83% | ||
| Profit Quality | 418.11% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 5.97 |
F-Score5
WACC8.92%
ROIC/WACC0.27
Cap/Depr(3y)75.66%
Cap/Depr(5y)56.13%
Cap/Sales(3y)0.1%
Cap/Sales(5y)0.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-64.11%
EPS 3Y-40.58%
EPS 5Y69.05%
EPS Q2Q%-128.57%
EPS Next Y-66.15%
EPS Next 2Y-0.79%
EPS Next 3Y13.16%
EPS Next 5Y24.79%
Revenue 1Y (TTM)6.78%
Revenue growth 3Y8.41%
Revenue growth 5Y15.19%
Sales Q2Q%15.26%
Revenue Next Year14.97%
Revenue Next 2Y8.72%
Revenue Next 3Y7.7%
Revenue Next 5Y7.38%
EBIT growth 1Y-55.53%
EBIT growth 3Y-21.37%
EBIT growth 5Y128.12%
EBIT Next Year-27.57%
EBIT Next 3Y19.53%
EBIT Next 5Y16.87%
FCF growth 1Y648.17%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y466.43%
OCF growth 3YN/A
OCF growth 5YN/A