VISHAY PRECISION GROUP (VPG) Stock Fundamental Analysis
NYSE:VPG - US92835K1034 - Common Stock
29.79 USD
+0.06 (+0.2%)
29.79 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to VPG. VPG was compared to 125 industry peers in the Electronic Equipment, Instruments & Components industry. VPG has an excellent financial health rating, but there are some minor concerns on its profitability. VPG does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year VPG was profitable.
VPG had a positive operating cash flow in the past year.
Each year in the past 5 years VPG has been profitable.
VPG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
VPG has a Return On Assets (-0.27%) which is in line with its industry peers.
The Return On Equity of VPG (-0.39%) is comparable to the rest of the industry.
With a Return On Invested Capital value of 1.16%, VPG perfoms like the industry average, outperforming 51.20% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for VPG is below the industry average of 9.48%.
The last Return On Invested Capital (1.16%) for VPG is well below the 3 year average (5.39%), which needs to be investigated, but indicates that VPG had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -0.39% | ||
| ROIC | 1.16% |
ROA(3y)5.07%
ROA(5y)4.46%
ROE(3y)7.55%
ROE(5y)6.83%
ROIC(3y)5.39%
ROIC(5y)5.07%
1.3 Margins
VPG's Profit Margin has declined in the last couple of years.
VPG has a Operating Margin of 2.59%. This is comparable to the rest of the industry: VPG outperforms 54.40% of its industry peers.
In the last couple of years the Operating Margin of VPG has declined.
VPG's Gross Margin of 39.17% is fine compared to the rest of the industry. VPG outperforms 67.20% of its industry peers.
VPG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.59% | ||
| PM (TTM) | N/A | ||
| GM | 39.17% |
OM growth 3Y-14.49%
OM growth 5Y-12.14%
PM growth 3Y-20.16%
PM growth 5Y-16.18%
GM growth 3Y1.34%
GM growth 5Y0.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VPG is destroying value.
Compared to 1 year ago, VPG has less shares outstanding
The number of shares outstanding for VPG has been reduced compared to 5 years ago.
The debt/assets ratio for VPG is higher compared to a year ago.
2.2 Solvency
VPG has an Altman-Z score of 3.53. This indicates that VPG is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.53, VPG perfoms like the industry average, outperforming 55.20% of the companies in the same industry.
The Debt to FCF ratio of VPG is 3.03, which is a good value as it means it would take VPG, 3.03 years of fcf income to pay off all of its debts.
VPG has a better Debt to FCF ratio (3.03) than 69.60% of its industry peers.
A Debt/Equity ratio of 0.10 indicates that VPG is not too dependend on debt financing.
VPG has a Debt to Equity ratio of 0.10. This is comparable to the rest of the industry: VPG outperforms 56.80% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 3.03 | ||
| Altman-Z | 3.53 |
ROIC/WACC0.13
WACC9.02%
2.3 Liquidity
A Current Ratio of 4.35 indicates that VPG has no problem at all paying its short term obligations.
VPG has a Current ratio of 4.35. This is in the better half of the industry: VPG outperforms 80.00% of its industry peers.
VPG has a Quick Ratio of 2.87. This indicates that VPG is financially healthy and has no problem in meeting its short term obligations.
VPG's Quick ratio of 2.87 is fine compared to the rest of the industry. VPG outperforms 72.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.35 | ||
| Quick Ratio | 2.87 |
3. Growth
3.1 Past
The earnings per share for VPG have decreased strongly by -76.24% in the last year.
Measured over the past years, VPG shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -10.99% on average per year.
VPG shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.46%.
The Revenue has been growing slightly by 1.54% on average over the past years.
EPS 1Y (TTM)-76.24%
EPS 3Y-20.35%
EPS 5Y-10.99%
EPS Q2Q%-45.16%
Revenue 1Y (TTM)-11.46%
Revenue growth 3Y-1.21%
Revenue growth 5Y1.54%
Sales Q2Q%-2.84%
3.2 Future
The Earnings Per Share is expected to grow by 15.14% on average over the next years. This is quite good.
VPG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.70% yearly.
EPS Next Y-39.56%
EPS Next 2Y15.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.94%
Revenue Next 2Y1.7%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 69.28, which means the current valuation is very expensive for VPG.
VPG's Price/Earnings is on the same level as the industry average.
VPG is valuated expensively when we compare the Price/Earnings ratio to 27.03, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 23.65, VPG is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VPG indicates a somewhat cheap valuation: VPG is cheaper than 60.80% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of VPG to the average of the S&P500 Index (22.54), we can say VPG is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 69.28 | ||
| Fwd PE | 23.65 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VPG is valued a bit cheaper than the industry average as 73.60% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, VPG is valued a bit cheaper than the industry average as 66.40% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38 | ||
| EV/EBITDA | 14.31 |
4.3 Compensation for Growth
VPG's earnings are expected to grow with 15.14% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
VPG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.79
+0.06 (+0.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners90.82%
Inst Owner Change8.33%
Ins Owners3.3%
Ins Owner Change2.42%
Market Cap395.61M
Analysts83.33
Price Target34.17 (14.7%)
Short Float %4.67%
Short Ratio4.87
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)1
Avg EPS beat(2)0.22%
Min EPS beat(2)-43.42%
Max EPS beat(2)43.86%
EPS beat(4)1
Avg EPS beat(4)-26.02%
Min EPS beat(4)-78%
Max EPS beat(4)43.86%
EPS beat(8)3
Avg EPS beat(8)-5.52%
EPS beat(12)6
Avg EPS beat(12)0.33%
EPS beat(16)10
Avg EPS beat(16)2.65%
Revenue beat(2)1
Avg Revenue beat(2)-0.35%
Min Revenue beat(2)-2.75%
Max Revenue beat(2)2.04%
Revenue beat(4)1
Avg Revenue beat(4)-1.33%
Min Revenue beat(4)-2.75%
Max Revenue beat(4)2.04%
Revenue beat(8)2
Avg Revenue beat(8)-1.43%
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)5.51%
PT rev (3m)10.74%
EPS NQ rev (1m)-24.67%
EPS NQ rev (3m)-36.51%
EPS NY rev (1m)3.55%
EPS NY rev (3m)3.55%
Revenue NQ rev (1m)-2.84%
Revenue NQ rev (3m)-3.44%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 69.28 | ||
| Fwd PE | 23.65 | ||
| P/S | 1.34 | ||
| P/FCF | 38 | ||
| P/OCF | 23.06 | ||
| P/B | 1.19 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 14.31 |
EPS(TTM)0.43
EY1.44%
EPS(NY)1.26
Fwd EY4.23%
FCF(TTM)0.78
FCFY2.63%
OCF(TTM)1.29
OCFY4.34%
SpS22.24
BVpS24.94
TBVpS18.35
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.27% | ||
| ROE | -0.39% | ||
| ROCE | 1.88% | ||
| ROIC | 1.16% | ||
| ROICexc | 1.49% | ||
| ROICexgc | 2.06% | ||
| OM | 2.59% | ||
| PM (TTM) | N/A | ||
| GM | 39.17% | ||
| FCFM | 3.53% |
ROA(3y)5.07%
ROA(5y)4.46%
ROE(3y)7.55%
ROE(5y)6.83%
ROIC(3y)5.39%
ROIC(5y)5.07%
ROICexc(3y)6.8%
ROICexc(5y)6.52%
ROICexgc(3y)9.48%
ROICexgc(5y)9.08%
ROCE(3y)8.71%
ROCE(5y)8.2%
ROICexcg growth 3Y-17.42%
ROICexcg growth 5Y-20.98%
ROICexc growth 3Y-16.02%
ROICexc growth 5Y-19.16%
OM growth 3Y-14.49%
OM growth 5Y-12.14%
PM growth 3Y-20.16%
PM growth 5Y-16.18%
GM growth 3Y1.34%
GM growth 5Y0.83%
F-Score4
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 3.03 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 42.6% | ||
| Cap/Sales | 2.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.05% | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.35 | ||
| Quick Ratio | 2.87 | ||
| Altman-Z | 3.53 |
F-Score4
WACC9.02%
ROIC/WACC0.13
Cap/Depr(3y)98.04%
Cap/Depr(5y)118.26%
Cap/Sales(3y)4.38%
Cap/Sales(5y)5.4%
Profit Quality(3y)86.52%
Profit Quality(5y)91.12%
High Growth Momentum
Growth
EPS 1Y (TTM)-76.24%
EPS 3Y-20.35%
EPS 5Y-10.99%
EPS Q2Q%-45.16%
EPS Next Y-39.56%
EPS Next 2Y15.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-11.46%
Revenue growth 3Y-1.21%
Revenue growth 5Y1.54%
Sales Q2Q%-2.84%
Revenue Next Year-1.94%
Revenue Next 2Y1.7%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-78.22%
EBIT growth 3Y-15.52%
EBIT growth 5Y-10.79%
EBIT Next Year70.74%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-55.01%
FCF growth 3Y-13.54%
FCF growth 5Y-11.6%
OCF growth 1Y-59.61%
OCF growth 3Y-16.09%
OCF growth 5Y-8.52%