MODINE MANUFACTURING CO (MOD) Stock Fundamental Analysis
NYSE:MOD - US6078281002 - Common Stock
140.42 USD
-1.09 (-0.77%)
140.5 USD
+0.08 (+0.06%)
Overall MOD gets a fundamental rating of 6 out of 10. We evaluated MOD against 80 industry peers in the Automobile Components industry. MOD has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. MOD is quite expensive at the moment. It does show a decent growth rate. These ratings could make MOD a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year MOD was profitable.
MOD had a positive operating cash flow in the past year.
Of the past 5 years MOD 4 years were profitable.
Each year in the past 5 years MOD had a positive operating cash flow.
1.2 Ratios
MOD has a better Return On Assets (8.43%) than 92.50% of its industry peers.
MOD has a better Return On Equity (18.58%) than 96.25% of its industry peers.
MOD's Return On Invested Capital of 13.98% is amongst the best of the industry. MOD outperforms 95.00% of its industry peers.
MOD had an Average Return On Invested Capital over the past 3 years of 13.99%. This is significantly above the industry average of 8.49%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.43% | ||
| ROE | 18.58% | ||
| ROIC | 13.98% |
ROA(3y)9.37%
ROA(5y)3.51%
ROE(3y)22.55%
ROE(5y)5.22%
ROIC(3y)13.99%
ROIC(5y)11.42%
1.3 Margins
The Profit Margin of MOD (7.21%) is better than 93.75% of its industry peers.
MOD's Profit Margin has improved in the last couple of years.
MOD has a Operating Margin of 11.99%. This is amongst the best in the industry. MOD outperforms 93.75% of its industry peers.
In the last couple of years the Operating Margin of MOD has grown nicely.
MOD has a Gross Margin of 24.82%. This is in the lower half of the industry: MOD underperforms 62.50% of its industry peers.
MOD's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.99% | ||
| PM (TTM) | 7.21% | ||
| GM | 24.82% |
OM growth 3Y37.91%
OM growth 5Y32.44%
PM growth 3Y19.67%
PM growth 5YN/A
GM growth 3Y18.21%
GM growth 5Y9.87%
2. Health
2.1 Basic Checks
MOD 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 MOD remains at a similar level compared to 1 year ago.
Compared to 5 years ago, MOD has more shares outstanding
MOD has a better debt/assets ratio than last year.
2.2 Solvency
MOD has an Altman-Z score of 6.17. This indicates that MOD is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 6.17, MOD belongs to the best of the industry, outperforming 88.75% of the companies in the same industry.
MOD has a debt to FCF ratio of 4.55. This is a neutral value as MOD would need 4.55 years to pay back of all of its debts.
MOD has a better Debt to FCF ratio (4.55) than 85.00% of its industry peers.
MOD has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of MOD (0.48) is worse than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.55 | ||
| Altman-Z | 6.17 |
ROIC/WACC1.43
WACC9.77%
2.3 Liquidity
A Current Ratio of 2.06 indicates that MOD has no problem at all paying its short term obligations.
MOD has a better Current ratio (2.06) than 76.25% of its industry peers.
A Quick Ratio of 1.28 indicates that MOD should not have too much problems paying its short term obligations.
MOD's Quick ratio of 1.28 is fine compared to the rest of the industry. MOD outperforms 73.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.28 |
3. Growth
3.1 Past
MOD shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.31%, which is quite good.
The Earnings Per Share has been growing by 30.99% on average over the past years. This is a very strong growth
Looking at the last year, MOD shows a small growth in Revenue. The Revenue has grown by 6.45% in the last year.
The Revenue has been growing slightly by 5.51% on average over the past years.
EPS 1Y (TTM)18.31%
EPS 3Y50%
EPS 5Y30.99%
EPS Q2Q%1.92%
Revenue 1Y (TTM)6.45%
Revenue growth 3Y8.01%
Revenue growth 5Y5.51%
Sales Q2Q%3.22%
3.2 Future
MOD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.56% yearly.
MOD is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.93% yearly.
EPS Next Y15.59%
EPS Next 2Y23.47%
EPS Next 3Y24.56%
EPS Next 5YN/A
Revenue Next Year12.71%
Revenue Next 2Y14.34%
Revenue Next 3Y14.93%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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
Based on the Price/Earnings ratio of 34.50, the valuation of MOD can be described as expensive.
MOD's Price/Earnings ratio is a bit more expensive when compared to the industry. MOD is more expensive than 68.75% of the companies in the same industry.
MOD is valuated rather expensively when we compare the Price/Earnings ratio to 27.14, which is the current average of the S&P500 Index.
MOD is valuated rather expensively with a Price/Forward Earnings ratio of 22.74.
70.00% of the companies in the same industry are cheaper than MOD, based on the Price/Forward Earnings ratio.
MOD's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.5 | ||
| Fwd PE | 22.74 |
4.2 Price Multiples
MOD's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. MOD is more expensive than 77.50% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, MOD is valued a bit more expensive than the industry average as 73.75% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 63.65 | ||
| EV/EBITDA | 20.08 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MOD does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of MOD may justify a higher PE ratio.
MOD's earnings are expected to grow with 24.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.21
PEG (5Y)1.11
EPS Next 2Y23.47%
EPS Next 3Y24.56%
5. Dividend
5.1 Amount
MOD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
140.42
-1.09 (-0.77%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners110.8%
Inst Owner Change-4.96%
Ins Owners1.76%
Ins Owner Change-3%
Market Cap7.37B
Analysts85.45
Price Target156.99 (11.8%)
Short Float %8.72%
Short Ratio3.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.92%
Min EPS beat(2)13.73%
Max EPS beat(2)16.12%
EPS beat(4)4
Avg EPS beat(4)12.28%
Min EPS beat(4)4.2%
Max EPS beat(4)16.12%
EPS beat(8)7
Avg EPS beat(8)16.34%
EPS beat(12)11
Avg EPS beat(12)25.8%
EPS beat(16)14
Avg EPS beat(16)29.43%
Revenue beat(2)2
Avg Revenue beat(2)2.68%
Min Revenue beat(2)1.52%
Max Revenue beat(2)3.84%
Revenue beat(4)3
Avg Revenue beat(4)1.34%
Min Revenue beat(4)-0.7%
Max Revenue beat(4)3.84%
Revenue beat(8)4
Avg Revenue beat(8)0.07%
Revenue beat(12)7
Avg Revenue beat(12)1.29%
Revenue beat(16)10
Avg Revenue beat(16)1.57%
PT rev (1m)16.83%
PT rev (3m)16.87%
EPS NQ rev (1m)-6.67%
EPS NQ rev (3m)-18.61%
EPS NY rev (1m)2.84%
EPS NY rev (3m)1.2%
Revenue NQ rev (1m)2.56%
Revenue NQ rev (3m)-1.55%
Revenue NY rev (1m)5.97%
Revenue NY rev (3m)6.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.5 | ||
| Fwd PE | 22.74 | ||
| P/S | 2.83 | ||
| P/FCF | 63.65 | ||
| P/OCF | 36.76 | ||
| P/B | 7.29 | ||
| P/tB | 13.54 | ||
| EV/EBITDA | 20.08 |
EPS(TTM)4.07
EY2.9%
EPS(NY)6.17
Fwd EY4.4%
FCF(TTM)2.21
FCFY1.57%
OCF(TTM)3.82
OCFY2.72%
SpS49.62
BVpS19.27
TBVpS10.37
PEG (NY)2.21
PEG (5Y)1.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.43% | ||
| ROE | 18.58% | ||
| ROCE | 18.74% | ||
| ROIC | 13.98% | ||
| ROICexc | 15.11% | ||
| ROICexgc | 21.67% | ||
| OM | 11.99% | ||
| PM (TTM) | 7.21% | ||
| GM | 24.82% | ||
| FCFM | 4.45% |
ROA(3y)9.37%
ROA(5y)3.51%
ROE(3y)22.55%
ROE(5y)5.22%
ROIC(3y)13.99%
ROIC(5y)11.42%
ROICexc(3y)14.76%
ROICexc(5y)12.04%
ROICexgc(3y)20.94%
ROICexgc(5y)17.25%
ROCE(3y)18.88%
ROCE(5y)15.41%
ROICexcg growth 3Y31.11%
ROICexcg growth 5Y36.67%
ROICexc growth 3Y31.05%
ROICexc growth 5Y35.05%
OM growth 3Y37.91%
OM growth 5Y32.44%
PM growth 3Y19.67%
PM growth 5YN/A
GM growth 3Y18.21%
GM growth 5Y9.87%
F-Score7
Asset Turnover1.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 4.55 | ||
| Debt/EBITDA | 1.24 | ||
| Cap/Depr | 109.15% | ||
| Cap/Sales | 3.25% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 51.41% | ||
| Profit Quality | 61.63% | ||
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.28 | ||
| Altman-Z | 6.17 |
F-Score7
WACC9.77%
ROIC/WACC1.43
Cap/Depr(3y)119.63%
Cap/Depr(5y)98.79%
Cap/Sales(3y)3.04%
Cap/Sales(5y)2.66%
Profit Quality(3y)61.82%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18.31%
EPS 3Y50%
EPS 5Y30.99%
EPS Q2Q%1.92%
EPS Next Y15.59%
EPS Next 2Y23.47%
EPS Next 3Y24.56%
EPS Next 5YN/A
Revenue 1Y (TTM)6.45%
Revenue growth 3Y8.01%
Revenue growth 5Y5.51%
Sales Q2Q%3.22%
Revenue Next Year12.71%
Revenue Next 2Y14.34%
Revenue Next 3Y14.93%
Revenue Next 5YN/A
EBIT growth 1Y17.75%
EBIT growth 3Y48.96%
EBIT growth 5Y39.74%
EBIT Next Year50.63%
EBIT Next 3Y32.79%
EBIT Next 5YN/A
FCF growth 1Y46.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y48.85%
OCF growth 3Y164.71%
OCF growth 5Y29.8%