CURTISS-WRIGHT CORP (CW) Stock Fundamental Analysis
NYSE:CW - US2315611010 - Common Stock
478.15 USD
-7.74 (-1.59%)
478.15 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to CW. CW was compared to 69 industry peers in the Aerospace & Defense industry. CW has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CW has a decent growth rate and is not valued too expensively. These ratings would make CW suitable for quality investing!
1. Profitability
1.1 Basic Checks
CW had positive earnings in the past year.
In the past year CW had a positive cash flow from operations.
CW had positive earnings in each of the past 5 years.
In the past 5 years CW always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.69%, CW belongs to the top of the industry, outperforming 92.75% of the companies in the same industry.
CW's Return On Equity of 16.65% is amongst the best of the industry. CW outperforms 85.51% of its industry peers.
CW has a Return On Invested Capital of 11.07%. This is amongst the best in the industry. CW outperforms 88.41% of its industry peers.
CW had an Average Return On Invested Capital over the past 3 years of 10.03%. This is in line with the industry average of 8.50%.
The 3 year average ROIC (10.03%) for CW is below the current ROIC(11.07%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.65% | ||
| ROIC | 11.07% |
ROA(3y)7.47%
ROA(5y)6.76%
ROE(3y)15.54%
ROE(5y)14.45%
ROIC(3y)10.03%
ROIC(5y)9.53%
1.3 Margins
CW has a better Profit Margin (13.66%) than 89.86% of its industry peers.
CW's Profit Margin has been stable in the last couple of years.
CW's Operating Margin of 18.12% is amongst the best of the industry. CW outperforms 89.86% of its industry peers.
CW's Operating Margin has improved in the last couple of years.
CW has a Gross Margin of 37.34%. This is in the better half of the industry: CW outperforms 75.36% of its industry peers.
CW's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.12% | ||
| PM (TTM) | 13.66% | ||
| GM | 37.34% |
OM growth 3Y3.26%
OM growth 5Y1.55%
PM growth 3Y7.28%
PM growth 5Y0.97%
GM growth 3Y-0.09%
GM growth 5Y0.48%
2. Health
2.1 Basic Checks
CW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CW has less shares outstanding than it did 1 year ago.
CW has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CW has been reduced compared to a year ago.
2.2 Solvency
CW has an Altman-Z score of 6.69. This indicates that CW is financially healthy and has little risk of bankruptcy at the moment.
CW has a Altman-Z score of 6.69. This is in the better half of the industry: CW outperforms 73.91% of its industry peers.
CW has a debt to FCF ratio of 1.90. This is a very positive value and a sign of high solvency as it would only need 1.90 years to pay back of all of its debts.
The Debt to FCF ratio of CW (1.90) is better than 92.75% of its industry peers.
A Debt/Equity ratio of 0.35 indicates that CW is not too dependend on debt financing.
CW's Debt to Equity ratio of 0.35 is fine compared to the rest of the industry. CW outperforms 60.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 1.9 | ||
| Altman-Z | 6.69 |
ROIC/WACC1.12
WACC9.86%
2.3 Liquidity
A Current Ratio of 1.95 indicates that CW should not have too much problems paying its short term obligations.
CW has a Current ratio of 1.95. This is comparable to the rest of the industry: CW outperforms 43.48% of its industry peers.
CW has a Quick Ratio of 1.35. This is a normal value and indicates that CW is financially healthy and should not expect problems in meeting its short term obligations.
CW has a Quick ratio (1.35) which is in line with its industry peers.
CW does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
CW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.97%, which is quite good.
The Earnings Per Share has been growing by 8.38% on average over the past years. This is quite good.
The Revenue has grown by 9.89% in the past year. This is quite good.
Measured over the past years, CW shows a small growth in Revenue. The Revenue has been growing by 4.64% on average per year.
EPS 1Y (TTM)18.97%
EPS 3Y13.93%
EPS 5Y8.38%
EPS Q2Q%22.35%
Revenue 1Y (TTM)9.89%
Revenue growth 3Y7.67%
Revenue growth 5Y4.64%
Sales Q2Q%11.7%
3.2 Future
Based on estimates for the next years, CW will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.14% on average per year.
CW is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.08% yearly.
EPS Next Y22.49%
EPS Next 2Y15.56%
EPS Next 3Y13.64%
EPS Next 5Y13.14%
Revenue Next Year11.18%
Revenue Next 2Y8.94%
Revenue Next 3Y8.15%
Revenue Next 5Y8.08%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
CW is valuated quite expensively with a Price/Earnings ratio of 38.91.
Based on the Price/Earnings ratio, CW is valued a bit cheaper than 63.77% of the companies in the same industry.
When comparing the Price/Earnings ratio of CW to the average of the S&P500 Index (27.08), we can say CW is valued slightly more expensively.
Based on the Price/Forward Earnings ratio of 32.94, the valuation of CW can be described as expensive.
CW's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of CW to the average of the S&P500 Index (22.72), we can say CW is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.91 | ||
| Fwd PE | 32.94 |
4.2 Price Multiples
CW's Enterprise Value to EBITDA is on the same level as the industry average.
75.36% of the companies in the same industry are more expensive than CW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.79 | ||
| EV/EBITDA | 26.09 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of CW may justify a higher PE ratio.
A more expensive valuation may be justified as CW's earnings are expected to grow with 13.64% in the coming years.
PEG (NY)1.73
PEG (5Y)4.64
EPS Next 2Y15.56%
EPS Next 3Y13.64%
5. Dividend
5.1 Amount
CW has a yearly dividend return of 0.20%, which is pretty low.
CW's Dividend Yield is a higher than the industry average which is at 1.65.
Compared to an average S&P500 Dividend Yield of 2.35, CW's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
5.2 History
The dividend of CW has a limited annual growth rate of 4.82%.
CW has paid a dividend for at least 10 years, which is a reliable track record.
CW has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)4.82%
Div Incr Years8
Div Non Decr Years33
5.3 Sustainability
CW pays out 7.07% of its income as dividend. This is a sustainable payout ratio.
The dividend of CW is growing, but earnings are growing more, so the dividend growth is sustainable.
DP7.07%
EPS Next 2Y15.56%
EPS Next 3Y13.64%
478.15
-7.74 (-1.59%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners87.44%
Inst Owner Change-1.01%
Ins Owners0.46%
Ins Owner Change1.02%
Market Cap18.02B
Analysts83.53
Price Target499.82 (4.53%)
Short Float %1.1%
Short Ratio1.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.2% |
Yearly Dividend0.83
Dividend Growth(5Y)4.82%
DP7.07%
Div Incr Years8
Div Non Decr Years33
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.56%
Min EPS beat(2)0.33%
Max EPS beat(2)14.8%
EPS beat(4)4
Avg EPS beat(4)6.21%
Min EPS beat(4)0.33%
Max EPS beat(4)14.8%
EPS beat(8)8
Avg EPS beat(8)7.01%
EPS beat(12)10
Avg EPS beat(12)5.5%
EPS beat(16)13
Avg EPS beat(16)4.76%
Revenue beat(2)1
Avg Revenue beat(2)0.88%
Min Revenue beat(2)-0.12%
Max Revenue beat(2)1.88%
Revenue beat(4)3
Avg Revenue beat(4)1.39%
Min Revenue beat(4)-0.12%
Max Revenue beat(4)2.45%
Revenue beat(8)7
Avg Revenue beat(8)2.37%
Revenue beat(12)9
Avg Revenue beat(12)1.5%
Revenue beat(16)9
Avg Revenue beat(16)0.34%
PT rev (1m)6.41%
PT rev (3m)29.5%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)1.5%
EPS NY rev (1m)1.17%
EPS NY rev (3m)2.07%
Revenue NQ rev (1m)1.86%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0.63%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.91 | ||
| Fwd PE | 32.94 | ||
| P/S | 5.45 | ||
| P/FCF | 35.79 | ||
| P/OCF | 31.26 | ||
| P/B | 6.64 | ||
| P/tB | 40.62 | ||
| EV/EBITDA | 26.09 |
EPS(TTM)12.29
EY2.57%
EPS(NY)14.52
Fwd EY3.04%
FCF(TTM)13.36
FCFY2.79%
OCF(TTM)15.3
OCFY3.2%
SpS87.72
BVpS71.97
TBVpS11.77
PEG (NY)1.73
PEG (5Y)4.64
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.69% | ||
| ROE | 16.65% | ||
| ROCE | 14.37% | ||
| ROIC | 11.07% | ||
| ROICexc | 12.03% | ||
| ROICexgc | 29.43% | ||
| OM | 18.12% | ||
| PM (TTM) | 13.66% | ||
| GM | 37.34% | ||
| FCFM | 15.23% |
ROA(3y)7.47%
ROA(5y)6.76%
ROE(3y)15.54%
ROE(5y)14.45%
ROIC(3y)10.03%
ROIC(5y)9.53%
ROICexc(3y)11.07%
ROICexc(5y)10.36%
ROICexgc(3y)31.52%
ROICexgc(5y)29.76%
ROCE(3y)13.02%
ROCE(5y)12.36%
ROICexcg growth 3Y10.1%
ROICexcg growth 5Y1.55%
ROICexc growth 3Y7.83%
ROICexc growth 5Y0.32%
OM growth 3Y3.26%
OM growth 5Y1.55%
PM growth 3Y7.28%
PM growth 5Y0.97%
GM growth 3Y-0.09%
GM growth 5Y0.48%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 1.9 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 63.13% | ||
| Cap/Sales | 2.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.68% | ||
| Profit Quality | 111.51% | ||
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 6.69 |
F-Score7
WACC9.86%
ROIC/WACC1.12
Cap/Depr(3y)43.06%
Cap/Depr(5y)41.22%
Cap/Sales(3y)1.67%
Cap/Sales(5y)1.73%
Profit Quality(3y)106.77%
Profit Quality(5y)111.65%
High Growth Momentum
Growth
EPS 1Y (TTM)18.97%
EPS 3Y13.93%
EPS 5Y8.38%
EPS Q2Q%22.35%
EPS Next Y22.49%
EPS Next 2Y15.56%
EPS Next 3Y13.64%
EPS Next 5Y13.14%
Revenue 1Y (TTM)9.89%
Revenue growth 3Y7.67%
Revenue growth 5Y4.64%
Sales Q2Q%11.7%
Revenue Next Year11.18%
Revenue Next 2Y8.94%
Revenue Next 3Y8.15%
Revenue Next 5Y8.08%
EBIT growth 1Y13.76%
EBIT growth 3Y11.18%
EBIT growth 5Y6.26%
EBIT Next Year38.87%
EBIT Next 3Y17.38%
EBIT Next 5Y15.31%
FCF growth 1Y37.53%
FCF growth 3Y11.72%
FCF growth 5Y6.57%
OCF growth 1Y41.48%
OCF growth 3Y11.97%
OCF growth 5Y5.25%