ENPRO INC (NPO) Stock Fundamental Analysis
NYSE:NPO - New York Stock Exchange, Inc. - US29355X1072 - Common Stock - Currency: USD
Taking everything into account, NPO scores 5 out of 10 in our fundamental rating. NPO was compared to 128 industry peers in the Machinery industry. NPO has an excellent profitability rating, but there are some minor concerns on its financial health. NPO is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NPO had positive earnings in the past year.
In the past year NPO had a positive cash flow from operations.
NPO had positive earnings in each of the past 5 years.
NPO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.39%, NPO is in line with its industry, outperforming 46.88% of the companies in the same industry.
NPO has a Return On Equity (5.81%) which is in line with its industry peers.
With a Return On Invested Capital value of 5.51%, NPO perfoms like the industry average, outperforming 42.19% of the companies in the same industry.
NPO had an Average Return On Invested Capital over the past 3 years of 4.85%. This is significantly below the industry average of 10.30%.
The 3 year average ROIC (4.85%) for NPO is below the current ROIC(5.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 5.81% | ||
| ROIC | 5.51% |
ROA(3y)3.85%
ROA(5y)5.21%
ROE(3y)7.13%
ROE(5y)10.37%
ROIC(3y)4.85%
ROIC(5y)3.67%
1.3 Margins
NPO has a Profit Margin of 7.98%. This is in the better half of the industry: NPO outperforms 62.50% of its industry peers.
In the last couple of years the Profit Margin of NPO has grown nicely.
With a decent Operating Margin value of 15.23%, NPO is doing good in the industry, outperforming 71.88% of the companies in the same industry.
In the last couple of years the Operating Margin of NPO has grown nicely.
NPO's Gross Margin of 42.92% is fine compared to the rest of the industry. NPO outperforms 79.69% of its industry peers.
In the last couple of years the Gross Margin of NPO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.23% | ||
| PM (TTM) | 7.98% | ||
| GM | 42.92% |
OM growth 3Y20.57%
OM growth 5Y22.1%
PM growth 3Y-31.01%
PM growth 5Y16.96%
GM growth 3Y2.8%
GM growth 5Y4.84%
2. Health
2.1 Basic Checks
NPO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for NPO has been increased compared to 1 year ago.
Compared to 5 years ago, NPO has more shares outstanding
Compared to 1 year ago, NPO has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.71 indicates that NPO is not in any danger for bankruptcy at the moment.
The Altman-Z score of NPO (3.71) is better than 63.28% of its industry peers.
The Debt to FCF ratio of NPO is 4.43, which is a neutral value as it means it would take NPO, 4.43 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 4.43, NPO perfoms like the industry average, outperforming 57.03% of the companies in the same industry.
NPO has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
NPO has a Debt to Equity ratio (0.42) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.43 | ||
| Altman-Z | 3.71 |
ROIC/WACC0.56
WACC9.81%
2.3 Liquidity
A Current Ratio of 2.95 indicates that NPO has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.95, NPO is doing good in the industry, outperforming 75.78% of the companies in the same industry.
A Quick Ratio of 2.21 indicates that NPO has no problem at all paying its short term obligations.
NPO's Quick ratio of 2.21 is fine compared to the rest of the industry. NPO outperforms 78.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.95 | ||
| Quick Ratio | 2.21 |
3. Growth
3.1 Past
NPO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.15%, which is quite good.
NPO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.23% yearly.
NPO shows a small growth in Revenue. In the last year, the Revenue has grown by 2.92%.
NPO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.75% yearly.
EPS 1Y (TTM)18.15%
EPS 3Y7.77%
EPS 5Y13.23%
EPS Q2Q%21.02%
Revenue 1Y (TTM)2.92%
Revenue growth 3Y7.66%
Revenue growth 5Y-2.75%
Sales Q2Q%6.1%
3.2 Future
Based on estimates for the next years, NPO will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.32% on average per year.
Based on estimates for the next years, NPO will show a small growth in Revenue. The Revenue will grow by 5.01% on average per year.
EPS Next Y7.48%
EPS Next 2Y10.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.76%
Revenue Next 2Y5.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
Based on the Price/Earnings ratio of 25.40, the valuation of NPO can be described as expensive.
NPO's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.25. NPO is around the same levels.
The Price/Forward Earnings ratio is 21.86, which indicates a rather expensive current valuation of NPO.
NPO's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of NPO to the average of the S&P500 Index (22.15), we can say NPO is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.4 | ||
| Fwd PE | 21.86 |
4.2 Price Multiples
NPO's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NPO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.15 | ||
| EV/EBITDA | 16.27 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
NPO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.39
PEG (5Y)1.92
EPS Next 2Y10.32%
EPS Next 3YN/A
5. Dividend
5.1 Amount
NPO has a yearly dividend return of 0.67%, which is pretty low.
Compared to an average industry Dividend Yield of 1.90, NPO has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, NPO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
5.2 History
The dividend of NPO has a limited annual growth rate of 3.59%.
NPO has been paying a dividend for at least 10 years, so it has a reliable track record.
As NPO did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)3.59%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
NPO pays out 30.04% of its income as dividend. This is a sustainable payout ratio.
NPO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP30.04%
EPS Next 2Y10.32%
EPS Next 3YN/A
185.14
+0.61 (+0.33%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners102.82%
Inst Owner Change1.27%
Ins Owners0.73%
Ins Owner Change2.27%
Market Cap3.90B
Analysts85.71
Price Target216.58 (16.98%)
Short Float %2.19%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
Yearly Dividend1.21
Dividend Growth(5Y)3.59%
DP30.04%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.19%
Min EPS beat(2)5.51%
Max EPS beat(2)12.87%
EPS beat(4)3
Avg EPS beat(4)5.47%
Min EPS beat(4)-8.04%
Max EPS beat(4)12.87%
EPS beat(8)5
Avg EPS beat(8)0.94%
EPS beat(12)9
Avg EPS beat(12)10.26%
EPS beat(16)13
Avg EPS beat(16)11.53%
Revenue beat(2)2
Avg Revenue beat(2)1.95%
Min Revenue beat(2)1.6%
Max Revenue beat(2)2.3%
Revenue beat(4)2
Avg Revenue beat(4)0.24%
Min Revenue beat(4)-2.32%
Max Revenue beat(4)2.3%
Revenue beat(8)2
Avg Revenue beat(8)-2.56%
Revenue beat(12)5
Avg Revenue beat(12)-2.04%
Revenue beat(16)5
Avg Revenue beat(16)-7.76%
PT rev (1m)-7.68%
PT rev (3m)-2%
EPS NQ rev (1m)-1.1%
EPS NQ rev (3m)-3.38%
EPS NY rev (1m)-0.36%
EPS NY rev (3m)-1.72%
Revenue NQ rev (1m)1.2%
Revenue NQ rev (3m)1.95%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.4 | ||
| Fwd PE | 21.86 | ||
| P/S | 3.66 | ||
| P/FCF | 27.15 | ||
| P/OCF | 21.93 | ||
| P/B | 2.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.27 |
EPS(TTM)7.29
EY3.94%
EPS(NY)8.47
Fwd EY4.58%
FCF(TTM)6.82
FCFY3.68%
OCF(TTM)8.44
OCFY4.56%
SpS50.59
BVpS69.48
TBVpS-9.95
PEG (NY)3.39
PEG (5Y)1.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.39% | ||
| ROE | 5.81% | ||
| ROCE | 6.98% | ||
| ROIC | 5.51% | ||
| ROICexc | 6.15% | ||
| ROICexgc | 31.17% | ||
| OM | 15.23% | ||
| PM (TTM) | 7.98% | ||
| GM | 42.92% | ||
| FCFM | 13.48% |
ROA(3y)3.85%
ROA(5y)5.21%
ROE(3y)7.13%
ROE(5y)10.37%
ROIC(3y)4.85%
ROIC(5y)3.67%
ROICexc(3y)5.6%
ROICexc(5y)4.22%
ROICexgc(3y)28.57%
ROICexgc(5y)20.51%
ROCE(3y)6.14%
ROCE(5y)4.67%
ROICexcg growth 3Y48.7%
ROICexcg growth 5Y32.78%
ROICexc growth 3Y36.64%
ROICexc growth 5Y12.93%
OM growth 3Y20.57%
OM growth 5Y22.1%
PM growth 3Y-31.01%
PM growth 5Y16.96%
GM growth 3Y2.8%
GM growth 5Y4.84%
F-Score8
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.43 | ||
| Debt/EBITDA | 2.36 | ||
| Cap/Depr | 33.8% | ||
| Cap/Sales | 3.2% | ||
| Interest Coverage | 4.28 | ||
| Cash Conversion | 67.53% | ||
| Profit Quality | 169.02% | ||
| Current Ratio | 2.95 | ||
| Quick Ratio | 2.21 | ||
| Altman-Z | 3.71 |
F-Score8
WACC9.81%
ROIC/WACC0.56
Cap/Depr(3y)32.4%
Cap/Depr(5y)29.28%
Cap/Sales(3y)3%
Cap/Sales(5y)2.61%
Profit Quality(3y)335.65%
Profit Quality(5y)218.98%
High Growth Momentum
Growth
EPS 1Y (TTM)18.15%
EPS 3Y7.77%
EPS 5Y13.23%
EPS Q2Q%21.02%
EPS Next Y7.48%
EPS Next 2Y10.32%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)2.92%
Revenue growth 3Y7.66%
Revenue growth 5Y-2.75%
Sales Q2Q%6.1%
Revenue Next Year4.76%
Revenue Next 2Y5.01%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y27.84%
EBIT growth 3Y29.8%
EBIT growth 5Y18.75%
EBIT Next Year17.51%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y65.32%
FCF growth 3Y1.78%
FCF growth 5Y-5.69%
OCF growth 1Y51.28%
OCF growth 3Y5.63%
OCF growth 5Y-3.61%