33.3 USD
-0.05 (-0.15%)
33.34 USD
+0.04 (+0.12%)
We assign a fundamental rating of 5 out of 10 to TWNK. TWNK was compared to 86 industry peers in the Food Products industry. TWNK scores excellent on profitability, but there are some minor concerns on its financial health. TWNK is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TWNK was profitable.
TWNK had a positive operating cash flow in the past year.
In the past 5 years TWNK has always been profitable.
Each year in the past 5 years TWNK had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.83%, TWNK is in the better half of the industry, outperforming 63.44% of the companies in the same industry.
TWNK has a Return On Equity of 9.18%. This is in the better half of the industry: TWNK outperforms 64.52% of its industry peers.
TWNK has a Return On Invested Capital of 5.38%. This is in the better half of the industry: TWNK outperforms 63.44% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TWNK is significantly below the industry average of 28.69%.
The 3 year average ROIC (4.37%) for TWNK is below the current ROIC(5.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.18% | ||
| ROIC | 5.38% |
ROA(3y)3.36%
ROA(5y)2.84%
ROE(3y)6.69%
ROE(5y)5.91%
ROIC(3y)4.37%
ROIC(5y)3.94%
1.3 Margins
TWNK's Profit Margin of 12.28% is amongst the best of the industry. TWNK outperforms 90.32% of its industry peers.
TWNK's Profit Margin has declined in the last couple of years.
TWNK has a Operating Margin of 16.91%. This is amongst the best in the industry. TWNK outperforms 94.62% of its industry peers.
TWNK's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 34.99%, TWNK belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
TWNK's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.91% | ||
| PM (TTM) | 12.28% | ||
| GM | 34.99% |
OM growth 3Y3.8%
OM growth 5Y-7.44%
PM growth 3Y20.25%
PM growth 5Y-15.96%
GM growth 3Y1.25%
GM growth 5Y-4.03%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), TWNK is destroying value.
TWNK has less shares outstanding than it did 1 year ago.
Compared to 1 year ago, TWNK has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.54 indicates that TWNK is not a great score, but indicates only limited risk for bankruptcy at the moment.
TWNK's Altman-Z score of 2.54 is in line compared to the rest of the industry. TWNK outperforms 58.06% of its industry peers.
TWNK has a debt to FCF ratio of 9.63. This is a negative value and a sign of low solvency as TWNK would need 9.63 years to pay back of all of its debts.
The Debt to FCF ratio of TWNK (9.63) is better than 63.44% of its industry peers.
TWNK has a Debt/Equity ratio of 0.53. This is a neutral value indicating TWNK is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.53, TWNK is in line with its industry, outperforming 48.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 9.63 | ||
| Altman-Z | 2.54 |
ROIC/WACC0.68
WACC7.88%
2.3 Liquidity
TWNK has a Current Ratio of 1.80. This is a normal value and indicates that TWNK is financially healthy and should not expect problems in meeting its short term obligations.
TWNK has a Current ratio (1.80) which is in line with its industry peers.
TWNK has a Quick Ratio of 1.47. This is a normal value and indicates that TWNK is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.47, TWNK is in the better half of the industry, outperforming 74.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
TWNK shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.47%, which is quite good.
TWNK shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.36% yearly.
TWNK shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.00%.
Measured over the past years, TWNK shows a quite strong growth in Revenue. The Revenue has been growing by 11.84% on average per year.
EPS 1Y (TTM)9.47%
EPS 3Y17.37%
EPS 5Y7.36%
EPS Q2Q%27.27%
Revenue 1Y (TTM)10%
Revenue growth 3Y14.38%
Revenue growth 5Y11.84%
Sales Q2Q%3.49%
3.2 Future
The Earnings Per Share is expected to grow by 8.80% on average over the next years. This is quite good.
Based on estimates for the next years, TWNK will show a small growth in Revenue. The Revenue will grow by 4.32% on average per year.
EPS Next Y18%
EPS Next 2Y13.51%
EPS Next 3Y11.36%
EPS Next 5Y8.8%
Revenue Next Year5.6%
Revenue Next 2Y5.07%
Revenue Next 3Y4.87%
Revenue Next 5Y4.32%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.02, TWNK can be considered very expensive at the moment.
TWNK's Price/Earnings is on the same level as the industry average.
TWNK's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.54.
A Price/Forward Earnings ratio of 26.64 indicates a quite expensive valuation of TWNK.
TWNK's Price/Forward Earnings is on the same level as the industry average.
TWNK is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.78, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.02 | ||
| Fwd PE | 26.64 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TWNK.
TWNK's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.86 | ||
| EV/EBITDA | 17.97 |
4.3 Compensation for Growth
TWNK's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of TWNK may justify a higher PE ratio.
PEG (NY)1.78
PEG (5Y)4.35
EPS Next 2Y13.51%
EPS Next 3Y11.36%
5. Dividend
5.1 Amount
No dividends for TWNK!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.3
-0.05 (-0.15%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners0%
Inst Owner Change0%
Ins Owners19.27%
Ins Owner Change0%
Market Cap4.42B
Revenue(TTM)1.38B
Net Income(TTM)169.94M
Analysts70
Price Target34.74 (4.32%)
Short Float %N/A
Short RatioN/A
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)3.59%
Min EPS beat(2)2.05%
Max EPS beat(2)5.14%
EPS beat(4)4
Avg EPS beat(4)3.97%
Min EPS beat(4)1.05%
Max EPS beat(4)7.63%
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)1
Avg Revenue beat(2)-1.77%
Min Revenue beat(2)-3.6%
Max Revenue beat(2)0.06%
Revenue beat(4)3
Avg Revenue beat(4)0.55%
Min Revenue beat(4)-3.6%
Max Revenue beat(4)5.27%
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)0.74%
PT rev (3m)16.56%
EPS NQ rev (1m)0.48%
EPS NQ rev (3m)-0.04%
EPS NY rev (1m)0%
EPS NY rev (3m)0.88%
Revenue NQ rev (1m)-0.87%
Revenue NQ rev (3m)-1.66%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.02 | ||
| Fwd PE | 26.64 | ||
| P/S | 3.2 | ||
| P/FCF | 42.86 | ||
| P/OCF | 17.7 | ||
| P/B | 2.39 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.97 |
EPS(TTM)1.04
EY3.12%
EPS(NY)1.25
Fwd EY3.75%
FCF(TTM)0.78
FCFY2.33%
OCF(TTM)1.88
OCFY5.65%
SpS10.41
BVpS13.94
TBVpS-5.91
PEG (NY)1.78
PEG (5Y)4.35
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.83% | ||
| ROE | 9.18% | ||
| ROCE | 7.06% | ||
| ROIC | 5.38% | ||
| ROICexc | 5.54% | ||
| ROICexgc | 30.86% | ||
| OM | 16.91% | ||
| PM (TTM) | 12.28% | ||
| GM | 34.99% | ||
| FCFM | 7.46% |
ROA(3y)3.36%
ROA(5y)2.84%
ROE(3y)6.69%
ROE(5y)5.91%
ROIC(3y)4.37%
ROIC(5y)3.94%
ROICexc(3y)4.63%
ROICexc(5y)4.2%
ROICexgc(3y)35.07%
ROICexgc(5y)36.04%
ROCE(3y)5.74%
ROCE(5y)5.17%
ROICexgc growth 3Y-5.58%
ROICexgc growth 5Y-14.6%
ROICexc growth 3Y12.1%
ROICexc growth 5Y0.38%
OM growth 3Y3.8%
OM growth 5Y-7.44%
PM growth 3Y20.25%
PM growth 5Y-15.96%
GM growth 3Y1.25%
GM growth 5Y-4.03%
F-Score8
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.53 | ||
| Debt/FCF | 9.63 | ||
| Debt/EBITDA | 3.32 | ||
| Cap/Depr | 235.98% | ||
| Cap/Sales | 10.61% | ||
| Interest Coverage | 4.78 | ||
| Cash Conversion | 84.43% | ||
| Profit Quality | 60.75% | ||
| Current Ratio | 1.8 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 2.54 |
F-Score8
WACC7.88%
ROIC/WACC0.68
Cap/Depr(3y)149.99%
Cap/Depr(5y)132.08%
Cap/Sales(3y)7.02%
Cap/Sales(5y)6.24%
Profit Quality(3y)114.45%
Profit Quality(5y)131.78%
High Growth Momentum
Growth
EPS 1Y (TTM)9.47%
EPS 3Y17.37%
EPS 5Y7.36%
EPS Q2Q%27.27%
EPS Next Y18%
EPS Next 2Y13.51%
EPS Next 3Y11.36%
EPS Next 5Y8.8%
Revenue 1Y (TTM)10%
Revenue growth 3Y14.38%
Revenue growth 5Y11.84%
Sales Q2Q%3.49%
Revenue Next Year5.6%
Revenue Next 2Y5.07%
Revenue Next 3Y4.87%
Revenue Next 5Y4.32%
EBIT growth 1Y12.2%
EBIT growth 3Y18.73%
EBIT growth 5Y3.52%
EBIT Next Year45.07%
EBIT Next 3Y18.06%
EBIT Next 5Y17.33%
FCF growth 1Y-21.87%
FCF growth 3Y4.56%
FCF growth 5Y-1.62%
OCF growth 1Y34.54%
OCF growth 3Y20%
OCF growth 5Y8.73%
HOSTESS BRANDS INC / TWNK FAQ
What is the ChartMill fundamental rating of HOSTESS BRANDS INC (TWNK) stock?
ChartMill assigns a fundamental rating of 5 / 10 to TWNK.
What is the valuation status for TWNK stock?
ChartMill assigns a valuation rating of 2 / 10 to HOSTESS BRANDS INC (TWNK). This can be considered as Overvalued.
What is the profitability of TWNK stock?
HOSTESS BRANDS INC (TWNK) has a profitability rating of 7 / 10.
What is the financial health of HOSTESS BRANDS INC (TWNK) stock?
The financial health rating of HOSTESS BRANDS INC (TWNK) is 5 / 10.