COMFORT SYSTEMS USA INC (FIX) Stock Fundamental Analysis
NYSE:FIX - New York Stock Exchange, Inc. - US1999081045 - Common Stock - Currency: USD
Overall FIX gets a fundamental rating of 8 out of 10. We evaluated FIX against 52 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 showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, FIX could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year FIX was profitable.
In the past year FIX had a positive cash flow from operations.
In the past 5 years FIX has always been profitable.
In the past 5 years FIX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FIX (13.03%) is better than 90.38% of its industry peers.
With an excellent Return On Equity value of 33.51%, FIX belongs to the best of the industry, outperforming 88.46% of the companies in the same industry.
FIX's Return On Invested Capital of 30.73% is amongst the best of the industry. FIX outperforms 96.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FIX is above the industry average of 16.60%.
The 3 year average ROIC (21.29%) for FIX is below the current ROIC(30.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 33.51% | ||
| ROIC | 30.73% |
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's Profit Margin of 8.13% is amongst the best of the industry. FIX outperforms 82.69% of its industry peers.
FIX's Profit Margin has improved in the last couple of years.
FIX has a Operating Margin of 11.20%. This is amongst the best in the industry. FIX outperforms 82.69% of its industry peers.
In the last couple of years the Operating Margin of FIX has grown nicely.
FIX has a Gross Margin of 21.61%. This is in the better half of the industry: FIX outperforms 71.15% of its industry peers.
In the last couple of years the Gross Margin of FIX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.2% | ||
| PM (TTM) | 8.13% | ||
| GM | 21.61% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), FIX is creating value.
FIX has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, FIX has less shares outstanding
FIX has a worse debt/assets ratio than last year.
2.2 Solvency
FIX has an Altman-Z score of 6.59. This indicates that FIX is financially healthy and has little risk of bankruptcy at the moment.
FIX has a better Altman-Z score (6.59) than 82.69% of its industry peers.
The Debt to FCF ratio of FIX is 0.13, which is an excellent value as it means it would take FIX, only 0.13 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.13, FIX belongs to the top of the industry, outperforming 94.23% of the companies in the same industry.
A Debt/Equity ratio of 0.04 indicates that FIX is not too dependend on debt financing.
FIX has a better Debt to Equity ratio (0.04) than 86.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.13 | ||
| Altman-Z | 6.59 |
ROIC/WACC3.02
WACC10.16%
2.3 Liquidity
FIX has a Current Ratio of 1.08. 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 1.08 is on the low side compared to the rest of the industry. FIX is outperformed by 67.31% of its industry peers.
A Quick Ratio of 1.05 indicates that FIX should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.05, FIX is not doing good in the industry: 65.38% of the companies in the same industry are doing better.
FIX 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 | 1.08 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 68.21% 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.
FIX shows a strong growth in Revenue. In the last year, the Revenue has grown by 31.47%.
FIX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.86% yearly.
EPS 1Y (TTM)68.21%
EPS 3Y54.78%
EPS 5Y36.79%
EPS Q2Q%76.58%
Revenue 1Y (TTM)31.47%
Revenue growth 3Y31.74%
Revenue growth 5Y21.86%
Sales Q2Q%19.15%
3.2 Future
Based on estimates for the next years, FIX will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.54% on average per year.
Based on estimates for the next years, FIX will show a quite strong growth in Revenue. The Revenue will grow by 8.94% on average per year.
EPS Next Y34.35%
EPS Next 2Y19.86%
EPS Next 3Y15.54%
EPS Next 5YN/A
Revenue Next Year12.12%
Revenue Next 2Y9.44%
Revenue Next 3Y8.94%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
Based on the Price/Earnings ratio of 29.56, the valuation of FIX can be described as expensive.
63.46% of the companies in the same industry are more expensive than FIX, based on the Price/Earnings ratio.
FIX's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.31.
The Price/Forward Earnings ratio is 23.48, which indicates a rather expensive current valuation of FIX.
The rest of the industry has a similar Price/Forward Earnings ratio as FIX.
FIX is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.56 | ||
| Fwd PE | 23.48 |
4.2 Price Multiples
FIX's Enterprise Value to EBITDA is on the same level as the industry average.
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 | 34.33 | ||
| EV/EBITDA | 18.18 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of FIX may justify a higher PE ratio.
A more expensive valuation may be justified as FIX's earnings are expected to grow with 15.54% in the coming years.
PEG (NY)0.86
PEG (5Y)0.8
EPS Next 2Y19.86%
EPS Next 3Y15.54%
5. Dividend
5.1 Amount
With a yearly dividend of 0.36%, FIX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.78, FIX pays a better dividend. On top of this FIX pays more dividend than 82.69% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, FIX's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
5.2 History
On average, the dividend of FIX grows each year by 24.96%, which is quite nice.
FIX has been paying a dividend for at least 10 years, so it has 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
8.06% 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.
DP8.06%
EPS Next 2Y19.86%
EPS Next 3Y15.54%
492.72
-8.53 (-1.7%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners98.27%
Inst Owner Change1.42%
Ins Owners1.41%
Ins Owner Change-0.44%
Market Cap17.38B
Analysts85.45
Price Target524.45 (6.44%)
Short Float %3.19%
Short Ratio2.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.36% |
Yearly Dividend1.2
Dividend Growth(5Y)24.96%
DP8.06%
Div Incr Years12
Div Non Decr Years19
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.23%
Min EPS beat(2)9.62%
Max EPS beat(2)26.84%
EPS beat(4)4
Avg EPS beat(4)14.08%
Min EPS beat(4)1.91%
Max EPS beat(4)26.84%
EPS beat(8)8
Avg EPS beat(8)18.62%
EPS beat(12)12
Avg EPS beat(12)19.8%
EPS beat(16)14
Avg EPS beat(16)16.9%
Revenue beat(2)2
Avg Revenue beat(2)3.62%
Min Revenue beat(2)2.65%
Max Revenue beat(2)4.58%
Revenue beat(4)3
Avg Revenue beat(4)2.75%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)6.24%
Revenue beat(8)7
Avg Revenue beat(8)3.14%
Revenue beat(12)11
Avg Revenue beat(12)4.24%
Revenue beat(16)14
Avg Revenue beat(16)4.18%
PT rev (1m)4.29%
PT rev (3m)4.29%
EPS NQ rev (1m)0.56%
EPS NQ rev (3m)4.39%
EPS NY rev (1m)6.2%
EPS NY rev (3m)13.75%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)0.05%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)0.8%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.56 | ||
| Fwd PE | 23.48 | ||
| P/S | 2.37 | ||
| P/FCF | 34.33 | ||
| P/OCF | 28.28 | ||
| P/B | 9.78 | ||
| P/tB | 40.45 | ||
| EV/EBITDA | 18.18 |
EPS(TTM)16.67
EY3.38%
EPS(NY)20.99
Fwd EY4.26%
FCF(TTM)14.35
FCFY2.91%
OCF(TTM)17.42
OCFY3.54%
SpS207.59
BVpS50.38
TBVpS12.18
PEG (NY)0.86
PEG (5Y)0.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 33.51% | ||
| ROCE | 38.01% | ||
| ROIC | 30.73% | ||
| ROICexc | 33.95% | ||
| ROICexgc | 109.45% | ||
| OM | 11.2% | ||
| PM (TTM) | 8.13% | ||
| GM | 21.61% | ||
| FCFM | 6.91% |
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-Score9
Asset Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.13 | ||
| Debt/EBITDA | 0.07 | ||
| Cap/Depr | 75% | ||
| Cap/Sales | 1.48% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.7% | ||
| Profit Quality | 85.02% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 6.59 |
F-Score9
WACC10.16%
ROIC/WACC3.02
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)68.21%
EPS 3Y54.78%
EPS 5Y36.79%
EPS Q2Q%76.58%
EPS Next Y34.35%
EPS Next 2Y19.86%
EPS Next 3Y15.54%
EPS Next 5YN/A
Revenue 1Y (TTM)31.47%
Revenue growth 3Y31.74%
Revenue growth 5Y21.86%
Sales Q2Q%19.15%
Revenue Next Year12.12%
Revenue Next 2Y9.44%
Revenue Next 3Y8.94%
Revenue Next 5YN/A
EBIT growth 1Y70.76%
EBIT growth 3Y58.65%
EBIT growth 5Y35.75%
EBIT Next Year48.05%
EBIT Next 3Y17.04%
EBIT Next 5YN/A
FCF growth 1Y63.81%
FCF growth 3Y67.22%
FCF growth 5Y46.28%
OCF growth 1Y68.5%
OCF growth 3Y67.66%
OCF growth 5Y43%