UFP INDUSTRIES INC (UFPI) Stock Fundamental Analysis
USA - NASDAQ:UFPI - US90278Q1085 - Common Stock
92.18 USD
-1.07 (-1.15%)
92.18 USD
0 (0%)
Taking everything into account, UFPI scores 6 out of 10 in our fundamental rating. UFPI was compared to 41 industry peers in the Building Products industry. UFPI has an excellent financial health rating, but there are some minor concerns on its profitability. UFPI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
UFPI had positive earnings in the past year.
UFPI had a positive operating cash flow in the past year.
Each year in the past 5 years UFPI has been profitable.
In the past 5 years UFPI always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 8.23%, UFPI is doing good in the industry, outperforming 60.98% of the companies in the same industry.
The Return On Equity of UFPI (10.72%) is comparable to the rest of the industry.
UFPI's Return On Invested Capital of 9.15% is in line compared to the rest of the industry. UFPI outperforms 51.22% of its industry peers.
The Average Return On Invested Capital over the past 3 years for UFPI is above the industry average of 12.76%.
The last Return On Invested Capital (9.15%) for UFPI is well below the 3 year average (16.31%), which needs to be investigated, but indicates that UFPI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 10.72% | ||
| ROIC | 9.15% |
ROA(3y)13.3%
ROA(5y)13.17%
ROE(3y)18.2%
ROE(5y)19.45%
ROIC(3y)16.31%
ROIC(5y)17.19%
1.3 Margins
UFPI's Profit Margin of 5.15% is in line compared to the rest of the industry. UFPI outperforms 43.90% of its industry peers.
UFPI's Profit Margin has improved in the last couple of years.
UFPI's Operating Margin of 6.49% is on the low side compared to the rest of the industry. UFPI is outperformed by 73.17% of its industry peers.
UFPI's Operating Margin has improved in the last couple of years.
UFPI has a Gross Margin of 17.10%. This is amonst the worse of the industry: UFPI underperforms 85.37% of its industry peers.
UFPI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.49% | ||
| PM (TTM) | 5.15% | ||
| GM | 17.1% |
OM growth 3Y-4.27%
OM growth 5Y6.06%
PM growth 3Y-0.06%
PM growth 5Y8.59%
GM growth 3Y4.22%
GM growth 5Y3.5%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UFPI is creating some value.
Compared to 1 year ago, UFPI has less shares outstanding
Compared to 5 years ago, UFPI has less shares outstanding
The debt/assets ratio for UFPI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.83 indicates that UFPI is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 6.83, UFPI belongs to the best of the industry, outperforming 85.37% of the companies in the same industry.
UFPI has a debt to FCF ratio of 0.90. This is a very positive value and a sign of high solvency as it would only need 0.90 years to pay back of all of its debts.
UFPI has a Debt to FCF ratio of 0.90. This is amongst the best in the industry. UFPI outperforms 85.37% of its industry peers.
UFPI has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
UFPI's Debt to Equity ratio of 0.07 is amongst the best of the industry. UFPI outperforms 85.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.9 | ||
| Altman-Z | 6.83 |
ROIC/WACC0.88
WACC10.36%
2.3 Liquidity
UFPI has a Current Ratio of 4.54. This indicates that UFPI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of UFPI (4.54) is better than 95.12% of its industry peers.
A Quick Ratio of 3.16 indicates that UFPI has no problem at all paying its short term obligations.
UFPI has a Quick ratio of 3.16. This is amongst the best in the industry. UFPI outperforms 95.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.54 | ||
| Quick Ratio | 3.16 |
3. Growth
3.1 Past
UFPI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.49%.
UFPI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.40% yearly.
The Revenue for UFPI has decreased by -23.32% in the past year. This is quite bad
UFPI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.54% yearly.
EPS 1Y (TTM)-25.49%
EPS 3Y-7.63%
EPS 5Y18.4%
EPS Q2Q%-17.07%
Revenue 1Y (TTM)-23.32%
Revenue growth 3Y-8.33%
Revenue growth 5Y8.54%
Sales Q2Q%-3.5%
3.2 Future
Based on estimates for the next years, UFPI will show a small growth in Earnings Per Share. The EPS will grow by 0.29% on average per year.
UFPI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.14% yearly.
EPS Next Y-15.45%
EPS Next 2Y-2.01%
EPS Next 3Y0.29%
EPS Next 5YN/A
Revenue Next Year-2.03%
Revenue Next 2Y1.02%
Revenue Next 3Y1.14%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
UFPI is valuated correctly with a Price/Earnings ratio of 16.00.
Based on the Price/Earnings ratio, UFPI is valued a bit cheaper than 75.61% of the companies in the same industry.
UFPI is valuated rather cheaply when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 14.18 indicates a correct valuation of UFPI.
Based on the Price/Forward Earnings ratio, UFPI is valued a bit cheaper than the industry average as 68.29% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 23.32. UFPI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16 | ||
| Fwd PE | 14.18 |
4.2 Price Multiples
UFPI's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. UFPI is cheaper than 87.80% of the companies in the same industry.
UFPI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. UFPI is cheaper than 63.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.67 | ||
| EV/EBITDA | 8.27 |
4.3 Compensation for Growth
The decent profitability rating of UFPI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.87
EPS Next 2Y-2.01%
EPS Next 3Y0.29%
5. Dividend
5.1 Amount
UFPI has a Yearly Dividend Yield of 1.50%.
UFPI's Dividend Yield is rather good when compared to the industry average which is at 1.20. UFPI pays more dividend than 82.93% of the companies in the same industry.
UFPI's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
5.2 History
The dividend of UFPI is nicely growing with an annual growth rate of 26.94%!
UFPI has been paying a dividend for at least 10 years, so it has a reliable track record.
UFPI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)26.94%
Div Incr Years12
Div Non Decr Years31
5.3 Sustainability
24.35% of the earnings are spent on dividend by UFPI. This is a low number and sustainable payout ratio.
UFPI's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP24.35%
EPS Next 2Y-2.01%
EPS Next 3Y0.29%
92.18
-1.07 (-1.15%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners87.37%
Inst Owner Change-5%
Ins Owners1.73%
Ins Owner Change0.19%
Market Cap5.40B
Analysts78.18
Price Target120.77 (31.02%)
Short Float %2.07%
Short Ratio3.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.5% |
Yearly Dividend1.32
Dividend Growth(5Y)26.94%
DP24.35%
Div Incr Years12
Div Non Decr Years31
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-14.06%
Min EPS beat(2)-18.56%
Max EPS beat(2)-9.56%
EPS beat(4)0
Avg EPS beat(4)-13.6%
Min EPS beat(4)-18.56%
Max EPS beat(4)-9.56%
EPS beat(8)1
Avg EPS beat(8)-5.84%
EPS beat(12)4
Avg EPS beat(12)-1.39%
EPS beat(16)8
Avg EPS beat(16)10.76%
Revenue beat(2)0
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-2.94%
Max Revenue beat(2)-2.3%
Revenue beat(4)1
Avg Revenue beat(4)-3.23%
Min Revenue beat(4)-8.37%
Max Revenue beat(4)0.69%
Revenue beat(8)1
Avg Revenue beat(8)-4.96%
Revenue beat(12)2
Avg Revenue beat(12)-4.62%
Revenue beat(16)6
Avg Revenue beat(16)0.71%
PT rev (1m)0%
PT rev (3m)-1.33%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.98%
EPS NY rev (1m)0%
EPS NY rev (3m)-6.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.73%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16 | ||
| Fwd PE | 14.18 | ||
| P/S | 0.83 | ||
| P/FCF | 20.67 | ||
| P/OCF | 10.45 | ||
| P/B | 1.72 | ||
| P/tB | 2.04 | ||
| EV/EBITDA | 8.27 |
EPS(TTM)5.76
EY6.25%
EPS(NY)6.5
Fwd EY7.05%
FCF(TTM)4.46
FCFY4.84%
OCF(TTM)8.82
OCFY9.57%
SpS111.7
BVpS53.7
TBVpS45.26
PEG (NY)N/A
PEG (5Y)0.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.23% | ||
| ROE | 10.72% | ||
| ROCE | 11.87% | ||
| ROIC | 9.15% | ||
| ROICexc | 12.11% | ||
| ROICexgc | 14.83% | ||
| OM | 6.49% | ||
| PM (TTM) | 5.15% | ||
| GM | 17.1% | ||
| FCFM | 3.99% |
ROA(3y)13.3%
ROA(5y)13.17%
ROE(3y)18.2%
ROE(5y)19.45%
ROIC(3y)16.31%
ROIC(5y)17.19%
ROICexc(3y)22.4%
ROICexc(5y)22.4%
ROICexgc(3y)28.31%
ROICexgc(5y)28.33%
ROCE(3y)21.16%
ROCE(5y)22.34%
ROICexcg growth 3Y-15.45%
ROICexcg growth 5Y2.12%
ROICexc growth 3Y-15.65%
ROICexc growth 5Y2.29%
OM growth 3Y-4.27%
OM growth 5Y6.06%
PM growth 3Y-0.06%
PM growth 5Y8.59%
GM growth 3Y4.22%
GM growth 5Y3.5%
F-Score6
Asset Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.9 | ||
| Debt/EBITDA | 0.4 | ||
| Cap/Depr | 165.37% | ||
| Cap/Sales | 3.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 89.21% | ||
| Profit Quality | 77.47% | ||
| Current Ratio | 4.54 | ||
| Quick Ratio | 3.16 | ||
| Altman-Z | 6.83 |
F-Score6
WACC10.36%
ROIC/WACC0.88
Cap/Depr(3y)148.93%
Cap/Depr(5y)144.72%
Cap/Sales(3y)2.6%
Cap/Sales(5y)2.26%
Profit Quality(3y)120.39%
Profit Quality(5y)106.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-25.49%
EPS 3Y-7.63%
EPS 5Y18.4%
EPS Q2Q%-17.07%
EPS Next Y-15.45%
EPS Next 2Y-2.01%
EPS Next 3Y0.29%
EPS Next 5YN/A
Revenue 1Y (TTM)-23.32%
Revenue growth 3Y-8.33%
Revenue growth 5Y8.54%
Sales Q2Q%-3.5%
Revenue Next Year-2.03%
Revenue Next 2Y1.02%
Revenue Next 3Y1.14%
Revenue Next 5YN/A
EBIT growth 1Y-40.86%
EBIT growth 3Y-12.25%
EBIT growth 5Y15.12%
EBIT Next Year15.97%
EBIT Next 3Y9.7%
EBIT Next 5YN/A
FCF growth 1Y-70.15%
FCF growth 3Y4.33%
FCF growth 5Y9.19%
OCF growth 1Y-51.37%
OCF growth 3Y7.83%
OCF growth 5Y12.97%