GRAHAM CORP (GHM) Stock Fundamental Analysis
USA - NYSE:GHM - US3845561063 - Common Stock
57.83 USD
+2.8 (+5.09%)
57.83 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to GHM. GHM was compared to 129 industry peers in the Machinery industry. GHM has an average financial health and profitability rating. GHM is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
GHM had positive earnings in the past year.
In the past year GHM had a positive cash flow from operations.
Of the past 5 years GHM 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: GHM reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 5.49%, GHM perfoms like the industry average, outperforming 59.69% of the companies in the same industry.
GHM has a Return On Equity of 11.23%. This is in the better half of the industry: GHM outperforms 62.79% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.42%, GHM is in the better half of the industry, outperforming 73.64% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GHM is below the industry average of 10.01%.
The 3 year average ROIC (5.20%) for GHM is below the current ROIC(10.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 11.23% | ||
| ROIC | 10.42% |
ROA(3y)2.26%
ROA(5y)0.73%
ROE(3y)4.99%
ROE(5y)1.66%
ROIC(3y)5.2%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 6.43%, GHM is in line with its industry, outperforming 55.81% of the companies in the same industry.
GHM's Profit Margin has improved in the last couple of years.
GHM's Operating Margin of 7.88% is in line compared to the rest of the industry. GHM outperforms 47.29% of its industry peers.
GHM's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 25.63%, GHM is doing worse than 64.34% of the companies in the same industry.
In the last couple of years the Gross Margin of GHM has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.88% | ||
| PM (TTM) | 6.43% | ||
| GM | 25.63% |
OM growth 3YN/A
OM growth 5Y45.74%
PM growth 3YN/A
PM growth 5Y22.68%
GM growth 3Y50.35%
GM growth 5Y4.74%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GHM is creating some value.
The number of shares outstanding for GHM has been increased compared to 1 year ago.
The number of shares outstanding for GHM has been increased compared to 5 years ago.
GHM has a better debt/assets ratio than last year.
2.2 Solvency
GHM has an Altman-Z score of 4.47. This indicates that GHM is financially healthy and has little risk of bankruptcy at the moment.
GHM's Altman-Z score of 4.47 is fine compared to the rest of the industry. GHM outperforms 71.32% of its industry peers.
A Debt/Equity ratio of 0.00 indicates that GHM is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.00, GHM belongs to the top of the industry, outperforming 88.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.47 |
ROIC/WACC1.1
WACC9.49%
2.3 Liquidity
GHM has a Current Ratio of 1.05. This is a normal value and indicates that GHM is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of GHM (1.05) is worse than 86.82% of its industry peers.
GHM has a Quick Ratio of 1.05. This is a bad value and indicates that GHM is not financially healthy enough and could expect problems in meeting its short term obligations.
GHM has a worse Quick ratio (0.74) than 82.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 153.70% over the past year.
GHM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 34.88% yearly.
The Revenue has grown by 14.64% in the past year. This is quite good.
The Revenue has been growing by 18.30% on average over the past years. This is quite good.
EPS 1Y (TTM)153.7%
EPS 3YN/A
EPS 5Y34.88%
EPS Q2Q%36.36%
Revenue 1Y (TTM)14.64%
Revenue growth 3Y19.56%
Revenue growth 5Y18.3%
Sales Q2Q%11.08%
3.2 Future
The Earnings Per Share is expected to grow by 26.32% on average over the next years. This is a very strong growth
Based on estimates for the next years, GHM will show a quite strong growth in Revenue. The Revenue will grow by 11.22% on average per year.
EPS Next Y3.83%
EPS Next 2Y26.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year11.86%
Revenue Next 2Y11.22%
Revenue Next 3YN/A
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.
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
GHM is valuated quite expensively with a Price/Earnings ratio of 42.21.
67.44% of the companies in the same industry are cheaper than GHM, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of GHM to the average of the S&P500 Index (27.35), we can say GHM is valued expensively.
The Price/Forward Earnings ratio is 28.99, which means the current valuation is very expensive for GHM.
Based on the Price/Forward Earnings ratio, GHM is valued a bit more expensive than the industry average as 65.12% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of GHM to the average of the S&P500 Index (22.86), we can say GHM is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.21 | ||
| Fwd PE | 28.99 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GHM is valued a bit more expensive than the industry average as 72.87% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 25.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as GHM's earnings are expected to grow with 26.32% in the coming years.
PEG (NY)11.03
PEG (5Y)1.21
EPS Next 2Y26.32%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for GHM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
57.83
+2.8 (+5.09%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners80.36%
Inst Owner Change0%
Ins Owners5.68%
Ins Owner Change6.52%
Market Cap634.97M
Analysts80
Price Target60.69 (4.95%)
Short Float %3.4%
Short Ratio3.3
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)2
Avg EPS beat(2)101.15%
Min EPS beat(2)78.22%
Max EPS beat(2)124.08%
EPS beat(4)4
Avg EPS beat(4)92.51%
Min EPS beat(4)48.51%
Max EPS beat(4)124.08%
EPS beat(8)8
Avg EPS beat(8)137.09%
EPS beat(12)12
Avg EPS beat(12)185.37%
EPS beat(16)13
Avg EPS beat(16)90.92%
Revenue beat(2)1
Avg Revenue beat(2)1.32%
Min Revenue beat(2)-2.91%
Max Revenue beat(2)5.55%
Revenue beat(4)2
Avg Revenue beat(4)0.86%
Min Revenue beat(4)-5.92%
Max Revenue beat(4)6.71%
Revenue beat(8)5
Avg Revenue beat(8)3.65%
Revenue beat(12)9
Avg Revenue beat(12)8.1%
Revenue beat(16)11
Avg Revenue beat(16)4.85%
PT rev (1m)0%
PT rev (3m)3.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.76%
EPS NY rev (1m)-11.99%
EPS NY rev (3m)4.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.21 | ||
| Fwd PE | 28.99 | ||
| P/S | 2.95 | ||
| P/FCF | N/A | ||
| P/OCF | 47.6 | ||
| P/B | 5.15 | ||
| P/tB | 9.33 | ||
| EV/EBITDA | 25.78 |
EPS(TTM)1.37
EY2.37%
EPS(NY)1.99
Fwd EY3.45%
FCF(TTM)-0.88
FCFYN/A
OCF(TTM)1.22
OCFY2.1%
SpS19.62
BVpS11.24
TBVpS6.2
PEG (NY)11.03
PEG (5Y)1.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 11.23% | ||
| ROCE | 12.93% | ||
| ROIC | 10.42% | ||
| ROICexc | 11.34% | ||
| ROICexgc | 20.98% | ||
| OM | 7.88% | ||
| PM (TTM) | 6.43% | ||
| GM | 25.63% | ||
| FCFM | N/A |
ROA(3y)2.26%
ROA(5y)0.73%
ROE(3y)4.99%
ROE(5y)1.66%
ROIC(3y)5.2%
ROIC(5y)N/A
ROICexc(3y)6.2%
ROICexc(5y)N/A
ROICexgc(3y)13.67%
ROICexgc(5y)N/A
ROCE(3y)6.46%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y50.83%
ROICexc growth 3YN/A
ROICexc growth 5Y29.97%
OM growth 3YN/A
OM growth 5Y45.74%
PM growth 3YN/A
PM growth 5Y22.68%
GM growth 3Y50.35%
GM growth 5Y4.74%
F-Score7
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 380.01% | ||
| Cap/Sales | 10.67% | ||
| Interest Coverage | 54.75 | ||
| Cash Conversion | 57.95% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 4.47 |
F-Score7
WACC9.49%
ROIC/WACC1.1
Cap/Depr(3y)183.94%
Cap/Depr(5y)140.8%
Cap/Sales(3y)5.46%
Cap/Sales(5y)4.1%
Profit Quality(3y)999.51%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)153.7%
EPS 3YN/A
EPS 5Y34.88%
EPS Q2Q%36.36%
EPS Next Y3.83%
EPS Next 2Y26.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)14.64%
Revenue growth 3Y19.56%
Revenue growth 5Y18.3%
Sales Q2Q%11.08%
Revenue Next Year11.86%
Revenue Next 2Y11.22%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y149.2%
EBIT growth 3YN/A
EBIT growth 5Y72.41%
EBIT Next Year102.04%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-152.89%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-42.5%
OCF growth 3YN/A
OCF growth 5Y68.5%