DB:FUE1

Stock Analysis Report

Executive Summary

Fuel Tech, Inc. provides boiler optimization, efficiency improvement, and air pollution reduction and control solutions to utility and industrial customers worldwide.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Fuel Tech's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FUE1 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.3%

FUE1

2.6%

DE Commercial Services

0.8%

DE Market


1 Year Return

-44.4%

FUE1

-6.3%

DE Commercial Services

9.0%

DE Market

Return vs Industry: FUE1 underperformed the German Commercial Services industry which returned -6.3% over the past year.

Return vs Market: FUE1 underperformed the German Market which returned 9% over the past year.


Shareholder returns

FUE1IndustryMarket
7 Day-5.3%2.6%0.8%
30 Day7.8%7.1%6.3%
90 Day6.4%17.6%14.4%
1 Year-44.4%-44.4%-2.9%-6.3%12.4%9.0%
3 Year-19.2%-19.2%6.2%-3.0%25.6%14.5%
5 Year-72.5%-72.5%1.7%-12.6%41.0%21.8%

Price Volatility Vs. Market

How volatile is Fuel Tech's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Fuel Tech undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FUE1 (€0.9) is trading below our estimate of fair value (€2.58)

Significantly Below Fair Value: FUE1 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FUE1 is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.

PE vs Market: FUE1 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FUE1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: FUE1 is good value based on its PB Ratio (0.7x) compared to the DE Commercial Services industry average (2.7x).


Next Steps

Future Growth

How is Fuel Tech forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

51.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FUE1 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: FUE1 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: FUE1's is expected to become profitable in the next 3 years.

Revenue vs Market: FUE1's revenue (9.5% per year) is forecast to grow faster than the German market (4.9% per year).

High Growth Revenue: FUE1's revenue (9.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if FUE1's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Fuel Tech performed over the past 5 years?

22.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FUE1 has large one-off items impacting its financial results.

Growing Profit Margin: FUE1's current net profit margins (-0.5%) are higher than last year (-2%).


Past Earnings Growth Analysis

Earnings Trend: FUE1 is unprofitable, but has reduced losses over the past 5 years at a rate of 22.4% per year.

Accelerating Growth: Unable to compare FUE1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: FUE1 is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (6.1%).


Return on Equity

High ROE: FUE1 has a negative Return on Equity (-0.81%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Fuel Tech's financial position?


Financial Position Analysis

Short Term Liabilities: FUE1's short term assets ($31.7M) exceeds its short term liabilities ($10.6M)

Long Term Liabilities: FUE1's short term assets (31.7M) exceeds its long term liabilities (1.3M)


Debt to Equity History and Analysis

Debt Level: FUE1 is debt free.

Reducing Debt: FUE1 has no debt compared to 5 years ago when its debt to equity ratio was 2.7%.


Balance Sheet

Inventory Level: FUE1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if FUE1's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable FUE1 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: FUE1 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 11.1% per year.


Next Steps

Dividend

What is Fuel Tech's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.6%industryaverage3.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate FUE1's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate FUE1's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FUE1's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FUE1's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FUE1's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of Fuel Tech's salary, the management and board of directors tenure and is there insider trading?

10.0yrs

Average management tenure


CEO

Vince Arnone (55yo)

4.6yrs

Tenure

US$514,005

Compensation

Mr. Vincent J. Arnone, also known as Vince, has been the Chief Executive Officer and President of Fuel-Tech, Inc. since April 1, 2015 and served as its Executive Vice President of Worldwide Operations sinc ...


CEO Compensation Analysis

Compensation vs Market: Vince's total compensation ($USD514.01K) is above average for companies of similar size in the German market ($USD215.15K).

Compensation vs Earnings: Vince's compensation has been consistent with company performance over the past year.


Management Age and Tenure

10.0yrs

Average Tenure

59yo

Average Age

Experienced Management: FUE1's management team is seasoned and experienced (10 years average tenure).


Board Age and Tenure

4.6yrs

Average Tenure

69.5yo

Average Age

Experienced Board: FUE1's board of directors are considered experienced (4.6 years average tenure).


Insider Trading

Insider Buying: FUE1 insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$25,18826 Sep 19
William Cummings
EntityIndividual
Role
Head of Sales
Senior Vice President of Sales
Shares28,489
Max PriceUS$0.88
BuyUS$18,82325 Sep 19
William Cummings
EntityIndividual
Role
Head of Sales
Senior Vice President of Sales
Shares21,511
Max PriceUS$0.88
BuyUS$18,22706 Sep 19
Vincent Arnone
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares20,000
Max PriceUS$0.91
BuyUS$14,83228 Aug 19
James Markowsky
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares20,000
Max PriceUS$0.74
BuyUS$16,26918 Jun 19
Vincent Arnone
EntityIndividual
Role
Chief Executive Officer
Chairman
Shares15,000
Max PriceUS$1.08
SellUS$9,47222 May 19
James Pach
EntityIndividual
Role
Chief Financial Officer
Principal Financial Officer
Shares6,859
Max PriceUS$1.38
SellUS$29,39525 Mar 19
James Markowsky
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares20,000
Max PriceUS$1.47

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Vincent Albanese (70yo)

    Senior Vice President of Regulatory Affairs

    • Tenure: 19.5yrs
    • Compensation: US$620.94k
  • Vince Arnone (55yo)

    Chairman

    • Tenure: 4.6yrs
    • Compensation: US$514.01k
  • William Sun (61yo)

    Vice President of International Business & Technologies

    • Tenure: 9.2yrs
    • Compensation: US$140.94k
  • Ron Seidel (72yo)

    Executive Consultant

    • Tenure: 14.8yrs
  • Kevin Dougherty (57yo)

    Vice President of Business Development & Marketing

    • Tenure: 0yrs
  • William Cummings (62yo)

    Senior Vice President of Sales

    • Tenure: 10.8yrs
    • Compensation: US$478.49k
  • Ellen Albrecht (46yo)

    VP, Accounting Manager & Controller

    • Tenure: 0yrs
  • Al Grigonis (69yo)

    Senior VP

    • Tenure: 11.8yrs
    • Compensation: US$363.11k
  • Dave Collins (54yo)

    Senior Financial Advisor

    • Tenure: 9.3yrs
    • Compensation: US$293.50k
  • James Pach (39yo)

    Principal Financial Officer

    • Tenure: 1.8yrs
    • Compensation: US$237.97k

Board Members

  • Thomas Shaw (71yo)

    Lead Director

    • Tenure: 8.8yrs
    • Compensation: US$57.50k
  • Dennis Zeitler (70yo)

    Independent Director

    • Tenure: 6.5yrs
    • Compensation: US$50.00k
  • Doug Bailey (69yo)

    Director

    • Tenure: 21.6yrs
    • Compensation: US$40.00k
  • Jim Markowsky (74yo)

    Independent Director

    • Tenure: 2.8yrs
    • Compensation: US$45.00k
  • Vince Arnone (55yo)

    Chairman

    • Tenure: 4.6yrs
    • Compensation: US$514.01k
  • Sharon Jones (58yo)

    Independent Director

    • Tenure: 1.7yrs
    • Compensation: US$31.67k

Company Information

Fuel Tech, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fuel Tech, Inc.
  • Ticker: FUE1
  • Exchange: DB
  • Founded: 1987
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$23.945m
  • Listing Market Cap: US$21.742m
  • Shares outstanding: 24.19m
  • Website: https://www.ftek.com

Number of Employees


Location

  • Fuel Tech, Inc.
  • 27601 Bella Vista Parkway
  • Warrenville
  • Illinois
  • 60555
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FTEKNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDSep 1993
FUE1DB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1993

Biography

Fuel Tech, Inc. provides boiler optimization, efficiency improvement, and air pollution reduction and control solutions to utility and industrial customers worldwide. It operates through Air Pollution Cont ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/12 20:46
End of Day Share Price2019/11/12 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.