ARC Group Worldwide IncFind Ratings Reports
ARC GROUP WORLDWIDE INC's gross profit margin for the second quarter of its fiscal year 2017 has decreased when compared to the same period a year ago. Even though sales increased, the net income has decreased, representing a decrease to the bottom line. ARC GROUP WORLDWIDE INC has weak liquidity. Currently, the Quick Ratio is 0.93 which shows a lack of ability to cover short-term cash needs. The liquidity decreased from the same period a year ago, despite already having weak liquidity to begin with. This would indicate deteriorating cash flow.
During the same period, stockholders' equity ("net worth") has increased by 5.88% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.
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|Income Statement||Q2 FY17||Q2 FY16|
|Net Sales ($mil)||28.2||23.84|
|Net Income ($mil)||-0.71||-0.63|
|Balance Sheet||Q2 FY17||Q2 FY16|
|Cash & Equiv. ($mil)||1.22||3.87|
|Total Assets ($mil)||113.03||121.76|
|Total Debt ($mil)||48.11||59.39|
|Profitability||Q2 FY17||Q2 FY16|
|Gross Profit Margin||25.91||27.29|
|Return on Assets||1.46||-1.17|
|Return on Equity||-4.34||-4.25|
|Debt||Q2 FY17||Q2 FY16|
|Share Data||Q2 FY17||Q2 FY16|
|Shares outstanding (mil)||18.8||19.03|
|Div / share||0.0||0.0|
|Book value / share||2.5||2.33|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||18482.0||41247.0|
SELL. This stock’s P/E ratio is negative, making its value useless in the assessment of premium or discount valuation, only displaying that the company has negative earnings per share. For additional comparison, its price-to-book ratio of 1.26 indicates a significant discount versus the S&P 500 average of 3.00 and a significant discount versus the industry average of 4.82. 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, ARC GROUP WORLDWIDE INC proves to trade at a discount to investment alternatives within the industry.
|ARCW NM||Peers 26.76||ARCW 17.39||Peers 15.45|
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.
ARCW's P/E is negative making this valuation measure meaningless.
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.
ARCW is trading at a premium to its peers.
|ARCW 126.00||Peers 21.57||ARCW NA||Peers 2.50|
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.
ARCW'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.
|ARCW 1.26||Peers 4.82||ARCW 0.00||Peers 23.25|
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.
ARCW is trading at a significant discount to its peers.
Neutral. Higher earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
The growth rate for ARCW is not available.
|ARCW 0.54||Peers 1.98||ARCW 4.97||Peers 12.53|
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.
ARCW 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.
ARCW significantly trails its peers on the basis of sales growth