POWELL INDUSTRIES INC (POWL) Stock Fundamental Analysis
USA - NASDAQ:POWL - US7391281067 - Common Stock
302.04 USD
+14.36 (+4.99%)
301 USD
-1.04 (-0.34%)
POWL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 92 industry peers in the Electrical Equipment industry. POWL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. POWL has a decent growth rate and is not valued too expensively. These ratings would make POWL suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year POWL was profitable.
In the past year POWL had a positive cash flow from operations.
Each year in the past 5 years POWL has been profitable.
The reported operating cash flow has been mixed in the past 5 years: POWL reported negative operating cash flow in multiple years.
1.2 Ratios
POWL has a better Return On Assets (16.83%) than 97.83% of its industry peers.
The Return On Equity of POWL (29.48%) is better than 96.74% of its industry peers.
POWL has a Return On Invested Capital of 26.55%. This is amongst the best in the industry. POWL outperforms 98.91% of its industry peers.
POWL had an Average Return On Invested Capital over the past 3 years of 14.37%. This is above the industry average of 9.86%.
The 3 year average ROIC (14.37%) for POWL is below the current ROIC(26.55%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.83% | ||
| ROE | 29.48% | ||
| ROIC | 26.55% |
ROA(3y)8.72%
ROA(5y)5.97%
ROE(3y)17.14%
ROE(5y)11.42%
ROIC(3y)14.37%
ROIC(5y)9.67%
1.3 Margins
Looking at the Profit Margin, with a value of 16.22%, POWL belongs to the top of the industry, outperforming 93.48% of the companies in the same industry.
In the last couple of years the Profit Margin of POWL has grown nicely.
Looking at the Operating Margin, with a value of 19.41%, POWL belongs to the top of the industry, outperforming 96.74% of the companies in the same industry.
In the last couple of years the Operating Margin of POWL has grown nicely.
POWL has a better Gross Margin (28.79%) than 61.96% of its industry peers.
In the last couple of years the Gross Margin of POWL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.41% | ||
| PM (TTM) | 16.22% | ||
| GM | 28.79% |
OM growth 3Y335.74%
OM growth 5Y53.7%
PM growth 3Y387.84%
PM growth 5Y50.55%
GM growth 3Y19.12%
GM growth 5Y9.91%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so POWL is creating value.
The number of shares outstanding for POWL has been increased compared to 1 year ago.
The number of shares outstanding for POWL has been increased compared to 5 years ago.
There is no outstanding debt for POWL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 7.90 indicates that POWL is not in any danger for bankruptcy at the moment.
POWL has a Altman-Z score of 7.90. This is amongst the best in the industry. POWL outperforms 92.39% of its industry peers.
There is no outstanding debt for POWL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 7.9 |
ROIC/WACC3.05
WACC8.7%
2.3 Liquidity
A Current Ratio of 2.06 indicates that POWL has no problem at all paying its short term obligations.
The Current ratio of POWL (2.06) is comparable to the rest of the industry.
A Quick Ratio of 1.85 indicates that POWL should not have too much problems paying its short term obligations.
POWL has a Quick ratio of 1.85. This is in the better half of the industry: POWL outperforms 70.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.85 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 37.54% over the past year.
The Earnings Per Share has been growing by 73.14% on average over the past years. This is a very strong growth
POWL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.32%.
Measured over the past years, POWL shows a quite strong growth in Revenue. The Revenue has been growing by 14.38% on average per year.
EPS 1Y (TTM)37.54%
EPS 3Y489.48%
EPS 5Y73.14%
EPS Q2Q%4.49%
Revenue 1Y (TTM)14.32%
Revenue growth 3Y29.09%
Revenue growth 5Y14.38%
Sales Q2Q%-0.66%
3.2 Future
The Earnings Per Share is expected to grow by 9.39% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.81% on average over the next years.
EPS Next Y18.85%
EPS Next 2Y11.13%
EPS Next 3Y9.39%
EPS Next 5YN/A
Revenue Next Year4.48%
Revenue Next 2Y5.23%
Revenue Next 3Y5.34%
Revenue Next 5Y5.81%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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 20.98, which indicates a rather expensive current valuation of POWL.
Based on the Price/Earnings ratio, POWL is valued cheaper than 84.78% of the companies in the same industry.
When comparing the Price/Earnings ratio of POWL to the average of the S&P500 Index (27.27), we can say POWL is valued slightly cheaper.
POWL is valuated rather expensively with a Price/Forward Earnings ratio of 19.90.
Based on the Price/Forward Earnings ratio, POWL is valued cheaply inside the industry as 85.87% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of POWL to the average of the S&P500 Index (22.77), we can say POWL is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.98 | ||
| Fwd PE | 19.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, POWL is valued cheaper than 84.78% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of POWL indicates a somewhat cheap valuation: POWL is cheaper than 70.65% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.99 | ||
| EV/EBITDA | 14.49 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
POWL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.11
PEG (5Y)0.29
EPS Next 2Y11.13%
EPS Next 3Y9.39%
5. Dividend
5.1 Amount
POWL has a yearly dividend return of 0.37%, which is pretty low.
Compared to an average industry Dividend Yield of 3.03, POWL pays a better dividend. On top of this POWL pays more dividend than 81.52% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, POWL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.37% |
5.2 History
The dividend of POWL has a limited annual growth rate of 0.42%.
POWL has been paying a dividend for at least 10 years, so it has a reliable track record.
POWL has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.42%
Div Incr Years2
Div Non Decr Years11
5.3 Sustainability
7.31% of the earnings are spent on dividend by POWL. This is a low number and sustainable payout ratio.
POWL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP7.31%
EPS Next 2Y11.13%
EPS Next 3Y9.39%
302.04
+14.36 (+4.99%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners107.23%
Inst Owner Change6.71%
Ins Owners2.35%
Ins Owner Change-2.27%
Market Cap3.65B
Analysts80
Price Target250.85 (-16.95%)
Short Float %20.06%
Short Ratio6.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.37% |
Yearly Dividend1.06
Dividend Growth(5Y)0.42%
DP7.31%
Div Incr Years2
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.73%
Min EPS beat(2)2.98%
Max EPS beat(2)8.48%
EPS beat(4)4
Avg EPS beat(4)5.72%
Min EPS beat(4)2.98%
Max EPS beat(4)8.48%
EPS beat(8)8
Avg EPS beat(8)42.07%
EPS beat(12)12
Avg EPS beat(12)105.68%
EPS beat(16)15
Avg EPS beat(16)117.87%
Revenue beat(2)0
Avg Revenue beat(2)-5.17%
Min Revenue beat(2)-6.97%
Max Revenue beat(2)-3.36%
Revenue beat(4)1
Avg Revenue beat(4)-3.61%
Min Revenue beat(4)-6.97%
Max Revenue beat(4)1.75%
Revenue beat(8)5
Avg Revenue beat(8)5.66%
Revenue beat(12)9
Avg Revenue beat(12)7.67%
Revenue beat(16)12
Avg Revenue beat(16)6.5%
PT rev (1m)0.82%
PT rev (3m)3.16%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.35%
EPS NY rev (1m)7.03%
EPS NY rev (3m)1.03%
Revenue NQ rev (1m)-0.85%
Revenue NQ rev (3m)-2.76%
Revenue NY rev (1m)-0.8%
Revenue NY rev (3m)-1.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.98 | ||
| Fwd PE | 19.9 | ||
| P/S | 3.37 | ||
| P/FCF | 44.99 | ||
| P/OCF | 36.14 | ||
| P/B | 6.13 | ||
| P/tB | 6.14 | ||
| EV/EBITDA | 14.49 |
EPS(TTM)14.4
EY4.77%
EPS(NY)15.18
Fwd EY5.03%
FCF(TTM)6.71
FCFY2.22%
OCF(TTM)8.36
OCFY2.77%
SpS89.59
BVpS49.29
TBVpS49.16
PEG (NY)1.11
PEG (5Y)0.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.83% | ||
| ROE | 29.48% | ||
| ROCE | 34.14% | ||
| ROIC | 26.55% | ||
| ROICexc | 110.84% | ||
| ROICexgc | 111.98% | ||
| OM | 19.41% | ||
| PM (TTM) | 16.22% | ||
| GM | 28.79% | ||
| FCFM | 7.49% |
ROA(3y)8.72%
ROA(5y)5.97%
ROE(3y)17.14%
ROE(5y)11.42%
ROIC(3y)14.37%
ROIC(5y)9.67%
ROICexc(3y)68.51%
ROICexc(5y)43.46%
ROICexgc(3y)69.51%
ROICexgc(5y)44.08%
ROCE(3y)18.48%
ROCE(5y)12.44%
ROICexcg growth 3Y590.73%
ROICexcg growth 5Y99.64%
ROICexc growth 3Y588.47%
ROICexc growth 5Y99.31%
OM growth 3Y335.74%
OM growth 5Y53.7%
PM growth 3Y387.84%
PM growth 5Y50.55%
GM growth 3Y19.12%
GM growth 5Y9.91%
F-Score6
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 282.89% | ||
| Cap/Sales | 1.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 46.5% | ||
| Profit Quality | 46.21% | ||
| Current Ratio | 2.06 | ||
| Quick Ratio | 1.85 | ||
| Altman-Z | 7.9 |
F-Score6
WACC8.7%
ROIC/WACC3.05
Cap/Depr(3y)98.5%
Cap/Depr(5y)74.44%
Cap/Sales(3y)0.93%
Cap/Sales(5y)0.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)37.54%
EPS 3Y489.48%
EPS 5Y73.14%
EPS Q2Q%4.49%
EPS Next Y18.85%
EPS Next 2Y11.13%
EPS Next 3Y9.39%
EPS Next 5YN/A
Revenue 1Y (TTM)14.32%
Revenue growth 3Y29.09%
Revenue growth 5Y14.38%
Sales Q2Q%-0.66%
Revenue Next Year4.48%
Revenue Next 2Y5.23%
Revenue Next 3Y5.34%
Revenue Next 5Y5.81%
EBIT growth 1Y37.51%
EBIT growth 3Y462.49%
EBIT growth 5Y75.8%
EBIT Next Year22.92%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-35.07%
FCF growth 3YN/A
FCF growth 5Y8.37%
OCF growth 1Y-22.11%
OCF growth 3YN/A
OCF growth 5Y9.57%