VIRCO MFG CORPORATION (VIRC) Stock Fundamental Analysis
USA - NASDAQ:VIRC - US9276511097 - Common Stock
6.5 USD
-0.1 (-1.52%)
6.5 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to VIRC. VIRC was compared to 82 industry peers in the Commercial Services & Supplies industry. VIRC gets an excellent profitability rating and is at the same time showing great financial health properties. VIRC has a bad growth rate and is valued cheaply. These ratings would make VIRC suitable for value investing!
1. Profitability
1.1 Basic Checks
VIRC had positive earnings in the past year.
In the past year VIRC had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: VIRC reported negative net income in multiple years.
In multiple years VIRC reported negative operating cash flow during the last 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.84%, VIRC is in the better half of the industry, outperforming 79.27% of the companies in the same industry.
The Return On Equity of VIRC (11.78%) is better than 69.51% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.58%, VIRC is in the better half of the industry, outperforming 73.17% of the companies in the same industry.
VIRC had an Average Return On Invested Capital over the past 3 years of 14.56%. This is above the industry average of 10.46%.
The last Return On Invested Capital (8.58%) for VIRC is well below the 3 year average (14.56%), which needs to be investigated, but indicates that VIRC had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.84% | ||
| ROE | 11.78% | ||
| ROIC | 8.58% |
ROA(3y)12.41%
ROA(5y)4.7%
ROE(3y)22.69%
ROE(5y)6.43%
ROIC(3y)14.56%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 5.74%, VIRC is doing good in the industry, outperforming 70.73% of the companies in the same industry.
In the last couple of years the Profit Margin of VIRC has grown nicely.
With a decent Operating Margin value of 7.71%, VIRC is doing good in the industry, outperforming 63.41% of the companies in the same industry.
In the last couple of years the Operating Margin of VIRC has grown nicely.
VIRC's Gross Margin of 42.64% is fine compared to the rest of the industry. VIRC outperforms 76.83% of its industry peers.
In the last couple of years the Gross Margin of VIRC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.71% | ||
| PM (TTM) | 5.74% | ||
| GM | 42.64% |
OM growth 3YN/A
OM growth 5Y27.9%
PM growth 3YN/A
PM growth 5Y45.57%
GM growth 3Y9.34%
GM growth 5Y3.01%
2. Health
2.1 Basic Checks
VIRC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
VIRC has less shares outstanding than it did 1 year ago.
VIRC has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, VIRC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.70 indicates that VIRC is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.70, VIRC is in line with its industry, outperforming 57.32% of the companies in the same industry.
VIRC has a debt to FCF ratio of 1.90. This is a very positive value and a sign of high solvency as it would only need 1.90 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.90, VIRC belongs to the best of the industry, outperforming 81.71% of the companies in the same industry.
VIRC has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
VIRC has a Debt to Equity ratio of 0.03. This is in the better half of the industry: VIRC outperforms 79.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 1.9 | ||
| Altman-Z | 2.7 |
ROIC/WACC0.99
WACC8.67%
2.3 Liquidity
A Current Ratio of 2.96 indicates that VIRC has no problem at all paying its short term obligations.
VIRC's Current ratio of 2.96 is amongst the best of the industry. VIRC outperforms 81.71% of its industry peers.
VIRC has a Quick Ratio of 1.38. This is a normal value and indicates that VIRC is financially healthy and should not expect problems in meeting its short term obligations.
VIRC has a Quick ratio of 1.38. This is comparable to the rest of the industry: VIRC outperforms 53.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.96 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
VIRC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -47.27%.
Measured over the past years, VIRC shows a very strong growth in Earnings Per Share. The EPS has been growing by 54.95% on average per year.
VIRC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -15.99%.
Measured over the past years, VIRC shows a small growth in Revenue. The Revenue has been growing by 6.65% on average per year.
EPS 1Y (TTM)-47.27%
EPS 3YN/A
EPS 5Y54.95%
EPS Q2Q%-37.5%
Revenue 1Y (TTM)-15.99%
Revenue growth 3Y12.94%
Revenue growth 5Y6.65%
Sales Q2Q%-15.06%
3.2 Future
Based on estimates for the next years, VIRC will show a decrease in Earnings Per Share. The EPS will decrease by -6.44% on average per year.
Based on estimates for the next years, VIRC will show a decrease in Revenue. The Revenue will decrease by -1.02% on average per year.
EPS Next Y-24.03%
EPS Next 2Y-6.44%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.29%
Revenue Next 2Y-1.02%
Revenue Next 3YN/A
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
The Price/Earnings ratio is 7.47, which indicates a rather cheap valuation of VIRC.
89.02% of the companies in the same industry are more expensive than VIRC, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.56, VIRC is valued rather cheaply.
VIRC is valuated cheaply with a Price/Forward Earnings ratio of 5.54.
VIRC's Price/Forward Earnings ratio is rather cheap when compared to the industry. VIRC is cheaper than 93.90% of the companies in the same industry.
VIRC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.62.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.47 | ||
| Fwd PE | 5.54 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VIRC is valued cheaply inside the industry as 92.68% of the companies are valued more expensively.
The rest of the industry has a similar Price/Free Cash Flow ratio as VIRC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.46 | ||
| EV/EBITDA | 4.33 |
4.3 Compensation for Growth
VIRC has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as VIRC's earnings are expected to decrease with -6.44% in the coming years.
PEG (NY)N/A
PEG (5Y)0.14
EPS Next 2Y-6.44%
EPS Next 3YN/A
5. Dividend
5.1 Amount
VIRC has a Yearly Dividend Yield of 1.43%.
In the last 3 months the price of VIRC has falen by -23.26%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 2.55, VIRC pays a better dividend. On top of this VIRC pays more dividend than 80.49% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, VIRC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
5.2 History
VIRC has paid a dividend for at least 10 years, which is a reliable track record.
VIRC has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
11.75% of the earnings are spent on dividend by VIRC. This is a low number and sustainable payout ratio.
DP11.75%
EPS Next 2Y-6.44%
EPS Next 3YN/A
6.5
-0.1 (-1.52%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners51.57%
Inst Owner Change-5.64%
Ins Owners15.46%
Ins Owner Change1.56%
Market Cap102.44M
Revenue(TTM)236.93M
Net Income(TTM)13.59M
Analysts85.71
Price Target12.24 (88.31%)
Short Float %4.27%
Short Ratio7.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
Yearly Dividend0.09
Dividend Growth(5Y)N/A
DP11.75%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)56.74%
Min EPS beat(2)-24.23%
Max EPS beat(2)137.71%
EPS beat(4)1
Avg EPS beat(4)-14.12%
Min EPS beat(4)-128.76%
Max EPS beat(4)137.71%
EPS beat(8)4
Avg EPS beat(8)24.61%
EPS beat(12)8
Avg EPS beat(12)73.37%
EPS beat(16)9
Avg EPS beat(16)29.72%
Revenue beat(2)0
Avg Revenue beat(2)-20.09%
Min Revenue beat(2)-20.7%
Max Revenue beat(2)-19.48%
Revenue beat(4)0
Avg Revenue beat(4)-22.93%
Min Revenue beat(4)-35.14%
Max Revenue beat(4)-16.4%
Revenue beat(8)2
Avg Revenue beat(8)-12.3%
Revenue beat(12)4
Avg Revenue beat(12)-9.11%
Revenue beat(16)5
Avg Revenue beat(16)-10.53%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.47 | ||
| Fwd PE | 5.54 | ||
| P/S | 0.43 | ||
| P/FCF | 48.46 | ||
| P/OCF | 10.97 | ||
| P/B | 0.89 | ||
| P/tB | 0.89 | ||
| EV/EBITDA | 4.33 |
EPS(TTM)0.87
EY13.38%
EPS(NY)1.17
Fwd EY18.05%
FCF(TTM)0.13
FCFY2.06%
OCF(TTM)0.59
OCFY9.12%
SpS15.03
BVpS7.32
TBVpS7.32
PEG (NY)N/A
PEG (5Y)0.14
Graham Number11.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.84% | ||
| ROE | 11.78% | ||
| ROCE | 11.36% | ||
| ROIC | 8.58% | ||
| ROICexc | 8.72% | ||
| ROICexgc | 8.72% | ||
| OM | 7.71% | ||
| PM (TTM) | 5.74% | ||
| GM | 42.64% | ||
| FCFM | 0.89% |
ROA(3y)12.41%
ROA(5y)4.7%
ROE(3y)22.69%
ROE(5y)6.43%
ROIC(3y)14.56%
ROIC(5y)N/A
ROICexc(3y)15.89%
ROICexc(5y)N/A
ROICexgc(3y)15.89%
ROICexgc(5y)N/A
ROCE(3y)19.28%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y32.4%
ROICexc growth 3YN/A
ROICexc growth 5Y32.4%
OM growth 3YN/A
OM growth 5Y27.9%
PM growth 3YN/A
PM growth 5Y45.57%
GM growth 3Y9.34%
GM growth 5Y3.01%
F-Score3
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 1.9 | ||
| Debt/EBITDA | 0.15 | ||
| Cap/Depr | 119.22% | ||
| Cap/Sales | 3.05% | ||
| Interest Coverage | 217.51 | ||
| Cash Conversion | 38.38% | ||
| Profit Quality | 15.56% | ||
| Current Ratio | 2.96 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 2.7 |
F-Score3
WACC8.67%
ROIC/WACC0.99
Cap/Depr(3y)95.65%
Cap/Depr(5y)78.97%
Cap/Sales(3y)1.92%
Cap/Sales(5y)1.76%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-47.27%
EPS 3YN/A
EPS 5Y54.95%
EPS Q2Q%-37.5%
EPS Next Y-24.03%
EPS Next 2Y-6.44%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-15.99%
Revenue growth 3Y12.94%
Revenue growth 5Y6.65%
Sales Q2Q%-15.06%
Revenue Next Year-6.29%
Revenue Next 2Y-1.02%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-50.35%
EBIT growth 3YN/A
EBIT growth 5Y36.4%
EBIT Next Year-26.59%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y122.07%
FCF growth 3YN/A
FCF growth 5Y37.1%
OCF growth 1Y287.91%
OCF growth 3YN/A
OCF growth 5Y27.69%
VIRCO MFG CORPORATION / VIRC FAQ
Can you provide the ChartMill fundamental rating for VIRCO MFG CORPORATION?
ChartMill assigns a fundamental rating of 6 / 10 to VIRC.
Can you provide the valuation status for VIRCO MFG CORPORATION?
ChartMill assigns a valuation rating of 7 / 10 to VIRCO MFG CORPORATION (VIRC). This can be considered as Undervalued.
Can you provide the profitability details for VIRCO MFG CORPORATION?
VIRCO MFG CORPORATION (VIRC) has a profitability rating of 7 / 10.
What are the PE and PB ratios of VIRCO MFG CORPORATION (VIRC) stock?
The Price/Earnings (PE) ratio for VIRCO MFG CORPORATION (VIRC) is 7.47 and the Price/Book (PB) ratio is 0.89.
What is the earnings growth outlook for VIRCO MFG CORPORATION?
The Earnings per Share (EPS) of VIRCO MFG CORPORATION (VIRC) is expected to decline by -24.03% in the next year.