TAT TECHNOLOGIES LTD (TATT) Stock Fundamental Analysis
USA - NASDAQ:TATT - IL0010827264 - Common Stock
44.415 USD
+1.2 (+2.76%)
44.415 USD
0 (0%)
Taking everything into account, TATT scores 6 out of 10 in our fundamental rating. TATT was compared to 70 industry peers in the Aerospace & Defense industry. TATT has an average financial health and profitability rating. TATT is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes TATT very considerable for growth investing!
1. Profitability
1.1 Basic Checks
TATT had positive earnings in the past year.
In the past year TATT had a positive cash flow from operations.
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
With a decent Return On Assets value of 6.41%, TATT is doing good in the industry, outperforming 75.71% of the companies in the same industry.
Looking at the Return On Equity, with a value of 8.26%, TATT is in the better half of the industry, outperforming 61.43% of the companies in the same industry.
TATT has a Return On Invested Capital of 7.11%. This is in the better half of the industry: TATT outperforms 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.
In the last couple of years the Profit Margin of TATT has grown nicely.
TATT has a Operating Margin of 9.69%. This is in the better half of the industry: TATT outperforms 61.43% of its industry peers.
TATT's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 23.23%, TATT perfoms like the industry average, outperforming 45.71% of the companies in the same industry.
In the last couple of years the Gross Margin of TATT has grown nicely.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TATT is destroying value.
The number of shares outstanding for TATT has been increased compared to 1 year ago.
TATT has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TATT has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 8.96 indicates that TATT is not in any danger for bankruptcy at the moment.
TATT's Altman-Z score of 8.96 is fine compared to the rest of the industry. TATT outperforms 75.71% of its industry peers.
A Debt/Equity ratio of 0.06 indicates that TATT is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.06, TATT belongs to the top of the industry, outperforming 81.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 8.96 |
ROIC/WACC0.82
WACC8.65%
2.3 Liquidity
TATT has a Current Ratio of 4.67. This indicates that TATT is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of TATT (4.67) is better 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.
Looking at the Quick ratio, with a value of 2.42, TATT is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.67 | ||
| Quick Ratio | 2.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 65.63% over the past year.
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%.
TATT shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.30% yearly.
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
With a Price/Earnings ratio of 36.11, TATT can be considered very expensive at the moment.
TATT's Price/Earnings ratio is a bit cheaper when compared to the industry. TATT is cheaper than 72.86% of the companies in the same industry.
TATT's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.83.
The Price/Forward Earnings ratio is 22.44, which indicates a rather expensive current valuation of TATT.
TATT's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TATT is cheaper than 80.00% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of TATT to the average of the S&P500 Index (22.88), we can say TATT is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.11 | ||
| Fwd PE | 22.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TATT indicates a somewhat cheap valuation: TATT is cheaper than 62.86% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 24.8 |
4.3 Compensation for Growth
TATT's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TATT has a very decent profitability rating, which 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)0.99
PEG (5Y)0.55
EPS Next 2Y36.6%
EPS Next 3Y25.28%
5. Dividend
5.1 Amount
TATT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
44.415
+1.2 (+2.76%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners57.97%
Inst Owner Change0.41%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap575.17M
Revenue(TTM)166.75M
Net Income(TTM)13.70M
Analysts84
Price Target40.55 (-8.7%)
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)3.7%
PT rev (3m)11.97%
EPS NQ rev (1m)1.05%
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 | 36.11 | ||
| Fwd PE | 22.44 | ||
| P/S | 3.45 | ||
| P/FCF | N/A | ||
| P/OCF | 153.67 | ||
| P/B | 3.47 | ||
| P/tB | 3.5 | ||
| EV/EBITDA | 24.8 |
EPS(TTM)1.23
EY2.77%
EPS(NY)1.98
Fwd EY4.46%
FCF(TTM)-0.43
FCFYN/A
OCF(TTM)0.29
OCFY0.65%
SpS12.88
BVpS12.8
TBVpS12.68
PEG (NY)0.99
PEG (5Y)0.55
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 | 8.96 |
F-Score6
WACC8.65%
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 36.11 and the Price/Book (PB) ratio is 3.47.
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%.