FUELCELL ENERGY INC's gross profit margin for the first quarter of its fiscal year 2016 has significantly decreased when compared to the same period a year ago. Sales and net income have dropped, although the growth in revenues underperformed the average competitor within the industry, the net income growth did not. FUELCELL ENERGY INC has strong liquidity. Currently, the Quick Ratio is 1.73 which shows the ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has remained virtually unchanged only decreasing by 4.16% from the same quarter last year. The key liquidity measurements indicate that the company is unlikely to face financial difficulties in the near future.
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|Income Statement||Q1 FY16||Q1 FY15|
|Net Sales ($mil)||33.48||41.67|
|Net Income ($mil)||-11.71||-4.07|
|Balance Sheet||Q1 FY16||Q1 FY15|
|Cash & Equiv. ($mil)||83.31||90.29|
|Total Assets ($mil)||294.62||288.66|
|Total Debt ($mil)||2.73||2.33|
|Profitability||Q1 FY16||Q1 FY15|
|Gross Profit Margin||2.94||11.94|
|Return on Assets||-12.56||-10.94|
|Return on Equity||-25.66||-21.27|
|Debt||Q1 FY16||Q1 FY15|
|Share Data||Q1 FY16||Q1 FY15|
|Shares outstanding (mil)||28.11||24.33|
|Div / share||0.0||0.0|
|Book value / share||5.57||6.72|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||536765.0||1137666.0|
SELL. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 1.14 indicates a significant discount versus the S&P 500 average of 2.74 and a significant discount versus the industry average of 3.73. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount. After reviewing these and other key valuation criteria, FUELCELL ENERGY INC proves to trade at a discount to investment alternatives within the industry.
|FCEL NM||Peers 23.25||FCEL NM||Peers 15.70|
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.
FCEL's P/E is negative making this valuation measure meaningless.
Neutral. 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.
FCEL's P/CF is negative making the measure meaningless.
|FCEL NM||Peers 19.79||FCEL NA||Peers 3.67|
Neutral. The absence of a valid price-to-projected earnings ratio happens when a stock can not be valued on the basis of a negative expected future earnings.
FCEL's ratio is negative making this valuation measure meaningless.
Neutral. 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.
Ratio not available.
|FCEL 1.14||Peers 3.73||FCEL 7.15||Peers 9.27|
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.
FCEL is trading at a significant discount to its peers.
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
However, FCEL is expected to trail its peers on the basis of its earnings growth rate.
|FCEL 1.15||Peers 1.96||FCEL -12.76||Peers -1.43|
Discount. 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.
FCEL is trading at a significant discount to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
FCEL significantly trails its peers on the basis of sales growth
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