IDEX CORP (IEX) Stock Fundamental Analysis
NYSE:IEX - New York Stock Exchange, Inc. - US45167R1041 - Common Stock - Currency: USD
Taking everything into account, IEX scores 6 out of 10 in our fundamental rating. IEX was compared to 129 industry peers in the Machinery industry. IEX has an excellent profitability rating, but there are some minor concerns on its financial health. IEX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year IEX was profitable.
In the past year IEX had a positive cash flow from operations.
Each year in the past 5 years IEX has been profitable.
Each year in the past 5 years IEX had a positive operating cash flow.
1.2 Ratios
IEX's Return On Assets of 7.49% is fine compared to the rest of the industry. IEX outperforms 68.22% of its industry peers.
IEX has a better Return On Equity (13.31%) than 64.34% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.96%, IEX is in the better half of the industry, outperforming 62.02% of the companies in the same industry.
IEX had an Average Return On Invested Capital over the past 3 years of 10.77%. This is in line with the industry average of 10.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 13.31% | ||
| ROIC | 8.96% |
ROA(3y)9.43%
ROA(5y)9.2%
ROE(3y)16.48%
ROE(5y)16.07%
ROIC(3y)10.77%
ROIC(5y)10.86%
1.3 Margins
IEX's Profit Margin of 15.45% is amongst the best of the industry. IEX outperforms 88.37% of its industry peers.
IEX's Profit Margin has declined in the last couple of years.
IEX has a better Operating Margin (21.32%) than 91.47% of its industry peers.
In the last couple of years the Operating Margin of IEX has declined.
IEX's Gross Margin of 44.21% is amongst the best of the industry. IEX outperforms 81.40% of its industry peers.
IEX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.32% | ||
| PM (TTM) | 15.45% | ||
| GM | 44.21% |
OM growth 3Y-3.35%
OM growth 5Y-2.38%
PM growth 3Y-1.68%
PM growth 5Y-1.96%
GM growth 3Y-0.06%
GM growth 5Y-0.4%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), IEX is creating some value.
The number of shares outstanding for IEX has been increased compared to 1 year ago.
Compared to 5 years ago, IEX has less shares outstanding
IEX has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.66 indicates that IEX is not in any danger for bankruptcy at the moment.
IEX's Altman-Z score of 4.66 is fine compared to the rest of the industry. IEX outperforms 74.42% of its industry peers.
IEX has a debt to FCF ratio of 3.25. This is a good value and a sign of high solvency as IEX would need 3.25 years to pay back of all of its debts.
The Debt to FCF ratio of IEX (3.25) is better than 63.57% of its industry peers.
IEX has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.49, IEX is in line with its industry, outperforming 47.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.25 | ||
| Altman-Z | 4.66 |
ROIC/WACC0.92
WACC9.71%
2.3 Liquidity
A Current Ratio of 2.53 indicates that IEX has no problem at all paying its short term obligations.
IEX's Current ratio of 2.53 is fine compared to the rest of the industry. IEX outperforms 64.34% of its industry peers.
A Quick Ratio of 1.85 indicates that IEX should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.85, IEX is in the better half of the industry, outperforming 73.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
IEX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.25%.
IEX shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.36% yearly.
IEX shows a decrease in Revenue. In the last year, the revenue decreased by -0.16%.
IEX shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.55% yearly.
EPS 1Y (TTM)-3.25%
EPS 3Y7.74%
EPS 5Y6.36%
EPS Q2Q%-6.91%
Revenue 1Y (TTM)-0.16%
Revenue growth 3Y5.74%
Revenue growth 5Y5.55%
Sales Q2Q%1.72%
3.2 Future
IEX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.24% yearly.
Based on estimates for the next years, IEX will show a quite strong growth in Revenue. The Revenue will grow by 9.12% on average per year.
EPS Next Y4.23%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
EPS Next 5Y10.24%
Revenue Next Year4.27%
Revenue Next 2Y4.43%
Revenue Next 3Y5.43%
Revenue Next 5Y9.12%
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
IEX is valuated rather expensively with a Price/Earnings ratio of 23.41.
Compared to the rest of the industry, the Price/Earnings ratio of IEX is on the same level as its industry peers.
IEX's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.22.
The Price/Forward Earnings ratio is 20.56, which indicates a rather expensive current valuation of IEX.
The rest of the industry has a similar Price/Forward Earnings ratio as IEX.
IEX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 20.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.41 | ||
| Fwd PE | 20.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of IEX is on the same level as its industry peers.
IEX's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.73 | ||
| EV/EBITDA | 17.24 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of IEX may justify a higher PE ratio.
PEG (NY)5.53
PEG (5Y)3.68
EPS Next 2Y5.83%
EPS Next 3Y6.65%
5. Dividend
5.1 Amount
IEX has a Yearly Dividend Yield of 1.57%.
IEX's Dividend Yield is a higher than the industry average which is at 2.05.
Compared to the average S&P500 Dividend Yield of 2.44, IEX is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
5.2 History
The dividend of IEX is nicely growing with an annual growth rate of 6.95%!
IEX has been paying a dividend for at least 10 years, so it has a reliable track record.
IEX has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.95%
Div Incr Years15
Div Non Decr Years29
5.3 Sustainability
40.65% of the earnings are spent on dividend by IEX. This is a bit on the high side, but may be sustainable.
The dividend of IEX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP40.65%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
181.45
+6.2 (+3.54%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners103.14%
Inst Owner Change0.39%
Ins Owners0.18%
Ins Owner Change2.52%
Market Cap13.71B
Analysts76.84
Price Target216.16 (19.13%)
Short Float %1.59%
Short Ratio1.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.57% |
Yearly Dividend2.71
Dividend Growth(5Y)6.95%
DP40.65%
Div Incr Years15
Div Non Decr Years29
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.14%
Min EPS beat(2)-0.18%
Max EPS beat(2)-0.11%
EPS beat(4)1
Avg EPS beat(4)1.37%
Min EPS beat(4)-0.18%
Max EPS beat(4)5.89%
EPS beat(8)5
Avg EPS beat(8)2.92%
EPS beat(12)9
Avg EPS beat(12)3.92%
EPS beat(16)11
Avg EPS beat(16)3.12%
Revenue beat(2)0
Avg Revenue beat(2)-0.61%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)-0.12%
Revenue beat(4)0
Avg Revenue beat(4)-1.61%
Min Revenue beat(4)-3.45%
Max Revenue beat(4)-0.12%
Revenue beat(8)2
Avg Revenue beat(8)-0.67%
Revenue beat(12)6
Avg Revenue beat(12)0.8%
Revenue beat(16)8
Avg Revenue beat(16)0.67%
PT rev (1m)-8.4%
PT rev (3m)-10.46%
EPS NQ rev (1m)-0.23%
EPS NQ rev (3m)-19.56%
EPS NY rev (1m)-1.46%
EPS NY rev (3m)-4.12%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)-6.98%
Revenue NY rev (1m)-0.63%
Revenue NY rev (3m)-2.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.41 | ||
| Fwd PE | 20.56 | ||
| P/S | 4.19 | ||
| P/FCF | 22.73 | ||
| P/OCF | 20.52 | ||
| P/B | 3.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.24 |
EPS(TTM)7.75
EY4.27%
EPS(NY)8.83
Fwd EY4.86%
FCF(TTM)7.98
FCFY4.4%
OCF(TTM)8.84
OCFY4.87%
SpS43.27
BVpS50.23
TBVpS-9.82
PEG (NY)5.53
PEG (5Y)3.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.49% | ||
| ROE | 13.31% | ||
| ROCE | 11.4% | ||
| ROIC | 8.96% | ||
| ROICexc | 9.97% | ||
| ROICexgc | 57.18% | ||
| OM | 21.32% | ||
| PM (TTM) | 15.45% | ||
| GM | 44.21% | ||
| FCFM | 18.45% |
ROA(3y)9.43%
ROA(5y)9.2%
ROE(3y)16.48%
ROE(5y)16.07%
ROIC(3y)10.77%
ROIC(5y)10.86%
ROICexc(3y)11.91%
ROICexc(5y)12.81%
ROICexgc(3y)60.63%
ROICexgc(5y)61.29%
ROCE(3y)13.7%
ROCE(5y)13.82%
ROICexcg growth 3Y-3.1%
ROICexcg growth 5Y-4.49%
ROICexc growth 3Y-11.38%
ROICexc growth 5Y-9.81%
OM growth 3Y-3.35%
OM growth 5Y-2.38%
PM growth 3Y-1.68%
PM growth 5Y-1.96%
GM growth 3Y-0.06%
GM growth 5Y-0.4%
F-Score4
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.25 | ||
| Debt/EBITDA | 2.13 | ||
| Cap/Depr | 37.07% | ||
| Cap/Sales | 1.99% | ||
| Interest Coverage | 14.7 | ||
| Cash Conversion | 76.57% | ||
| Profit Quality | 119.41% | ||
| Current Ratio | 2.53 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z | 4.66 |
F-Score4
WACC9.71%
ROIC/WACC0.92
Cap/Depr(3y)51%
Cap/Depr(5y)57.05%
Cap/Sales(3y)2.29%
Cap/Sales(5y)2.34%
Profit Quality(3y)102.65%
Profit Quality(5y)110.92%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.25%
EPS 3Y7.74%
EPS 5Y6.36%
EPS Q2Q%-6.91%
EPS Next Y4.23%
EPS Next 2Y5.83%
EPS Next 3Y6.65%
EPS Next 5Y10.24%
Revenue 1Y (TTM)-0.16%
Revenue growth 3Y5.74%
Revenue growth 5Y5.55%
Sales Q2Q%1.72%
Revenue Next Year4.27%
Revenue Next 2Y4.43%
Revenue Next 3Y5.43%
Revenue Next 5Y9.12%
EBIT growth 1Y-7.17%
EBIT growth 3Y2.2%
EBIT growth 5Y3.04%
EBIT Next Year31.29%
EBIT Next 3Y16.44%
EBIT Next 5Y15.58%
FCF growth 1Y-3.8%
FCF growth 3Y6.97%
FCF growth 5Y4.79%
OCF growth 1Y-6.78%
OCF growth 3Y5.73%
OCF growth 5Y4.82%