Twin Disc, Inc. (TWIN) 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

Columbus McKinnon Corp.

Lindsay Corp.

The Shyft Group, Inc.

Douglas Dynamics, Inc.

Twin Disc, Inc.

Wabash National Corp.

L.B. Foster Co.

The Manitowoc Co., Inc.

Astec Industries, Inc.

Greenbrier Cos., Inc.

Commercial Vehicle Group, Inc.

Why is Twin Disc, Inc. ?

The company has declared Negative results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at USD 16.71 MM
PRE-TAX PROFIT(Q) At USD 0.66 MM has Fallen at -74.73%
INTEREST(HY) At USD 1.66 MM has Grown at 33.39%

With ROE of 12.05%, it has a attractive valuation with a 1.25 Price to Book Value

Over the past year, while the stock has generated a return of 85.38%, its profits have risen by 130% ; the PEG ratio of the company is 0.1

High Institutional Holdings at 68.54%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 2.51% over the previous quarter.

Market Beating Performance

The stock has generated a return of 85.38% in the last 1 year, much higher than market (S&P 500) returns of 13.68%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Twin Disc, 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 Twin Disc, Inc. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Twin Disc, Inc.

83.04%

0.25

62.13%

S&P 500

13.68%

0.71

19.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.36%

EBIT Growth (5y)

29.05%

EBIT to Interest (avg)

2.72

Debt to EBITDA (avg)

3.47

Net Debt to Equity (avg)

0.19

Sales to Capital Employed (avg)

1.69

Tax Ratio

52.36%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

68.54%

ROCE (avg)

4.90%

ROE (avg)

3.61%

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

1.25

EV to EBIT

22.89

EV to EBITDA

9.91

EV to Capital Employed

1.21

EV to Sales

0.76

PEG Ratio

0.08

Dividend Yield

ROCE (Latest)

5.29%

ROE (Latest)

12.05%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

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

19What is working for the Company

ROCE(HY)

Highest at 13.15%

RAW MATERIAL COST(Y)

Fallen by -2.99% (YoY

NET PROFIT(Q)

Highest at USD 22.33 MM

EPS(Q)

Highest at USD 1.55

-17What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 16.71 MM

PRE-TAX PROFIT(Q)

At USD 0.66 MM has Fallen at -74.73%

INTEREST(HY)

At USD 1.66 MM has Grown at 33.39%

DEBT-EQUITY RATIO (HY)

Highest at 28.2 %

INTEREST COVERAGE RATIO(Q)

Lowest at 620.39

OPERATING PROFIT(Q)

Lowest at USD 5.05 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 5.6 %

Here's what is working for Twin Disc, Inc.

Net Profit

At USD 22.33 MM has Grown at 2,391.52%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Profit

Highest at USD 22.33 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 1.55

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -2.99% (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 Twin Disc, Inc.

Pre-Tax Profit

At USD 0.66 MM has Fallen at -74.73%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Operating Cash Flow

Lowest at USD 16.71 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 620.39

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At USD 1.66 MM has Grown at 33.39%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debt-Equity Ratio

Highest at 28.2 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Operating Profit

Lowest at USD 5.05 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 5.6 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales