GENTEX CORP (GNTX)
US3719011096 - Common Stock
Taking everything into account, GNTX scores 7 out of 10 in our fundamental rating. GNTX was compared to 82 industry peers in the Automobile Components industry. GNTX gets an excellent profitability rating and is at the same time showing great financial health properties. GNTX is valied quite expensively at the moment, while it does show a decent growth rate. These ratings could make GNTX a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year GNTX was profitable.
GNTX had a positive operating cash flow in the past year.
GNTX had positive earnings in each of the past 5 years.
In the past 5 years GNTX always reported a positive cash flow from operatings.
1.2 Ratios
GNTX's Return On Assets of 19.53% is amongst the best of the industry. GNTX outperforms 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 22.10%, GNTX belongs to the top of the industry, outperforming 95.12% of the companies in the same industry.
The Return On Invested Capital of GNTX (22.04%) is better than 98.78% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GNTX is significantly above the industry average of 9.42%.
The last Return On Invested Capital (22.04%) for GNTX is above the 3 year average (17.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.53% | ||
| ROE | 22.1% | ||
| ROIC | 22.04% |
ROA(3y)15.44%
ROA(5y)16.25%
ROE(3y)17.26%
ROE(5y)18.17%
ROIC(3y)17.11%
ROIC(5y)17.91%
1.3 Margins
Looking at the Profit Margin, with a value of 18.10%, GNTX belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
GNTX's Profit Margin has declined in the last couple of years.
GNTX has a better Operating Margin (21.42%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of GNTX has declined.
GNTX has a Gross Margin of 33.90%. This is amongst the best in the industry. GNTX outperforms 90.24% of its industry peers.
In the last couple of years the Gross Margin of GNTX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.42% | ||
| PM (TTM) | 18.1% | ||
| GM | 33.9% |
OM growth 3Y-3.76%
OM growth 5Y-4.89%
PM growth 3Y-3.29%
PM growth 5Y-5.12%
GM growth 3Y-2.78%
GM growth 5Y-2.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GNTX is creating value.
Compared to 1 year ago, GNTX has less shares outstanding
Compared to 5 years ago, GNTX has less shares outstanding
There is no outstanding debt for GNTX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
GNTX has an Altman-Z score of 15.67. This indicates that GNTX is financially healthy and has little risk of bankruptcy at the moment.
GNTX has a Altman-Z score of 15.67. This is amongst the best in the industry. GNTX outperforms 97.56% of its industry peers.
There is no outstanding debt for GNTX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 15.67 |
ROIC/WACC2.5
WACC8.81%
2.3 Liquidity
A Current Ratio of 3.69 indicates that GNTX has no problem at all paying its short term obligations.
GNTX has a Current ratio of 3.69. This is amongst the best in the industry. GNTX outperforms 91.46% of its industry peers.
GNTX has a Quick Ratio of 2.11. This indicates that GNTX is financially healthy and has no problem in meeting its short term obligations.
GNTX's Quick ratio of 2.11 is amongst the best of the industry. GNTX outperforms 89.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.69 | ||
| Quick Ratio | 2.11 |
3. Growth
3.1 Past
GNTX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.36%, which is quite good.
The Earnings Per Share has been growing slightly by 2.45% on average over the past years.
Looking at the last year, GNTX shows a very strong growth in Revenue. The Revenue has grown by 33.91%.
Measured over the past years, GNTX shows a small growth in Revenue. The Revenue has been growing by 4.62% on average per year.
EPS 1Y (TTM)9.36%
EPS 3Y8.51%
EPS 5Y2.45%
EPS Q2Q%17.78%
Revenue 1Y (TTM)33.91%
Revenue growth 3Y10.85%
Revenue growth 5Y4.62%
Sales Q2Q%5.67%
3.2 Future
The Earnings Per Share is expected to grow by 10.78% on average over the next years. This is quite good.
GNTX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.82% yearly.
EPS Next Y3.05%
EPS Next 2Y7.55%
EPS Next 3Y8.2%
EPS Next 5Y10.78%
Revenue Next Year4.27%
Revenue Next 2Y5.11%
Revenue Next 3Y5.28%
Revenue Next 5Y5.82%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
GNTX is valuated correctly with a Price/Earnings ratio of 15.91.
GNTX's Price/Earnings ratio is in line with the industry average.
GNTX is valuated rather cheaply when we compare the Price/Earnings ratio to 29.48, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.98, which indicates a correct valuation of GNTX.
GNTX's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.95. GNTX is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.91 | ||
| Fwd PE | 13.98 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GNTX indicates a slightly more expensive valuation: GNTX is more expensive than 62.20% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GNTX indicates a slightly more expensive valuation: GNTX is more expensive than 60.98% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.87 | ||
| EV/EBITDA | 9.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GNTX does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of GNTX may justify a higher PE ratio.
PEG (NY)5.22
PEG (5Y)6.49
EPS Next 2Y7.55%
EPS Next 3Y8.2%
5. Dividend
5.1 Amount
GNTX has a Yearly Dividend Yield of 1.57%. Purely for dividend investing, there may be better candidates out there.
GNTX's Dividend Yield is comparable with the industry average which is at 4.33.
GNTX's Dividend Yield is slightly below the S&P500 average, which is at 2.16.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
5.2 History
The dividend of GNTX has a limited annual growth rate of 2.19%.
GNTX has been paying a dividend for at least 10 years, so it has a reliable track record.
GNTX has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.19%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
GNTX pays out 20.79% of its income as dividend. This is a sustainable payout ratio.
GNTX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP20.79%
EPS Next 2Y7.55%
EPS Next 3Y8.2%
GENTEX CORP
NASDAQ:GNTX (12/6/2024, 8:00:01 PM)
After market: 29.76 0 (0%)29.76
+0.01 (+0.03%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap6.77B
Analysts
Price Target
Short Float %
Short Ratio
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.91 | ||
| Fwd PE | 13.98 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)5.22
PEG (5Y)6.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.53% | ||
| ROE | 22.1% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 21.42% | ||
| PM (TTM) | 18.1% | ||
| GM | 33.9% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.69 | ||
| Quick Ratio | 2.11 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)9.36%
EPS 3Y8.51%
EPS 5Y
EPS Q2Q%
EPS Next Y3.05%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)33.91%
Revenue growth 3Y10.85%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y