POWER SOLUTIONS INTERNATIONA (PSIX) Stock Fundamental Analysis
USA - NASDAQ:PSIX - US73933G2021 - Common Stock
103.715 USD
-5.87 (-5.36%)
104.85 USD
+1.13 (+1.09%)
Overall PSIX gets a fundamental rating of 6 out of 10. We evaluated PSIX against 92 industry peers in the Electrical Equipment industry. PSIX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. PSIX has a decent growth rate and is not valued too expensively. These ratings would make PSIX suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year PSIX was profitable.
In the past year PSIX had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PSIX reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: PSIX reported negative operating cash flow in multiple years.
1.2 Ratios
PSIX's Return On Assets of 25.34% is amongst the best of the industry. PSIX outperforms 98.91% of its industry peers.
PSIX has a better Return On Equity (81.77%) than 98.91% of its industry peers.
PSIX has a better Return On Invested Capital (28.40%) than 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PSIX is significantly above the industry average of 9.86%.
The 3 year average ROIC (27.16%) for PSIX is below the current ROIC(28.40%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.34% | ||
| ROE | 81.77% | ||
| ROIC | 28.4% |
ROA(3y)11.3%
ROA(5y)1.93%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)27.16%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 18.56%, PSIX belongs to the best of the industry, outperforming 97.83% of the companies in the same industry.
In the last couple of years the Profit Margin of PSIX has grown nicely.
PSIX's Operating Margin of 17.20% is amongst the best of the industry. PSIX outperforms 91.30% of its industry peers.
In the last couple of years the Operating Margin of PSIX has grown nicely.
Looking at the Gross Margin, with a value of 29.12%, PSIX is in the better half of the industry, outperforming 67.39% of the companies in the same industry.
In the last couple of years the Gross Margin of PSIX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.2% | ||
| PM (TTM) | 18.56% | ||
| GM | 29.12% |
OM growth 3YN/A
OM growth 5Y40.35%
PM growth 3YN/A
PM growth 5Y57.51%
GM growth 3Y48.31%
GM growth 5Y10.05%
2. Health
2.1 Basic Checks
PSIX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for PSIX remains at a similar level compared to 1 year ago.
The number of shares outstanding for PSIX has been increased compared to 5 years ago.
The debt/assets ratio for PSIX has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.99 indicates that PSIX is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 6.99, PSIX belongs to the top of the industry, outperforming 89.13% of the companies in the same industry.
The Debt to FCF ratio of PSIX is 1.56, which is an excellent value as it means it would take PSIX, only 1.56 years of fcf income to pay off all of its debts.
PSIX has a better Debt to FCF ratio (1.56) than 90.22% of its industry peers.
A Debt/Equity ratio of 0.71 indicates that PSIX is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.71, PSIX is not doing good in the industry: 60.87% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for PSIX, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.56 | ||
| Altman-Z | 6.99 |
ROIC/WACC3.31
WACC8.58%
2.3 Liquidity
A Current Ratio of 1.26 indicates that PSIX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.26, PSIX is doing worse than 64.13% of the companies in the same industry.
A Quick Ratio of 0.65 indicates that PSIX may have some problems paying its short term obligations.
PSIX has a Quick ratio of 0.65. This is in the lower half of the industry: PSIX underperforms 71.74% of its industry peers.
The current and quick ratio evaluation for PSIX is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 175.57% over the past year.
The Earnings Per Share has been growing by 51.27% on average over the past years. This is a very strong growth
PSIX shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.10%.
PSIX shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -2.71% yearly.
EPS 1Y (TTM)175.57%
EPS 3YN/A
EPS 5Y51.27%
EPS Q2Q%211.11%
Revenue 1Y (TTM)40.1%
Revenue growth 3Y1.42%
Revenue growth 5Y-2.71%
Sales Q2Q%73.54%
3.2 Future
Based on estimates for the next years, PSIX will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.89% on average per year.
Based on estimates for the next years, PSIX will show a quite strong growth in Revenue. The Revenue will grow by 19.83% on average per year.
EPS Next Y19.42%
EPS Next 2Y19.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year28.22%
Revenue Next 2Y19.83%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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 21.38, the valuation of PSIX can be described as rather expensive.
PSIX's Price/Earnings ratio is rather cheap when compared to the industry. PSIX is cheaper than 83.70% of the companies in the same industry.
When comparing the Price/Earnings ratio of PSIX to the average of the S&P500 Index (27.32), we can say PSIX is valued slightly cheaper.
A Price/Forward Earnings ratio of 25.68 indicates a quite expensive valuation of PSIX.
Based on the Price/Forward Earnings ratio, PSIX is valued a bit cheaper than the industry average as 73.91% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.89, PSIX is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.38 | ||
| Fwd PE | 25.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PSIX indicates a somewhat cheap valuation: PSIX is cheaper than 75.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PSIX is valued a bit cheaper than 76.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.38 | ||
| EV/EBITDA | 21.69 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of PSIX may justify a higher PE ratio.
PSIX's earnings are expected to grow with 19.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.1
PEG (5Y)0.42
EPS Next 2Y19.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PSIX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
103.715
-5.87 (-5.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners15.62%
Inst Owner Change35.58%
Ins Owners1.45%
Ins Owner Change-15.84%
Market Cap2.39B
Analysts82.86
Price Target129.54 (24.9%)
Short Float %5.08%
Short Ratio0.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)114.66%
Min EPS beat(2)76.9%
Max EPS beat(2)152.42%
EPS beat(4)4
Avg EPS beat(4)69.52%
Min EPS beat(4)22.55%
Max EPS beat(4)152.42%
EPS beat(8)8
Avg EPS beat(8)89.44%
EPS beat(12)12
Avg EPS beat(12)361.52%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)31.2%
Min Revenue beat(2)24.57%
Max Revenue beat(2)37.83%
Revenue beat(4)3
Avg Revenue beat(4)15.57%
Min Revenue beat(4)-0.66%
Max Revenue beat(4)37.83%
Revenue beat(8)3
Avg Revenue beat(8)4.05%
Revenue beat(12)6
Avg Revenue beat(12)3.71%
Revenue beat(16)7
Avg Revenue beat(16)1.37%
PT rev (1m)0%
PT rev (3m)98.44%
EPS NQ rev (1m)0%
EPS NQ rev (3m)53.13%
EPS NY rev (1m)0%
EPS NY rev (3m)9.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)35.1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)15.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.38 | ||
| Fwd PE | 25.68 | ||
| P/S | 4 | ||
| P/FCF | 38.38 | ||
| P/OCF | 33.78 | ||
| P/B | 17.61 | ||
| P/tB | 22.97 | ||
| EV/EBITDA | 21.69 |
EPS(TTM)4.85
EY4.68%
EPS(NY)4.04
Fwd EY3.89%
FCF(TTM)2.7
FCFY2.61%
OCF(TTM)3.07
OCFY2.96%
SpS25.94
BVpS5.89
TBVpS4.51
PEG (NY)1.1
PEG (5Y)0.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.34% | ||
| ROE | 81.77% | ||
| ROCE | 53.85% | ||
| ROIC | 28.4% | ||
| ROICexc | 34.34% | ||
| ROICexgc | 39.66% | ||
| OM | 17.2% | ||
| PM (TTM) | 18.56% | ||
| GM | 29.12% | ||
| FCFM | 10.42% |
ROA(3y)11.3%
ROA(5y)1.93%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)27.16%
ROIC(5y)N/A
ROICexc(3y)36.27%
ROICexc(5y)N/A
ROICexgc(3y)71.34%
ROICexgc(5y)N/A
ROCE(3y)1434.71%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y25.96%
ROICexc growth 3YN/A
ROICexc growth 5Y30.55%
OM growth 3YN/A
OM growth 5Y40.35%
PM growth 3YN/A
PM growth 5Y57.51%
GM growth 3Y48.31%
GM growth 5Y10.05%
F-Score5
Asset Turnover1.37
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.56 | ||
| Debt/EBITDA | 0.89 | ||
| Cap/Depr | 163.63% | ||
| Cap/Sales | 1.42% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.5% | ||
| Profit Quality | 56.1% | ||
| Current Ratio | 1.26 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 6.99 |
F-Score5
WACC8.58%
ROIC/WACC3.31
Cap/Depr(3y)65.93%
Cap/Depr(5y)50.73%
Cap/Sales(3y)0.78%
Cap/Sales(5y)0.67%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)175.57%
EPS 3YN/A
EPS 5Y51.27%
EPS Q2Q%211.11%
EPS Next Y19.42%
EPS Next 2Y19.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)40.1%
Revenue growth 3Y1.42%
Revenue growth 5Y-2.71%
Sales Q2Q%73.54%
Revenue Next Year28.22%
Revenue Next 2Y19.83%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y70.01%
EBIT growth 3YN/A
EBIT growth 5Y36.55%
EBIT Next Year32.27%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y35.81%
FCF growth 3YN/A
FCF growth 5Y31.91%
OCF growth 1Y47.57%
OCF growth 3YN/A
OCF growth 5Y28%