TAT TECHNOLOGIES LTD (TATT) Stock Fundamental Analysis
USA - NASDAQ:TATT - IL0010827264 - Common Stock
42 USD
+0.34 (+0.82%)
42 USD
0 (0%)
Overall TATT gets a fundamental rating of 6 out of 10. We evaluated TATT against 71 industry peers in the Aerospace & Defense industry. TATT has only an average score on both its financial health and profitability. TATT is growing strongly while it is still valued neutral. This is a good combination! With these ratings, TATT could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year TATT was profitable.
TATT had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: TATT reported negative net income in multiple years.
In multiple years TATT reported negative operating cash flow during the last 5 years.
1.2 Ratios
TATT has a Return On Assets of 6.41%. This is in the better half of the industry: TATT outperforms 75.71% of its industry peers.
The Return On Equity of TATT (8.26%) is better than 61.43% of its industry peers.
The Return On Invested Capital of TATT (7.11%) is better than 67.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.41% | ||
| ROE | 8.26% | ||
| ROIC | 7.11% |
ROA(3y)2.93%
ROA(5y)0.19%
ROE(3y)4.34%
ROE(5y)0.34%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
TATT has a better Profit Margin (8.21%) than 72.86% of its industry peers.
TATT's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 9.69%, TATT is in the better half of the industry, outperforming 61.43% of the companies in the same industry.
In the last couple of years the Operating Margin of TATT has grown nicely.
Looking at the Gross Margin, with a value of 23.23%, TATT is in line with its industry, outperforming 44.29% of the companies in the same industry.
TATT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.69% | ||
| PM (TTM) | 8.21% | ||
| GM | 23.23% |
OM growth 3YN/A
OM growth 5Y25.25%
PM growth 3YN/A
PM growth 5Y55%
GM growth 3Y14.42%
GM growth 5Y6.7%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TATT is destroying value.
TATT has more shares outstanding than it did 1 year ago.
TATT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for TATT has been reduced compared to a year ago.
2.2 Solvency
TATT has an Altman-Z score of 8.76. This indicates that TATT is financially healthy and has little risk of bankruptcy at the moment.
TATT's Altman-Z score of 8.76 is fine compared to the rest of the industry. TATT outperforms 77.14% of its industry peers.
A Debt/Equity ratio of 0.06 indicates that TATT is not too dependend on debt financing.
The Debt to Equity ratio of TATT (0.06) is better than 81.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 8.76 |
ROIC/WACC0.82
WACC8.64%
2.3 Liquidity
A Current Ratio of 4.67 indicates that TATT has no problem at all paying its short term obligations.
TATT has a better Current ratio (4.67) than 91.43% of its industry peers.
TATT has a Quick Ratio of 2.42. This indicates that TATT is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TATT (2.42) is better than 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.67 | ||
| Quick Ratio | 2.42 |
3. Growth
3.1 Past
TATT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 65.63%, which is quite impressive.
TATT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 65.58% yearly.
Looking at the last year, TATT shows a very strong growth in Revenue. The Revenue has grown by 25.95%.
Measured over the past years, TATT shows a quite strong growth in Revenue. The Revenue has been growing by 9.30% on average per year.
EPS 1Y (TTM)65.63%
EPS 3YN/A
EPS 5Y65.58%
EPS Q2Q%19.05%
Revenue 1Y (TTM)25.95%
Revenue growth 3Y24.94%
Revenue growth 5Y9.3%
Sales Q2Q%18.01%
3.2 Future
TATT is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 24.57% yearly.
Based on estimates for the next years, TATT will show a quite strong growth in Revenue. The Revenue will grow by 18.21% on average per year.
EPS Next Y36.54%
EPS Next 2Y36.6%
EPS Next 3Y25.28%
EPS Next 5Y24.57%
Revenue Next Year19.9%
Revenue Next 2Y20.57%
Revenue Next 3Y18.21%
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
A Price/Earnings ratio of 34.15 indicates a quite expensive valuation of TATT.
Based on the Price/Earnings ratio, TATT is valued a bit cheaper than 71.43% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.11. TATT is valued slightly more expensive when compared to this.
TATT is valuated rather expensively with a Price/Forward Earnings ratio of 21.22.
Based on the Price/Forward Earnings ratio, TATT is valued a bit cheaper than 80.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.55. TATT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.15 | ||
| Fwd PE | 21.22 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TATT is valued a bit cheaper than 61.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.06 |
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.
The decent profitability rating of TATT may justify a higher PE ratio.
A more expensive valuation may be justified as TATT's earnings are expected to grow with 25.28% in the coming years.
PEG (NY)0.93
PEG (5Y)0.52
EPS Next 2Y36.6%
EPS Next 3Y25.28%
5. Dividend
5.1 Amount
No dividends for TATT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
42
+0.34 (+0.82%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners57.97%
Inst Owner Change1.9%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap543.90M
Revenue(TTM)166.75M
Net Income(TTM)13.70M
Analysts84
Price Target46.92 (11.71%)
Short Float %2.17%
Short Ratio1.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.6%
Min EPS beat(2)10.08%
Max EPS beat(2)11.11%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.27%
Min Revenue beat(2)-3.62%
Max Revenue beat(2)-0.92%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)20%
PT rev (3m)29.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)16.98%
EPS NY rev (1m)0%
EPS NY rev (3m)9.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.15 | ||
| Fwd PE | 21.22 | ||
| P/S | 3.26 | ||
| P/FCF | N/A | ||
| P/OCF | 145.31 | ||
| P/B | 3.28 | ||
| P/tB | 3.31 | ||
| EV/EBITDA | 24.06 |
EPS(TTM)1.23
EY2.93%
EPS(NY)1.98
Fwd EY4.71%
FCF(TTM)-0.43
FCFYN/A
OCF(TTM)0.29
OCFY0.69%
SpS12.88
BVpS12.8
TBVpS12.68
PEG (NY)0.93
PEG (5Y)0.52
Graham Number18.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.41% | ||
| ROE | 8.26% | ||
| ROCE | 8.99% | ||
| ROIC | 7.11% | ||
| ROICexc | 9.35% | ||
| ROICexgc | 9.46% | ||
| OM | 9.69% | ||
| PM (TTM) | 8.21% | ||
| GM | 23.23% | ||
| FCFM | N/A |
ROA(3y)2.93%
ROA(5y)0.19%
ROE(3y)4.34%
ROE(5y)0.34%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y25.15%
ROICexc growth 3YN/A
ROICexc growth 5Y25.09%
OM growth 3YN/A
OM growth 5Y25.25%
PM growth 3YN/A
PM growth 5Y55%
GM growth 3Y14.42%
GM growth 5Y6.7%
F-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.48 | ||
| Cap/Depr | 180.63% | ||
| Cap/Sales | 5.59% | ||
| Interest Coverage | 15.19 | ||
| Cash Conversion | 17.55% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.67 | ||
| Quick Ratio | 2.42 | ||
| Altman-Z | 8.76 |
F-Score6
WACC8.64%
ROIC/WACC0.82
Cap/Depr(3y)216.46%
Cap/Depr(5y)225.32%
Cap/Sales(3y)9.15%
Cap/Sales(5y)11.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)65.63%
EPS 3YN/A
EPS 5Y65.58%
EPS Q2Q%19.05%
EPS Next Y36.54%
EPS Next 2Y36.6%
EPS Next 3Y25.28%
EPS Next 5Y24.57%
Revenue 1Y (TTM)25.95%
Revenue growth 3Y24.94%
Revenue growth 5Y9.3%
Sales Q2Q%18.01%
Revenue Next Year19.9%
Revenue Next 2Y20.57%
Revenue Next 3Y18.21%
Revenue Next 5YN/A
EBIT growth 1Y89.31%
EBIT growth 3YN/A
EBIT growth 5Y36.9%
EBIT Next Year116.14%
EBIT Next 3Y48.43%
EBIT Next 5YN/A
FCF growth 1Y-4.36%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-34.56%
OCF growth 3YN/A
OCF growth 5YN/A
TAT TECHNOLOGIES LTD / TATT FAQ
Can you provide the ChartMill fundamental rating for TAT TECHNOLOGIES LTD?
ChartMill assigns a fundamental rating of 6 / 10 to TATT.
Can you provide the valuation status for TAT TECHNOLOGIES LTD?
ChartMill assigns a valuation rating of 4 / 10 to TAT TECHNOLOGIES LTD (TATT). This can be considered as Fairly Valued.
Can you provide the profitability details for TAT TECHNOLOGIES LTD?
TAT TECHNOLOGIES LTD (TATT) has a profitability rating of 6 / 10.
What is the valuation of TAT TECHNOLOGIES LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TAT TECHNOLOGIES LTD (TATT) is 34.15 and the Price/Book (PB) ratio is 3.28.
Is the dividend of TAT TECHNOLOGIES LTD sustainable?
The dividend rating of TAT TECHNOLOGIES LTD (TATT) is 0 / 10 and the dividend payout ratio is 0%.