PATRICK INDUSTRIES INC (PATK) Stock Fundamental Analysis
NASDAQ:PATK - Nasdaq - US7033431039 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to PATK. PATK was compared to 81 industry peers in the Automobile Components industry. PATK has an average financial health and profitability rating. While showing a medium growth rate, PATK is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year PATK was profitable.
In the past year PATK had a positive cash flow from operations.
PATK had positive earnings in each of the past 5 years.
In the past 5 years PATK always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.44%, PATK is doing worse than 60.49% of the companies in the same industry.
With an excellent Return On Equity value of 12.40%, PATK belongs to the best of the industry, outperforming 90.12% of the companies in the same industry.
PATK has a worse Return On Invested Capital (7.23%) than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PATK is in line with the industry average of 9.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.44% | ||
| ROE | 12.4% | ||
| ROIC | 7.23% |
ROA(3y)7.32%
ROA(5y)7.19%
ROE(3y)20.1%
ROE(5y)21.39%
ROIC(3y)10.59%
ROIC(5y)10.52%
1.3 Margins
Looking at the Profit Margin, with a value of 3.74%, PATK is doing worse than 60.49% of the companies in the same industry.
In the last couple of years the Profit Margin of PATK has remained more or less at the same level.
With a Operating Margin value of 6.98%, PATK is not doing good in the industry: 64.20% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of PATK has remained more or less at the same level.
PATK has a Gross Margin of 22.71%. This is in the lower half of the industry: PATK underperforms 65.43% of its industry peers.
In the last couple of years the Gross Margin of PATK has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.98% | ||
| PM (TTM) | 3.74% | ||
| GM | 22.71% |
OM growth 3Y-6.97%
OM growth 5Y1%
PM growth 3Y-12.26%
PM growth 5Y-0.57%
GM growth 3Y4.62%
GM growth 5Y4.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PATK is still creating some value.
The number of shares outstanding for PATK has been increased compared to 1 year ago.
Compared to 5 years ago, PATK has less shares outstanding
PATK has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.99 indicates that PATK is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.99, PATK is in the better half of the industry, outperforming 69.14% of the companies in the same industry.
The Debt to FCF ratio of PATK is 5.68, which is a neutral value as it means it would take PATK, 5.68 years of fcf income to pay off all of its debts.
PATK's Debt to FCF ratio of 5.68 is on the low side compared to the rest of the industry. PATK is outperformed by 65.43% of its industry peers.
PATK has a Debt/Equity ratio of 1.25. This is a high value indicating a heavy dependency on external financing.
PATK's Debt to Equity ratio of 1.25 is on the low side compared to the rest of the industry. PATK is outperformed by 83.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 5.68 | ||
| Altman-Z | 2.99 |
ROIC/WACC0.73
WACC9.93%
2.3 Liquidity
PATK has a Current Ratio of 2.41. This indicates that PATK is financially healthy and has no problem in meeting its short term obligations.
PATK's Current ratio of 2.41 is amongst the best of the industry. PATK outperforms 81.48% of its industry peers.
A Quick Ratio of 1.04 indicates that PATK should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.04, PATK is doing worse than 80.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
PATK shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.74%.
PATK shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.87% yearly.
Looking at the last year, PATK shows a quite strong growth in Revenue. The Revenue has grown by 8.12% in the last year.
The Revenue has been growing by 9.72% on average over the past years. This is quite good.
EPS 1Y (TTM)-7.74%
EPS 3Y-13.74%
EPS 5Y9.87%
EPS Q2Q%4.72%
Revenue 1Y (TTM)8.12%
Revenue growth 3Y-3.05%
Revenue growth 5Y9.72%
Sales Q2Q%7.49%
3.2 Future
The Earnings Per Share is expected to grow by 16.41% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.08% on average over the next years.
EPS Next Y4.29%
EPS Next 2Y16.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year2.29%
Revenue Next 2Y4.08%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.97, the valuation of PATK can be described as rather expensive.
Compared to the rest of the industry, the Price/Earnings ratio of PATK indicates a slightly more expensive valuation: PATK is more expensive than 62.96% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.91, PATK is valued at the same level.
A Price/Forward Earnings ratio of 16.41 indicates a correct valuation of PATK.
Based on the Price/Forward Earnings ratio, PATK is valued a bit more expensive than 65.43% of the companies in the same industry.
PATK's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.97 | ||
| Fwd PE | 16.41 |
4.2 Price Multiples
PATK's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. PATK is more expensive than 66.67% of the companies in the same industry.
PATK's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.18 | ||
| EV/EBITDA | 10.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PATK's earnings are expected to grow with 16.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.12
PEG (5Y)2.23
EPS Next 2Y16.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.78%, PATK has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.40, PATK has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.43, PATK is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
On average, the dividend of PATK grows each year by 43.70%, which is quite nice.
PATK has been paying a dividend for at least 10 years, so it has a reliable track record.
PATK has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)43.7%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
PATK pays out 36.06% of its income as dividend. This is a sustainable payout ratio.
The dividend of PATK is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP36.06%
EPS Next 2Y16.41%
EPS Next 3YN/A
91.62
+0.51 (+0.56%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)
Earnings (Next)
Inst Owners110.53%
Inst Owner Change8.38%
Ins Owners3.96%
Ins Owner Change1.15%
Market Cap3.06B
Analysts77.33
Price Target100.64 (9.85%)
Short Float %10.08%
Short Ratio8.54
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend1.5
Dividend Growth(5Y)43.7%
DP36.06%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.31%
Min EPS beat(2)-19.79%
Max EPS beat(2)11.17%
EPS beat(4)2
Avg EPS beat(4)-2.15%
Min EPS beat(4)-19.79%
Max EPS beat(4)11.17%
EPS beat(8)6
Avg EPS beat(8)2.37%
EPS beat(12)10
Avg EPS beat(12)8.45%
EPS beat(16)14
Avg EPS beat(16)16.09%
Revenue beat(2)2
Avg Revenue beat(2)2.01%
Min Revenue beat(2)1.71%
Max Revenue beat(2)2.31%
Revenue beat(4)3
Avg Revenue beat(4)0.77%
Min Revenue beat(4)-3.49%
Max Revenue beat(4)2.54%
Revenue beat(8)5
Avg Revenue beat(8)0.94%
Revenue beat(12)8
Avg Revenue beat(12)2.36%
Revenue beat(16)12
Avg Revenue beat(16)4.6%
PT rev (1m)0.57%
PT rev (3m)-5.22%
EPS NQ rev (1m)-1.15%
EPS NQ rev (3m)-16.46%
EPS NY rev (1m)-2.88%
EPS NY rev (3m)-19.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.3%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.97 | ||
| Fwd PE | 16.41 | ||
| P/S | 0.81 | ||
| P/FCF | 12.18 | ||
| P/OCF | 9.23 | ||
| P/B | 2.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.17 |
EPS(TTM)4.17
EY4.55%
EPS(NY)5.58
Fwd EY6.09%
FCF(TTM)7.52
FCFY8.21%
OCF(TTM)9.92
OCFY10.83%
SpS113.24
BVpS34.14
TBVpS-13.51
PEG (NY)5.12
PEG (5Y)2.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.44% | ||
| ROE | 12.4% | ||
| ROCE | 9.5% | ||
| ROIC | 7.23% | ||
| ROICexc | 7.46% | ||
| ROICexgc | 18.24% | ||
| OM | 6.98% | ||
| PM (TTM) | 3.74% | ||
| GM | 22.71% | ||
| FCFM | 6.64% |
ROA(3y)7.32%
ROA(5y)7.19%
ROE(3y)20.1%
ROE(5y)21.39%
ROIC(3y)10.59%
ROIC(5y)10.52%
ROICexc(3y)10.69%
ROICexc(5y)10.77%
ROICexgc(3y)25.32%
ROICexgc(5y)25.36%
ROCE(3y)13.92%
ROCE(5y)13.82%
ROICexcg growth 3Y-13.77%
ROICexcg growth 5Y-5.41%
ROICexc growth 3Y-16.43%
ROICexc growth 5Y-6.2%
OM growth 3Y-6.97%
OM growth 5Y1%
PM growth 3Y-12.26%
PM growth 5Y-0.57%
GM growth 3Y4.62%
GM growth 5Y4.45%
F-Score8
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 5.68 | ||
| Debt/EBITDA | 3.28 | ||
| Cap/Depr | 47.59% | ||
| Cap/Sales | 2.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 76.59% | ||
| Profit Quality | 177.6% | ||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 2.99 |
F-Score8
WACC9.93%
ROIC/WACC0.73
Cap/Depr(3y)49.11%
Cap/Depr(5y)50.59%
Cap/Sales(3y)1.79%
Cap/Sales(5y)1.65%
Profit Quality(3y)175.76%
Profit Quality(5y)148.51%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.74%
EPS 3Y-13.74%
EPS 5Y9.87%
EPS Q2Q%4.72%
EPS Next Y4.29%
EPS Next 2Y16.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)8.12%
Revenue growth 3Y-3.05%
Revenue growth 5Y9.72%
Sales Q2Q%7.49%
Revenue Next Year2.29%
Revenue Next 2Y4.08%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y0.36%
EBIT growth 3Y-9.81%
EBIT growth 5Y10.81%
EBIT Next Year68.83%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-28.03%
FCF growth 3Y10.27%
FCF growth 5Y8.81%
OCF growth 1Y-23.51%
OCF growth 3Y9.04%
OCF growth 5Y11.18%