NCS Multistage Holdings, Inc.
NCS Multistage Holdings, Inc. Fundamental Analysis
NCS Multistage Holdings, Inc. (NCSM) shows strong financial fundamentals with a PE ratio of 6.71, profit margin of 13.23%, and ROE of 21.91%. The company generates $0.2B in annual revenue with strong year-over-year growth of 12.96%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 84.4/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze NCSM's fundamental strength across five key dimensions:
Efficiency Score
ExcellentNCSM demonstrates superior asset utilization.
Valuation Score
ExcellentNCSM trades at attractive valuation levels.
Growth Score
ModerateNCSM shows steady but slowing expansion.
Financial Health Score
ExcellentNCSM maintains a strong and stable balance sheet.
Profitability Score
ModerateNCSM maintains healthy but balanced margins.
Key Financial Metrics
Is NCSM Expensive or Cheap?
P/E Ratio
NCSM trades at 6.71 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NCSM's PEG of 0.07 indicates potential undervaluation.
Price to Book
The market values NCS Multistage Holdings, Inc. at 1.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.71 times EBITDA. This signals the market has high growth expectations.
How Well Does NCSM Make Money?
Net Profit Margin
For every $100 in sales, NCS Multistage Holdings, Inc. keeps $13.23 as profit after all expenses.
Operating Margin
Core operations generate 6.39 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.91 in profit for every $100 of shareholder equity.
ROA
NCS Multistage Holdings, Inc. generates $13.48 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
NCS Multistage Holdings, Inc. produces operating cash flow of $21.70M, showing steady but balanced cash generation.
Free Cash Flow
NCS Multistage Holdings, Inc. generates strong free cash flow of $20.46M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $8.05 in free cash annually.
FCF Yield
NCSM converts 13.23% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.71
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.07
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.87
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.27
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.13
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How NCSM Stacks Against Its Sector Peers
| Metric | NCSM Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.71 | 20.21 | Better (Cheaper) |
| ROE | 21.91% | 936.00% | Weak |
| Net Margin | 13.23% | -48277.00% (disorted) | Strong |
| Debt/Equity | 0.06 | -0.56 (disorted) | Distorted |
| Current Ratio | 4.27 | 4.81 | Strong Liquidity |
| ROA | 13.48% | -11576032.00% (disorted) | Strong |
NCSM outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews NCS Multistage Holdings, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
56.73%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
137.65%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
-42.34%
Industry Style: Cyclical, Value, Commodity
Declining