Northwest Pipe Co. (NWPX) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Warrior Met Coal, Inc.

Northwest Pipe Co.

Smart Sand, Inc.

United States Lime & Minerals, Inc.

Vulcan Materials Co.

Summit Materials, Inc.

Eagle Materials, Inc.

Martin Marietta Materials, Inc.

Smith-Midland Corp.

Knife River Corp.

Atlas Energy Solutions, Inc.

Why is Northwest Pipe Co. ?

Poor Management Efficiency with a low ROCE of 9.47%

The company has been able to generate a Return on Capital Employed (avg) of 9.47% signifying low profitability per unit of total capital (equity and debt)

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.27 times

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 9.47%

With a growth in Net Profit of 18.64%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 4 consecutive quarters
OPERATING CASH FLOW(Y) Highest at USD 91.69 MM
INTEREST COVERAGE RATIO(Q) Highest at 5,008.62
ROCE(HY) Highest at 10.73%

With ROCE of 12.37%, it has a fair valuation with a 1.82 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 257.93%, its profits have risen by 4.9% ; the PEG ratio of the company is 2.5

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Northwest Pipe Co. should be less than 10%
Overall Portfolio exposure to Building Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Building Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Northwest Pipe Co. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Northwest Pipe Co.

257.93%

7.95

41.06%

S&P 500

20.78%

1.56

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.94%

EBIT Growth (5y)

12.25%

EBIT to Interest (avg)

13.57

Debt to EBITDA (avg)

1.23

Net Debt to Equity (avg)

0.10

Sales to Capital Employed (avg)

1.13

Tax Ratio

17.85%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

97.29%

ROCE (avg)

9.47%

ROE (avg)

7.64%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.86

EV to EBIT

14.72

EV to EBITDA

10.65

EV to Capital Employed

1.82

EV to Sales

1.42

PEG Ratio

2.49

Dividend Yield

ROCE (Latest)

12.37%

ROE (Latest)

8.97%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Bullish

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

12What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 91.69 MM

INTEREST COVERAGE RATIO(Q)

Highest at 5,008.62

ROCE(HY)

Highest at 10.73%

RAW MATERIAL COST(Y)

Fallen by -16.65% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 21.84 %

INVENTORY TURNOVER RATIO(HY)

Highest at 5.81 times

DEBTORS TURNOVER RATIO(HY)

Highest at 2.92 times

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Northwest Pipe Co.

Interest Coverage Ratio

Highest at 5,008.62 and Grown

In each period in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Cash Flow

Highest at USD 91.69 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Lowest at 21.84 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 5.81 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 2.92 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -16.65% (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