Escalade, Incorporated
Escalade, Incorporated Fundamental Analysis
Escalade, Incorporated (ESCA) shows weak financial fundamentals with a PE ratio of 15.37, profit margin of 5.26%, and ROE of 7.49%. The company generates $0.2B in annual revenue with weak year-over-year growth of -4.57%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ESCA's fundamental strength across five key dimensions:
Efficiency Score
WeakESCA struggles to generate sufficient returns from assets.
Valuation Score
ExcellentESCA trades at attractive valuation levels.
Growth Score
ModerateESCA shows steady but slowing expansion.
Financial Health Score
ExcellentESCA maintains a strong and stable balance sheet.
Profitability Score
WeakESCA struggles to sustain strong margins.
Key Financial Metrics
Is ESCA Expensive or Cheap?
P/E Ratio
ESCA trades at 15.37 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ESCA's PEG of -14.30 indicates potential undervaluation.
Price to Book
The market values Escalade, Incorporated at 1.13 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.63 times EBITDA. This is generally considered low.
How Well Does ESCA Make Money?
Net Profit Margin
For every $100 in sales, Escalade, Incorporated keeps $5.26 as profit after all expenses.
Operating Margin
Core operations generate 7.49 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.49 in profit for every $100 of shareholder equity.
ROA
Escalade, Incorporated generates $5.46 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Escalade, Incorporated produces operating cash flow of $28.48M, showing steady but balanced cash generation.
Free Cash Flow
Escalade, Incorporated generates strong free cash flow of $26.65M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.93 in free cash annually.
FCF Yield
ESCA converts 13.73% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
15.37
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-14.30
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.81
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.05
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.30
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How ESCA Stacks Against Its Sector Peers
| Metric | ESCA Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 15.37 | 25.25 | Better (Cheaper) |
| ROE | 7.49% | 1170.00% | Weak |
| Net Margin | 5.26% | 742.00% | Weak |
| Debt/Equity | 0.05 | 0.77 | Strong (Low Leverage) |
| Current Ratio | 3.30 | 9.19 | Strong Liquidity |
| ROA | 5.46% | -6467.00% (disorted) | Weak |
ESCA outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Escalade, Incorporated's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
44.63%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
85.75%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
133.36%
Industry Style: Cyclical, Growth, Discretionary
High Growth