ENTEGRIS INC (ENTG) Stock Fundamental Analysis
NASDAQ:ENTG - Nasdaq - US29362U1043 - Common Stock - Currency: USD
Taking everything into account, ENTG scores 5 out of 10 in our fundamental rating. ENTG was compared to 110 industry peers in the Semiconductors & Semiconductor Equipment industry. There are concerns on the financial health of ENTG while its profitability can be described as average. ENTG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ENTG was profitable.
In the past year ENTG had a positive cash flow from operations.
ENTG had positive earnings in each of the past 5 years.
In the past 5 years ENTG always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 3.68%, ENTG perfoms like the industry average, outperforming 57.27% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.28%, ENTG is in the better half of the industry, outperforming 66.36% of the companies in the same industry.
The Return On Invested Capital of ENTG (6.20%) is better than 69.09% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ENTG is significantly below the industry average of 10.58%.
The 3 year average ROIC (5.19%) for ENTG is below the current ROIC(6.20%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 8.28% | ||
| ROIC | 6.2% |
ROA(3y)2.53%
ROA(5y)6.1%
ROE(3y)6.57%
ROE(5y)13%
ROIC(3y)5.19%
ROIC(5y)9.46%
1.3 Margins
Looking at the Profit Margin, with a value of 9.57%, ENTG is in the better half of the industry, outperforming 65.45% of the companies in the same industry.
In the last couple of years the Profit Margin of ENTG has declined.
ENTG has a better Operating Margin (16.61%) than 74.55% of its industry peers.
In the last couple of years the Operating Margin of ENTG has grown nicely.
ENTG has a Gross Margin (45.98%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ENTG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.61% | ||
| PM (TTM) | 9.57% | ||
| GM | 45.98% |
OM growth 3Y-11.8%
OM growth 5Y1.63%
PM growth 3Y-20.23%
PM growth 5Y-10.83%
GM growth 3Y-0.16%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
ENTG 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, ENTG has more shares outstanding
The number of shares outstanding for ENTG has been increased compared to 5 years ago.
Compared to 1 year ago, ENTG has an improved debt to assets ratio.
2.2 Solvency
ENTG has an Altman-Z score of 2.70. This is not the best score and indicates that ENTG is in the grey zone with still only limited risk for bankruptcy at the moment.
ENTG has a Altman-Z score of 2.70. This is comparable to the rest of the industry: ENTG outperforms 41.82% of its industry peers.
ENTG has a debt to FCF ratio of 14.94. This is a negative value and a sign of low solvency as ENTG would need 14.94 years to pay back of all of its debts.
ENTG has a Debt to FCF ratio (14.94) which is in line with its industry peers.
ENTG has a Debt/Equity ratio of 1.07. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.07, ENTG is not doing good in the industry: 86.36% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 14.94 | ||
| Altman-Z | 2.7 |
ROIC/WACC0.54
WACC11.39%
2.3 Liquidity
ENTG has a Current Ratio of 3.26. This indicates that ENTG is financially healthy and has no problem in meeting its short term obligations.
ENTG's Current ratio of 3.26 is in line compared to the rest of the industry. ENTG outperforms 55.45% of its industry peers.
ENTG has a Quick Ratio of 1.95. This is a normal value and indicates that ENTG is financially healthy and should not expect problems in meeting its short term obligations.
ENTG has a Quick ratio (1.95) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.26 | ||
| Quick Ratio | 1.95 |
3. Growth
3.1 Past
ENTG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.99%, which is quite good.
The Earnings Per Share has been growing by 9.11% on average over the past years. This is quite good.
ENTG shows a decrease in Revenue. In the last year, the revenue decreased by -3.83%.
Measured over the past years, ENTG shows a quite strong growth in Revenue. The Revenue has been growing by 15.29% on average per year.
EPS 1Y (TTM)11.99%
EPS 3Y-4.37%
EPS 5Y9.11%
EPS Q2Q%-1.47%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y12.13%
Revenue growth 5Y15.29%
Sales Q2Q%0.28%
3.2 Future
The Earnings Per Share is expected to grow by 14.07% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.71% on average over the next years.
EPS Next Y-1.66%
EPS Next 2Y12.77%
EPS Next 3Y14.41%
EPS Next 5Y14.07%
Revenue Next Year-0.49%
Revenue Next 2Y4.35%
Revenue Next 3Y5.4%
Revenue Next 5Y6.71%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 28.84, which means the current valuation is very expensive for ENTG.
Compared to the rest of the industry, the Price/Earnings ratio of ENTG indicates a somewhat cheap valuation: ENTG is cheaper than 69.09% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.52, ENTG is valued at the same level.
Based on the Price/Forward Earnings ratio of 22.60, the valuation of ENTG can be described as rather expensive.
Based on the Price/Forward Earnings ratio, ENTG is valued a bit cheaper than the industry average as 65.45% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ENTG to the average of the S&P500 Index (35.58), we can say ENTG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.84 | ||
| Fwd PE | 22.6 |
4.2 Price Multiples
ENTG's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ENTG is cheaper than 70.91% of the companies in the same industry.
ENTG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ENTG is cheaper than 61.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.72 | ||
| EV/EBITDA | 18.45 |
4.3 Compensation for Growth
ENTG has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ENTG's earnings are expected to grow with 14.41% in the coming years.
PEG (NY)N/A
PEG (5Y)3.17
EPS Next 2Y12.77%
EPS Next 3Y14.41%
5. Dividend
5.1 Amount
With a yearly dividend of 0.45%, ENTG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.17, ENTG pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.45, ENTG pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
5.2 History
The dividend of ENTG is nicely growing with an annual growth rate of 6.05%!
ENTG has been paying a dividend for over 5 years, so it has already some track record.
As ENTG did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)6.05%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
19.56% of the earnings are spent on dividend by ENTG. This is a low number and sustainable payout ratio.
ENTG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP19.56%
EPS Next 2Y12.77%
EPS Next 3Y14.41%
86.23
-1.35 (-1.54%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners113.1%
Inst Owner Change0.01%
Ins Owners0.32%
Ins Owner Change0.76%
Market Cap13.06B
Analysts80
Price Target101.83 (18.09%)
Short Float %8.39%
Short Ratio3.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.45% |
Yearly Dividend0.4
Dividend Growth(5Y)6.05%
DP19.56%
Div Incr Years0
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.86%
Min EPS beat(2)-3.94%
Max EPS beat(2)5.65%
EPS beat(4)1
Avg EPS beat(4)-0.78%
Min EPS beat(4)-3.94%
Max EPS beat(4)5.65%
EPS beat(8)5
Avg EPS beat(8)4.9%
EPS beat(12)7
Avg EPS beat(12)3.6%
EPS beat(16)11
Avg EPS beat(16)3.94%
Revenue beat(2)1
Avg Revenue beat(2)-1.41%
Min Revenue beat(2)-4.03%
Max Revenue beat(2)1.22%
Revenue beat(4)1
Avg Revenue beat(4)-2.1%
Min Revenue beat(4)-4.87%
Max Revenue beat(4)1.22%
Revenue beat(8)2
Avg Revenue beat(8)-1.36%
Revenue beat(12)4
Avg Revenue beat(12)-1.15%
Revenue beat(16)6
Avg Revenue beat(16)-0.48%
PT rev (1m)-3.53%
PT rev (3m)-22.1%
EPS NQ rev (1m)0.52%
EPS NQ rev (3m)-14.2%
EPS NY rev (1m)-2.63%
EPS NY rev (3m)-13.93%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)-9.13%
Revenue NY rev (1m)-0.97%
Revenue NY rev (3m)-6.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.84 | ||
| Fwd PE | 22.6 | ||
| P/S | 4.03 | ||
| P/FCF | 48.72 | ||
| P/OCF | 20.89 | ||
| P/B | 3.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.45 |
EPS(TTM)2.99
EY3.47%
EPS(NY)3.82
Fwd EY4.42%
FCF(TTM)1.77
FCFY2.05%
OCF(TTM)4.13
OCFY4.79%
SpS21.42
BVpS24.76
TBVpS-8.19
PEG (NY)N/A
PEG (5Y)3.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.68% | ||
| ROE | 8.28% | ||
| ROCE | 6.8% | ||
| ROIC | 6.2% | ||
| ROICexc | 6.48% | ||
| ROICexgc | 18.98% | ||
| OM | 16.61% | ||
| PM (TTM) | 9.57% | ||
| GM | 45.98% | ||
| FCFM | 8.26% |
ROA(3y)2.53%
ROA(5y)6.1%
ROE(3y)6.57%
ROE(5y)13%
ROIC(3y)5.19%
ROIC(5y)9.46%
ROICexc(3y)5.47%
ROICexc(5y)11.02%
ROICexgc(3y)17.17%
ROICexgc(5y)25.8%
ROCE(3y)5.69%
ROCE(5y)10.38%
ROICexcg growth 3Y-20.91%
ROICexcg growth 5Y-5.15%
ROICexc growth 3Y-32.38%
ROICexc growth 5Y-11.06%
OM growth 3Y-11.8%
OM growth 5Y1.63%
PM growth 3Y-20.23%
PM growth 5Y-10.83%
GM growth 3Y-0.16%
GM growth 5Y0.5%
F-Score5
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 14.94 | ||
| Debt/EBITDA | 4.36 | ||
| Cap/Depr | 94.26% | ||
| Cap/Sales | 11.01% | ||
| Interest Coverage | 2.88 | ||
| Cash Conversion | 68.12% | ||
| Profit Quality | 86.32% | ||
| Current Ratio | 3.26 | ||
| Quick Ratio | 1.95 | ||
| Altman-Z | 2.7 |
F-Score5
WACC11.39%
ROIC/WACC0.54
Cap/Depr(3y)122.77%
Cap/Depr(5y)123.45%
Cap/Sales(3y)12.3%
Cap/Sales(5y)10.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.99%
EPS 3Y-4.37%
EPS 5Y9.11%
EPS Q2Q%-1.47%
EPS Next Y-1.66%
EPS Next 2Y12.77%
EPS Next 3Y14.41%
EPS Next 5Y14.07%
Revenue 1Y (TTM)-3.83%
Revenue growth 3Y12.13%
Revenue growth 5Y15.29%
Sales Q2Q%0.28%
Revenue Next Year-0.49%
Revenue Next 2Y4.35%
Revenue Next 3Y5.4%
Revenue Next 5Y6.71%
EBIT growth 1Y21.11%
EBIT growth 3Y-1.1%
EBIT growth 5Y17.17%
EBIT Next Year29.93%
EBIT Next 3Y17.23%
EBIT Next 5Y12.88%
FCF growth 1Y455.37%
FCF growth 3Y18.52%
FCF growth 5Y3.21%
OCF growth 1Y41.9%
OCF growth 3Y16.41%
OCF growth 5Y10.57%