Air T, Inc. Fundamental Analysis
Air T, Inc. (AIRT) shows moderate financial fundamentals with a PE ratio of 0.94, profit margin of 23.84%, and ROE of 4.21%. The company generates $0.3B in annual revenue with weak year-over-year growth of 1.75%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 14.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze AIRT's fundamental strength across five key dimensions:
Efficiency Score
ExcellentAIRT demonstrates superior asset utilization.
Valuation Score
ExcellentAIRT trades at attractive valuation levels.
Growth Score
WeakAIRT faces weak or negative growth trends.
Financial Health Score
ModerateAIRT shows balanced financial health with some risks.
Profitability Score
WeakAIRT struggles to sustain strong margins.
Key Financial Metrics
Is AIRT Expensive or Cheap?
P/E Ratio
AIRT trades at 0.94 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, AIRT's PEG of 0.00 indicates potential undervaluation.
Price to Book
The market values Air T, Inc. at 0.91 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 20.06 times EBITDA. This signals the market has high growth expectations.
How Well Does AIRT Make Money?
Net Profit Margin
For every $100 in sales, Air T, Inc. keeps $23.84 as profit after all expenses.
Operating Margin
Core operations generate -5.78 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $4.21 in profit for every $100 of shareholder equity.
ROA
Air T, Inc. generates $19.06 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Air T, Inc. generates limited operating cash flow of $-24.98M, signaling weaker underlying cash strength.
Free Cash Flow
Air T, Inc. generates weak or negative free cash flow of $-26.88M, restricting financial flexibility.
FCF Per Share
Each share generates $-9.97 in free cash annually.
FCF Yield
AIRT converts -37.01% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
0.94
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.001
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.91
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.22
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
2.82
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.67
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
4.21
vs 25 benchmark
ROA
Return on assets percentage
0.19
vs 25 benchmark
ROCE
Return on capital employed
-0.06
vs 25 benchmark
How AIRT Stacks Against Its Sector Peers
| Metric | AIRT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 0.94 | 30.65 | Better (Cheaper) |
| ROE | 421.08% | 1211.00% | Weak |
| Net Margin | 23.84% | -20858.00% (disorted) | Strong |
| Debt/Equity | 2.82 | 0.38 | Weak (High Leverage) |
| Current Ratio | 1.67 | 21.70 | Neutral |
| ROA | 19.06% | -1320842.00% (disorted) | Strong |
AIRT outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Air T, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
25.09%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
-181.39%
Industry Style: Cyclical, Value, Infrastructure
DecliningFCF CAGR
195.10%
Industry Style: Cyclical, Value, Infrastructure
High Growth