MODINE MANUFACTURING CO (MOD)

US6078281002 - Common Stock

95.19  -0.06 (-0.06%)

After market: 95.19 0 (0%)

Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to MOD. MOD was compared to 42 industry peers in the Automobile Components industry. Both the health and profitability get an excellent rating, making MOD a very profitable company, without any liquidiy or solvency issues. MOD has a decent growth rate and is not valued too expensively. With these ratings, MOD could be worth investigating further for quality investing!.



8

1. Profitability

1.1 Basic Checks

MOD had positive earnings in the past year.
MOD had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MOD reported negative net income in multiple years.
MOD had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

With an excellent Return On Assets value of 13.66%, MOD belongs to the best of the industry, outperforming 90.48% of the companies in the same industry.
MOD's Return On Equity of 31.01% is amongst the best of the industry. MOD outperforms 95.24% of its industry peers.
MOD has a better Return On Invested Capital (17.59%) than 90.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MOD is in line with the industry average of 9.25%.
The 3 year average ROIC (9.91%) for MOD is below the current ROIC(17.59%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 13.66%
ROE 31.01%
ROIC 17.59%
ROA(3y)-0.25%
ROA(5y)0.92%
ROE(3y)-5.23%
ROE(5y)-0.07%
ROIC(3y)9.91%
ROIC(5y)8.7%

1.3 Margins

MOD has a better Profit Margin (9.31%) than 88.10% of its industry peers.
In the last couple of years the Profit Margin of MOD has grown nicely.
With an excellent Operating Margin value of 10.04%, MOD belongs to the best of the industry, outperforming 80.95% of the companies in the same industry.
MOD's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 20.74%, MOD is doing good in the industry, outperforming 61.90% of the companies in the same industry.
In the last couple of years the Gross Margin of MOD has remained more or less at the same level.
Industry RankSector Rank
OM 10.04%
PM (TTM) 9.31%
GM 20.74%
OM growth 3Y31.72%
OM growth 5Y4.23%
PM growth 3YN/A
PM growth 5Y44.82%
GM growth 3Y2.87%
GM growth 5Y-0.01%

7

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so MOD is still creating some value.
MOD has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for MOD has been increased compared to 5 years ago.
Compared to 1 year ago, MOD has an improved debt to assets ratio.

2.2 Solvency

An Altman-Z score of 6.04 indicates that MOD is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.04, MOD belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
The Debt to FCF ratio of MOD is 2.15, which is a good value as it means it would take MOD, 2.15 years of fcf income to pay off all of its debts.
MOD has a better Debt to FCF ratio (2.15) than 85.71% of its industry peers.
MOD has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
MOD's Debt to Equity ratio of 0.43 is in line compared to the rest of the industry. MOD outperforms 52.38% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 2.15
Altman-Z 6.04
ROIC/WACC1.63
WACC10.76%

2.3 Liquidity

MOD has a Current Ratio of 1.93. This is a normal value and indicates that MOD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.93, MOD is in line with its industry, outperforming 52.38% of the companies in the same industry.
A Quick Ratio of 1.21 indicates that MOD should not have too much problems paying its short term obligations.
The Quick ratio of MOD (1.21) is comparable to the rest of the industry.
MOD does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.93
Quick Ratio 1.21

6

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 70.27% over the past year.
MOD shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.83% yearly.
MOD shows a small growth in Revenue. In the last year, the Revenue has grown by 7.46%.
Measured over the past years, MOD shows a small growth in Revenue. The Revenue has been growing by 1.79% on average per year.
EPS 1Y (TTM)70.27%
EPS 3Y22.92%
EPS 5Y4.83%
EPS growth Q2Q54.17%
Revenue 1Y (TTM)7.46%
Revenue growth 3Y5.17%
Revenue growth 5Y1.79%
Revenue growth Q2Q0.25%

3.2 Future

Based on estimates for the next years, MOD will show a very strong growth in Earnings Per Share. The EPS will grow by 33.06% on average per year.
MOD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.00% yearly.
EPS Next Y67.13%
EPS Next 2Y39.62%
EPS Next 3Y33.06%
EPS Next 5YN/A
Revenue Next Year7.3%
Revenue Next 2Y7.33%
Revenue Next 3Y7%
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

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 30.22 indicates a quite expensive valuation of MOD.
The rest of the industry has a similar Price/Earnings ratio as MOD.
Compared to an average S&P500 Price/Earnings ratio of 26.42, MOD is valued at the same level.
A Price/Forward Earnings ratio of 25.04 indicates a quite expensive valuation of MOD.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MOD indicates a slightly more expensive valuation: MOD is more expensive than 61.90% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.74, MOD is valued at the same level.
Industry RankSector Rank
PE 30.22
Fwd PE 25.04

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, MOD is valued a bit more expensive than 66.67% of the companies in the same industry.
MOD's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 32.13
EV/EBITDA 17.29

4.3 Compensation for Growth

MOD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
MOD has an outstanding profitability rating, which may justify a higher PE ratio.
MOD's earnings are expected to grow with 33.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.45
PEG (5Y)6.25
EPS Next 2Y39.62%
EPS Next 3Y33.06%

0

5. Dividend

5.1 Amount

No dividends for MOD!.
Industry RankSector Rank
Dividend Yield N/A

MODINE MANUFACTURING CO

NYSE:MOD (3/28/2024, 5:05:00 PM)

After market: 95.19 0 (0%)

95.19

-0.06 (-0.06%)

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 Cap4.97B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield N/A
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)
Max EPS beat(2)
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Revenue beat(8)
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Revenue beat(16)
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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 RankSector Rank
PE 30.22
Fwd PE 25.04
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)0.45
PEG (5Y)6.25
Profitability
Industry RankSector Rank
ROA 13.66%
ROE 31.01%
ROCE
ROIC
ROICexc
ROICexgc
OM 10.04%
PM (TTM) 9.31%
GM 20.74%
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 Turnover1.47
Health
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.93
Quick Ratio 1.21
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)70.27%
EPS 3Y22.92%
EPS 5Y
EPS growth Q2Q
EPS Next Y67.13%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.46%
Revenue growth 3Y5.17%
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