OTTER TAIL CORP (OTTR) Stock Fundamental Analysis
USA - NASDAQ:OTTR - US6896481032 - Common Stock
77.22 USD
-0.36 (-0.46%)
77.22 USD
0 (0%)
Overall OTTR gets a fundamental rating of 6 out of 10. We evaluated OTTR against 47 industry peers in the Electric Utilities industry. Both the health and profitability get an excellent rating, making OTTR a very profitable company, without any liquidiy or solvency issues. OTTR has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year OTTR was profitable.
In the past year OTTR had a positive cash flow from operations.
OTTR had positive earnings in each of the past 5 years.
In the past 5 years OTTR always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 7.60%, OTTR belongs to the best of the industry, outperforming 93.62% of the companies in the same industry.
The Return On Equity of OTTR (16.13%) is better than 87.23% of its industry peers.
With an excellent Return On Invested Capital value of 8.15%, OTTR belongs to the best of the industry, outperforming 93.62% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for OTTR is significantly above the industry average of 4.91%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.6% | ||
| ROE | 16.13% | ||
| ROIC | 8.15% |
ROA(3y)9.04%
ROA(5y)7.45%
ROE(3y)20.6%
ROE(5y)18.13%
ROIC(3y)10.41%
ROIC(5y)8.99%
1.3 Margins
Looking at the Profit Margin, with a value of 21.82%, OTTR belongs to the top of the industry, outperforming 95.74% of the companies in the same industry.
In the last couple of years the Profit Margin of OTTR has grown nicely.
OTTR has a Operating Margin of 27.13%. This is amongst the best in the industry. OTTR outperforms 91.49% of its industry peers.
OTTR's Operating Margin has improved in the last couple of years.
OTTR's Gross Margin of 62.68% is in line compared to the rest of the industry. OTTR outperforms 55.32% of its industry peers.
In the last couple of years the Gross Margin of OTTR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.13% | ||
| PM (TTM) | 21.82% | ||
| GM | 62.68% |
OM growth 3Y11.06%
OM growth 5Y14.27%
PM growth 3Y15.35%
PM growth 5Y19.15%
GM growth 3Y5.29%
GM growth 5Y3.21%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), OTTR is creating some value.
Compared to 1 year ago, OTTR has more shares outstanding
Compared to 5 years ago, OTTR has more shares outstanding
OTTR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.21 indicates that OTTR is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of OTTR (2.21) is better than 89.36% of its industry peers.
The Debt to FCF ratio of OTTR is 12.84, which is on the high side as it means it would take OTTR, 12.84 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 12.84, OTTR belongs to the top of the industry, outperforming 80.85% of the companies in the same industry.
OTTR has a Debt/Equity ratio of 0.59. This is a neutral value indicating OTTR is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.59, OTTR belongs to the top of the industry, outperforming 80.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 12.84 | ||
| Altman-Z | 2.21 |
ROIC/WACC1.08
WACC7.52%
2.3 Liquidity
OTTR has a Current Ratio of 3.31. This indicates that OTTR is financially healthy and has no problem in meeting its short term obligations.
OTTR has a better Current ratio (3.31) than 97.87% of its industry peers.
A Quick Ratio of 2.57 indicates that OTTR has no problem at all paying its short term obligations.
OTTR's Quick ratio of 2.57 is amongst the best of the industry. OTTR outperforms 97.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.31 | ||
| Quick Ratio | 2.57 |
3. Growth
3.1 Past
The earnings per share for OTTR have decreased by -8.11% in the last year.
The Earnings Per Share has been growing by 26.89% on average over the past years. This is a very strong growth
Looking at the last year, OTTR shows a decrease in Revenue. The Revenue has decreased by -3.69% in the last year.
Measured over the past years, OTTR shows a small growth in Revenue. The Revenue has been growing by 7.67% on average per year.
EPS 1Y (TTM)-8.11%
EPS 3Y19.23%
EPS 5Y26.89%
EPS Q2Q%-10.63%
Revenue 1Y (TTM)-3.69%
Revenue growth 3Y3.59%
Revenue growth 5Y7.67%
Sales Q2Q%-2.71%
3.2 Future
OTTR is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -7.85% yearly.
The Revenue is expected to grow by 2.37% on average over the next years.
EPS Next Y-6.66%
EPS Next 2Y-7.48%
EPS Next 3Y-9.02%
EPS Next 5Y-7.85%
Revenue Next Year-2.41%
Revenue Next 2Y1.09%
Revenue Next 3Y0.53%
Revenue Next 5Y2.37%
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 decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.36, which indicates a very decent valuation of OTTR.
Compared to the rest of the industry, the Price/Earnings ratio of OTTR indicates a somewhat cheap valuation: OTTR is cheaper than 70.21% of the companies listed in the same industry.
OTTR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.11.
OTTR is valuated correctly with a Price/Forward Earnings ratio of 12.58.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OTTR indicates a somewhat cheap valuation: OTTR is cheaper than 70.21% of the companies listed in the same industry.
OTTR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.55.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.36 | ||
| Fwd PE | 12.58 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OTTR indicates a somewhat cheap valuation: OTTR is cheaper than 74.47% of the companies listed in the same industry.
76.60% of the companies in the same industry are more expensive than OTTR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.81 | ||
| EV/EBITDA | 8.47 |
4.3 Compensation for Growth
The excellent profitability rating of OTTR may justify a higher PE ratio.
A cheap valuation may be justified as OTTR's earnings are expected to decrease with -9.02% in the coming years.
PEG (NY)N/A
PEG (5Y)0.42
EPS Next 2Y-7.48%
EPS Next 3Y-9.02%
5. Dividend
5.1 Amount
OTTR has a Yearly Dividend Yield of 2.71%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.21, OTTR is paying slightly less dividend.
OTTR's Dividend Yield is comparable with the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
5.2 History
The dividend of OTTR is nicely growing with an annual growth rate of 6.09%!
OTTR has paid a dividend for at least 10 years, which is a reliable track record.
OTTR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.09%
Div Incr Years11
Div Non Decr Years34
5.3 Sustainability
OTTR pays out 29.06% of its income as dividend. This is a sustainable payout ratio.
DP29.06%
EPS Next 2Y-7.48%
EPS Next 3Y-9.02%
77.22
-0.36 (-0.46%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners67.11%
Inst Owner Change0.14%
Ins Owners1.03%
Ins Owner Change0%
Market Cap3.24B
Revenue(TTM)1.31B
Net Income(TTM)286.16M
Analysts80
Price Target84.66 (9.63%)
Short Float %12.86%
Short Ratio28.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
Yearly Dividend1.87
Dividend Growth(5Y)6.09%
DP29.06%
Div Incr Years11
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.53%
Min EPS beat(2)3.83%
Max EPS beat(2)5.22%
EPS beat(4)4
Avg EPS beat(4)2.47%
Min EPS beat(4)0.25%
Max EPS beat(4)5.22%
EPS beat(8)8
Avg EPS beat(8)11.13%
EPS beat(12)12
Avg EPS beat(12)15.8%
EPS beat(16)16
Avg EPS beat(16)17.11%
Revenue beat(2)1
Avg Revenue beat(2)-2.61%
Min Revenue beat(2)-5.43%
Max Revenue beat(2)0.21%
Revenue beat(4)1
Avg Revenue beat(4)-5.73%
Min Revenue beat(4)-12.13%
Max Revenue beat(4)0.21%
Revenue beat(8)2
Avg Revenue beat(8)-4.3%
Revenue beat(12)5
Avg Revenue beat(12)-2.3%
Revenue beat(16)8
Avg Revenue beat(16)0.06%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-0.97%
EPS NQ rev (3m)9.31%
EPS NY rev (1m)0.23%
EPS NY rev (3m)6.8%
Revenue NQ rev (1m)-1.81%
Revenue NQ rev (3m)-1.66%
Revenue NY rev (1m)-0.52%
Revenue NY rev (3m)0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.36 | ||
| Fwd PE | 12.58 | ||
| P/S | 2.47 | ||
| P/FCF | 39.81 | ||
| P/OCF | 8.33 | ||
| P/B | 1.82 | ||
| P/tB | 1.87 | ||
| EV/EBITDA | 8.47 |
EPS(TTM)6.8
EY8.81%
EPS(NY)6.14
Fwd EY7.95%
FCF(TTM)1.94
FCFY2.51%
OCF(TTM)9.27
OCFY12.01%
SpS31.29
BVpS42.34
TBVpS41.32
PEG (NY)N/A
PEG (5Y)0.42
Graham Number80.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.6% | ||
| ROE | 16.13% | ||
| ROCE | 9.99% | ||
| ROIC | 8.15% | ||
| ROICexc | 8.92% | ||
| ROICexgc | 9.04% | ||
| OM | 27.13% | ||
| PM (TTM) | 21.82% | ||
| GM | 62.68% | ||
| FCFM | 6.2% |
ROA(3y)9.04%
ROA(5y)7.45%
ROE(3y)20.6%
ROE(5y)18.13%
ROIC(3y)10.41%
ROIC(5y)8.99%
ROICexc(3y)11.17%
ROICexc(5y)9.44%
ROICexgc(3y)11.35%
ROICexgc(5y)9.61%
ROCE(3y)12.97%
ROCE(5y)11.27%
ROICexgc growth 3Y6.09%
ROICexgc growth 5Y13.12%
ROICexc growth 3Y6.27%
ROICexc growth 5Y13.34%
OM growth 3Y11.06%
OM growth 5Y14.27%
PM growth 3Y15.35%
PM growth 5Y19.15%
GM growth 3Y5.29%
GM growth 5Y3.21%
F-Score5
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.59 | ||
| Debt/FCF | 12.84 | ||
| Debt/EBITDA | 2.22 | ||
| Cap/Depr | 271.01% | ||
| Cap/Sales | 23.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.83% | ||
| Profit Quality | 28.41% | ||
| Current Ratio | 3.31 | ||
| Quick Ratio | 2.57 | ||
| Altman-Z | 2.21 |
F-Score5
WACC7.52%
ROIC/WACC1.08
Cap/Depr(3y)270.9%
Cap/Depr(5y)290.77%
Cap/Sales(3y)19.99%
Cap/Sales(5y)23.21%
Profit Quality(3y)49.29%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.11%
EPS 3Y19.23%
EPS 5Y26.89%
EPS Q2Q%-10.63%
EPS Next Y-6.66%
EPS Next 2Y-7.48%
EPS Next 3Y-9.02%
EPS Next 5Y-7.85%
Revenue 1Y (TTM)-3.69%
Revenue growth 3Y3.59%
Revenue growth 5Y7.67%
Sales Q2Q%-2.71%
Revenue Next Year-2.41%
Revenue Next 2Y1.09%
Revenue Next 3Y0.53%
Revenue Next 5Y2.37%
EBIT growth 1Y-10.39%
EBIT growth 3Y15.05%
EBIT growth 5Y23.03%
EBIT Next Year31.67%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-44.48%
FCF growth 3Y16.57%
FCF growth 5YN/A
OCF growth 1Y-2.4%
OCF growth 3Y25.11%
OCF growth 5Y19.6%
OTTER TAIL CORP / OTTR FAQ
Can you provide the ChartMill fundamental rating for OTTER TAIL CORP?
ChartMill assigns a fundamental rating of 6 / 10 to OTTR.
What is the valuation status of OTTER TAIL CORP (OTTR) stock?
ChartMill assigns a valuation rating of 6 / 10 to OTTER TAIL CORP (OTTR). This can be considered as Fairly Valued.
How profitable is OTTER TAIL CORP (OTTR) stock?
OTTER TAIL CORP (OTTR) has a profitability rating of 9 / 10.
What are the PE and PB ratios of OTTER TAIL CORP (OTTR) stock?
The Price/Earnings (PE) ratio for OTTER TAIL CORP (OTTR) is 11.36 and the Price/Book (PB) ratio is 1.82.
How financially healthy is OTTER TAIL CORP?
The financial health rating of OTTER TAIL CORP (OTTR) is 7 / 10.