NASDAQ
ARTW
Last Price
US $2.37
KEY FIGURES
MKT CAP
$12.3M
EPS
TTM
$0.25
PEG
TTM
0.00x
P/E
TTM
9.47x
P/S
TTM
0.50x
YIELD
0.00%
GROWTH
Revenue Y/Y
0.50%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $2.37
—
Default assumptions
EBITDA Multiple
Fair Value
Market $2.37
-90.30%
Default assumptions
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Art's-Way Manufacturing Co., Inc. cash flow to debt ratio of -14.11% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial risk - Healthy cash flow growth.
Art's-Way Manufacturing Co., Inc.'s free cash flow has decreased -180.53% from $1.90M last year to $-1.53M, signaling decreasing performance
Financial stability - Healthy debt to equity ratio.
Art's-Way Manufacturing Co., Inc.'s debt to equity ratio is 0.48, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
Art's-Way Manufacturing Co., Inc.'s debt has increased relative to shareholder equity from 0.40 last year to 0.48 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
Art's-Way Manufacturing Co., Inc. has a net debt to EBITDA ratio of 2.47x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial risk - ICR.
Art's-Way Manufacturing Co., Inc.'s interest coverage ratio is 1.53, which means that the company struggles to meet interest obligations, signaling financial risk.
Financial stability - Profit margin growth.
Art's-Way Manufacturing Co., Inc.'s profit margin has increased (319.03%) in the last year from 1.25% to 5.26%, signaling increasing performance
Financial stability - Short term assets vs short term liabilities.
Art's-Way Manufacturing Co., Inc.'s short-term assets of $14.78M exceed its short-term liabilities of $6.44M
Increasing performance - ROA.
Art's-Way Manufacturing Co., Inc.'s return on assets of 5.24% is higher than the 5.00% threshold, indicating efficient asset utilization
Decreasing performance - Absolute return on equity.
Art's-Way Manufacturing Co., Inc.'s return on equity of 9.46%, is lower than 15.00%, indicating bad performance
Decreasing performance - Earnings quality.
Art's-Way Manufacturing Co., Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation
Increasing performance - Earnings stability.
Art's-Way Manufacturing Co., Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Decreasing performance - Free cash flow.
Art's-Way Manufacturing Co., Inc. has negative free cash flow, indicating the company is burning cash rather than generating it
Decreasing performance - FCF yield.
Art's-Way Manufacturing Co., Inc. has negative free cash flow, indicating cash burn
Increasing performance - Healthy earnings growth.
Art's-Way Manufacturing Co., Inc.'s yearly earnings has increased 236.72% since last year from $307.38K to $1.03M, signaling increasing performance
Decreasing performance - Healthy revenue growth.
Art's-Way Manufacturing Co., Inc.'s yearly revenue has decreased -6.22% since last year from $24.50M to $22.98M, signaling decreasing performance
Decreasing performance - ROIC.
ROIC 2.25% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Decreasing performance - 3-year revenue CAGR.
Art's-Way Manufacturing Co., Inc.'s 3-year revenue CAGR of -3.60% is negative, indicating declining revenue over the past 3 years
Increasing performance - Revenue consistency.
Art's-Way Manufacturing Co., Inc. had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Art's-Way Manufacturing Co., Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Art's-Way Manufacturing Co., Inc. has insufficient data to evaluate this check.
Undervalued - Earnings yield.
Art's-Way Manufacturing Co., Inc. has an earnings yield of 10.56%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Art's-Way Manufacturing Co., Inc. is overvalued relative to its fair value price of 0.23 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Art's-Way Manufacturing Co., Inc. has an EV/EBITDA ratio of 7.20x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
Art's-Way Manufacturing Co., Inc. has a PEG-ratio under 1 which is considered undervalued
Undervalued - P/B ratio.
Art's-Way Manufacturing Co., Inc. has a price-to-book ratio of 0.90x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Art's-Way Manufacturing Co., Inc. has a price-to-sales ratio of 0.50x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
9.46%
Return on equity
ROIC: 2.25%
Valuation History
10.1X
Price to Earnings
EV/EBITDA: 6.5X
Cash flow
Profit margin
-
(FY vs FY)
Cash flow Y/Y
0.23%
(FY vs FY)
EARNINGS FV (GRAHAM)
Fair Value
Market $2.37
-66.24%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.