TRANSCAT INC (TRNS) Stock Fundamental Analysis
USA - NASDAQ:TRNS - US8935291075 - Common Stock
69.25 USD
-0.65 (-0.93%)
69.25 USD
0 (0%)
Overall TRNS gets a fundamental rating of 5 out of 10. We evaluated TRNS against 49 industry peers in the Trading Companies & Distributors industry. While TRNS has a great health rating, its profitability is only average at the moment. While showing a medium growth rate, TRNS is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
TRNS had positive earnings in the past year.
In the past year TRNS had a positive cash flow from operations.
Each year in the past 5 years TRNS has been profitable.
Each year in the past 5 years TRNS had a positive operating cash flow.
1.2 Ratios
TRNS's Return On Assets of 3.41% is in line compared to the rest of the industry. TRNS outperforms 48.98% of its industry peers.
TRNS has a Return On Equity of 4.57%. This is comparable to the rest of the industry: TRNS outperforms 40.82% of its industry peers.
TRNS has a worse Return On Invested Capital (3.98%) than 61.22% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TRNS is below the industry average of 10.04%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 4.57% | ||
| ROIC | 3.98% |
ROA(3y)4.66%
ROA(5y)5.25%
ROE(3y)7.28%
ROE(5y)9.09%
ROIC(3y)6%
ROIC(5y)6.74%
1.3 Margins
Looking at the Profit Margin, with a value of 4.64%, TRNS is in line with its industry, outperforming 57.14% of the companies in the same industry.
TRNS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 6.59%, TRNS is in line with its industry, outperforming 53.06% of the companies in the same industry.
In the last couple of years the Operating Margin of TRNS has grown nicely.
TRNS has a Gross Margin of 32.14%. This is comparable to the rest of the industry: TRNS outperforms 59.18% of its industry peers.
In the last couple of years the Gross Margin of TRNS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.59% | ||
| PM (TTM) | 4.64% | ||
| GM | 32.14% |
OM growth 3Y-2.14%
OM growth 5Y1.69%
PM growth 3Y-2.08%
PM growth 5Y2.27%
GM growth 3Y4.06%
GM growth 5Y5.54%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TRNS is destroying value.
Compared to 1 year ago, TRNS has more shares outstanding
TRNS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, TRNS has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 5.30 indicates that TRNS is not in any danger for bankruptcy at the moment.
TRNS has a Altman-Z score of 5.30. This is amongst the best in the industry. TRNS outperforms 85.71% of its industry peers.
TRNS has a debt to FCF ratio of 1.76. This is a very positive value and a sign of high solvency as it would only need 1.76 years to pay back of all of its debts.
TRNS has a better Debt to FCF ratio (1.76) than 81.63% of its industry peers.
A Debt/Equity ratio of 0.11 indicates that TRNS is not too dependend on debt financing.
TRNS's Debt to Equity ratio of 0.11 is fine compared to the rest of the industry. TRNS outperforms 75.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 1.76 | ||
| Altman-Z | 5.3 |
ROIC/WACC0.43
WACC9.35%
2.3 Liquidity
TRNS has a Current Ratio of 2.92. This indicates that TRNS is financially healthy and has no problem in meeting its short term obligations.
TRNS has a better Current ratio (2.92) than 75.51% of its industry peers.
TRNS has a Quick Ratio of 2.36. This indicates that TRNS is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of TRNS (2.36) is better than 83.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.36 |
3. Growth
3.1 Past
The earnings per share for TRNS have decreased by -6.51% in the last year.
TRNS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.36% yearly.
Looking at the last year, TRNS shows a quite strong growth in Revenue. The Revenue has grown by 8.49% in the last year.
Measured over the past years, TRNS shows a quite strong growth in Revenue. The Revenue has been growing by 9.97% on average per year.
EPS 1Y (TTM)-6.51%
EPS 3Y-2.79%
EPS 5Y6.36%
EPS Q2Q%22.92%
Revenue 1Y (TTM)8.49%
Revenue growth 3Y10.75%
Revenue growth 5Y9.97%
Sales Q2Q%14.57%
3.2 Future
TRNS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.33% yearly.
TRNS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.34% yearly.
EPS Next Y56.64%
EPS Next 2Y33.21%
EPS Next 3Y3.33%
EPS Next 5Y16.33%
Revenue Next Year16.45%
Revenue Next 2Y11.88%
Revenue Next 3Y10.93%
Revenue Next 5Y9.34%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
TRNS is valuated quite expensively with a Price/Earnings ratio of 43.83.
Based on the Price/Earnings ratio, TRNS is valued a bit more expensive than 67.35% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.40, TRNS is valued quite expensively.
The Price/Forward Earnings ratio is 26.55, which means the current valuation is very expensive for TRNS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TRNS indicates a slightly more expensive valuation: TRNS is more expensive than 63.27% of the companies listed in the same industry.
TRNS is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.83 | ||
| Fwd PE | 26.55 |
4.2 Price Multiples
63.27% of the companies in the same industry are cheaper than TRNS, based on the Enterprise Value to EBITDA ratio.
TRNS's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.99 | ||
| EV/EBITDA | 17.51 |
4.3 Compensation for Growth
TRNS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.77
PEG (5Y)6.89
EPS Next 2Y33.21%
EPS Next 3Y3.33%
5. Dividend
5.1 Amount
TRNS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
69.25
-0.65 (-0.93%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners95.92%
Inst Owner Change-0.03%
Ins Owners0.99%
Ins Owner Change1.01%
Market Cap645.41M
Analysts78.18
Price Target111.59 (61.14%)
Short Float %4.94%
Short Ratio4.69
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)24.54%
Min EPS beat(2)2.65%
Max EPS beat(2)46.44%
EPS beat(4)2
Avg EPS beat(4)-0.21%
Min EPS beat(4)-25.94%
Max EPS beat(4)46.44%
EPS beat(8)5
Avg EPS beat(8)-0.38%
EPS beat(12)7
Avg EPS beat(12)3%
EPS beat(16)9
Avg EPS beat(16)5.31%
Revenue beat(2)1
Avg Revenue beat(2)1.32%
Min Revenue beat(2)-1.01%
Max Revenue beat(2)3.66%
Revenue beat(4)1
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-6.92%
Max Revenue beat(4)3.66%
Revenue beat(8)3
Avg Revenue beat(8)-1.9%
Revenue beat(12)5
Avg Revenue beat(12)-1.22%
Revenue beat(16)7
Avg Revenue beat(16)-0.8%
PT rev (1m)0%
PT rev (3m)0.37%
EPS NQ rev (1m)0%
EPS NQ rev (3m)20.96%
EPS NY rev (1m)6.19%
EPS NY rev (3m)26.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.7%
Revenue NY rev (1m)0%
Revenue NY rev (3m)6.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.83 | ||
| Fwd PE | 26.55 | ||
| P/S | 2.24 | ||
| P/FCF | 32.99 | ||
| P/OCF | 19.16 | ||
| P/B | 2.21 | ||
| P/tB | 10.17 | ||
| EV/EBITDA | 17.51 |
EPS(TTM)1.58
EY2.28%
EPS(NY)2.61
Fwd EY3.77%
FCF(TTM)2.1
FCFY3.03%
OCF(TTM)3.61
OCFY5.22%
SpS30.92
BVpS31.39
TBVpS6.81
PEG (NY)0.77
PEG (5Y)6.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | 4.57% | ||
| ROCE | 5.2% | ||
| ROIC | 3.98% | ||
| ROICexc | 4.01% | ||
| ROICexgc | 10.83% | ||
| OM | 6.59% | ||
| PM (TTM) | 4.64% | ||
| GM | 32.14% | ||
| FCFM | 6.79% |
ROA(3y)4.66%
ROA(5y)5.25%
ROE(3y)7.28%
ROE(5y)9.09%
ROIC(3y)6%
ROIC(5y)6.74%
ROICexc(3y)6.37%
ROICexc(5y)6.98%
ROICexgc(3y)14.95%
ROICexgc(5y)15.39%
ROCE(3y)7.84%
ROCE(5y)8.8%
ROICexcg growth 3Y-9.42%
ROICexcg growth 5Y-3.25%
ROICexc growth 3Y-18.51%
ROICexc growth 5Y-11.8%
OM growth 3Y-2.14%
OM growth 5Y1.69%
PM growth 3Y-2.08%
PM growth 5Y2.27%
GM growth 3Y4.06%
GM growth 5Y5.54%
F-Score4
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 1.76 | ||
| Debt/EBITDA | 0.85 | ||
| Cap/Depr | 70.4% | ||
| Cap/Sales | 4.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.24% | ||
| Profit Quality | 146.34% | ||
| Current Ratio | 2.92 | ||
| Quick Ratio | 2.36 | ||
| Altman-Z | 5.3 |
F-Score4
WACC9.35%
ROIC/WACC0.43
Cap/Depr(3y)85.02%
Cap/Depr(5y)89.69%
Cap/Sales(3y)4.65%
Cap/Sales(5y)4.54%
Profit Quality(3y)129.96%
Profit Quality(5y)134.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.51%
EPS 3Y-2.79%
EPS 5Y6.36%
EPS Q2Q%22.92%
EPS Next Y56.64%
EPS Next 2Y33.21%
EPS Next 3Y3.33%
EPS Next 5Y16.33%
Revenue 1Y (TTM)8.49%
Revenue growth 3Y10.75%
Revenue growth 5Y9.97%
Sales Q2Q%14.57%
Revenue Next Year16.45%
Revenue Next 2Y11.88%
Revenue Next 3Y10.93%
Revenue Next 5Y9.34%
EBIT growth 1Y-13.17%
EBIT growth 3Y8.38%
EBIT growth 5Y11.83%
EBIT Next Year191.83%
EBIT Next 3Y38.68%
EBIT Next 5Y27.44%
FCF growth 1Y54.5%
FCF growth 3Y51.16%
FCF growth 5Y38.93%
OCF growth 1Y50.08%
OCF growth 3Y30.31%
OCF growth 5Y27.52%