PARK-OHIO HOLDINGS CORP (PKOH) Stock Fundamental Analysis
USA - NASDAQ:PKOH - US7006661000 - Common Stock
20.21 USD
-0.11 (-0.54%)
20.21 USD
0 (0%)
Taking everything into account, PKOH scores 3 out of 10 in our fundamental rating. PKOH was compared to 130 industry peers in the Machinery industry. PKOH may be in some trouble as it scores bad on both profitability and health. PKOH is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PKOH had positive earnings in the past year.
In the past year PKOH had a positive cash flow from operations.
In multiple years PKOH reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: PKOH reported negative operating cash flow in multiple years.
1.2 Ratios
With a Return On Assets value of 1.96%, PKOH is not doing good in the industry: 60.77% of the companies in the same industry are doing better.
PKOH's Return On Equity of 7.49% is in line compared to the rest of the industry. PKOH outperforms 49.23% of its industry peers.
The Return On Invested Capital of PKOH (6.22%) is comparable to the rest of the industry.
PKOH had an Average Return On Invested Capital over the past 3 years of 6.45%. This is below the industry average of 10.01%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 7.49% | ||
| ROIC | 6.22% |
ROA(3y)0.64%
ROA(5y)-0.05%
ROE(3y)2.29%
ROE(5y)-0.47%
ROIC(3y)6.45%
ROIC(5y)4.66%
1.3 Margins
The Profit Margin of PKOH (1.73%) is worse than 62.31% of its industry peers.
PKOH's Profit Margin has declined in the last couple of years.
PKOH's Operating Margin of 4.98% is on the low side compared to the rest of the industry. PKOH is outperformed by 63.08% of its industry peers.
PKOH's Operating Margin has been stable in the last couple of years.
With a Gross Margin value of 16.95%, PKOH is not doing good in the industry: 78.46% of the companies in the same industry are doing better.
PKOH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.98% | ||
| PM (TTM) | 1.73% | ||
| GM | 16.95% |
OM growth 3Y46.11%
OM growth 5Y-0.08%
PM growth 3YN/A
PM growth 5Y-4.25%
GM growth 3Y6.84%
GM growth 5Y0.78%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PKOH is destroying value.
Compared to 1 year ago, PKOH has more shares outstanding
The number of shares outstanding for PKOH has been increased compared to 5 years ago.
Compared to 1 year ago, PKOH has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.21 indicates that PKOH is not a great score, but indicates only limited risk for bankruptcy at the moment.
PKOH has a worse Altman-Z score (2.21) than 62.31% of its industry peers.
A Debt/Equity ratio of 1.77 is on the high side and indicates that PKOH has dependencies on debt financing.
With a Debt to Equity ratio value of 1.77, PKOH is not doing good in the industry: 86.92% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.21 |
ROIC/WACC0.68
WACC9.18%
2.3 Liquidity
PKOH has a Current Ratio of 2.60. This indicates that PKOH is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.60, PKOH is doing good in the industry, outperforming 68.46% of the companies in the same industry.
PKOH has a Quick Ratio of 1.33. This is a normal value and indicates that PKOH is financially healthy and should not expect problems in meeting its short term obligations.
PKOH has a Quick ratio (1.33) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.6 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
PKOH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.21%, which is quite good.
The Earnings Per Share has been decreasing by -0.71% on average over the past years.
The Revenue has decreased by -0.21% in the past year.
Measured over the past years, PKOH shows a small growth in Revenue. The Revenue has been growing by 0.46% on average per year.
EPS 1Y (TTM)17.21%
EPS 3YN/A
EPS 5Y-0.71%
EPS Q2Q%0%
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y9.05%
Revenue growth 5Y0.46%
Sales Q2Q%0%
3.2 Future
PKOH is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -5.81% yearly.
The Revenue is expected to grow by 6.77% on average over the next years.
EPS Next Y-14.81%
EPS Next 2Y-5.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.75%
Revenue Next 2Y0.12%
Revenue Next 3Y7.62%
Revenue Next 5Y6.77%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 5.60, the valuation of PKOH can be described as very cheap.
Compared to the rest of the industry, the Price/Earnings ratio of PKOH indicates a rather cheap valuation: PKOH is cheaper than 97.69% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.40. PKOH is valued rather cheaply when compared to this.
PKOH is valuated cheaply with a Price/Forward Earnings ratio of 6.31.
PKOH's Price/Forward Earnings ratio is rather cheap when compared to the industry. PKOH is cheaper than 98.46% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.94, PKOH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 6.31 |
4.2 Price Multiples
PKOH's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. PKOH is cheaper than 85.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.02 |
4.3 Compensation for Growth
A cheap valuation may be justified as PKOH's earnings are expected to decrease with -5.81% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-5.81%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.46%, PKOH has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.81, PKOH pays a better dividend. On top of this PKOH pays more dividend than 87.69% of the companies listed in the same industry.
PKOH's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
5.2 History
The dividend of PKOH decreases each year by -0.96%.
PKOH has paid a dividend for at least 10 years, which is a reliable track record.
PKOH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-0.96%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
PKOH pays out 26.98% of its income as dividend. This is a sustainable payout ratio.
The Dividend Rate of PKOH has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP26.98%
EPS Next 2Y-5.81%
EPS Next 3YN/A
20.21
-0.11 (-0.54%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners52.91%
Inst Owner Change0.55%
Ins Owners26.03%
Ins Owner Change3.08%
Market Cap291.02M
Analysts43.33
Price TargetN/A
Short Float %1.02%
Short Ratio2.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.46% |
Yearly Dividend0.53
Dividend Growth(5Y)-0.96%
DP26.98%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.83%
Min EPS beat(2)-22.51%
Max EPS beat(2)2.84%
EPS beat(4)3
Avg EPS beat(4)1.04%
Min EPS beat(4)-22.51%
Max EPS beat(4)17.87%
EPS beat(8)6
Avg EPS beat(8)4.09%
EPS beat(12)9
Avg EPS beat(12)-2.97%
EPS beat(16)10
Avg EPS beat(16)-52.54%
Revenue beat(2)0
Avg Revenue beat(2)-4.89%
Min Revenue beat(2)-6.54%
Max Revenue beat(2)-3.24%
Revenue beat(4)0
Avg Revenue beat(4)-5.66%
Min Revenue beat(4)-6.68%
Max Revenue beat(4)-3.24%
Revenue beat(8)1
Avg Revenue beat(8)-4.33%
Revenue beat(12)3
Avg Revenue beat(12)-4.42%
Revenue beat(16)4
Avg Revenue beat(16)-7.32%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.99%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.94%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.6 | ||
| Fwd PE | 6.31 | ||
| P/S | 0.18 | ||
| P/FCF | N/A | ||
| P/OCF | 28.25 | ||
| P/B | 0.78 | ||
| P/tB | 1.59 | ||
| EV/EBITDA | 8.02 |
EPS(TTM)3.61
EY17.86%
EPS(NY)3.2
Fwd EY15.85%
FCF(TTM)-1.72
FCFYN/A
OCF(TTM)0.72
OCFY3.54%
SpS111.91
BVpS25.77
TBVpS12.67
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.96% | ||
| ROE | 7.49% | ||
| ROCE | 7.39% | ||
| ROIC | 6.22% | ||
| ROICexc | 6.5% | ||
| ROICexgc | 7.94% | ||
| OM | 4.98% | ||
| PM (TTM) | 1.73% | ||
| GM | 16.95% | ||
| FCFM | N/A |
ROA(3y)0.64%
ROA(5y)-0.05%
ROE(3y)2.29%
ROE(5y)-0.47%
ROIC(3y)6.45%
ROIC(5y)4.66%
ROICexc(3y)6.82%
ROICexc(5y)4.93%
ROICexgc(3y)8.5%
ROICexgc(5y)6.15%
ROCE(3y)7.65%
ROCE(5y)5.53%
ROICexcg growth 3Y59.47%
ROICexcg growth 5Y-0.06%
ROICexc growth 3Y59.67%
ROICexc growth 5Y0.35%
OM growth 3Y46.11%
OM growth 5Y-0.08%
PM growth 3YN/A
PM growth 5Y-4.25%
GM growth 3Y6.84%
GM growth 5Y0.78%
F-Score6
Asset Turnover1.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.78 | ||
| Cap/Depr | 105.09% | ||
| Cap/Sales | 2.18% | ||
| Interest Coverage | 1.74 | ||
| Cash Conversion | 9.07% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.6 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 2.21 |
F-Score6
WACC9.18%
ROIC/WACC0.68
Cap/Depr(3y)90.49%
Cap/Depr(5y)83.17%
Cap/Sales(3y)1.8%
Cap/Sales(5y)1.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.21%
EPS 3YN/A
EPS 5Y-0.71%
EPS Q2Q%0%
EPS Next Y-14.81%
EPS Next 2Y-5.81%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-0.21%
Revenue growth 3Y9.05%
Revenue growth 5Y0.46%
Sales Q2Q%0%
Revenue Next Year-2.75%
Revenue Next 2Y0.12%
Revenue Next 3Y7.62%
Revenue Next 5Y6.77%
EBIT growth 1Y-15.4%
EBIT growth 3Y59.34%
EBIT growth 5Y0.39%
EBIT Next Year46.02%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-36.26%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.57%
OCF growth 3YN/A
OCF growth 5Y-14.1%