ASGN INC (ASGN) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ASGN - US00191U1025 - Common Stock
48.24 USD
+0.43 (+0.9%)
48.24 USD
0 (0%)
Taking everything into account, ASGN scores 4 out of 10 in our fundamental rating. ASGN was compared to 88 industry peers in the IT Services industry. ASGN has only an average score on both its financial health and profitability. ASGN is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ASGN had positive earnings in the past year.
In the past year ASGN had a positive cash flow from operations.
In the past 5 years ASGN has always been profitable.
ASGN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ASGN's Return On Assets of 3.53% is fine compared to the rest of the industry. ASGN outperforms 62.50% of its industry peers.
ASGN has a better Return On Equity (7.13%) than 62.50% of its industry peers.
ASGN has a Return On Invested Capital of 6.08%. This is in the better half of the industry: ASGN outperforms 63.64% of its industry peers.
ASGN had an Average Return On Invested Capital over the past 3 years of 8.44%. This is significantly below the industry average of 28.99%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 7.13% | ||
| ROIC | 6.08% |
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
ASGN has a Profit Margin (3.28%) which is in line with its industry peers.
In the last couple of years the Profit Margin of ASGN has declined.
ASGN has a better Operating Margin (6.74%) than 63.64% of its industry peers.
ASGN's Operating Margin has declined in the last couple of years.
The Gross Margin of ASGN (28.90%) is worse than 63.64% of its industry peers.
In the last couple of years the Gross Margin of ASGN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.74% | ||
| PM (TTM) | 3.28% | ||
| GM | 28.9% |
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.
Compared to 1 year ago, ASGN has less shares outstanding
Compared to 5 years ago, ASGN has less shares outstanding
The debt/assets ratio for ASGN is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.54 indicates that ASGN is not a great score, but indicates only limited risk for bankruptcy at the moment.
ASGN has a Altman-Z score of 2.54. This is comparable to the rest of the industry: ASGN outperforms 48.86% of its industry peers.
ASGN has a debt to FCF ratio of 4.11. This is a neutral value as ASGN would need 4.11 years to pay back of all of its debts.
ASGN has a Debt to FCF ratio of 4.11. This is comparable to the rest of the industry: ASGN outperforms 57.95% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that ASGN is somewhat dependend on debt financing.
ASGN's Debt to Equity ratio of 0.64 is in line compared to the rest of the industry. ASGN outperforms 40.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.11 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.69
WACC8.78%
2.3 Liquidity
ASGN has a Current Ratio of 1.99. This is a normal value and indicates that ASGN is financially healthy and should not expect problems in meeting its short term obligations.
ASGN has a Current ratio of 1.99. This is comparable to the rest of the industry: ASGN outperforms 59.09% of its industry peers.
A Quick Ratio of 1.99 indicates that ASGN should not have too much problems paying its short term obligations.
ASGN has a Quick ratio (1.99) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.99 |
3. Growth
3.1 Past
ASGN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.33%.
ASGN shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.16% yearly.
The Revenue has decreased by -4.86% in the past year.
The Revenue has been growing slightly by 3.72% on average over the past years.
EPS 1Y (TTM)-13.33%
EPS 3Y-2.25%
EPS 5Y2.16%
EPS Q2Q%-8.39%
Revenue 1Y (TTM)-4.86%
Revenue growth 3Y0.74%
Revenue growth 5Y3.72%
Sales Q2Q%-1.9%
3.2 Future
ASGN is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.87% yearly.
The Revenue is expected to grow by 0.54% on average over the next years.
EPS Next Y-10.98%
EPS Next 2Y-2.02%
EPS Next 3Y3.87%
EPS Next 5YN/A
Revenue Next Year-3.48%
Revenue Next 2Y-1.49%
Revenue Next 3Y0.54%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 10.31, the valuation of ASGN can be described as very reasonable.
Based on the Price/Earnings ratio, ASGN is valued cheaper than 90.91% of the companies in the same industry.
When comparing the Price/Earnings ratio of ASGN to the average of the S&P500 Index (27.17), we can say ASGN is valued rather cheaply.
A Price/Forward Earnings ratio of 9.61 indicates a reasonable valuation of ASGN.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ASGN indicates a rather cheap valuation: ASGN is cheaper than 92.05% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.79. ASGN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 9.61 |
4.2 Price Multiples
ASGN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ASGN is cheaper than 85.23% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ASGN is valued cheaply inside the industry as 93.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.27 | ||
| EV/EBITDA | 8.19 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)4.77
EPS Next 2Y-2.02%
EPS Next 3Y3.87%
5. Dividend
5.1 Amount
No dividends for ASGN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
48.24
+0.43 (+0.9%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners101.19%
Inst Owner Change0%
Ins Owners3.68%
Ins Owner Change0%
Market Cap2.06B
Revenue(TTM)3.99B
Net Income(TTM)130.70M
Analysts72.31
Price Target49.64 (2.9%)
Short Float %5.36%
Short Ratio3.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)5.35%
Min EPS beat(2)4.9%
Max EPS beat(2)5.79%
EPS beat(4)3
Avg EPS beat(4)2.24%
Min EPS beat(4)-5.06%
Max EPS beat(4)5.79%
EPS beat(8)7
Avg EPS beat(8)2.43%
EPS beat(12)9
Avg EPS beat(12)1.95%
EPS beat(16)12
Avg EPS beat(16)3.08%
Revenue beat(2)1
Avg Revenue beat(2)-0.39%
Min Revenue beat(2)-1.33%
Max Revenue beat(2)0.55%
Revenue beat(4)1
Avg Revenue beat(4)-1.38%
Min Revenue beat(4)-3.43%
Max Revenue beat(4)0.55%
Revenue beat(8)1
Avg Revenue beat(8)-1.55%
Revenue beat(12)1
Avg Revenue beat(12)-1.74%
Revenue beat(16)3
Avg Revenue beat(16)-1.32%
PT rev (1m)-7.89%
PT rev (3m)-15.36%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.73%
EPS NY rev (1m)0%
EPS NY rev (3m)1.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.31 | ||
| Fwd PE | 9.61 | ||
| P/S | 0.52 | ||
| P/FCF | 7.27 | ||
| P/OCF | 6.32 | ||
| P/B | 1.12 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.19 |
EPS(TTM)4.68
EY9.7%
EPS(NY)5.02
Fwd EY10.41%
FCF(TTM)6.63
FCFY13.75%
OCF(TTM)7.63
OCFY15.82%
SpS93.33
BVpS42.93
TBVpS-18.26
PEG (NY)N/A
PEG (5Y)4.77
Graham Number67.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.53% | ||
| ROE | 7.13% | ||
| ROCE | 8.29% | ||
| ROIC | 6.08% | ||
| ROICexc | 6.33% | ||
| ROICexgc | 39.49% | ||
| OM | 6.74% | ||
| PM (TTM) | 3.28% | ||
| GM | 28.9% | ||
| FCFM | 7.11% |
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%
ROICexgc growth 3Y-8.35%
ROICexgc 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-Score5
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.11 | ||
| Debt/EBITDA | 3.1 | ||
| Cap/Depr | 39.53% | ||
| Cap/Sales | 1.07% | ||
| Interest Coverage | 4.1 | ||
| Cash Conversion | 86.65% | ||
| Profit Quality | 216.76% | ||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.99 | ||
| Altman-Z | 2.54 |
F-Score5
WACC8.78%
ROIC/WACC0.69
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)-13.33%
EPS 3Y-2.25%
EPS 5Y2.16%
EPS Q2Q%-8.39%
EPS Next Y-10.98%
EPS Next 2Y-2.02%
EPS Next 3Y3.87%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.86%
Revenue growth 3Y0.74%
Revenue growth 5Y3.72%
Sales Q2Q%-1.9%
Revenue Next Year-3.48%
Revenue Next 2Y-1.49%
Revenue Next 3Y0.54%
Revenue Next 5YN/A
EBIT growth 1Y-14.38%
EBIT growth 3Y-4.63%
EBIT growth 5Y1.96%
EBIT Next Year38.4%
EBIT Next 3Y15.46%
EBIT Next 5YN/A
FCF growth 1Y-23.97%
FCF growth 3Y31.88%
FCF growth 5Y5.39%
OCF growth 1Y-21.64%
OCF growth 3Y27.34%
OCF growth 5Y5.01%
ASGN INC / ASGN FAQ
What is the fundamental rating for ASGN stock?
ChartMill assigns a fundamental rating of 4 / 10 to ASGN.
What is the valuation status of ASGN INC (ASGN) stock?
ChartMill assigns a valuation rating of 7 / 10 to ASGN INC (ASGN). This can be considered as Undervalued.
How profitable is ASGN INC (ASGN) stock?
ASGN INC (ASGN) has a profitability rating of 5 / 10.
How financially healthy is ASGN INC?
The financial health rating of ASGN INC (ASGN) is 4 / 10.
What is the expected EPS growth for ASGN INC (ASGN) stock?
The Earnings per Share (EPS) of ASGN INC (ASGN) is expected to decline by -10.98% in the next year.