GREENBRIER COMPANIES INC (GBX) Stock Fundamental Analysis
USA - NYSE:GBX - US3936571013 - Common Stock
46.44 USD
+0.28 (+0.61%)
46.44 USD
0 (0%)
GBX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 129 industry peers in the Machinery industry. While GBX is still in line with the averages on profitability rating, there are concerns on its financial health. GBX has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year GBX was profitable.
GBX had a positive operating cash flow in the past year.
GBX had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: GBX reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of GBX (5.26%) is comparable to the rest of the industry.
The Return On Equity of GBX (15.22%) is better than 74.42% of its industry peers.
GBX has a Return On Invested Capital (7.83%) which is in line with its industry peers.
GBX had an Average Return On Invested Capital over the past 3 years of 4.87%. This is significantly below the industry average of 10.02%.
The last Return On Invested Capital (7.83%) for GBX is above the 3 year average (4.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 15.22% | ||
| ROIC | 7.83% |
ROA(3y)2.18%
ROA(5y)1.81%
ROE(3y)6.76%
ROE(5y)5.31%
ROIC(3y)4.87%
ROIC(5y)3.92%
1.3 Margins
GBX has a Profit Margin (6.48%) which is comparable to the rest of the industry.
GBX's Profit Margin has improved in the last couple of years.
GBX has a Operating Margin of 11.16%. This is comparable to the rest of the industry: GBX outperforms 57.36% of its industry peers.
GBX's Operating Margin has improved in the last couple of years.
GBX has a worse Gross Margin (18.53%) than 75.19% of its industry peers.
GBX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.16% | ||
| PM (TTM) | 6.48% | ||
| GM | 18.53% |
OM growth 3Y56.84%
OM growth 5Y11.71%
PM growth 3Y34.43%
PM growth 5Y14.02%
GM growth 3Y5.95%
GM growth 5Y5.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GBX is destroying value.
Compared to 1 year ago, GBX has more shares outstanding
Compared to 5 years ago, GBX has less shares outstanding
Compared to 1 year ago, GBX has a worse debt to assets ratio.
2.2 Solvency
GBX has an Altman-Z score of 1.92. This is not the best score and indicates that GBX is in the grey zone with still only limited risk for bankruptcy at the moment.
GBX's Altman-Z score of 1.92 is on the low side compared to the rest of the industry. GBX is outperformed by 64.34% of its industry peers.
GBX has a debt to FCF ratio of 23.13. This is a negative value and a sign of low solvency as GBX would need 23.13 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 23.13, GBX is doing worse than 68.99% of the companies in the same industry.
GBX has a Debt/Equity ratio of 1.17. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.17, GBX is doing worse than 79.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 23.13 | ||
| Altman-Z | 1.92 |
ROIC/WACC0.89
WACC8.81%
2.3 Liquidity
A Current Ratio of 1.44 indicates that GBX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.44, GBX is doing worse than 77.52% of the companies in the same industry.
A Quick Ratio of 0.78 indicates that GBX may have some problems paying its short term obligations.
With a Quick ratio value of 0.78, GBX is not doing good in the industry: 77.52% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
GBX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 77.83%, which is quite impressive.
Measured over the past years, GBX shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.92% on average per year.
GBX shows a small growth in Revenue. In the last year, the Revenue has grown by 0.70%.
Measured over the past years, GBX shows a small growth in Revenue. The Revenue has been growing by 3.16% on average per year.
EPS 1Y (TTM)77.83%
EPS 3Y65.82%
EPS 5Y10.92%
EPS Q2Q%75.47%
Revenue 1Y (TTM)0.7%
Revenue growth 3Y26.57%
Revenue growth 5Y3.16%
Sales Q2Q%2.74%
3.2 Future
The Earnings Per Share is expected to grow by 0.55% on average over the next years.
GBX is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -5.01% yearly.
EPS Next Y28.94%
EPS Next 2Y0.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-7.22%
Revenue Next 2Y-5.01%
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.
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
GBX is valuated cheaply with a Price/Earnings ratio of 6.58.
96.12% of the companies in the same industry are more expensive than GBX, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.41, GBX is valued rather cheaply.
The Price/Forward Earnings ratio is 9.24, which indicates a very decent valuation of GBX.
Based on the Price/Forward Earnings ratio, GBX is valued cheaper than 95.35% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.87. GBX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.58 | ||
| Fwd PE | 9.24 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GBX indicates a rather cheap valuation: GBX is cheaper than 97.67% of the companies listed in the same industry.
GBX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. GBX is cheaper than 68.99% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.82 | ||
| EV/EBITDA | 4.88 |
4.3 Compensation for Growth
GBX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.23
PEG (5Y)0.6
EPS Next 2Y0.55%
EPS Next 3YN/A
5. Dividend
5.1 Amount
GBX has a Yearly Dividend Yield of 2.72%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.74, GBX pays a better dividend. On top of this GBX pays more dividend than 90.70% of the companies listed in the same industry.
GBX's Dividend Yield is comparable with the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
5.2 History
The dividend of GBX has a limited annual growth rate of 3.82%.
GBX has been paying a dividend for at least 10 years, so it has a reliable track record.
GBX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.82%
Div Incr Years2
Div Non Decr Years10
5.3 Sustainability
17.04% of the earnings are spent on dividend by GBX. This is a low number and sustainable payout ratio.
GBX's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP17.04%
EPS Next 2Y0.55%
EPS Next 3YN/A
46.44
+0.28 (+0.61%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners106.45%
Inst Owner Change1.9%
Ins Owners1.81%
Ins Owner Change-0.74%
Market Cap1.43B
Analysts46.67
Price Target54.57 (17.51%)
Short Float %7.66%
Short Ratio5.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
Yearly Dividend1.24
Dividend Growth(5Y)3.82%
DP17.04%
Div Incr Years2
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)36.87%
Min EPS beat(2)-13.23%
Max EPS beat(2)86.96%
EPS beat(4)3
Avg EPS beat(4)41.3%
Min EPS beat(4)-13.23%
Max EPS beat(4)86.96%
EPS beat(8)5
Avg EPS beat(8)24.58%
EPS beat(12)8
Avg EPS beat(12)23.35%
EPS beat(16)11
Avg EPS beat(16)23.32%
Revenue beat(2)1
Avg Revenue beat(2)-4.92%
Min Revenue beat(2)-16.02%
Max Revenue beat(2)6.19%
Revenue beat(4)3
Avg Revenue beat(4)-1%
Min Revenue beat(4)-16.02%
Max Revenue beat(4)6.19%
Revenue beat(8)5
Avg Revenue beat(8)-2.41%
Revenue beat(12)9
Avg Revenue beat(12)3.46%
Revenue beat(16)12
Avg Revenue beat(16)4.04%
PT rev (1m)0%
PT rev (3m)9.18%
EPS NQ rev (1m)0%
EPS NQ rev (3m)28.96%
EPS NY rev (1m)0%
EPS NY rev (3m)22.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.58 | ||
| Fwd PE | 9.24 | ||
| P/S | 0.41 | ||
| P/FCF | 18.82 | ||
| P/OCF | 4 | ||
| P/B | 0.95 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 4.88 |
EPS(TTM)7.06
EY15.2%
EPS(NY)5.02
Fwd EY10.82%
FCF(TTM)2.47
FCFY5.31%
OCF(TTM)11.62
OCFY25.03%
SpS114.43
BVpS48.7
TBVpS43.59
PEG (NY)0.23
PEG (5Y)0.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 15.22% | ||
| ROCE | 12.03% | ||
| ROIC | 7.83% | ||
| ROICexc | 8.53% | ||
| ROICexgc | 9.73% | ||
| OM | 11.16% | ||
| PM (TTM) | 6.48% | ||
| GM | 18.53% | ||
| FCFM | 2.16% |
ROA(3y)2.18%
ROA(5y)1.81%
ROE(3y)6.76%
ROE(5y)5.31%
ROIC(3y)4.87%
ROIC(5y)3.92%
ROICexc(3y)5.53%
ROICexc(5y)4.74%
ROICexgc(3y)6.3%
ROICexgc(5y)5.45%
ROCE(3y)7.54%
ROCE(5y)6.11%
ROICexcg growth 3Y91.91%
ROICexcg growth 5Y10.27%
ROICexc growth 3Y91.04%
ROICexc growth 5Y11.88%
OM growth 3Y56.84%
OM growth 5Y11.71%
PM growth 3Y34.43%
PM growth 5Y14.02%
GM growth 3Y5.95%
GM growth 5Y5.45%
F-Score7
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 23.13 | ||
| Debt/EBITDA | 3.41 | ||
| Cap/Depr | 230.59% | ||
| Cap/Sales | 8% | ||
| Interest Coverage | 4.7 | ||
| Cash Conversion | 69.41% | ||
| Profit Quality | 33.29% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 1.92 |
F-Score7
WACC8.81%
ROIC/WACC0.89
Cap/Depr(3y)352.81%
Cap/Depr(5y)251.47%
Cap/Sales(3y)11.07%
Cap/Sales(5y)8.71%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)77.83%
EPS 3Y65.82%
EPS 5Y10.92%
EPS Q2Q%75.47%
EPS Next Y28.94%
EPS Next 2Y0.55%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)0.7%
Revenue growth 3Y26.57%
Revenue growth 5Y3.16%
Sales Q2Q%2.74%
Revenue Next Year-7.22%
Revenue Next 2Y-5.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y54.58%
EBIT growth 3Y98.52%
EBIT growth 5Y15.24%
EBIT Next Year77.98%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y136.88%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y100.28%
OCF growth 3YN/A
OCF growth 5YN/A