VIRCO MFG CORPORATION (VIRC) Stock Fundamental Analysis
NASDAQ:VIRC - US9276511097 - Common Stock
8.72 USD
+0.25 (+2.95%)
8.72 USD
0 (0%)
Overall VIRC gets a fundamental rating of 6 out of 10. We evaluated VIRC against 84 industry peers in the Commercial Services & Supplies industry. VIRC has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. VIRC has a bad growth rate and is valued cheaply. With these ratings, VIRC could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
VIRC had positive earnings in the past year.
VIRC had a positive operating cash flow in the past year.
In multiple years VIRC reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: VIRC reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of VIRC (11.01%) is better than 86.90% of its industry peers.
The Return On Equity of VIRC (19.16%) is better than 85.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 12.27%, VIRC belongs to the top of the industry, outperforming 84.52% 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 10.78%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.01% | ||
| ROE | 19.16% | ||
| ROIC | 12.27% |
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 7.99%, VIRC is doing good in the industry, outperforming 78.57% of the companies in the same industry.
VIRC's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 9.79%, VIRC is doing good in the industry, outperforming 70.24% of the companies in the same industry.
VIRC's Operating Margin has improved in the last couple of years.
VIRC's Gross Margin of 43.58% is fine compared to the rest of the industry. VIRC outperforms 77.38% of its industry peers.
VIRC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.79% | ||
| PM (TTM) | 7.99% | ||
| GM | 43.58% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), VIRC is creating some value.
VIRC has less shares outstanding than it did 1 year ago.
The number of shares outstanding for VIRC has been increased compared to 5 years ago.
The debt/assets ratio for VIRC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.22 indicates that VIRC is not in any danger for bankruptcy at the moment.
VIRC has a Altman-Z score of 3.22. This is in the better half of the industry: VIRC outperforms 61.90% of its industry peers.
VIRC has a debt to FCF ratio of 0.37. This is a very positive value and a sign of high solvency as it would only need 0.37 years to pay back of all of its debts.
VIRC has a better Debt to FCF ratio (0.37) than 86.90% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that VIRC is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.04, VIRC is doing good in the industry, outperforming 79.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.37 | ||
| Altman-Z | 3.22 |
ROIC/WACC1.39
WACC8.82%
2.3 Liquidity
VIRC has a Current Ratio of 3.02. This indicates that VIRC is financially healthy and has no problem in meeting its short term obligations.
VIRC's Current ratio of 3.02 is amongst the best of the industry. VIRC outperforms 83.33% of its industry peers.
A Quick Ratio of 0.65 indicates that VIRC may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.65, VIRC is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.02 | ||
| Quick Ratio | 0.65 |
3. Growth
3.1 Past
The earnings per share for VIRC have decreased strongly by -19.23% in the last year.
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.
Looking at the last year, VIRC shows a decrease in Revenue. The Revenue has decreased by -9.84% in the last year.
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)-19.23%
EPS 3YN/A
EPS 5Y54.95%
EPS Q2Q%-61.54%
Revenue 1Y (TTM)-9.84%
Revenue growth 3Y12.94%
Revenue growth 5Y6.65%
Sales Q2Q%-27.78%
3.2 Future
The Earnings Per Share is expected to decrease by -6.44% on average over the next years.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.92 indicates a rather cheap valuation of VIRC.
VIRC's Price/Earnings ratio is rather cheap when compared to the industry. VIRC is cheaper than 91.67% of the companies in the same industry.
VIRC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.03.
Based on the Price/Forward Earnings ratio of 7.43, the valuation of VIRC can be described as very cheap.
Based on the Price/Forward Earnings ratio, VIRC is valued cheaply inside the industry as 95.24% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.63, VIRC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.92 | ||
| Fwd PE | 7.43 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VIRC indicates a rather cheap valuation: VIRC is cheaper than 94.05% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, VIRC is valued cheaper than 82.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.53 | ||
| EV/EBITDA | 4.58 |
4.3 Compensation for Growth
The decent profitability rating of VIRC 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)0.13
EPS Next 2Y-6.44%
EPS Next 3YN/A
5. Dividend
5.1 Amount
VIRC has a Yearly Dividend Yield of 1.24%. Purely for dividend investing, there may be better candidates out there.
VIRC's Dividend Yield is a higher than the industry average which is at 2.36.
With a Dividend Yield of 1.24, VIRC pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
5.2 History
VIRC has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of VIRC decreased recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
VIRC pays out 7.56% of its income as dividend. This is a sustainable payout ratio.
DP7.56%
EPS Next 2Y-6.44%
EPS Next 3YN/A
8.72
+0.25 (+2.95%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners54.71%
Inst Owner Change-6.39%
Ins Owners15.48%
Ins Owner Change0.78%
Market Cap137.25M
Analysts85.71
Price Target12.24 (40.37%)
Short Float %5.54%
Short Ratio9.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend0.09
Dividend Growth(5Y)N/A
DP7.56%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.47%
Min EPS beat(2)-128.76%
Max EPS beat(2)137.71%
EPS beat(4)2
Avg EPS beat(4)-7.57%
Min EPS beat(4)-128.76%
Max EPS beat(4)137.71%
EPS beat(8)5
Avg EPS beat(8)33.25%
EPS beat(12)9
Avg EPS beat(12)78.46%
EPS beat(16)9
Avg EPS beat(16)29.89%
Revenue beat(2)0
Avg Revenue beat(2)-27.31%
Min Revenue beat(2)-35.14%
Max Revenue beat(2)-19.48%
Revenue beat(4)0
Avg Revenue beat(4)-19.83%
Min Revenue beat(4)-35.14%
Max Revenue beat(4)-8.3%
Revenue beat(8)3
Avg Revenue beat(8)-8.4%
Revenue beat(12)4
Avg Revenue beat(12)-8.32%
Revenue beat(16)5
Avg Revenue beat(16)-10.48%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.9%
EPS NY rev (1m)0%
EPS NY rev (3m)26.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.92 | ||
| Fwd PE | 7.43 | ||
| P/S | 0.54 | ||
| P/FCF | 12.53 | ||
| P/OCF | 7.38 | ||
| P/B | 1.3 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | 4.58 |
EPS(TTM)1.26
EY14.45%
EPS(NY)1.17
Fwd EY13.45%
FCF(TTM)0.7
FCFY7.98%
OCF(TTM)1.18
OCFY13.55%
SpS16.09
BVpS6.71
TBVpS6.71
PEG (NY)N/A
PEG (5Y)0.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.01% | ||
| ROE | 19.16% | ||
| ROCE | 16.25% | ||
| ROIC | 12.27% | ||
| ROICexc | 12.35% | ||
| ROICexgc | 12.35% | ||
| OM | 9.79% | ||
| PM (TTM) | 7.99% | ||
| GM | 43.58% | ||
| FCFM | 4.32% |
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
ROICexcg growth 3YN/A
ROICexcg 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-Score4
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.37 | ||
| Debt/EBITDA | 0.12 | ||
| Cap/Depr | 129.9% | ||
| Cap/Sales | 3.02% | ||
| Interest Coverage | 123.35 | ||
| Cash Conversion | 60.63% | ||
| Profit Quality | 54.13% | ||
| Current Ratio | 3.02 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | 3.22 |
F-Score4
WACC8.82%
ROIC/WACC1.39
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)-19.23%
EPS 3YN/A
EPS 5Y54.95%
EPS Q2Q%-61.54%
EPS Next Y-24.03%
EPS Next 2Y-6.44%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-9.84%
Revenue growth 3Y12.94%
Revenue growth 5Y6.65%
Sales Q2Q%-27.78%
Revenue Next Year-6.29%
Revenue Next 2Y-1.02%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-31.52%
EBIT growth 3YN/A
EBIT growth 5Y36.4%
EBIT Next Year-26.59%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1486.46%
FCF growth 3YN/A
FCF growth 5Y37.1%
OCF growth 1Y437.69%
OCF growth 3YN/A
OCF growth 5Y27.69%