COMFORT SYSTEMS USA INC (FIX) Stock Fundamental Analysis
NYSE:FIX - US1999081045 - Common Stock
706.31 USD
-17.64 (-2.44%)
706.31 USD
0 (0%)
We assign a fundamental rating of 8 out of 10 to FIX. FIX was compared to 53 industry peers in the Construction & Engineering industry. Both the health and profitability get an excellent rating, making FIX a very profitable company, without any liquidiy or solvency issues. FIX is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make FIX a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
FIX had positive earnings in the past year.
In the past year FIX had a positive cash flow from operations.
FIX had positive earnings in each of the past 5 years.
FIX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 13.67%, FIX belongs to the best of the industry, outperforming 90.57% of the companies in the same industry.
FIX has a Return On Equity of 35.12%. This is amongst the best in the industry. FIX outperforms 88.68% of its industry peers.
FIX has a Return On Invested Capital of 31.99%. This is amongst the best in the industry. FIX outperforms 92.45% of its industry peers.
FIX had an Average Return On Invested Capital over the past 3 years of 21.29%. This is above the industry average of 17.21%.
The 3 year average ROIC (21.29%) for FIX is below the current ROIC(31.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.67% | ||
| ROE | 35.12% | ||
| ROIC | 31.99% |
ROA(3y)10.11%
ROA(5y)9.07%
ROE(3y)26.85%
ROE(5y)23.98%
ROIC(3y)21.29%
ROIC(5y)17.85%
1.3 Margins
FIX has a Profit Margin of 9.01%. This is amongst the best in the industry. FIX outperforms 84.91% of its industry peers.
FIX's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 12.17%, FIX belongs to the top of the industry, outperforming 88.68% of the companies in the same industry.
FIX's Operating Margin has improved in the last couple of years.
FIX has a better Gross Margin (22.50%) than 71.70% of its industry peers.
FIX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.17% | ||
| PM (TTM) | 9.01% | ||
| GM | 22.5% |
OM growth 3Y20.43%
OM growth 5Y11.4%
PM growth 3Y16.81%
PM growth 5Y11.21%
GM growth 3Y4.66%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
FIX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for FIX has been reduced compared to 1 year ago.
FIX has less shares outstanding than it did 5 years ago.
FIX has a worse debt/assets ratio than last year.
2.2 Solvency
FIX has an Altman-Z score of 7.60. This indicates that FIX is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of FIX (7.60) is better than 92.45% of its industry peers.
FIX has a debt to FCF ratio of 0.13. This is a very positive value and a sign of high solvency as it would only need 0.13 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.13, FIX belongs to the best of the industry, outperforming 90.57% of the companies in the same industry.
A Debt/Equity ratio of 0.03 indicates that FIX is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.03, FIX belongs to the best of the industry, outperforming 88.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.13 | ||
| Altman-Z | 7.6 |
ROIC/WACC3.11
WACC10.28%
2.3 Liquidity
FIX has a Current Ratio of 1.13. This is a normal value and indicates that FIX is financially healthy and should not expect problems in meeting its short term obligations.
FIX's Current ratio of 1.13 is on the low side compared to the rest of the industry. FIX is outperformed by 67.92% of its industry peers.
A Quick Ratio of 1.10 indicates that FIX should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.10, FIX is doing worse than 64.15% of the companies in the same industry.
The current and quick ratio evaluation for FIX is rather negative, while it does have 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 | 1.13 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 66.04% over the past year.
FIX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 36.79% yearly.
Looking at the last year, FIX shows a very strong growth in Revenue. The Revenue has grown by 26.33%.
The Revenue has been growing by 21.86% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)66.04%
EPS 3Y54.78%
EPS 5Y36.79%
EPS Q2Q%74.6%
Revenue 1Y (TTM)26.33%
Revenue growth 3Y31.74%
Revenue growth 5Y21.86%
Sales Q2Q%20.05%
3.2 Future
The Earnings Per Share is expected to grow by 23.87% on average over the next years. This is a very strong growth
Based on estimates for the next years, FIX will show a quite strong growth in Revenue. The Revenue will grow by 11.24% on average per year.
EPS Next Y59.19%
EPS Next 2Y33.42%
EPS Next 3Y23.87%
EPS Next 5YN/A
Revenue Next Year19.72%
Revenue Next 2Y14.65%
Revenue Next 3Y11.24%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 36.30, which means the current valuation is very expensive for FIX.
The rest of the industry has a similar Price/Earnings ratio as FIX.
FIX is valuated rather expensively when we compare the Price/Earnings ratio to 27.06, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 27.16, FIX can be considered very expensive at the moment.
FIX's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of FIX to the average of the S&P500 Index (22.69), we can say FIX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.3 | ||
| Fwd PE | 27.16 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FIX.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FIX is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.42 | ||
| EV/EBITDA | 22.92 |
4.3 Compensation for Growth
FIX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FIX has an outstanding profitability rating, which may justify a higher PE ratio.
FIX's earnings are expected to grow with 23.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.61
PEG (5Y)0.99
EPS Next 2Y33.42%
EPS Next 3Y23.87%
5. Dividend
5.1 Amount
With a yearly dividend of 0.28%, FIX is not a good candidate for dividend investing.
FIX's Dividend Yield is rather good when compared to the industry average which is at 1.48. FIX pays more dividend than 84.91% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, FIX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
5.2 History
On average, the dividend of FIX grows each year by 24.96%, which is quite nice.
FIX has paid a dividend for at least 10 years, which is a reliable track record.
FIX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)24.96%
Div Incr Years12
Div Non Decr Years19
5.3 Sustainability
7.68% of the earnings are spent on dividend by FIX. This is a low number and sustainable payout ratio.
The dividend of FIX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP7.68%
EPS Next 2Y33.42%
EPS Next 3Y23.87%
706.31
-17.64 (-2.44%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners98.81%
Inst Owner Change-2.29%
Ins Owners1.38%
Ins Owner Change-6.11%
Market Cap24.92B
Analysts81.67
Price Target700.56 (-0.81%)
Short Float %2.23%
Short Ratio1.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.28% |
Yearly Dividend1.2
Dividend Growth(5Y)24.96%
DP7.68%
Div Incr Years12
Div Non Decr Years19
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)31.05%
Min EPS beat(2)26.84%
Max EPS beat(2)35.26%
EPS beat(4)4
Avg EPS beat(4)18.41%
Min EPS beat(4)1.91%
Max EPS beat(4)35.26%
EPS beat(8)8
Avg EPS beat(8)20.62%
EPS beat(12)12
Avg EPS beat(12)21.34%
EPS beat(16)15
Avg EPS beat(16)19.25%
Revenue beat(2)2
Avg Revenue beat(2)5.93%
Min Revenue beat(2)2.65%
Max Revenue beat(2)9.21%
Revenue beat(4)3
Avg Revenue beat(4)3.5%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)9.21%
Revenue beat(8)7
Avg Revenue beat(8)3.65%
Revenue beat(12)11
Avg Revenue beat(12)4.14%
Revenue beat(16)15
Avg Revenue beat(16)4.87%
PT rev (1m)26.83%
PT rev (3m)33.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)21.51%
EPS NY rev (1m)18.42%
EPS NY rev (3m)18.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)7.43%
Revenue NY rev (1m)2.61%
Revenue NY rev (3m)6.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.3 | ||
| Fwd PE | 27.16 | ||
| P/S | 3.24 | ||
| P/FCF | 44.42 | ||
| P/OCF | 36.8 | ||
| P/B | 12.64 | ||
| P/tB | 42.09 | ||
| EV/EBITDA | 22.92 |
EPS(TTM)19.46
EY2.76%
EPS(NY)26.01
Fwd EY3.68%
FCF(TTM)15.9
FCFY2.25%
OCF(TTM)19.19
OCFY2.72%
SpS217.82
BVpS55.87
TBVpS16.78
PEG (NY)0.61
PEG (5Y)0.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.67% | ||
| ROE | 35.12% | ||
| ROCE | 39.58% | ||
| ROIC | 31.99% | ||
| ROICexc | 37.22% | ||
| ROICexgc | 115.8% | ||
| OM | 12.17% | ||
| PM (TTM) | 9.01% | ||
| GM | 22.5% | ||
| FCFM | 7.3% |
ROA(3y)10.11%
ROA(5y)9.07%
ROE(3y)26.85%
ROE(5y)23.98%
ROIC(3y)21.29%
ROIC(5y)17.85%
ROICexc(3y)25.84%
ROICexc(5y)20.83%
ROICexgc(3y)114.86%
ROICexgc(5y)85.93%
ROCE(3y)26.34%
ROCE(5y)22.08%
ROICexcg growth 3Y83.67%
ROICexcg growth 5Y43.43%
ROICexc growth 3Y49.24%
ROICexc growth 5Y19.84%
OM growth 3Y20.43%
OM growth 5Y11.4%
PM growth 3Y16.81%
PM growth 5Y11.21%
GM growth 3Y4.66%
GM growth 5Y1.83%
F-Score8
Asset Turnover1.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.13 | ||
| Debt/EBITDA | 0.06 | ||
| Cap/Depr | 82.77% | ||
| Cap/Sales | 1.51% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.93% | ||
| Profit Quality | 81.04% | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 7.6 |
F-Score8
WACC10.28%
ROIC/WACC3.11
Cap/Depr(3y)84.02%
Cap/Depr(5y)64.84%
Cap/Sales(3y)1.52%
Cap/Sales(5y)1.23%
Profit Quality(3y)137.55%
Profit Quality(5y)139.51%
High Growth Momentum
Growth
EPS 1Y (TTM)66.04%
EPS 3Y54.78%
EPS 5Y36.79%
EPS Q2Q%74.6%
EPS Next Y59.19%
EPS Next 2Y33.42%
EPS Next 3Y23.87%
EPS Next 5YN/A
Revenue 1Y (TTM)26.33%
Revenue growth 3Y31.74%
Revenue growth 5Y21.86%
Sales Q2Q%20.05%
Revenue Next Year19.72%
Revenue Next 2Y14.65%
Revenue Next 3Y11.24%
Revenue Next 5YN/A
EBIT growth 1Y63.31%
EBIT growth 3Y58.65%
EBIT growth 5Y35.75%
EBIT Next Year71.44%
EBIT Next 3Y25.74%
EBIT Next 5YN/A
FCF growth 1Y49.08%
FCF growth 3Y67.22%
FCF growth 5Y46.28%
OCF growth 1Y51.99%
OCF growth 3Y67.66%
OCF growth 5Y43%