ASGN INC (ASGN) Stock Fundamental Analysis
NYSE:ASGN - New York Stock Exchange, Inc. - US00191U1025 - Common Stock - Currency: USD
Taking everything into account, ASGN scores 5 out of 10 in our fundamental rating. ASGN was compared to 82 industry peers in the IT Services industry. ASGN has only an average score on both its financial health and profitability. ASGN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, ASGN could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year ASGN was profitable.
ASGN had a positive operating cash flow in the past year.
In the past 5 years ASGN has always been profitable.
In the past 5 years ASGN always reported a positive cash flow from operatings.
1.2 Ratios
ASGN has a better Return On Assets (5.11%) than 67.07% of its industry peers.
ASGN has a Return On Equity of 9.86%. This is in the better half of the industry: ASGN outperforms 63.41% of its industry peers.
ASGN's Return On Invested Capital of 7.29% is fine compared to the rest of the industry. ASGN outperforms 67.07% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ASGN is significantly below the industry average of 22.65%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 9.86% | ||
| ROIC | 7.29% |
ROA(3y)6.26%
ROA(5y)7.32%
ROE(3y)11.85%
ROE(5y)14.03%
ROIC(3y)8.44%
ROIC(5y)8.19%
1.3 Margins
Looking at the Profit Margin, with a value of 4.27%, ASGN is in the better half of the industry, outperforming 60.98% of the companies in the same industry.
In the last couple of years the Profit Margin of ASGN has declined.
Looking at the Operating Margin, with a value of 7.42%, ASGN is in the better half of the industry, outperforming 60.98% of the companies in the same industry.
ASGN's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 28.87%, ASGN is doing worse than 65.85% of the companies in the same industry.
ASGN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.42% | ||
| PM (TTM) | 4.27% | ||
| GM | 28.87% |
OM growth 3Y-5.33%
OM growth 5Y-1.69%
PM growth 3Y-25.23%
PM growth 5Y-3.53%
GM growth 3Y0.44%
GM growth 5Y0.3%
2. Health
2.1 Basic Checks
ASGN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ASGN has less shares outstanding than it did 1 year ago.
ASGN has less shares outstanding than it did 5 years ago.
ASGN has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.96 indicates that ASGN is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.96, ASGN perfoms like the industry average, outperforming 52.44% of the companies in the same industry.
The Debt to FCF ratio of ASGN is 2.83, which is a good value as it means it would take ASGN, 2.83 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.83, ASGN is in the better half of the industry, outperforming 63.41% of the companies in the same industry.
ASGN has a Debt/Equity ratio of 0.58. This is a neutral value indicating ASGN is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.58, ASGN perfoms like the industry average, outperforming 43.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 2.83 | ||
| Altman-Z | 2.96 |
ROIC/WACC0.84
WACC8.69%
2.3 Liquidity
A Current Ratio of 2.50 indicates that ASGN has no problem at all paying its short term obligations.
ASGN has a better Current ratio (2.50) than 76.83% of its industry peers.
A Quick Ratio of 2.50 indicates that ASGN has no problem at all paying its short term obligations.
ASGN's Quick ratio of 2.50 is fine compared to the rest of the industry. ASGN outperforms 76.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.5 |
3. Growth
3.1 Past
The earnings per share for ASGN have decreased strongly by -15.14% in the last year.
ASGN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.16% yearly.
Looking at the last year, ASGN shows a decrease in Revenue. The Revenue has decreased by -8.05% in the last year.
ASGN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.72% yearly.
EPS 1Y (TTM)-15.14%
EPS 3Y-2.25%
EPS 5Y2.16%
EPS Q2Q%-20.69%
Revenue 1Y (TTM)-8.05%
Revenue growth 3Y0.74%
Revenue growth 5Y3.72%
Sales Q2Q%-7.69%
3.2 Future
Based on estimates for the next years, ASGN will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.15% on average per year.
Based on estimates for the next years, ASGN will show a small growth in Revenue. The Revenue will grow by 3.76% on average per year.
EPS Next Y-4.16%
EPS Next 2Y4.52%
EPS Next 3Y11.15%
EPS Next 5YN/A
Revenue Next Year-1.69%
Revenue Next 2Y1.79%
Revenue Next 3Y3.76%
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 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 10.41, the valuation of ASGN can be described as reasonable.
Based on the Price/Earnings ratio, ASGN is valued cheaper than 92.68% of the companies in the same industry.
When comparing the Price/Earnings ratio of ASGN to the average of the S&P500 Index (28.22), we can say ASGN is valued rather cheaply.
With a Price/Forward Earnings ratio of 9.09, the valuation of ASGN can be described as very reasonable.
Based on the Price/Forward Earnings ratio, ASGN is valued cheaper than 91.46% of the companies in the same industry.
ASGN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 20.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 9.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ASGN is valued cheaper than 86.59% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ASGN indicates a rather cheap valuation: ASGN is cheaper than 95.12% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.25 | ||
| EV/EBITDA | 7.75 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.82
EPS Next 2Y4.52%
EPS Next 3Y11.15%
5. Dividend
5.1 Amount
No dividends for ASGN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
51.95
+1.24 (+2.45%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners100.06%
Inst Owner Change-0.66%
Ins Owners3.53%
Ins Owner Change4.28%
Market Cap2.28B
Analysts75.38
Price Target80.75 (55.44%)
Short Float %5.29%
Short Ratio3.84
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)3.38%
Min EPS beat(2)3.34%
Max EPS beat(2)3.41%
EPS beat(4)4
Avg EPS beat(4)2.44%
Min EPS beat(4)0.44%
Max EPS beat(4)3.41%
EPS beat(8)7
Avg EPS beat(8)2.34%
EPS beat(12)9
Avg EPS beat(12)2.57%
EPS beat(16)13
Avg EPS beat(16)3.36%
Revenue beat(2)0
Avg Revenue beat(2)-2.85%
Min Revenue beat(2)-3.43%
Max Revenue beat(2)-2.27%
Revenue beat(4)0
Avg Revenue beat(4)-2.56%
Min Revenue beat(4)-3.43%
Max Revenue beat(4)-1.41%
Revenue beat(8)0
Avg Revenue beat(8)-2.25%
Revenue beat(12)1
Avg Revenue beat(12)-1.63%
Revenue beat(16)2
Avg Revenue beat(16)-2.04%
PT rev (1m)-15.18%
PT rev (3m)-17.53%
EPS NQ rev (1m)-0.15%
EPS NQ rev (3m)-13.77%
EPS NY rev (1m)-2.58%
EPS NY rev (3m)-11.34%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)-3.99%
Revenue NY rev (1m)-0.98%
Revenue NY rev (3m)-3.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 9.09 | ||
| P/S | 0.56 | ||
| P/FCF | 6.25 | ||
| P/OCF | 5.7 | ||
| P/B | 1.28 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.75 |
EPS(TTM)4.99
EY9.61%
EPS(NY)5.71
Fwd EY11%
FCF(TTM)8.32
FCFY16.01%
OCF(TTM)9.12
OCFY17.56%
SpS93.47
BVpS40.51
TBVpS-12.68
PEG (NY)N/A
PEG (5Y)4.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 9.86% | ||
| ROCE | 9.94% | ||
| ROIC | 7.29% | ||
| ROICexc | 7.81% | ||
| ROICexgc | 42.61% | ||
| OM | 7.42% | ||
| PM (TTM) | 4.27% | ||
| GM | 28.87% | ||
| FCFM | 8.9% |
ROA(3y)6.26%
ROA(5y)7.32%
ROE(3y)11.85%
ROE(5y)14.03%
ROIC(3y)8.44%
ROIC(5y)8.19%
ROICexc(3y)8.85%
ROICexc(5y)8.94%
ROICexgc(3y)45.83%
ROICexgc(5y)47.14%
ROCE(3y)11.51%
ROCE(5y)11.17%
ROICexcg growth 3Y-8.35%
ROICexcg growth 5Y2.66%
ROICexc growth 3Y-8.5%
ROICexc growth 5Y-0.68%
OM growth 3Y-5.33%
OM growth 5Y-1.69%
PM growth 3Y-25.23%
PM growth 5Y-3.53%
GM growth 3Y0.44%
GM growth 5Y0.3%
F-Score6
Asset Turnover1.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 2.83 | ||
| Debt/EBITDA | 2.58 | ||
| Cap/Depr | 36.66% | ||
| Cap/Sales | 0.86% | ||
| Interest Coverage | 4.86 | ||
| Cash Conversion | 99.83% | ||
| Profit Quality | 208.16% | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.5 | ||
| Altman-Z | 2.96 |
F-Score6
WACC8.69%
ROIC/WACC0.84
Cap/Depr(3y)39.16%
Cap/Depr(5y)38.51%
Cap/Sales(3y)0.86%
Cap/Sales(5y)0.87%
Profit Quality(3y)166.38%
Profit Quality(5y)146.75%
High Growth Momentum
Growth
EPS 1Y (TTM)-15.14%
EPS 3Y-2.25%
EPS 5Y2.16%
EPS Q2Q%-20.69%
EPS Next Y-4.16%
EPS Next 2Y4.52%
EPS Next 3Y11.15%
EPS Next 5YN/A
Revenue 1Y (TTM)-8.05%
Revenue growth 3Y0.74%
Revenue growth 5Y3.72%
Sales Q2Q%-7.69%
Revenue Next Year-1.69%
Revenue Next 2Y1.79%
Revenue Next 3Y3.76%
Revenue Next 5YN/A
EBIT growth 1Y-16.4%
EBIT growth 3Y-4.63%
EBIT growth 5Y1.96%
EBIT Next Year46.42%
EBIT Next 3Y22.33%
EBIT Next 5YN/A
FCF growth 1Y-12.54%
FCF growth 3Y31.88%
FCF growth 5Y5.39%
OCF growth 1Y-12.45%
OCF growth 3Y27.34%
OCF growth 5Y5.01%