FOSTER (LB) CO-A (FSTR) Stock Fundamental Analysis
NASDAQ:FSTR - Nasdaq - US3500601097 - Common Stock - Currency: USD
FSTR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 127 industry peers in the Machinery industry. FSTR has only an average score on both its financial health and profitability. FSTR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
FSTR had positive earnings in the past year.
FSTR had a positive operating cash flow in the past year.
FSTR had positive earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: FSTR reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.62%, FSTR belongs to the top of the industry, outperforming 81.89% of the companies in the same industry.
With an excellent Return On Equity value of 21.31%, FSTR belongs to the best of the industry, outperforming 85.04% of the companies in the same industry.
With a Return On Invested Capital value of 3.92%, FSTR is not doing good in the industry: 62.20% of the companies in the same industry are doing better.
Measured over the past 3 years, the Average Return On Invested Capital for FSTR is significantly below the industry average of 10.56%.
The last Return On Invested Capital (3.92%) for FSTR is above the 3 year average (3.59%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.62% | ||
| ROE | 21.31% | ||
| ROIC | 3.92% |
ROA(3y)0.27%
ROA(5y)0.79%
ROE(3y)-2.71%
ROE(5y)-0.37%
ROIC(3y)3.59%
ROIC(5y)3.56%
1.3 Margins
FSTR's Profit Margin of 7.22% is in line compared to the rest of the industry. FSTR outperforms 59.06% of its industry peers.
FSTR's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 2.74%, FSTR is not doing good in the industry: 70.08% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of FSTR has declined.
FSTR has a worse Gross Margin (22.11%) than 70.08% of its industry peers.
In the last couple of years the Gross Margin of FSTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.74% | ||
| PM (TTM) | 7.22% | ||
| GM | 22.11% |
OM growth 3Y32.75%
OM growth 5Y-5.11%
PM growth 3Y126%
PM growth 5Y3.2%
GM growth 3Y9.62%
GM growth 5Y2.45%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FSTR is destroying value.
Compared to 1 year ago, FSTR has less shares outstanding
The number of shares outstanding for FSTR has been increased compared to 5 years ago.
Compared to 1 year ago, FSTR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.53 indicates that FSTR is not in any danger for bankruptcy at the moment.
FSTR has a better Altman-Z score (3.53) than 60.63% of its industry peers.
The Debt to FCF ratio of FSTR is 9.96, which is on the high side as it means it would take FSTR, 9.96 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FSTR (9.96) is worse than 61.42% of its industry peers.
A Debt/Equity ratio of 0.48 indicates that FSTR is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.48, FSTR perfoms like the industry average, outperforming 44.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 9.96 | ||
| Altman-Z | 3.53 |
ROIC/WACC0.38
WACC10.22%
2.3 Liquidity
FSTR has a Current Ratio of 2.57. This indicates that FSTR is financially healthy and has no problem in meeting its short term obligations.
FSTR has a better Current ratio (2.57) than 66.93% of its industry peers.
A Quick Ratio of 1.29 indicates that FSTR should not have too much problems paying its short term obligations.
FSTR has a Quick ratio (1.29) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 419.40% over the past year.
FSTR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.23% yearly.
The Revenue has decreased by -2.39% in the past year.
FSTR shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.95% yearly.
EPS 1Y (TTM)419.4%
EPS 3Y128.76%
EPS 5Y20.23%
EPS Q2Q%3.85%
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y1.1%
Revenue growth 5Y-2.95%
Sales Q2Q%1.96%
3.2 Future
FSTR is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -28.26% yearly.
The Revenue is expected to grow by 3.09% on average over the next years.
EPS Next Y-59.4%
EPS Next 2Y-28.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year0.73%
Revenue Next 2Y3.09%
Revenue Next 3YN/A
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 decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 6.98, the valuation of FSTR can be described as very cheap.
FSTR's Price/Earnings ratio is rather cheap when compared to the industry. FSTR is cheaper than 95.28% of the companies in the same industry.
FSTR is valuated cheaply when we compare the Price/Earnings ratio to 27.11, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.59, the valuation of FSTR can be described as reasonable.
Based on the Price/Forward Earnings ratio, FSTR is valued cheaply inside the industry as 88.98% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 35.78. FSTR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 11.59 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FSTR is valued a bit cheaper than 66.93% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as FSTR.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.94 | ||
| EV/EBITDA | 12.12 |
4.3 Compensation for Growth
A cheap valuation may be justified as FSTR's earnings are expected to decrease with -28.26% in the coming years.
PEG (NY)N/A
PEG (5Y)0.34
EPS Next 2Y-28.26%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for FSTR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
24.28
+1.15 (+4.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners76.78%
Inst Owner Change0.44%
Ins Owners5.96%
Ins Owner Change11.13%
Market Cap256.40M
Analysts82.5
Price Target29.58 (21.83%)
Short Float %1.73%
Short Ratio6.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-321.02%
Min EPS beat(2)-590.2%
Max EPS beat(2)-51.84%
EPS beat(4)1
Avg EPS beat(4)-31.55%
Min EPS beat(4)-590.2%
Max EPS beat(4)561.01%
EPS beat(8)3
Avg EPS beat(8)123.26%
EPS beat(12)4
Avg EPS beat(12)-1004.65%
EPS beat(16)4
Avg EPS beat(16)-802.18%
Revenue beat(2)0
Avg Revenue beat(2)-10.47%
Min Revenue beat(2)-15.28%
Max Revenue beat(2)-5.65%
Revenue beat(4)0
Avg Revenue beat(4)-6.88%
Min Revenue beat(4)-15.28%
Max Revenue beat(4)-1.64%
Revenue beat(8)4
Avg Revenue beat(8)-1.88%
Revenue beat(12)8
Avg Revenue beat(12)-0.47%
Revenue beat(16)9
Avg Revenue beat(16)-2.01%
PT rev (1m)0%
PT rev (3m)0.58%
EPS NQ rev (1m)-7.32%
EPS NQ rev (3m)-3.8%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.71%
Revenue NQ rev (1m)-1.59%
Revenue NQ rev (3m)-0.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 11.59 | ||
| P/S | 0.51 | ||
| P/FCF | 30.94 | ||
| P/OCF | 13.96 | ||
| P/B | 1.5 | ||
| P/tB | 2.06 | ||
| EV/EBITDA | 12.12 |
EPS(TTM)3.48
EY14.33%
EPS(NY)2.09
Fwd EY8.63%
FCF(TTM)0.78
FCFY3.23%
OCF(TTM)1.74
OCFY7.16%
SpS47.75
BVpS16.17
TBVpS11.81
PEG (NY)N/A
PEG (5Y)0.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.62% | ||
| ROE | 21.31% | ||
| ROCE | 4.96% | ||
| ROIC | 3.92% | ||
| ROICexc | 3.95% | ||
| ROICexgc | 4.74% | ||
| OM | 2.74% | ||
| PM (TTM) | 7.22% | ||
| GM | 22.11% | ||
| FCFM | 1.64% |
ROA(3y)0.27%
ROA(5y)0.79%
ROE(3y)-2.71%
ROE(5y)-0.37%
ROIC(3y)3.59%
ROIC(5y)3.56%
ROICexc(3y)3.63%
ROICexc(5y)3.63%
ROICexgc(3y)4.6%
ROICexgc(5y)4.6%
ROCE(3y)4.55%
ROCE(5y)4.51%
ROICexcg growth 3Y33.69%
ROICexcg growth 5Y-6.5%
ROICexc growth 3Y34.62%
ROICexc growth 5Y-5.71%
OM growth 3Y32.75%
OM growth 5Y-5.11%
PM growth 3Y126%
PM growth 5Y3.2%
GM growth 3Y9.62%
GM growth 5Y2.45%
F-Score6
Asset Turnover1.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 9.96 | ||
| Debt/EBITDA | 2.97 | ||
| Cap/Depr | 72.39% | ||
| Cap/Sales | 2% | ||
| Interest Coverage | 2.96 | ||
| Cash Conversion | 66.18% | ||
| Profit Quality | 22.76% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | 3.53 |
F-Score6
WACC10.22%
ROIC/WACC0.38
Cap/Depr(3y)50.24%
Cap/Depr(5y)50.32%
Cap/Sales(3y)1.4%
Cap/Sales(5y)1.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)419.4%
EPS 3Y128.76%
EPS 5Y20.23%
EPS Q2Q%3.85%
EPS Next Y-59.4%
EPS Next 2Y-28.26%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y1.1%
Revenue growth 5Y-2.95%
Sales Q2Q%1.96%
Revenue Next Year0.73%
Revenue Next 2Y3.09%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-3.26%
EBIT growth 3Y34.22%
EBIT growth 5Y-7.91%
EBIT Next Year101.47%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y421.16%
FCF growth 3YN/A
FCF growth 5Y-9.06%
OCF growth 1Y360.15%
OCF growth 3YN/A
OCF growth 5Y-3.24%