VIRTRA INC (VTSI) Stock Fundamental Analysis
NASDAQ:VTSI - Nasdaq - US92827K3014 - Common Stock - Currency: USD
Taking everything into account, VTSI scores 4 out of 10 in our fundamental rating. VTSI was compared to 67 industry peers in the Aerospace & Defense industry. VTSI has an average financial health and profitability rating. VTSI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
VTSI had positive earnings in the past year.
In the past year VTSI has reported a negative cash flow from operations.
VTSI had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: VTSI reported negative operating cash flow in multiple years.
1.2 Ratios
VTSI's Return On Assets of 2.11% is in line compared to the rest of the industry. VTSI outperforms 46.27% of its industry peers.
VTSI has a Return On Equity of 3.00%. This is comparable to the rest of the industry: VTSI outperforms 46.27% of its industry peers.
VTSI's Return On Invested Capital of 2.47% is in line compared to the rest of the industry. VTSI outperforms 43.28% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for VTSI is below the industry average of 8.56%.
The 3 year average ROIC (6.51%) for VTSI is well above the current ROIC(2.47%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 3% | ||
| ROIC | 2.47% |
ROA(3y)5.93%
ROA(5y)5.88%
ROE(3y)9.51%
ROE(5y)9.87%
ROIC(3y)6.51%
ROIC(5y)5.53%
1.3 Margins
VTSI has a Profit Margin of 5.55%. This is comparable to the rest of the industry: VTSI outperforms 58.21% of its industry peers.
VTSI's Profit Margin has declined in the last couple of years.
The Operating Margin of VTSI (7.73%) is comparable to the rest of the industry.
VTSI's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 75.33%, VTSI belongs to the best of the industry, outperforming 98.51% of the companies in the same industry.
VTSI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.73% | ||
| PM (TTM) | 5.55% | ||
| GM | 75.33% |
OM growth 3Y8.47%
OM growth 5Y40.38%
PM growth 3Y-20.75%
PM growth 5YN/A
GM growth 3Y16.41%
GM growth 5Y7.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VTSI is destroying value.
VTSI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, VTSI has more shares outstanding
VTSI has a worse debt/assets ratio than last year.
2.2 Solvency
VTSI has an Altman-Z score of 3.79. This indicates that VTSI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of VTSI (3.79) is comparable to the rest of the industry.
VTSI has a Debt/Equity ratio of 0.16. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of VTSI (0.16) is better than 77.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.79 |
ROIC/WACC0.25
WACC9.75%
2.3 Liquidity
A Current Ratio of 4.54 indicates that VTSI has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.54, VTSI belongs to the top of the industry, outperforming 88.06% of the companies in the same industry.
A Quick Ratio of 3.03 indicates that VTSI has no problem at all paying its short term obligations.
VTSI has a better Quick ratio (3.03) than 85.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.54 | ||
| Quick Ratio | 3.03 |
3. Growth
3.1 Past
VTSI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -68.33%.
VTSI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 44.65% yearly.
The Revenue for VTSI has decreased by -29.62% in the past year. This is quite bad
VTSI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.09% yearly.
EPS 1Y (TTM)-68.33%
EPS 3Y-8.74%
EPS 5Y44.65%
EPS Q2Q%0%
Revenue 1Y (TTM)-29.62%
Revenue growth 3Y2.55%
Revenue growth 5Y7.09%
Sales Q2Q%-11.54%
3.2 Future
VTSI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.09% yearly.
The Revenue is expected to grow by 6.60% on average over the next years.
EPS Next Y23.47%
EPS Next 2Y32.09%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-2.49%
Revenue Next 2Y6.6%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
VTSI is valuated quite expensively with a Price/Earnings ratio of 38.26.
Compared to the rest of the industry, the Price/Earnings ratio of VTSI indicates a somewhat cheap valuation: VTSI is cheaper than 65.67% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of VTSI to the average of the S&P500 Index (26.41), we can say VTSI is valued slightly more expensively.
The Price/Forward Earnings ratio is 21.93, which indicates a rather expensive current valuation of VTSI.
Based on the Price/Forward Earnings ratio, VTSI is valued a bit cheaper than the industry average as 79.10% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of VTSI to the average of the S&P500 Index (33.87), we can say VTSI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.26 | ||
| Fwd PE | 21.93 |
4.2 Price Multiples
VTSI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. VTSI is cheaper than 67.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 19.67 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as VTSI's earnings are expected to grow with 32.09% in the coming years.
PEG (NY)1.63
PEG (5Y)0.86
EPS Next 2Y32.09%
EPS Next 3YN/A
5. Dividend
5.1 Amount
VTSI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.27
+0.27 (+3.86%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)
Earnings (Next)
Inst Owners24.47%
Inst Owner Change-4.71%
Ins Owners3.39%
Ins Owner Change0%
Market Cap81.86M
Analysts82.5
Price Target8.41 (15.68%)
Short Float %1.72%
Short Ratio1.73
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)-35.01%
Min EPS beat(2)-324.09%
Max EPS beat(2)254.06%
EPS beat(4)2
Avg EPS beat(4)38.7%
Min EPS beat(4)-324.09%
Max EPS beat(4)254.06%
EPS beat(8)5
Avg EPS beat(8)81.16%
EPS beat(12)7
Avg EPS beat(12)193.69%
EPS beat(16)9
Avg EPS beat(16)165.67%
Revenue beat(2)1
Avg Revenue beat(2)-0.11%
Min Revenue beat(2)-28.91%
Max Revenue beat(2)28.68%
Revenue beat(4)2
Avg Revenue beat(4)-3.66%
Min Revenue beat(4)-28.91%
Max Revenue beat(4)28.68%
Revenue beat(8)5
Avg Revenue beat(8)5.48%
Revenue beat(12)8
Avg Revenue beat(12)9.31%
Revenue beat(16)12
Avg Revenue beat(16)12.59%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-33.33%
EPS NY rev (1m)0%
EPS NY rev (3m)300%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)9.43%
Revenue NY rev (1m)0%
Revenue NY rev (3m)14.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.26 | ||
| Fwd PE | 21.93 | ||
| P/S | 3.22 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.74 | ||
| P/tB | 1.76 | ||
| EV/EBITDA | 19.67 |
EPS(TTM)0.19
EY2.61%
EPS(NY)0.33
Fwd EY4.56%
FCF(TTM)-0.4
FCFYN/A
OCF(TTM)-0.34
OCFYN/A
SpS2.26
BVpS4.17
TBVpS4.12
PEG (NY)1.63
PEG (5Y)0.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 3% | ||
| ROCE | 3.46% | ||
| ROIC | 2.47% | ||
| ROICexc | 3.58% | ||
| ROICexgc | 3.63% | ||
| OM | 7.73% | ||
| PM (TTM) | 5.55% | ||
| GM | 75.33% | ||
| FCFM | N/A |
ROA(3y)5.93%
ROA(5y)5.88%
ROE(3y)9.51%
ROE(5y)9.87%
ROIC(3y)6.51%
ROIC(5y)5.53%
ROICexc(3y)9.82%
ROICexc(5y)8.85%
ROICexgc(3y)9.99%
ROICexgc(5y)9.04%
ROCE(3y)9.11%
ROCE(5y)7.75%
ROICexcg growth 3Y-6.95%
ROICexcg growth 5Y14.51%
ROICexc growth 3Y-6.66%
ROICexc growth 5Y14.69%
OM growth 3Y8.47%
OM growth 5Y40.38%
PM growth 3Y-20.75%
PM growth 5YN/A
GM growth 3Y16.41%
GM growth 5Y7.26%
F-Score3
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.14 | ||
| Cap/Depr | 47.27% | ||
| Cap/Sales | 2.86% | ||
| Interest Coverage | 8.29 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 4.54 | ||
| Quick Ratio | 3.03 | ||
| Altman-Z | 3.79 |
F-Score3
WACC9.75%
ROIC/WACC0.25
Cap/Depr(3y)194.92%
Cap/Depr(5y)246.89%
Cap/Sales(3y)7.26%
Cap/Sales(5y)7.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-68.33%
EPS 3Y-8.74%
EPS 5Y44.65%
EPS Q2Q%0%
EPS Next Y23.47%
EPS Next 2Y32.09%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-29.62%
Revenue growth 3Y2.55%
Revenue growth 5Y7.09%
Sales Q2Q%-11.54%
Revenue Next Year-2.49%
Revenue Next 2Y6.6%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-74.01%
EBIT growth 3Y11.25%
EBIT growth 5Y50.33%
EBIT Next Year20.65%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-269.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-370.46%
OCF growth 3YN/A
OCF growth 5YN/A