API GROUP CORP (APG) Stock Fundamental Analysis
NYSE:APG - US00187Y1001 - Common Stock
35.68 USD
-0.23 (-0.64%)
35.68 USD
0 (0%)
Taking everything into account, APG scores 3 out of 10 in our fundamental rating. APG was compared to 49 industry peers in the Construction & Engineering industry. While APG is still in line with the averages on profitability rating, there are concerns on its financial health. APG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
APG had positive earnings in the past year.
In the past year APG had a positive cash flow from operations.
APG had negative earnings in 4 of the past 5 years.
In the past 5 years APG always reported a positive cash flow from operatings.
1.2 Ratios
APG has a Return On Assets (1.65%) which is comparable to the rest of the industry.
The Return On Equity of APG (4.45%) is comparable to the rest of the industry.
The Return On Invested Capital of APG (5.89%) is comparable to the rest of the industry.
APG had an Average Return On Invested Capital over the past 3 years of 4.40%. This is significantly below the industry average of 14.54%.
The last Return On Invested Capital (5.89%) for APG is above the 3 year average (4.40%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 4.45% | ||
| ROIC | 5.89% |
ROA(3y)-1.5%
ROA(5y)-3.28%
ROE(3y)-4.07%
ROE(5y)-8.43%
ROIC(3y)4.4%
ROIC(5y)3.23%
1.3 Margins
APG has a Profit Margin (1.91%) which is comparable to the rest of the industry.
APG's Operating Margin of 7.42% is fine compared to the rest of the industry. APG outperforms 63.27% of its industry peers.
APG's Operating Margin has improved in the last couple of years.
APG has a better Gross Margin (31.08%) than 83.67% of its industry peers.
APG's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.42% | ||
| PM (TTM) | 1.91% | ||
| GM | 31.08% |
OM growth 3Y27.83%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.2%
GM growth 5Y9.63%
2. Health
2.1 Basic Checks
APG 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, APG has more shares outstanding
APG has more shares outstanding than it did 5 years ago.
APG has a worse debt/assets ratio than last year.
2.2 Solvency
APG has an Altman-Z score of 2.92. This is not the best score and indicates that APG is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.92, APG is in line with its industry, outperforming 55.10% of the companies in the same industry.
APG has a debt to FCF ratio of 5.38. This is a neutral value as APG would need 5.38 years to pay back of all of its debts.
APG has a Debt to FCF ratio (5.38) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.93 indicates that APG is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.93, APG is not doing good in the industry: 61.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 5.38 | ||
| Altman-Z | 2.92 |
ROIC/WACC0.55
WACC10.78%
2.3 Liquidity
APG has a Current Ratio of 1.45. This is a normal value and indicates that APG is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.45, APG is in the better half of the industry, outperforming 67.35% of the companies in the same industry.
A Quick Ratio of 1.37 indicates that APG should not have too much problems paying its short term obligations.
The Quick ratio of APG (1.37) is better than 65.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
APG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -15.05%.
APG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.23% yearly.
The Revenue has been growing slightly by 7.59% in the past year.
APG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.39% yearly.
EPS 1Y (TTM)-15.05%
EPS 3Y16.23%
EPS 5YN/A
EPS Q2Q%-20.41%
Revenue 1Y (TTM)7.59%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%15.03%
3.2 Future
The Earnings Per Share is expected to grow by 2.96% on average over the next years.
Based on estimates for the next years, APG will show a small growth in Revenue. The Revenue will grow by 7.19% on average per year.
EPS Next Y-13.3%
EPS Next 2Y-0.01%
EPS Next 3Y2.96%
EPS Next 5YN/A
Revenue Next Year10.75%
Revenue Next 2Y8.25%
Revenue Next 3Y7.19%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 23.95 indicates a rather expensive valuation of APG.
APG's Price/Earnings ratio is a bit cheaper when compared to the industry. APG is cheaper than 73.47% of the companies in the same industry.
APG's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.08.
A Price/Forward Earnings ratio of 21.24 indicates a rather expensive valuation of APG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of APG indicates a somewhat cheap valuation: APG is cheaper than 77.55% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of APG to the average of the S&P500 Index (22.72), we can say APG is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.95 | ||
| Fwd PE | 21.24 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of APG is on the same level as its industry peers.
APG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.08 | ||
| EV/EBITDA | 20.23 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.01%
EPS Next 3Y2.96%
5. Dividend
5.1 Amount
No dividends for APG!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.68
-0.23 (-0.64%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners82.73%
Inst Owner Change-7.61%
Ins Owners2.05%
Ins Owner Change-0.05%
Market Cap14.84B
Analysts85.33
Price Target42.85 (20.1%)
Short Float %N/A
Short Ratio1.75
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)2
Avg EPS beat(2)2.33%
Min EPS beat(2)1.93%
Max EPS beat(2)2.72%
EPS beat(4)3
Avg EPS beat(4)1.3%
Min EPS beat(4)-0.69%
Max EPS beat(4)2.72%
EPS beat(8)7
Avg EPS beat(8)2.07%
EPS beat(12)11
Avg EPS beat(12)2.29%
EPS beat(16)14
Avg EPS beat(16)3.55%
Revenue beat(2)2
Avg Revenue beat(2)3.43%
Min Revenue beat(2)3%
Max Revenue beat(2)3.86%
Revenue beat(4)3
Avg Revenue beat(4)0.88%
Min Revenue beat(4)-3.39%
Max Revenue beat(4)3.86%
Revenue beat(8)3
Avg Revenue beat(8)-1.05%
Revenue beat(12)6
Avg Revenue beat(12)-0.04%
Revenue beat(16)8
Avg Revenue beat(16)0.99%
PT rev (1m)8.99%
PT rev (3m)-11.66%
EPS NQ rev (1m)0.63%
EPS NQ rev (3m)-31.33%
EPS NY rev (1m)3.55%
EPS NY rev (3m)-30.65%
Revenue NQ rev (1m)3.74%
Revenue NQ rev (3m)4.7%
Revenue NY rev (1m)3.14%
Revenue NY rev (3m)3.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.95 | ||
| Fwd PE | 21.24 | ||
| P/S | 2.01 | ||
| P/FCF | 26.08 | ||
| P/OCF | 22.9 | ||
| P/B | 4.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 20.23 |
EPS(TTM)1.49
EY4.18%
EPS(NY)1.68
Fwd EY4.71%
FCF(TTM)1.37
FCFY3.83%
OCF(TTM)1.56
OCFY4.37%
SpS17.78
BVpS7.62
TBVpS-3.91
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.65% | ||
| ROE | 4.45% | ||
| ROCE | 8.31% | ||
| ROIC | 5.89% | ||
| ROICexc | 6.3% | ||
| ROICexgc | 28.27% | ||
| OM | 7.42% | ||
| PM (TTM) | 1.91% | ||
| GM | 31.08% | ||
| FCFM | 7.69% |
ROA(3y)-1.5%
ROA(5y)-3.28%
ROE(3y)-4.07%
ROE(5y)-8.43%
ROIC(3y)4.4%
ROIC(5y)3.23%
ROICexc(3y)4.81%
ROICexc(5y)3.67%
ROICexgc(3y)21.45%
ROICexgc(5y)15.26%
ROCE(3y)6.22%
ROCE(5y)4.56%
ROICexcg growth 3Y50.67%
ROICexcg growth 5YN/A
ROICexc growth 3Y26.04%
ROICexc growth 5YN/A
OM growth 3Y27.83%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.2%
GM growth 5Y9.63%
F-Score8
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 5.38 | ||
| Debt/EBITDA | 3.41 | ||
| Cap/Depr | 24.76% | ||
| Cap/Sales | 1.07% | ||
| Interest Coverage | 3.76 | ||
| Cash Conversion | 74.65% | ||
| Profit Quality | 403.55% | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 2.92 |
F-Score8
WACC10.78%
ROIC/WACC0.55
Cap/Depr(3y)27.39%
Cap/Depr(5y)24.77%
Cap/Sales(3y)1.21%
Cap/Sales(5y)1.22%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-15.05%
EPS 3Y16.23%
EPS 5YN/A
EPS Q2Q%-20.41%
EPS Next Y-13.3%
EPS Next 2Y-0.01%
EPS Next 3Y2.96%
EPS Next 5YN/A
Revenue 1Y (TTM)7.59%
Revenue growth 3Y21.22%
Revenue growth 5Y11.39%
Sales Q2Q%15.03%
Revenue Next Year10.75%
Revenue Next 2Y8.25%
Revenue Next 3Y7.19%
Revenue Next 5YN/A
EBIT growth 1Y22.82%
EBIT growth 3Y54.95%
EBIT growth 5YN/A
EBIT Next Year55.04%
EBIT Next 3Y23.63%
EBIT Next 5YN/A
FCF growth 1Y80.06%
FCF growth 3Y61.6%
FCF growth 5Y18.33%
OCF growth 1Y59.21%
OCF growth 3Y50.47%
OCF growth 5Y16.01%