PARK-OHIO HOLDINGS CORP (PKOH)
US7006661000 - Common Stock
Overall PKOH gets a fundamental rating of 4 out of 10. We evaluated PKOH against 132 industry peers in the Machinery industry. Both the profitability and financial health of PKOH have multiple concerns. PKOH is valued quite cheap, while showing a decent growth score. This is a good combination!
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.
The reported net income has been mixed in the past 5 years: PKOH reported negative net income in multiple 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
PKOH has a Return On Assets of 0.58%. This is in the lower half of the industry: PKOH underperforms 65.12% of its industry peers.
Looking at the Return On Equity, with a value of 2.78%, PKOH is doing worse than 60.47% of the companies in the same industry.
With a Return On Invested Capital value of 7.32%, PKOH perfoms like the industry average, outperforming 57.36% of the companies in the same industry.
PKOH had an Average Return On Invested Capital over the past 3 years of 4.31%. This is significantly below the industry average of 10.72%.
The last Return On Invested Capital (7.32%) for PKOH is above the 3 year average (4.31%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 2.78% | ||
| ROIC | 7.32% |
ROA(3y)-0.74%
ROA(5y)0.07%
ROE(3y)-3.55%
ROE(5y)-0.09%
ROIC(3y)4.31%
ROIC(5y)4.37%
1.3 Margins
PKOH's Profit Margin of 0.47% is on the low side compared to the rest of the industry. PKOH is outperformed by 67.44% of its industry peers.
PKOH's Profit Margin has declined in the last couple of years.
PKOH has a Operating Margin of 5.42%. This is comparable to the rest of the industry: PKOH outperforms 40.31% of its industry peers.
PKOH's Operating Margin has been stable in the last couple of years.
The Gross Margin of PKOH (16.35%) is worse than 75.19% of its industry peers.
PKOH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.42% | ||
| PM (TTM) | 0.47% | ||
| GM | 16.35% |
OM growth 3Y35.47%
OM growth 5Y-1.2%
PM growth 3YN/A
PM growth 5Y-32%
GM growth 3Y4.46%
GM growth 5Y-0.03%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PKOH is destroying value.
PKOH has more shares outstanding than it did 1 year ago.
PKOH has more shares outstanding than it did 5 years ago.
PKOH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.30 indicates that PKOH is not a great score, but indicates only limited risk for bankruptcy at the moment.
PKOH's Altman-Z score of 2.30 is on the low side compared to the rest of the industry. PKOH is outperformed by 61.24% of its industry peers.
PKOH has a debt to FCF ratio of 28.83. This is a negative value and a sign of low solvency as PKOH would need 28.83 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 28.83, PKOH is doing worse than 60.47% of the companies in the same industry.
A Debt/Equity ratio of 2.26 is on the high side and indicates that PKOH has dependencies on debt financing.
PKOH's Debt to Equity ratio of 2.26 is on the low side compared to the rest of the industry. PKOH is outperformed by 92.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | 28.83 | ||
| Altman-Z | 2.3 |
ROIC/WACC0.8
WACC9.19%
2.3 Liquidity
PKOH has a Current Ratio of 2.27. This indicates that PKOH is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of PKOH (2.27) is comparable to the rest of the industry.
PKOH has a Quick Ratio of 1.14. This is a normal value and indicates that PKOH is financially healthy and should not expect problems in meeting its short term obligations.
PKOH's Quick ratio of 1.14 is in line compared to the rest of the industry. PKOH outperforms 45.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 124.82% over the past year.
The Earnings Per Share has been decreasing by -6.37% on average over the past years.
PKOH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.17%.
The Revenue has been growing slightly by 0.02% on average over the past years.
EPS 1Y (TTM)124.82%
EPS 3Y575.33%
EPS 5Y-6.37%
EPS growth Q2Q700%
Revenue 1Y (TTM)11.17%
Revenue growth 3Y12.94%
Revenue growth 5Y0.02%
Revenue growth Q2Q2.02%
3.2 Future
The Earnings Per Share is expected to grow by 14.66% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.84% on average over the next years.
EPS Next Y12.1%
EPS Next 2Y14.66%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.62%
Revenue Next 2Y4.77%
Revenue Next 3Y6.07%
Revenue Next 5Y5.84%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 7.82, which indicates a rather cheap valuation of PKOH.
Compared to the rest of the industry, the Price/Earnings ratio of PKOH indicates a rather cheap valuation: PKOH is cheaper than 93.80% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 24.84, PKOH is valued rather cheaply.
The Price/Forward Earnings ratio is 6.98, which indicates a rather cheap valuation of PKOH.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PKOH indicates a rather cheap valuation: PKOH is cheaper than 98.45% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.35. PKOH is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 6.98 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PKOH indicates a rather cheap valuation: PKOH is cheaper than 86.05% of the companies listed in the same industry.
82.95% of the companies in the same industry are more expensive than PKOH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.12 | ||
| EV/EBITDA | 7.35 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PKOH's earnings are expected to grow with 14.66% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.65
PEG (5Y)N/A
EPS Next 2Y14.66%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PKOH has a Yearly Dividend Yield of 2.14%.
PKOH's Dividend Yield is rather good when compared to the industry average which is at 1.72. PKOH pays more dividend than 87.60% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, PKOH has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
5.2 History
The dividend of PKOH has a limited annual growth rate of 2.32%.
PKOH has been paying a dividend for at least 10 years, so it has a reliable track record.
PKOH has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.32%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
PKOH pays out 94.87% of its income as dividend. This is not a sustainable payout ratio.
PKOH's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP94.87%
EPS Next 2Y14.66%
EPS Next 3YN/A
PARK-OHIO HOLDINGS CORP
NASDAQ:PKOH (4/26/2024, 7:10:17 PM)
After market: 24.09 0 (0%)24.09
+0.7 (+2.99%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap314.86M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
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)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.82 | ||
| Fwd PE | 6.98 | ||
| 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)0.65
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.58% | ||
| ROE | 2.78% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.42% | ||
| PM (TTM) | 0.47% | ||
| GM | 16.35% | ||
| 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 Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.26 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.27 | ||
| Quick Ratio | 1.14 | ||
| 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)124.82%
EPS 3Y575.33%
EPS 5Y
EPS growth Q2Q
EPS Next Y12.1%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)11.17%
Revenue growth 3Y12.94%
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