FLOTEK INDUSTRIES INC (FTK) Stock Fundamental Analysis
NYSE:FTK - New York Stock Exchange, Inc. - US3433894090 - Common Stock - Currency: USD
FTK gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 85 industry peers in the Chemicals industry. Both the profitability and the financial health of FTK get a neutral evaluation. Nothing too spectacular is happening here. FTK has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
FTK had positive earnings in the past year.
In the past year FTK had a positive cash flow from operations.
In multiple years FTK reported negative net income over the last 5 years.
FTK had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.15%, FTK belongs to the best of the industry, outperforming 85.88% of the companies in the same industry.
The Return On Equity of FTK (9.22%) is better than 70.59% of its industry peers.
FTK's Return On Invested Capital of 7.62% is fine compared to the rest of the industry. FTK outperforms 72.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 9.22% | ||
| ROIC | 7.62% |
ROA(3y)-1.28%
ROA(5y)-44.59%
ROE(3y)-531.16%
ROE(5y)-406.73%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
FTK has a Profit Margin of 5.61%. This is in the better half of the industry: FTK outperforms 71.76% of its industry peers.
With a Operating Margin value of 6.46%, FTK perfoms like the industry average, outperforming 42.35% of the companies in the same industry.
With a Gross Margin value of 21.06%, FTK is not doing good in the industry: 62.35% of the companies in the same industry are doing better.
FTK's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.46% | ||
| PM (TTM) | 5.61% | ||
| GM | 21.06% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y40.33%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FTK is destroying value.
The number of shares outstanding for FTK has been increased compared to 1 year ago.
Compared to 5 years ago, FTK has more shares outstanding
Compared to 1 year ago, FTK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.25 indicates that FTK is not a great score, but indicates only limited risk for bankruptcy at the moment.
FTK has a better Altman-Z score (2.25) than 68.24% of its industry peers.
FTK has a debt to FCF ratio of 3.41. This is a good value and a sign of high solvency as FTK would need 3.41 years to pay back of all of its debts.
The Debt to FCF ratio of FTK (3.41) is better than 85.88% of its industry peers.
FTK has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.04, FTK belongs to the top of the industry, outperforming 89.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 3.41 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.85
WACC8.93%
2.3 Liquidity
A Current Ratio of 1.92 indicates that FTK should not have too much problems paying its short term obligations.
FTK has a Current ratio (1.92) which is comparable to the rest of the industry.
A Quick Ratio of 1.65 indicates that FTK should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.65, FTK is in the better half of the industry, outperforming 72.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.65 |
3. Growth
3.1 Past
FTK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1025.00%, which is quite impressive.
Looking at the last year, FTK shows a decrease in Revenue. The Revenue has decreased by -0.55% in the last year.
FTK shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.39% yearly.
EPS 1Y (TTM)1025%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%240%
Revenue 1Y (TTM)-0.55%
Revenue growth 3Y62.86%
Revenue growth 5Y9.39%
Sales Q2Q%37.12%
3.2 Future
The Earnings Per Share is expected to grow by 59.03% on average over the next years. This is a very strong growth
FTK is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.38% yearly.
EPS Next Y90.47%
EPS Next 2Y59.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.52%
Revenue Next 2Y9.38%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 24.69, FTK is valued on the expensive side.
FTK's Price/Earnings ratio is in line with the industry average.
FTK is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 24.12, which is the current average of the S&P500 Index.
FTK is valuated correctly with a Price/Forward Earnings ratio of 13.31.
61.18% of the companies in the same industry are more expensive than FTK, based on the Price/Forward Earnings ratio.
FTK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.69 | ||
| Fwd PE | 13.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FTK is valued a bit more expensive than the industry average as 75.29% of the companies are valued more cheaply.
61.18% of the companies in the same industry are cheaper than FTK, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 233.22 | ||
| EV/EBITDA | 23.02 |
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.
FTK's earnings are expected to grow with 59.03% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y59.03%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FTK does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.11
+0.96 (+9.46%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners20.36%
Inst Owner Change0.92%
Ins Owners2.37%
Ins Owner Change-0.14%
Market Cap331.41M
Analysts80
Price Target11.22 (0.99%)
Short Float %4.47%
Short Ratio3.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.91%
Min EPS beat(2)12.35%
Max EPS beat(2)27.46%
EPS beat(4)2
Avg EPS beat(4)6.4%
Min EPS beat(4)-10.33%
Max EPS beat(4)27.46%
EPS beat(8)4
Avg EPS beat(8)-41.22%
EPS beat(12)5
Avg EPS beat(12)-71.5%
EPS beat(16)6
Avg EPS beat(16)-64.59%
Revenue beat(2)2
Avg Revenue beat(2)2.35%
Min Revenue beat(2)1.64%
Max Revenue beat(2)3.05%
Revenue beat(4)2
Avg Revenue beat(4)-1.87%
Min Revenue beat(4)-11.35%
Max Revenue beat(4)3.05%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.33%
PT rev (3m)25.71%
EPS NQ rev (1m)2.89%
EPS NQ rev (3m)4.98%
EPS NY rev (1m)5.57%
EPS NY rev (3m)25.91%
Revenue NQ rev (1m)-2.96%
Revenue NQ rev (3m)-1.74%
Revenue NY rev (1m)-2.5%
Revenue NY rev (3m)-3.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.69 | ||
| Fwd PE | 13.31 | ||
| P/S | 1.77 | ||
| P/FCF | 233.22 | ||
| P/OCF | 98.6 | ||
| P/B | 2.91 | ||
| P/tB | 2.91 | ||
| EV/EBITDA | 23.02 |
EPS(TTM)0.45
EY4.05%
EPS(NY)0.83
Fwd EY7.51%
FCF(TTM)0.05
FCFY0.43%
OCF(TTM)0.11
OCFY1.01%
SpS6.27
BVpS3.82
TBVpS3.82
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.15% | ||
| ROE | 9.22% | ||
| ROCE | 10.03% | ||
| ROIC | 7.62% | ||
| ROICexc | 7.89% | ||
| ROICexgc | 7.89% | ||
| OM | 6.46% | ||
| PM (TTM) | 5.61% | ||
| GM | 21.06% | ||
| FCFM | 0.76% |
ROA(3y)-1.28%
ROA(5y)-44.59%
ROE(3y)-531.16%
ROE(5y)-406.73%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y40.33%
GM growth 5YN/A
F-Score5
Asset Turnover1.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 3.41 | ||
| Debt/EBITDA | 0.37 | ||
| Cap/Depr | 217.73% | ||
| Cap/Sales | 1.04% | ||
| Interest Coverage | 14.27 | ||
| Cash Conversion | 25.93% | ||
| Profit Quality | 13.54% | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.65 | ||
| Altman-Z | 2.25 |
F-Score5
WACC8.93%
ROIC/WACC0.85
Cap/Depr(3y)140.85%
Cap/Depr(5y)93.69%
Cap/Sales(3y)0.64%
Cap/Sales(5y)0.94%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1025%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%240%
EPS Next Y90.47%
EPS Next 2Y59.03%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.55%
Revenue growth 3Y62.86%
Revenue growth 5Y9.39%
Sales Q2Q%37.12%
Revenue Next Year9.52%
Revenue Next 2Y9.38%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-47.7%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year143.76%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y111.48%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y129.75%
OCF growth 3YN/A
OCF growth 5YN/A