GENERAC HOLDINGS INC (GNRC) Stock Fundamental Analysis
NYSE:GNRC - US3687361044 - Common Stock
194.64 USD
+4.09 (+2.15%)
194.64 USD
0 (0%)
Taking everything into account, GNRC scores 7 out of 10 in our fundamental rating. GNRC was compared to 93 industry peers in the Electrical Equipment industry. GNRC gets an excellent profitability rating and is at the same time showing great financial health properties. GNRC is not valued too expensively and it also shows a decent growth rate. This makes GNRC very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year GNRC was profitable.
GNRC had a positive operating cash flow in the past year.
GNRC had positive earnings in each of the past 5 years.
GNRC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
GNRC has a Return On Assets of 6.69%. This is amongst the best in the industry. GNRC outperforms 81.72% of its industry peers.
GNRC has a better Return On Equity (14.02%) than 86.02% of its industry peers.
With an excellent Return On Invested Capital value of 9.90%, GNRC belongs to the best of the industry, outperforming 83.87% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GNRC is in line with the industry average of 10.01%.
The 3 year average ROIC (8.99%) for GNRC is below the current ROIC(9.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.69% | ||
| ROE | 14.02% | ||
| ROIC | 9.9% |
ROA(3y)5.71%
ROA(5y)7.77%
ROE(3y)12.41%
ROE(5y)17.29%
ROIC(3y)8.99%
ROIC(5y)11.14%
1.3 Margins
GNRC has a Profit Margin of 8.17%. This is amongst the best in the industry. GNRC outperforms 82.80% of its industry peers.
In the last couple of years the Profit Margin of GNRC has declined.
The Operating Margin of GNRC (12.74%) is better than 84.95% of its industry peers.
GNRC's Operating Margin has declined in the last couple of years.
GNRC has a Gross Margin of 39.95%. This is amongst the best in the industry. GNRC outperforms 90.32% of its industry peers.
In the last couple of years the Gross Margin of GNRC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.74% | ||
| PM (TTM) | 8.17% | ||
| GM | 39.95% |
OM growth 3Y-14.33%
OM growth 5Y-5.84%
PM growth 3Y-19.05%
PM growth 5Y-8.01%
GM growth 3Y2.13%
GM growth 5Y1.39%
2. Health
2.1 Basic Checks
GNRC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, GNRC has less shares outstanding
Compared to 5 years ago, GNRC has less shares outstanding
Compared to 1 year ago, GNRC has an improved debt to assets ratio.
2.2 Solvency
GNRC has an Altman-Z score of 4.58. This indicates that GNRC is financially healthy and has little risk of bankruptcy at the moment.
GNRC's Altman-Z score of 4.58 is fine compared to the rest of the industry. GNRC outperforms 78.49% of its industry peers.
The Debt to FCF ratio of GNRC is 2.78, which is a good value as it means it would take GNRC, 2.78 years of fcf income to pay off all of its debts.
GNRC has a Debt to FCF ratio of 2.78. This is amongst the best in the industry. GNRC outperforms 80.65% of its industry peers.
A Debt/Equity ratio of 0.52 indicates that GNRC is somewhat dependend on debt financing.
GNRC has a Debt to Equity ratio (0.52) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 2.78 | ||
| Altman-Z | 4.58 |
ROIC/WACC1.17
WACC8.43%
2.3 Liquidity
GNRC has a Current Ratio of 2.00. This indicates that GNRC is financially healthy and has no problem in meeting its short term obligations.
GNRC has a Current ratio (2.00) which is comparable to the rest of the industry.
A Quick Ratio of 0.88 indicates that GNRC may have some problems paying its short term obligations.
GNRC's Quick ratio of 0.88 is in line compared to the rest of the industry. GNRC outperforms 44.09% of its industry peers.
The current and quick ratio evaluation for GNRC is rather negative, while it does have 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 | 2 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 34.01% over the past year.
The Earnings Per Share has been growing slightly by 7.50% on average over the past years.
Looking at the last year, GNRC shows a quite strong growth in Revenue. The Revenue has grown by 9.69% in the last year.
The Revenue has been growing by 14.28% on average over the past years. This is quite good.
EPS 1Y (TTM)34.01%
EPS 3Y-8.9%
EPS 5Y7.5%
EPS Q2Q%22.22%
Revenue 1Y (TTM)9.69%
Revenue growth 3Y4.75%
Revenue growth 5Y14.28%
Sales Q2Q%6.31%
3.2 Future
The Earnings Per Share is expected to grow by 12.31% on average over the next years. This is quite good.
Based on estimates for the next years, GNRC will show a small growth in Revenue. The Revenue will grow by 7.10% on average per year.
EPS Next Y3.81%
EPS Next 2Y8.8%
EPS Next 3Y9.68%
EPS Next 5Y12.31%
Revenue Next Year3.03%
Revenue Next 2Y4.79%
Revenue Next 3Y5.42%
Revenue Next 5Y7.1%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.45, the valuation of GNRC can be described as rather expensive.
78.49% of the companies in the same industry are more expensive than GNRC, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.24. GNRC is around the same levels.
A Price/Forward Earnings ratio of 22.58 indicates a rather expensive valuation of GNRC.
Based on the Price/Forward Earnings ratio, GNRC is valued a bit cheaper than 79.57% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.82, GNRC is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.45 | ||
| Fwd PE | 22.58 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, GNRC is valued a bit cheaper than 79.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GNRC is valued cheaper than 83.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.48 | ||
| EV/EBITDA | 16.68 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GNRC does not grow enough to justify the current Price/Earnings ratio.
GNRC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.41
PEG (5Y)3.26
EPS Next 2Y8.8%
EPS Next 3Y9.68%
5. Dividend
5.1 Amount
GNRC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
194.64
+4.09 (+2.15%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners91.68%
Inst Owner Change5.36%
Ins Owners1.57%
Ins Owner Change0.79%
Market Cap11.42B
Analysts80
Price Target204.2 (4.91%)
Short Float %6.57%
Short Ratio3.46
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)24.98%
Min EPS beat(2)22.14%
Max EPS beat(2)27.81%
EPS beat(4)4
Avg EPS beat(4)18.27%
Min EPS beat(4)9.91%
Max EPS beat(4)27.81%
EPS beat(8)7
Avg EPS beat(8)13.6%
EPS beat(12)8
Avg EPS beat(12)10.13%
EPS beat(16)11
Avg EPS beat(16)8.7%
Revenue beat(2)2
Avg Revenue beat(2)0.93%
Min Revenue beat(2)0.5%
Max Revenue beat(2)1.35%
Revenue beat(4)2
Avg Revenue beat(4)-0.39%
Min Revenue beat(4)-2.46%
Max Revenue beat(4)1.35%
Revenue beat(8)3
Avg Revenue beat(8)-1.17%
Revenue beat(12)5
Avg Revenue beat(12)-1.31%
Revenue beat(16)8
Avg Revenue beat(16)-0.92%
PT rev (1m)28.85%
PT rev (3m)27.01%
EPS NQ rev (1m)0.73%
EPS NQ rev (3m)-6.54%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.55%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)-2.08%
Revenue NY rev (1m)-0.11%
Revenue NY rev (3m)-0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.45 | ||
| Fwd PE | 22.58 | ||
| P/S | 2.61 | ||
| P/FCF | 22.48 | ||
| P/OCF | 16.86 | ||
| P/B | 4.47 | ||
| P/tB | 30.65 | ||
| EV/EBITDA | 16.68 |
EPS(TTM)7.96
EY4.09%
EPS(NY)8.62
Fwd EY4.43%
FCF(TTM)8.66
FCFY4.45%
OCF(TTM)11.55
OCFY5.93%
SpS74.67
BVpS43.51
TBVpS6.35
PEG (NY)6.41
PEG (5Y)3.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.69% | ||
| ROE | 14.02% | ||
| ROCE | 13.17% | ||
| ROIC | 9.9% | ||
| ROICexc | 10.44% | ||
| ROICexgc | 22.48% | ||
| OM | 12.74% | ||
| PM (TTM) | 8.17% | ||
| GM | 39.95% | ||
| FCFM | 11.59% |
ROA(3y)5.71%
ROA(5y)7.77%
ROE(3y)12.41%
ROE(5y)17.29%
ROIC(3y)8.99%
ROIC(5y)11.14%
ROICexc(3y)9.45%
ROICexc(5y)12.46%
ROICexgc(3y)21.8%
ROICexgc(5y)31.31%
ROCE(3y)11.98%
ROCE(5y)14.87%
ROICexcg growth 3Y-19.49%
ROICexcg growth 5Y-6.94%
ROICexc growth 3Y-11.87%
ROICexc growth 5Y-6.53%
OM growth 3Y-14.33%
OM growth 5Y-5.84%
PM growth 3Y-19.05%
PM growth 5Y-8.01%
GM growth 3Y2.13%
GM growth 5Y1.39%
F-Score8
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 2.78 | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 94.03% | ||
| Cap/Sales | 3.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 91.74% | ||
| Profit Quality | 141.9% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 4.58 |
F-Score8
WACC8.43%
ROIC/WACC1.17
Cap/Depr(3y)70.76%
Cap/Depr(5y)84.39%
Cap/Sales(3y)2.76%
Cap/Sales(5y)2.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.01%
EPS 3Y-8.9%
EPS 5Y7.5%
EPS Q2Q%22.22%
EPS Next Y3.81%
EPS Next 2Y8.8%
EPS Next 3Y9.68%
EPS Next 5Y12.31%
Revenue 1Y (TTM)9.69%
Revenue growth 3Y4.75%
Revenue growth 5Y14.28%
Sales Q2Q%6.31%
Revenue Next Year3.03%
Revenue Next 2Y4.79%
Revenue Next 3Y5.42%
Revenue Next 5Y7.1%
EBIT growth 1Y31.84%
EBIT growth 3Y-10.26%
EBIT growth 5Y7.6%
EBIT Next Year48.15%
EBIT Next 3Y22.33%
EBIT Next 5Y18.72%
FCF growth 1Y3131.81%
FCF growth 3Y26.14%
FCF growth 5Y19.5%
OCF growth 1Y523.41%
OCF growth 3Y21.71%
OCF growth 5Y19.13%