ITURAN LOCATION AND CONTROL (ITRN)
IL0010818685 - Common Stock
ITRN gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 54 industry peers in the Communications Equipment industry. ITRN has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ITRN is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make ITRN a good candidate for value and quality investing.
1. Profitability
1.1 Basic Checks
In the past year ITRN was profitable.
ITRN had a positive operating cash flow in the past year.
In the past 5 years ITRN has always been profitable.
Each year in the past 5 years ITRN had a positive operating cash flow.
1.2 Ratios
ITRN has a Return On Assets of 15.11%. This is amongst the best in the industry. ITRN outperforms 96.30% of its industry peers.
With an excellent Return On Equity value of 27.60%, ITRN belongs to the best of the industry, outperforming 94.44% of the companies in the same industry.
With an excellent Return On Invested Capital value of 22.61%, ITRN belongs to the best of the industry, outperforming 94.44% of the companies in the same industry.
ITRN had an Average Return On Invested Capital over the past 3 years of 22.68%. This is significantly above the industry average of 9.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.11% | ||
| ROE | 27.6% | ||
| ROIC | 22.61% |
ROA(3y)13.19%
ROA(5y)9.35%
ROE(3y)26.31%
ROE(5y)19.38%
ROIC(3y)22.68%
ROIC(5y)20.05%
1.3 Margins
ITRN has a better Profit Margin (15.05%) than 90.74% of its industry peers.
In the last couple of years the Profit Margin of ITRN has declined.
ITRN has a Operating Margin of 20.61%. This is amongst the best in the industry. ITRN outperforms 90.74% of its industry peers.
In the last couple of years the Operating Margin of ITRN has declined.
With a decent Gross Margin value of 47.87%, ITRN is doing good in the industry, outperforming 68.52% of the companies in the same industry.
ITRN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.61% | ||
| PM (TTM) | 15.05% | ||
| GM | 47.87% |
OM growth 3Y6.42%
OM growth 5Y-3.5%
PM growth 3Y31.9%
PM growth 5Y-8.89%
GM growth 3Y0.59%
GM growth 5Y-0.97%
2. Health
2.1 Basic Checks
ITRN has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
ITRN has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for ITRN has been increased compared to 5 years ago.
The debt/assets ratio for ITRN has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.05 indicates that ITRN is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 5.05, ITRN belongs to the top of the industry, outperforming 90.74% of the companies in the same industry.
ITRN has a debt to FCF ratio of 0.01. This is a very positive value and a sign of high solvency as it would only need 0.01 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.01, ITRN belongs to the best of the industry, outperforming 85.19% of the companies in the same industry.
A Debt/Equity ratio of 0.00 indicates that ITRN is not too dependend on debt financing.
ITRN's Debt to Equity ratio of 0.00 is fine compared to the rest of the industry. ITRN outperforms 74.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.01 | ||
| Altman-Z | 5.05 |
ROIC/WACC2.53
WACC8.95%
2.3 Liquidity
A Current Ratio of 1.93 indicates that ITRN should not have too much problems paying its short term obligations.
ITRN has a Current ratio (1.93) which is in line with its industry peers.
ITRN has a Quick Ratio of 1.64. This is a normal value and indicates that ITRN is financially healthy and should not expect problems in meeting its short term obligations.
ITRN's Quick ratio of 1.64 is fine compared to the rest of the industry. ITRN outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.87% over the past year.
ITRN shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.53% yearly.
The Revenue has grown by 9.18% in the past year. This is quite good.
The Revenue has been growing slightly by 4.78% on average over the past years.
EPS 1Y (TTM)31.87%
EPS 3Y18.84%
EPS 5Y-3.53%
EPS growth Q2Q27.66%
Revenue 1Y (TTM)9.18%
Revenue growth 3Y9.22%
Revenue growth 5Y4.78%
Revenue growth Q2Q3.81%
3.2 Future
Based on estimates for the next years, ITRN will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.15% on average per year.
Based on estimates for the next years, ITRN will show a quite strong growth in Revenue. The Revenue will grow by 8.54% on average per year.
EPS Next Y6.04%
EPS Next 2Y8.19%
EPS Next 3Y9.15%
EPS Next 5YN/A
Revenue Next Year5.51%
Revenue Next 2Y7.8%
Revenue Next 3Y8.54%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ITRN is valuated reasonably with a Price/Earnings ratio of 10.81.
Based on the Price/Earnings ratio, ITRN is valued cheaper than 88.89% of the companies in the same industry.
When comparing the Price/Earnings ratio of ITRN to the average of the S&P500 Index (27.73), we can say ITRN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.20, the valuation of ITRN can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ITRN indicates a somewhat cheap valuation: ITRN is cheaper than 77.78% of the companies listed in the same industry.
ITRN is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.41, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.81 | ||
| Fwd PE | 10.2 |
4.2 Price Multiples
92.59% of the companies in the same industry are more expensive than ITRN, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ITRN indicates a rather cheap valuation: ITRN is cheaper than 88.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.2 | ||
| EV/EBITDA | 5.32 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ITRN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.79
PEG (5Y)N/A
EPS Next 2Y8.19%
EPS Next 3Y9.15%
5. Dividend
5.1 Amount
ITRN has a Yearly Dividend Yield of 6.01%, which is a nice return.
ITRN's Dividend Yield is rather good when compared to the industry average which is at 15.50. ITRN pays more dividend than 96.30% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, ITRN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.01% |
5.2 History
The dividend of ITRN decreases each year by -12.43%.
ITRN has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of ITRN decreased recently.
Dividend Growth(5Y)-12.43%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
24.01% of the earnings are spent on dividend by ITRN. This is a low number and sustainable payout ratio.
DP24.01%
EPS Next 2Y8.19%
EPS Next 3Y9.15%
ITURAN LOCATION AND CONTROL
NASDAQ:ITRN (5/3/2024, 7:00:02 PM)
After market: 26.15 +0.2 (+0.77%)25.95
-0.01 (-0.04%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap516.15M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.01% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Min EPS beat(2)
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EPS beat(8)
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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 | 10.81 | ||
| Fwd PE | 10.2 | ||
| 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)1.79
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.11% | ||
| ROE | 27.6% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 20.61% | ||
| PM (TTM) | 15.05% | ||
| GM | 47.87% | ||
| 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
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.93 | ||
| Quick Ratio | 1.64 | ||
| 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)
Growth
EPS 1Y (TTM)31.87%
EPS 3Y18.84%
EPS 5Y
EPS growth Q2Q
EPS Next Y6.04%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.18%
Revenue growth 3Y9.22%
Revenue growth 5Y
Revenue growth 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