GENERAC HOLDINGS INC (GNRC) Stock Fundamental Analysis
USA - NYSE:GNRC - US3687361044 - Common Stock
156.59 USD
-7.16 (-4.37%)
156 USD
-0.59 (-0.38%)
Taking everything into account, GNRC scores 7 out of 10 in our fundamental rating. GNRC was compared to 92 industry peers in the Electrical Equipment industry. GNRC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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.
In the past year GNRC had a positive cash flow from operations.
Each year in the past 5 years GNRC has been profitable.
Each year in the past 5 years GNRC had a positive operating cash flow.
1.2 Ratios
GNRC has a Return On Assets of 6.69%. This is amongst the best in the industry. GNRC outperforms 81.52% of its industry peers.
Looking at the Return On Equity, with a value of 14.02%, GNRC belongs to the top of the industry, outperforming 85.87% of the companies in the same industry.
GNRC has a Return On Invested Capital of 9.90%. This is amongst the best in the industry. GNRC outperforms 83.70% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GNRC is in line with the industry average of 10.26%.
The last Return On Invested Capital (9.90%) for GNRC is above the 3 year average (8.99%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 8.17%, GNRC belongs to the top of the industry, outperforming 81.52% of the companies in the same industry.
In the last couple of years the Profit Margin of GNRC has declined.
With an excellent Operating Margin value of 12.74%, GNRC belongs to the best of the industry, outperforming 83.70% of the companies in the same industry.
GNRC's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 39.95%, GNRC belongs to the best of the industry, outperforming 89.13% of the companies in the same industry.
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.
The number of shares outstanding for GNRC has been reduced compared to 1 year ago.
Compared to 5 years ago, GNRC has less shares outstanding
GNRC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.23 indicates that GNRC is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 4.23, GNRC is doing good in the industry, outperforming 77.17% of the companies in the same industry.
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's Debt to FCF ratio of 2.78 is amongst the best of the industry. GNRC outperforms 82.61% 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 of 0.52. This is comparable to the rest of the industry: GNRC outperforms 45.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | 2.78 | ||
| Altman-Z | 4.23 |
ROIC/WACC1.21
WACC8.21%
2.3 Liquidity
A Current Ratio of 2.00 indicates that GNRC has no problem at all paying its short term obligations.
The Current ratio of GNRC (2.00) is comparable to the rest of the industry.
GNRC has a Quick Ratio of 2.00. This is a bad value and indicates that GNRC is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of GNRC (0.88) is comparable to the rest of the industry.
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
GNRC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.11%, which is quite good.
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 small growth in Revenue. The Revenue has grown by 6.79% 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)15.11%
EPS 3Y-8.9%
EPS 5Y7.5%
EPS Q2Q%-18.67%
Revenue 1Y (TTM)6.79%
Revenue growth 3Y4.75%
Revenue growth 5Y14.28%
Sales Q2Q%-5.05%
3.2 Future
The Earnings Per Share is expected to grow by 12.09% on average over the next years. This is quite good.
The Revenue is expected to grow by 6.96% on average over the next years.
EPS Next Y-5.38%
EPS Next 2Y8.19%
EPS Next 3Y11.97%
EPS Next 5Y12.09%
Revenue Next Year0.07%
Revenue Next 2Y5.32%
Revenue Next 3Y6.56%
Revenue Next 5Y6.96%
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
GNRC is valuated rather expensively with a Price/Earnings ratio of 20.77.
85.87% of the companies in the same industry are more expensive than GNRC, based on the Price/Earnings ratio.
GNRC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.03.
A Price/Forward Earnings ratio of 18.38 indicates a rather expensive valuation of GNRC.
Based on the Price/Forward Earnings ratio, GNRC is valued cheaply inside the industry as 84.78% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.27. GNRC is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.77 | ||
| Fwd PE | 18.38 |
4.2 Price Multiples
GNRC's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GNRC is cheaper than 86.96% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, GNRC is valued cheaper than 89.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.97 | ||
| EV/EBITDA | 14.46 |
4.3 Compensation for Growth
The excellent profitability rating of GNRC may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)2.77
EPS Next 2Y8.19%
EPS Next 3Y11.97%
5. Dividend
5.1 Amount
No dividends for GNRC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
156.59
-7.16 (-4.37%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners97.05%
Inst Owner Change0.54%
Ins Owners1.56%
Ins Owner Change-2.06%
Market Cap9.19B
Revenue(TTM)4.30B
Net Income(TTM)360.45M
Analysts80
Price Target219.97 (40.48%)
Short Float %5.32%
Short Ratio3.21
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)4.37%
PT rev (3m)41%
EPS NQ rev (1m)-2.4%
EPS NQ rev (3m)-2.69%
EPS NY rev (1m)-1.45%
EPS NY rev (3m)2.38%
Revenue NQ rev (1m)-0.74%
Revenue NQ rev (3m)-1.46%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)-0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.77 | ||
| Fwd PE | 18.38 | ||
| P/S | 2.08 | ||
| P/FCF | 17.97 | ||
| P/OCF | 13.47 | ||
| P/B | 3.57 | ||
| P/tB | 24.49 | ||
| EV/EBITDA | 14.46 |
EPS(TTM)7.54
EY4.82%
EPS(NY)8.52
Fwd EY5.44%
FCF(TTM)8.72
FCFY5.57%
OCF(TTM)11.62
OCFY7.42%
SpS75.18
BVpS43.81
TBVpS6.39
PEG (NY)N/A
PEG (5Y)2.77
Graham Number86.21
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%
ROICexgc growth 3Y-19.49%
ROICexgc 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 | 4.23 |
F-Score8
WACC8.21%
ROIC/WACC1.21
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)15.11%
EPS 3Y-8.9%
EPS 5Y7.5%
EPS Q2Q%-18.67%
EPS Next Y-5.38%
EPS Next 2Y8.19%
EPS Next 3Y11.97%
EPS Next 5Y12.09%
Revenue 1Y (TTM)6.79%
Revenue growth 3Y4.75%
Revenue growth 5Y14.28%
Sales Q2Q%-5.05%
Revenue Next Year0.07%
Revenue Next 2Y5.32%
Revenue Next 3Y6.56%
Revenue Next 5Y6.96%
EBIT growth 1Y31.84%
EBIT growth 3Y-10.26%
EBIT growth 5Y7.6%
EBIT Next Year48.35%
EBIT Next 3Y22.76%
EBIT Next 5Y18.58%
FCF growth 1Y3131.81%
FCF growth 3Y26.14%
FCF growth 5Y19.5%
OCF growth 1Y523.41%
OCF growth 3Y21.71%
OCF growth 5Y19.13%
GENERAC HOLDINGS INC / GNRC FAQ
What is the ChartMill fundamental rating of GENERAC HOLDINGS INC (GNRC) stock?
ChartMill assigns a fundamental rating of 7 / 10 to GNRC.
What is the valuation status for GNRC stock?
ChartMill assigns a valuation rating of 6 / 10 to GENERAC HOLDINGS INC (GNRC). This can be considered as Fairly Valued.
Can you provide the profitability details for GENERAC HOLDINGS INC?
GENERAC HOLDINGS INC (GNRC) has a profitability rating of 8 / 10.
What is the financial health of GENERAC HOLDINGS INC (GNRC) stock?
The financial health rating of GENERAC HOLDINGS INC (GNRC) is 8 / 10.
How sustainable is the dividend of GENERAC HOLDINGS INC (GNRC) stock?
The dividend rating of GENERAC HOLDINGS INC (GNRC) is 0 / 10 and the dividend payout ratio is 0%.