POWER SOLUTIONS INTERNATIONA (PSIX) Stock Fundamental Analysis
NASDAQ:PSIX - US73933G2021 - Common Stock
86.84 USD
-0.08 (-0.09%)
86.84 USD
0 (0%)
Overall PSIX gets a fundamental rating of 6 out of 10. We evaluated PSIX against 92 industry peers in the Electrical Equipment industry. Both the health and profitability get an excellent rating, making PSIX a very profitable company, without any liquidiy or solvency issues. PSIX is not valued too expensively and it also shows a decent growth rate. This makes PSIX very considerable 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.
In multiple years PSIX reported negative operating cash flow during the last 5 years.
1.2 Ratios
With an excellent Return On Assets value of 25.34%, PSIX belongs to the best of the industry, outperforming 98.91% of the companies in the same industry.
PSIX has a Return On Equity of 81.77%. This is amongst the best in the industry. PSIX outperforms 98.91% of its industry peers.
PSIX has a better Return On Invested Capital (28.40%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital 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
PSIX's Profit Margin of 18.56% is amongst the best of the industry. PSIX outperforms 97.83% of its industry peers.
In the last couple of years the Profit Margin of PSIX has grown nicely.
Looking at the Operating Margin, with a value of 17.20%, PSIX belongs to the top of the industry, outperforming 92.39% of the companies in the same industry.
PSIX's Operating Margin has improved in the last couple of years.
PSIX's Gross Margin of 29.12% is fine compared to the rest of the industry. PSIX outperforms 66.30% of its industry peers.
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so PSIX is creating value.
Compared to 1 year ago, PSIX has about the same amount of shares outstanding.
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 6.22 indicates that PSIX is not in any danger for bankruptcy at the moment.
PSIX's Altman-Z score of 6.22 is amongst the best of the industry. PSIX outperforms 89.13% of its industry peers.
PSIX has a debt to FCF ratio of 1.56. This is a very positive value and a sign of high solvency as it would only need 1.56 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.56, PSIX belongs to the best of the industry, outperforming 90.22% of the companies in the same industry.
PSIX has a Debt/Equity ratio of 0.71. This is a neutral value indicating PSIX is somewhat dependend on debt financing.
PSIX's Debt to Equity ratio of 0.71 is on the low side compared to the rest of the industry. PSIX is outperformed by 60.87% of its industry peers.
Although PSIX does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.71 | ||
| Debt/FCF | 1.56 | ||
| Altman-Z | 6.22 |
ROIC/WACC3.37
WACC8.44%
2.3 Liquidity
A Current Ratio of 1.26 indicates that PSIX should not have too much problems paying its short term obligations.
The Current ratio of PSIX (1.26) is worse than 64.13% of its industry peers.
A Quick Ratio of 0.65 indicates that PSIX may have some problems paying its short term obligations.
PSIX has a worse Quick ratio (0.65) than 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.
Measured over the past years, PSIX shows a very strong growth in Earnings Per Share. The EPS has been growing by 51.27% on average per year.
The Revenue has grown by 40.10% in the past year. This is a very strong growth!
Measured over the past years, PSIX shows a decrease in Revenue. The Revenue has been decreasing by -2.71% on average per year.
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
The Earnings Per Share is expected to grow by 19.89% on average over the next years. This is quite good.
PSIX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 19.83% yearly.
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.
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
Based on the Price/Earnings ratio of 17.91, the valuation of PSIX can be described as rather expensive.
88.04% of the companies in the same industry are more expensive than PSIX, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.06. PSIX is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 21.50, which indicates a rather expensive current valuation of PSIX.
Based on the Price/Forward Earnings ratio, PSIX is valued cheaply inside the industry as 80.43% of the companies are valued more expensively.
PSIX's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.91 | ||
| Fwd PE | 21.5 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PSIX is valued a bit cheaper than the industry average as 76.09% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PSIX indicates a somewhat cheap valuation: PSIX is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.14 | ||
| EV/EBITDA | 18.11 |
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.
PSIX has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as PSIX's earnings are expected to grow with 19.89% in the coming years.
PEG (NY)0.92
PEG (5Y)0.35
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 |
86.84
-0.08 (-0.09%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners12.61%
Inst Owner Change35.58%
Ins Owners1.7%
Ins Owner Change-15.5%
Market Cap2.00B
Analysts82.86
Price Target129.54 (49.17%)
Short Float %5.34%
Short Ratio0.56
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)98.44%
PT rev (3m)98.44%
EPS NQ rev (1m)53.13%
EPS NQ rev (3m)24.05%
EPS NY rev (1m)9.3%
EPS NY rev (3m)9.3%
Revenue NQ rev (1m)35.1%
Revenue NQ rev (3m)25.39%
Revenue NY rev (1m)15.33%
Revenue NY rev (3m)15.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.91 | ||
| Fwd PE | 21.5 | ||
| P/S | 3.35 | ||
| P/FCF | 32.14 | ||
| P/OCF | 28.29 | ||
| P/B | 14.74 | ||
| P/tB | 19.23 | ||
| EV/EBITDA | 18.11 |
EPS(TTM)4.85
EY5.58%
EPS(NY)4.04
Fwd EY4.65%
FCF(TTM)2.7
FCFY3.11%
OCF(TTM)3.07
OCFY3.54%
SpS25.94
BVpS5.89
TBVpS4.51
PEG (NY)0.92
PEG (5Y)0.35
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 | 6.22 |
F-Score5
WACC8.44%
ROIC/WACC3.37
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 Year13.47%
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%