ScoreWhy is Arcosa, Inc. ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.77 times
2
Poor long term growth as Operating profit has grown by an annual rate 9.74% of over the last 5 years
3
The company has declared Negative results for the last 6 consecutive quarters
- NET PROFIT(9M) At USD 56.52 MM has Grown at -51.51%
- INTEREST(HY) At USD 56.8 MM has Grown at 188.32%
- DIVIDEND PAYOUT RATIO(Y) Lowest at 4.11%
4
With ROCE of 5.78%, it has a very expensive valuation with a 1.48 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -1.43%, its profits have fallen by -23.8%
5
Underperformed the market in the last 1 year
- Even though the market (S&P 500) has generated returns of 13.22% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -1.43% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Arcosa, Inc. should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Arcosa, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Arcosa, Inc.
0.02%
0.75
35.82%
S&P 500
12.66%
0.65
20.20%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.33%
EBIT Growth (5y)
9.74%
EBIT to Interest (avg)
6.60
Debt to EBITDA (avg)
1.77
Net Debt to Equity (avg)
0.62
Sales to Capital Employed (avg)
0.73
Tax Ratio
30.21%
Dividend Payout Ratio
10.45%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
5.99%
ROE (avg)
6.37%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
40
Industry P/E
Price to Book Value
1.78
EV to EBIT
25.69
EV to EBITDA
13.55
EV to Capital Employed
1.48
EV to Sales
2.27
PEG Ratio
NA
Dividend Yield
16.76%
ROCE (Latest)
5.78%
ROE (Latest)
4.42%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend13What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 443 MM
RAW MATERIAL COST(Y)
Fallen by -9.01% (YoY
CASH AND EQV(HY)
Highest at USD 357.6 MM
NET SALES(Q)
Highest at USD 736.9 MM
OPERATING PROFIT(Q)
Highest at USD 149.2 MM
OPERATING PROFIT MARGIN(Q)
Highest at 20.25 %
PRE-TAX PROFIT(Q)
Highest at USD 69.8 MM
NET PROFIT(Q)
Highest at USD 59.6 MM
EPS(Q)
Highest at USD 1.22
-17What is not working for the Company
NET PROFIT(9M)
At USD 56.52 MM has Grown at -51.51%
INTEREST(HY)
At USD 56.8 MM has Grown at 188.32%
DIVIDEND PAYOUT RATIO(Y)
Lowest at 4.11%
ROCE(HY)
Lowest at 3.74%
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.82 times
Here's what is working for Arcosa, Inc.
Operating Cash Flow
Highest at USD 443 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
Highest at USD 736.9 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 149.2 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 20.25 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 69.8 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 59.6 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 1.22
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Cash and Eqv
Highest at USD 357.6 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -9.01% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Arcosa, Inc.
Interest
At USD 56.8 MM has Grown at 188.32%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Dividend Payout Ratio
Lowest at 4.11% and Fallen
In each year in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Debtors Turnover Ratio
Lowest at 5.82 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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