-0.24 | -0.83%
US ECOLOGY INC's gross profit margin for the first quarter of its fiscal year 2013 has decreased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago. US ECOLOGY INC has average liquidity. Currently, the Quick Ratio is 1.29 which shows that technically this company has the ability to cover short-term cash needs. The company's liquidity has increased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 15.21% from the same quarter last year. Together, the key liquidity measurements indicate that it is relatively unlikely that the company will face financial difficulties in the near future.
| Income Statement | Q1 FY13 | Q1 FY12 |
|---|---|---|
| Net Sales ($mil) | 42.9 | 33.01 |
| EBITDA ($mil) | 13.77 | 10.4 |
| EBIT ($mil) | 9.66 | 6.49 |
| Net Income ($mil) | 5.41 | 4.52 |
| Balance Sheet | Q1 FY13 | Q1 FY12 |
|---|---|---|
| Cash & Equiv. ($mil) | 4.51 | 6.4 |
| Total Assets ($mil) | 219.95 | 197.73 |
| Total Debt ($mil) | 41.0 | 35.0 |
| Equity ($mil) | 117.88 | 102.31 |
| Profitability | Q1 FY13 | Q1 FY12 |
|---|---|---|
| Gross Profit Margin | 45.44 | 48.42 |
| EBITDA Margin | 32.09 | 31.48 |
| Operating Margin | 22.51 | 19.65 |
| Sales Turnover | 0.81 | 0.78 |
| Return on Assets | 12.06 | 9.92 |
| Return on Equity | 22.51 | 19.19 |
| Debt | Q1 FY13 | Q1 FY12 |
|---|---|---|
| Current Ratio | 1.4 | 1.19 |
| Debt/Capital | 0.26 | 0.25 |
| Interest Expense | 0.22 | 0.22 |
| Interest Coverage | 43.69 | 28.96 |
| Share Data | Q1 FY13 | Q1 FY12 |
|---|---|---|
| Shares outstanding (mil) | 18.41 | 18.25 |
| Div / share | 0.0 | 0.18 |
| EPS | 0.29 | 0.25 |
| Book value / share | 6.4 | 5.61 |
| Institutional Own % | n/a | n/a |
| Avg Daily Volume | 75573.0 | 62971.0 |
BUY. US ECOLOGY INC's P/E ratio indicates a discount compared to an average of 28.84 for the Commercial Services & Supplies industry and a value on par with the S&P 500 average of 19.08. For additional comparison, its price-to-book ratio of 4.52 indicates a significant premium versus the S&P 500 average of 2.44 and a discount versus the industry average of 5.07. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, US ECOLOGY INC proves to trade at a discount to investment alternatives within the industry.
| Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| ECOL 20.10 | Peers 28.84 | ECOL 15.63 | Peers 12.68 | |||||||||||||||||||||
|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. ECOL is trading at a significant discount to its peers. |
Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. ECOL is trading at a premium to its peers. |
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| Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
| ECOL 17.02 | Peers 21.13 | ECOL 2.01 | Peers 1.75 | |||||||||||||||||||||
|
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. ECOL is trading at a discount to its peers. |
Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. ECOL trades at a premium to its peers. |
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| Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
| ECOL 4.52 | Peers 5.07 | ECOL 33.33 | Peers 1.38 | |||||||||||||||||||||
|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. ECOL is trading at a discount to its peers. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. ECOL is expected to have an earnings growth rate that significantly exceeds its peers. |
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| Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
| ECOL 2.98 | Peers 1.97 | ECOL 16.41 | Peers 2.52 | |||||||||||||||||||||
|
Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. ECOL is trading at a significant premium to its industry. |
Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share. ECOL has a sales growth rate that significantly exceeds its peers. |
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