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STRT

Strattec Security NasdaqGM:STRT Stock Report

Last Price

US$29.99

Market Cap

US$118.8m

7D

4.7%

1Y

-29.8%

Updated

14 Aug, 2022

Data

Company Financials +
STRT fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance2/6
Financial Health6/6
Dividends0/6

STRT Stock Overview

Strattec Security Corporation designs, develops, manufactures, and markets automotive access control products under the VAST Automotive Group brand primarily in North America.

Strattec Security Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Strattec Security
Historical stock prices
Current Share PriceUS$29.99
52 Week HighUS$45.21
52 Week LowUS$28.33
Beta0.89
1 Month Change-0.20%
3 Month Change-8.29%
1 Year Change-29.82%
3 Year Change39.17%
5 Year Change-10.34%
Change since IPO130.69%

Recent News & Updates

Aug 11

Strattec Security GAAP EPS of $0.10 misses by $0.71, revenue of $123.1M beats by $6.74M

Strattec Security press release (NASDAQ:STRT): Q4 GAAP EPS of $0.10 misses by $0.71. Revenue of $123.1M (+11.8% Y/Y) beats by $6.74M.

Shareholder Returns

STRTUS Auto ComponentsUS Market
7D4.7%11.2%3.2%
1Y-29.8%-22.8%-10.2%

Return vs Industry: STRT underperformed the US Auto Components industry which returned -22.8% over the past year.

Return vs Market: STRT underperformed the US Market which returned -10.2% over the past year.

Price Volatility

Is STRT's price volatile compared to industry and market?
STRT volatility
STRT Average Weekly Movement6.0%
Auto Components Industry Average Movement8.2%
Market Average Movement7.7%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.2%

Stable Share Price: STRT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: STRT's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19083,752Frank Krejcihttps://www.strattec.com

Strattec Security Corporation designs, develops, manufactures, and markets automotive access control products under the VAST Automotive Group brand primarily in North America. The company offers mechanical and electronically enhanced locks and keys, passive entry passive start systems, steering column and instrument panel ignition lock housings, latches, power sliding side door systems, power tailgate and lift gate systems, power deck lid systems, door handles, and related products. It also provides full service and aftermarket support services for its products.

Strattec Security Fundamentals Summary

How do Strattec Security's earnings and revenue compare to its market cap?
STRT fundamental statistics
Market CapUS$118.79m
Earnings (TTM)US$7.03m
Revenue (TTM)US$452.27m

16.9x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
STRT income statement (TTM)
RevenueUS$452.27m
Cost of RevenueUS$396.25m
Gross ProfitUS$56.02m
Other ExpensesUS$48.98m
EarningsUS$7.03m

Last Reported Earnings

Jul 03, 2022

Next Earnings Date

n/a

Earnings per share (EPS)1.78
Gross Margin12.39%
Net Profit Margin1.55%
Debt/Equity Ratio5.0%

How did STRT perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is STRT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for STRT?

Other financial metrics that can be useful for relative valuation.

STRT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.3x
Enterprise Value/EBITDA5.4x
PEG Ratio0.4x

Price to Earnings Ratio vs Peers

How does STRT's PE Ratio compare to its peers?

STRT PE Ratio vs Peers
The above table shows the PE ratio for STRT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average30.4x
CAAS China Automotive Systems
6.7x-19.8%US$94.1m
SYPR Sypris Solutions
10.2xn/aUS$48.6m
MPAA Motorcar Parts of America
47.9x79.1%US$302.6m
GTX Garrett Motion
57x86.5%US$456.2m
STRT Strattec Security
16.9x47.8%US$118.8m

Price-To-Earnings vs Peers: STRT is good value based on its Price-To-Earnings Ratio (16.9x) compared to the peer average (30.4x).


Price to Earnings Ratio vs Industry

How does STRT's PE Ratio compare vs other companies in the US Auto Components Industry?

Price-To-Earnings vs Industry: STRT is good value based on its Price-To-Earnings Ratio (16.9x) compared to the US Auto Components industry average (21.8x)


Price to Earnings Ratio vs Fair Ratio

What is STRT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STRT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.9x
Fair PE Ratio17.3x

Price-To-Earnings vs Fair Ratio: STRT is good value based on its Price-To-Earnings Ratio (16.9x) compared to the estimated Fair Price-To-Earnings Ratio (17.3x).


Share Price vs Fair Value

What is the Fair Price of STRT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: STRT ($29.99) is trading below our estimate of fair value ($121.84)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

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

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


47.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STRT's forecast earnings growth (47.8% per year) is above the savings rate (1.9%).

Earnings vs Market: STRT's earnings (47.8% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: STRT's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: STRT's revenue (8.4% per year) is forecast to grow faster than the US market (7.9% per year).

High Growth Revenue: STRT's revenue (8.4% 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 STRT's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Strattec Security performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


12.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: STRT has high quality earnings.

Growing Profit Margin: STRT's current net profit margins (1.6%) are lower than last year (4.6%).


Past Earnings Growth Analysis

Earnings Trend: STRT's earnings have grown by 12.2% per year over the past 5 years.

Accelerating Growth: STRT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: STRT had negative earnings growth (-68.1%) over the past year, making it difficult to compare to the Auto Components industry average (-6.3%).


Return on Equity

High ROE: STRT's Return on Equity (4%) is considered low.


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Financial Health

How is Strattec Security's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: STRT's short term assets ($188.2M) exceed its short term liabilities ($81.5M).

Long Term Liabilities: STRT's short term assets ($188.2M) exceed its long term liabilities ($16.8M).


Debt to Equity History and Analysis

Debt Level: STRT's net debt to equity ratio (1%) is considered satisfactory.

Reducing Debt: STRT's debt to equity ratio has reduced from 17.5% to 5% over the past 5 years.

Debt Coverage: STRT's debt is well covered by operating cash flow (94.9%).

Interest Coverage: STRT's interest payments on its debt are well covered by EBIT (40.3x coverage).


Balance Sheet


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Dividend

What is Strattec Security current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: STRT is not paying a notable dividend for the US market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as STRT has not reported any payouts.


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Management

How experienced are the management team and are they aligned to shareholders interests?

8.8yrs

Average management tenure


CEO

Frank Krejci (72 yo)

11.92yrs

Tenure

US$1,337,135

Compensation

Mr. Frank Joseph Krejci has been the Chief Executive Officer of STRATTEC Security Corporation since September 1, 2012 and has been its President since 2010. Mr. Krejci has been the President of Wisconsin F...


CEO Compensation Analysis

Compensation vs Market: Frank's total compensation ($USD1.34M) is above average for companies of similar size in the US market ($USD759.99K).

Compensation vs Earnings: Frank's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: STRT's management team is seasoned and experienced (8.8 years average tenure).


Board Members

Experienced Board: STRT's board of directors are seasoned and experienced ( 21.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Strattec Security Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Strattec Security Corporation
  • Ticker: STRT
  • Exchange: NasdaqGM
  • Founded: 1908
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Implied Market Cap: US$118.794m
  • Shares outstanding: 3.96m
  • Website: https://www.strattec.com

Number of Employees


Location

  • Strattec Security Corporation
  • 3333 West Good Hope Road
  • Milwaukee
  • Wisconsin
  • 53209
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/14 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/07/03
Annual Earnings2022/07/03


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.